Sponsored by Leader ‘Cautious optimism’ for Cannes
As nearly 7,000 members of the global duty free & travel retail industry prepare to dust off their exhibition shoes and trusty briefcases, TRBusiness asks the Tax Free World Association (TFWA) for its thoughts ahead of the World Exhibition in the South of France. Inside this issue, the association’s Managing Director, John Rimmer tells us he believes the
industry will embark on this year’s show with a general feeling of ‘cautious optimism’. Who could not be optimistic about a 8.1% rise in global duty
free sales (2017), one might ask? Especially, when you compare this performance directly with that of many European High Street retailers. But, the industry has been in this position before… Perhaps guilty of complacency in the past, retailers and suppliers
had come to rely on increasing passenger traffic having a direct impact on sales. But in recent years, passengers have continued to rise in number,
while sales have lagged behind (in some regions). Thankfully driven by the health of the market in Asia, the industry
had previoulsy been able to conceal its low conversion rates. But as data and analysis methods have improved, it has made for some uncomfortable reading… But despite the emergence of some useful data and good analysis,
the sharing of figures and information between stakeholders does not happen nearly enough.
The door is ajar… There are small indications that change is afoot in terms of this protectionist attitude and one notable example is the creation of the Travel Retail Data Innovation Group (TRDIG). This group, initiated by leading travel retailer, Gebr. Heinemann,
has assembled suppliers, retailers and service provider 1WorldSync to establish a standard for the automated exchange of product master data between retailers, suppliers, manufacturers and distributors through one global interface. Something which one of our featured interviewees, Christine
Martin highlights on p20, as being invaluable to the industry. The BARTA initiative – a partnership struck between Budapest
Airport, Heinemann and Wizz Air on the basis of real information- sharing to increase sales for all – must also be mentioned. TRBusiness hopes that the issue of insufficient data sharing will be
near the top of the agenda at the upcoming TFWA conference as well as at individual business meetings taking place at the Palais des Festivals in Cannes in the first week of October. Perhaps TRBusiness will have the pleasure of reporting the
news of more initiatives such as those mentioned above at the exhibition itself… Of course, TRBusiness also looks forward to reuniting with friends,
old and new, as it prepares to descend on the Côte d’Azur with its inimitable publishing team.
Charlotte Turner, Managing Editor SEPTEMBER 2018 TRBUSINESS 13
Malaysia Airports issues retail and F&B tender at KLIA
Malaysia Airports has issued a tender for retail and food and beverage outlets at Kuala Lumpur International Airport (KLIA). The 14 tender packages comprise 22 lots and are divided into two groups (Package Deal category and Standard category). Under the Package Deal, bidders can choose to tender for a four-
lot package covering retail outlets for news, books and conveniences at various locations within KLIA. Additionally, there is a Package Deal that allows potential retail
partners to be a single operator of a duty free walkthrough emporium that carries multi-brand core products. These are perfume and cosmetics, chocolate and confectionery, liquor and tobacco. The location for the four-lot package is at the international arrival
level (airside) of the main terminal building. For food and beverage outlets, there is also a Package Deal for
bidders to operate a casual dining restaurant within two adjoining lots. Similarly, potential retail partners can also bid for another two- lot package to operate a coffee-based food and beverage outlet. Meanwhile, the Standard Package tenders offer bidders the
opportunity to operate retail outlets in various categories. Lot sizes under the Standard Package tenders range from 25sq m to 128sq m. According to Malaysia Airports, which launched its annual
shopping campaign last month, this tender exercise is part of the company’s ongoing initiative to refresh the services and facilities at KLIA. Tender documents are available for purchase from the Procurement & Contract Division until 13 September 2018.
LEADER/NEWS
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