Page 49 - IAADFS Summit 2023 Special Edition

Special Issue Special Issue Special Issue
Special Issue TFWA Virtual
TFWA IAADFS World Exhibition Summit of the Special Issue
October/November
World Exhibition Summit of the October 2021 Americas October/November 2020
Americas
2020
October 2022 April 2022 April 2021

U.S. recovery could be on the horizon,
North American airport modernizations place focus INSIDE INSIDER Travel rebound in North America bodes well for Is recovery ahead as travel markets begin to open? INSIDE INSIDER but contradictions abound INSIDE INSIDER Pivoting to virtual in 2020 INSIDE INSIDER
on optimizing concessions INSIDE INSIDER Travel Markets Insider is News & Numbers
Travel Retail recovery When borders closed and very pleased to be publishing IATA, ACI,
travel ground to a halt in 2020, I this special magazine to coincide DFWC: Route to Recovery
There is no denying that doubt anyone, anywhere, could with the pioneering Virtual Travel North America
Retail Expo conceived, organized
travel is beginning to show real have fathomed the profound and executed by the Moodie NY LaGuardia
recovery, especially in North impact the pandemic would have Global Ports Holding rushes to Davitt Report in coordination Canada
America. on our industries and our lives. transform Nassau into a home port with Singapore-based FILTR.
Canada has conditionally
It is only recently, some 20
The organizers expect
Harper Dennis Hobbes Executive opened its land borders and Ultrafemme celebrated its 45th months since we first heard the International Shoppes celebrates 70 6,000+ registrants and an
years.
Director Simon Black and Senior as of April 1 eased pre-entry anniversary at the end of the year by unbelievable news that countries
Managing Director Nadine Heubel COVID tests, which begins creating an Atelier Du Parfum in the were shutting their borders, that impressive 124 exhibitors when
target North America
“the road to recovery” for the group’s flagship store. major travel markets like the the event commences on Oct. 12.
country’s beleaguered border United States, Canada, and parts The virtual event will hold
stores, says the Frontier Duty of Latin America are opening for a broad selection of interactive ARI’s Jackie McDonagh
and engaging sessions throughout
Free Association. This will bring non-essential visitors, bringing the live 5-day Virtual Expo, “Treat every customer
welcome traffic to suffering hope that recovery may be on the where its virtual Symposium like gold”
airports as well. way. At a webinar hosted by Rouge Duty Free enters St. Croix with Hall and Workshop Rooms will CARIBBEAN/CRUISE
The U.S. Centers for
Disease Control and Prevention the International Association of In a vibrant and colorful promotion, Chinese dancers perform the Dragon Dance in front of the Penha store in Curaçao, as luxury store host industry dialogue around the L’Oréal Travel Retail Americas unveiled its unique traveler-centric concept, the
Beauty Hub – New York, located inside The Bowery Bay Shops retail area in
finally dropped its cruise travel Airport and Duty Free Stores the duty free retailer teamed up with Essence Corp and Shiseido to celebrate Chinese New Year. See full story on page 32. theme ‘Road to Recovery.’ LaGuardia Airport’s stunning new Arrivals & Departures Hall in Terminal B.
The many webinars, filmed
Rouge Duty Free opens the first Creed advisory, a measure that had WTDC, a pioneer in Logistics for 45 earlier this month, all the This stunning view of the famed Croisette in Cannes was taken during the last interviews, live discussions and See full story on page 14.
years, is a company with a conscience.
boutique in the Caribbean been vigorously lobbied for by Stunning views and promising opportunities await concessionaires and partners at pent-up demand for travel as TFWA World Exhibition in 2019. Photo by Michael Pasternak. As of the end of March, takes a deep look at global and operators and suppliers webcasts will feature the biggest
speakers reiterated there is huge
The famed Jeppesen Terminal at Denver International Airport, site of one of the most ambitious development plans in the the industry for months. Southern California’s Ontario International Airport, the fastest-growing airport in the people locked down for more than It’s a Silver Anniversary for Tania and more than 133 million people regional travel numbers and continued to forge ahead, names in the aviation, travel retail keynote from the heads of the retai
International travel is back
United States. TMI speaks with Concessions Planning International, which is advising DEN as it creates and implements a in play. The UNWTO reported United States. ONT Chief Commercial Officer Dan Cappell speaks with TMI about a year crave new experiences. Happy Silver Anniversary to just finished meeting in Miami at Robert Bassan’s Tairo International. --about 30% of the adults in the forecasts, including a summary of opening new locations, and F&B communiti
concessions program that is a benchmark in North American airports. See story on page 26. that the 18 million more visitors what lies ahead. Story on page 22. And shopping seems to be part of Robert and Tania Bassan of Tairo the Seatrade Global event, which United States -- had received at the efforts being taken on behalf mounting colorful promotions with key executives from outside TMI also presents a look for the return of the affluent Island Jewelle
and investing in innovations for
least one dose of the coronavirus
of the industry by the associations
With U.S. airports like New TMI also speaks with Susan recovery in Latin America. recorded worldwide in the first the experience they are craving, International, who have built last year had also been cancelled vaccine, and President Joe from the region – IAADFS, FDFA increasing efficiencies as they the channel. at how supplier companies are destination’s high net worth Grand Cayman
The Exhibition itself is
York’s LaGuardia and Newark Gray, of Concessions Planning Another sign of renewed month of this year equals the eventually hamper travel. And the milestones to celebrate. Happy as those travel retailers who are their family-owned distribution due to travel restrictions. While Biden announced that 90% of and ASUTIL --presented at a prepare for the new normal. taking place in a hub of carefully incorporating more and more clientele – and is seeking the
right luxury partners to join its
attendance was much lower than
open report higher spend levels
digital into their operations.
company into one of the most
pandemic is still active in many
total increase for the whole of
SeaTrade Cruise Virtual
45th Anniversary to Ultrafemme
Liberty Airport undergoing International, about its work with business confidence in the travel 2021. And North America and countries, with no guarantee that and to WTDC. See full stories than normally seen. respected entities in the Caribbean in the past—and health protocols adults will be eligible to get a Duty Free World Council webinar In a far-reaching interview, curated Virtual Stands, but online But it is not all digital – team.
John Gallagher speaks with
massive modernizations, and Denver International Airport. retail channel is the swell of new Fantasy Fragrances, LLC rolls out the Europe are leading the strong a new variant will not arise. But on how these pioneering And there are some and Mexican duty free markets. abounded – excitement and vaccine within the next three earlier this year. Duty Free Global’s Barry Geoghegan visitors (buyers and other retail despite the current challenge the We al
air traffic predictions growing CPI is helping DEN create a fragrance launches, complete new Frida Kahlo-inspired fragrance start of tourism. OAG recently at this moment, the prospects for companies have flourished for Aer Rianta International welcomes positives. Travel Markets The two reminisce over the past anticipation ran high. Cruise weeks. This is promising news Cruising is facing its own Marcelo Montico, CEO of doubles down on travel retail w
stronger, this issue of Travel concessions program designed to with exciting HPPs at the in the Americas reported that unadjusted flight recovery are looking better than more than four decades in this back air travelers to Canada with Insider is delighted and much 25 years with TMI, revealing how lines—which were totally shut Rouge Duty Free expands in St. Croix for the resumption of consumer impasse – the CDC refuses to Latin American border operato
Markets Insider looks at how be a “benchmark for decades to Point of Sale. We are delighted booking data to/from USA and at any time in the past two years. issue. innovative new promotions. honored to be spotlighting two their customers have become part down for so long – are expecting (shown) and St. Maarten. confidence and travel in this speed up its opening of U.S. Neutral by Luryx, about how read and download literature and travelers. We take a
airport concessions can better come.” to cover several of the new UK was over 700% up on what On a personal note, Travel Happy 25th Anniversary major milestone celebrations of their extended family. a strong recovery (with many market. waters, so cruise lines are they—as new owners—view the chat with exhibitors in real time. at New York’s LaGuardia Airport, opens a number of new stores Beauty:
serve the traveling public – and Although travel retail still products here. it was at this time last year. This Markets Insider is celebrating its to Tito’s Handmade Vodka and in the industry in the Americas. In more positives, growing opportunities for retail). But rising numbers of bypassing U.S. ports with new future. It is sure to be a very different which unveiled the stunning new along the border. Essence Corp stays connected
provide more income to the faces many challenges, Duty As part of our broad-based strong showing is led by the big 25th anniversary in 2022. We sent Tairo International. International Shoppes – one of powerhouse Rouge Duty Free, We can expect nothing less COVID-19 and its variants options. We investigate this On the Supply Side, TMI’s experience than what we are Arrivals & Departures Hall at This crisis may still be Accessories
airport. Free Americas, for one, appears spirits coverage, TMI also takes 3 U.S. airlines: United, Delta and out our first issue – a one page And Happy Anniversary the very first duty free shops another Caribbean retailer, has for the rest of travel retail. See are causing new restrictions development and talk about what Michael Pasternak speaks at Confectionery
TMI speaks with Simon to have come through the worst an in-depth look at the future of in a New York airport – is bucked the tide, expanding you all soon – either virtually in South America, including a preparations these ports must take length with spirits distributors accustomed to, but then all of the new Terminal B, and first in full gear, but travel retail is Spirits
Black, Executive Director of of the crisis in relatively strong gin consumption in the Americas American, with British Airways fax – in April 1997 following the to my fellow trade publications celebrating its 70th anniversary rather than retreating during the at the Moodie Davitt Virtual resurgence in travel bans and to prepare for embarkations. serving the Americas market 2020 has been a new experience seven gates of the new Western doing all that i
coming in at #4.
when the world opens up again.
on their milestones: 25 years
for all of us.
IAADFS show in Orlando that
Concourse. The construction at
Europe’s leading travel retail and condition. DFA CEO Jerome Falic travel retail channel, prepared And Air Canada has more year. We are immensely grateful for TRBusiness and 20 years this year. This accomplishment shutdowns. And Essence Corp. TR Expo or on the Croisette in national lockdowns. Even in the Clearly, changes in travel will from Canada to Argentina -- TMI also had an opportunity LGA currently represents the Thank you to our readers who
airport concessions consultancy, credits the company’s spread of specially for us by spirits expert than 10 times the bookings it had for all the support we have for The Moodie Davitt Report. is even more momentous when talks about how opening new duty Cannes. U.S., the head of the Centers for impact travel retail post-COVID who along with confectionery to attend a virtual edition of the largest public-private partnership have accompanied us on thi
Harper Dennis Hobbs, about geographic locations and variety Joe Bates. last year. received from the industry over Congratulations to us all! Harding Retail launches Somrus you realize the company is a free doors on the Brazilian border The Moodie Davitt Virtual TR Expo Disease Control and Prevention and TMI invited some key experts powerhouse Otis McAllister, SeaTrade Global Cruise event in U.S. aviation history and the unexpected journey, and
returns for second year with many
his plans for expansion into the of operating models for the We hope you all enjoy all Joe Bates reports on the gin The industry – and the world the past quarter century, as we into the cruise channel with striking partnership between two families has helped them weather the enhancements. is issuing dire warnings that the to discourse on various topics: and logistics specialist WTDC, earlier this week—the original stunning new retail concepts are
North America market. HDH’s success. this and more, Inside Insider, business in the Americas travel —still face many challenges, dedicated ourselves to providing Stay well, onboard activations. Shown here: that has endured, and prospered, slowdown. Stay well, country could face a 4th wave of future trends, the watch sector, the confirm their commitment to
recent hire of former Heinemann TMI also focuses on more and look forward to seeing you retail market. however. The Russian invasion the information critical to doing Lois Pasternak, Somrus on Carnival Breeze. down through three generations. While some of us are getting Lois Pasternak, infections if it rushes to open too growing importance of wellness travel retail. MONARQ Group reaches customers show to take place in Miami a huge vote of conf
Americas CEO Nadine Heubel new store openings in the in Cannes at the TFWA World of Ukraine has resulted in many business in this part of the world. Editor/Publisher Congratulations to the ready to go to Cannes for one Editor/Publisher Plus Products-People-Places quickly. Against this backdrop, this travel and how to fix broken brand All this and more, Inside Insider, with digital innovations last April was an early victim of future. TMI also speaks
cancellation due to the shut down
stay safe!
shows how serious they are about Caribbean, including the debut Exhibition & Conference. Plus Products-People-Places uncertainties, in addition to There are several other Plus Products-People-Places Greenbaum and Halpern families of the first physical industry The Insider View issue of Travel Markets Insider Despite the crisis, some Lois Pasternak, Plus Products-People-Places in global travel from COVID-19. with Nick Jackson, who heads Paulo, Brazil
ambassador programs.
ramping up their operations in the of the first Creed boutique in the Lois Pasternak The Insider View the human tragedy, and could incredibly impressive industry The Insider View and best wishes for the next 70! gatherings, the cruise sector has Editor/Publisher The Insider View We are pleased to present up Grand Cayman’s Island All this and more, Inside Insider,
region. islands, and analyzes the fledging Editor/Publisher 1 October 2021 1 April 2021 The Virtual Summit of the Americas Issue highlights from that event’s Companies. One of the leading Lois Pasternak, Editor/Publisher Plus Products-People-Places
1 October 2022 1 April 2022 Summit of the Americas The Insider View
Special Issue Special Issue
Special Issue Special Issue TFWA SUMMIT Special Issue
LATIN
TFWA
April 2020 AMERICA World Exhibition/ AMERICAS World Exhibition/
OF THE
August FDFA March FDFA
2019 October/November 2019 October/November
2019 2018
Global health pandemic halts travel worldwide Travel Retail expands its vision
INSIDE INSIDER Latin America recovery continues to stall but some signs Travel Retail turns to Luxury to combat INSIDE INSIDER INSIDE INSIDER Political pressures temper business
COVID-19 NEWS of improvement ahead regional and global challenges NEWS TMI speaks with some of the leading prospects in the Americas INSIDE INSIDER
News
travel retailers and influencers in the
Travel bans, FAA rules, OAG, NPD Travel Retail tracks LCC airlines Americas to discover what they see UNWTO; US NTTO, IATA
Numbers
ForwardKeys, ACI, in Americas The roller coaster cycle
Government relief act, One clear trend emerged this ahead for the industry in 2019. of prospects for travel related
Impact in Asia Welcome to the second digital year as we gathered the news for CANADA businesses in the Americas is
Travel Markets Insider magazine. our Cannes magazine – companies Record arrivals, FDFA; Niagara Duty facing a bumpy ride, as political
In our first issue, published last in nearly every product category Free; Peace Bridge DF; ARI-NA; and economic tensions in the
summer, TMI focused primarily are enhancing the image – and Strong & Free region’s biggest economies are in
on news and developments taking quality – of their merchandise to turmoil. DFWC releases major Economic
place throughout Latin America. appeal to the traveling consumer. Brazil’s presidential election industry in the Americas
Impact Study on the DF & TR
We have now expanded coverage Beset with the fallout from scheduled for Oct. 7 turned dire CiR: impact of Sino-U.S.
CEO, Paradies Lagardère
NORTH AMERICA to include the Caribbean, which is trade wars, impending Brexit, Gregg Paradies, President & last month when far-right candidate Trade War
Jair Bolsonaro was struck down by
Baja turns 30 generally reporting strong tourism currency failures and political a near-fatal stabbing (the leading Ethos Farm America
Changes in airport coffee retail growth and exciting opportunities and economic unrest, many top candidate, former president Lula Furla’s year in retail
for travel retail operators.
Jewelry for younger travelers
CANADA The outlook for South companies in travel retail are de Silva, is in jail and banned from
finding that creating a very special
running). Voters are polarized
CARIBBEAN/CRUISE America, unfortunately, is a product and offering it through a Queenston Lewiston Duty Free between Bolsonaro and the leftist
stalling recovery although hints
MSC in Miami, Heinemann, SeaWalk of improvement have been taking very special experience, can tempt renovations pave way for more spirits Sao Paulo Mayor Fernando
Sign of the times: Like airports throughout the U.S. and worldwide, a very quiet Miami International Airport reflects the place over the last few weeks. A consumers to make that purchase. CRUISE & CARIBBEAN Haddad, but as many as 20% of
drastic drop in domestic and international passenger travel related to COVID-19 and has temporarily closed certain report issued by the International DFNI Conference, MSC, Caymans Traditional product categories are also showing great creativity as seen by the surreal launch of The Macallan Concept Rene Riedi, Division CEO Central in protest, even though voting is This stunning shopping arcade onboard the Carnival Horizon is just one of the
voters may refuse to cast ballots
Bvlgari, for example, is
concourses. Full coverage of the impact of the coronavirus begins on page 6. Monetary Fund in late July rejuvenating its image with a new Bvlgari is enhancing its luxury image at airports and downtown travel retail airport renovation: Island Jewellers, No. 1 at JFK Terminal 1 with International Shoppes. See page 88. & South America, Dufry mandatory in Brazil. innovative travel retail venues created by Starboard Cruise Services and its partners
luxury thrust from its jewelry to
Churchill’s Cigars, Tortuga Rum,
to enhance the booming cruise shopping experience. In an exclusive interview
This is an issue of Travel Coronavirus.” Just three months do not receive government aid. forecasts that economic activity in its perfumes, and travel retail has environments, as shown in this major Pasticceria Sweet Shop concept for its Omnia Jacques Scott DF; Grand DF In Argentina, where the peso
The one trend that has stood
Markets Insider magazine that into 2020, air travel has fallen Although the situation Latin America and the Caribbean become a very important channel perfumes at UltraFemme in Mexico this summer. See full story on page 58. upgrades; Bahamas relief out strongest as we put this semi- you want to be successful in the end important younger demographic. has lost more than half of its value Starboard CEO Beth Neumann tells why she expects her company to continue C
leading the way. Story begins on page 34.
Completely new to the
remains sluggish, but it does see
against the dollar so far this year,
you need to go in that direction. The
I never envisioned we would be to such a degree that the Ottawa is changing daily, key improvement for 2020. IMF’s along the way. Montblanc, whose annual magazine together is that demand is there,” he notes. channel – with the potential to intervention from the International One on One with FDFA’s
writing. The spread of this horrific government this week announced organizations are trying to assess Four MSC cruise ships in PortMiami country by country assessment, luxury portfolio crosses three American whiskey. ever before. LATAM many in the industry are looking Suppliers, too, are expanding eventually generate huge sales – Monetary Fund (IMF) has provided a standstill until after the elections, research agency has examined Executive Director
that it is waiving lease rents for all what lies ahead and how the
product categories, sees travel retail
several sides of the issue and
and between Brazil’s political
And then we have Edrington,
some temporary relief, as the
Brazilian border, Ezeiza, Monalisa
“The market may be down
along with industry commentary,
virus across the globe has the Canadian airports that pay it travel-related industries will LATAM begins on page 6. Bacardi Global Travel Retail created the largest brand activation for Patrón since the brand joined the Bacardi portfolio as a key component of its global which has just ceased distribution but there is still a place for luxury beyond the traditional boundaries their horizons. Panama-based Duty certain hemp and CBD products government of Mau
of duty free and travel retail as they
are now legal throughout the U.S.
Free Dynamics is aiming to make
been particularly hard on the rent from March to December. cope. Whatever the future holds, Colon 2000 On the positive side for travel at Cancun International Airport. Full story on page 38. presence. Beauty brand Shiseido of some very lucrative contracts with the right products and the prepare for the future. a big impact at the Summit of the and will be highlighted at the struggles with austerity. problems, the duty free business readers. Colon 200
DFA & Motta in Panama
entire travel-related industry. The entire world is going we must work together as much IMF Report retail, the first five border stores is outperforming the market in its in order to focus on growing its beautiful quality and service that Both operators and suppliers are Americas by showcasing several Summit by none other than Nick Roberto Graziani, Executive Vice In the U.S., President Donald on the borders and in Paraguay are The cruise industry co
COVID-19 has ground through serious turmoil with as possible and reimagine what in Brazil have begun to open; 2018, and is strongly enhancing its prepared by NPD Travel Retail activations at the Point of Sale from category by focusing on its luxury own wholly-owned super-premium goes with it,” Bvlgari’s Charles developing new parameters. While interesting new product categories Tamma, one of the industry’s Chairman, 3Sixty Duty Free & More Trump is e
international and domestic an unprecedented health crisis. the new reality will look like SUPPLY SIDE air traffic in the region is strong reputation as the luxury destination (formerly Counter Intelligence top beauty brands. skincare and makeup concepts, and brands, led by The Macallan. Bonnel tells TMI, a theme echoed some retailers are moving into new and brands – ranging from high- most experienced and respected with China, imposing 10% tariffs wi
travel to a halt, decimated air Nearly every island nation in the once global air travel is able to Beauty (although duty free airport sales in the Caribbean. TMI’s special Retail) for Travel Markets We believe that our readers Givenchy has embraced its unique Edrington is even opening beautiful by other suppliers throughout all channels within the industry, such as profile toys, to shoes and outdoor pioneers. on some $200 billion worth of early ne
Forbidden Givenchy
traffic, closed borders, wiped out Caribbean, desperate to control resume. CBD comes to TR are not yet keeping pace), and coverage includes an exclusive Insider, which tracks behavioral will find the information in “Born Couture” heritage as the boutiques for The Macallan in of our interviews. Heinemann’s and Dufry’s successful equipment, and it will offer the All of these innovations imports on top of tariffs imposed lining, Argentina’s currency cri
her company to continue leading
Spirits
earlier on $50 billion worth of
attracting large numbers of tourists
economies and self-quarantined the spread of the disease, has To that end, TMI has tried Confectionery new investments continue such as interview with Nicholas Steele, purchase decisions among this issue as timely, relevant guiding principal for its flourishing select airports as an important step Along with the trend foray into cruise shops, or Paradies brands almost in a “franchise” could inject excitement and new Chinese products. The tariff is
millions of people worldwide— stopped all tourism and incoming to present a timely and accurate Argentina’s ShopGallery opening Grenada’s Minister of Health, Argentinians, Brazilians, Mexicans and critical to your business as beauty story. in its luxury evolution. to greater luxury, suppliers Lagardére’s expansion into the format, providing services beyond life into the traditional product due to increase to 25% by year’s What else is ahead? In a first
not to mention the unimaginable arrivals, imposed curfews and picture of what is taking place the first Gap store in the country Social Security & International and Americans, which are always, and look forward to your Spirits brands, tapping into New brands are also entering and operators are fighting the airport food & beverage/restaurant just supplying product. mix in travel retail, as well as end, and China vows retaliation of its kind report fo
suffering and loss of life. closed borders. Cargo flights — today, as well as what had taken at Aeroparque this month, and Business, who discusses the benchmarked against a global duty feedback. the trend for super-premium the field. Three generations of challenging environment with a Glenfiddich Grand Cru sector, others are developing in Along the same lines, several make for a very interesting Nadine Heubel, VP/CEO and has already responded with
Up until the insidious spread
the lifeblood of the world right
place up until the outbreak of
I would also like to extend
of this COVID-19 nightmare, now, do continue. Yet before the global health threat, laying fast-growing regional retailer Top opportunities that exist for further free average. a special thank you to all the beverages, have been especially France’s Giraud family (which deep dive into consumer research, completely new areas. companies are introducing fashion Summit of the Americas. With The Americas, Heinemann an announcement of tariffs on $60 released
billion worth of U.S. goods.
analyzing category insights and
travel numbers still reaching
duty free and travel retail industry
development, including for travel
From the Supply Side,
retail are going after Millennial
includes Philippe who heads up
Roberto Graziani, Executive
brands that have never before been
Brands International buying out the
active in enhancing their brand
it had been business as usual, coronavirus, the Caribbean had the groundwork for what will be former owners of Neutral. See full retail. We also feature an interview electronics and travel accessories companies who have supported this image. William Grant & Sons’ new Miami-based company Actium) are data-mining shopping behavior Vice Chairman of 3Sixty Duty in the channel. These range from record levels throughout the In a direct impact on travel, th
albeit with regional and local been forecasting record recovery afterwards. coverage inside. with Little Switzerland, one of the continue to grow, as we learn issue and shared their news with us! Glenfiddich Grand Cru is the most using their heritage as coopers and as they strive to know their Free & More (formerly DFASS), classic names like Cole Haan, world, the market is certainly Mexico’s new administration under highlights of which are featured in
challenges. Nevertheless, the and tourism. We would like to give a The Caribbean, on the other most important luxury retailers in from exclusive interviews with Looking forward to seeing you all luxurious variant the company has cellar masters in Cognac to create a customers, get more shoppers into in speaking with TMI about the Nautica and Adidas from new to the there for the taking. Andres Manuel Lopez Obrador, this issue of Travel Markets Insider.
travel retail business throughout Cruise lines may be one of very heart-felt thank you to Unode50 jewelry set to open in U.S. hand, reports robust growth in the the Caribbean, which is expanding Go Travel’s David Lomas and Les soon in Cannes. produced and will be supported super-premium new luxury French their stores and increase the size company’s massive investment channel company Brand Strategy, to set to take office in December, is What impact w
most of the world was strong, in the most seriously hit channels, all of our media partners who airports first half of 2019, spurred by a 24% its footprint in the region with Hansen, and with LAS Worldwide’s instore by a ground-breaking Malt Whisky (see page 72). of the basket. into omni-channel for its inflight a very clever travel retail exclusive All this and more, as the threatening to stop construction of escalating trade war between the next
some cases quite robust. as some ships became epicenters continued to invest with us in increase from the U.S. market and several new branded boutiques for Juan Carlos Alexander. Insider. Read all about it, Inside sensorial engagement, says the Retailers in all facets of TMI discusses all these trends business, says 3Sixty will eventually scarf from Couture by Raja, whose industry gathers in Orlando, Inside the $13 billion new Mexico City U.S. and Chi
this issue.
Airport.
retail? Through our continuing
of disease and most have stopped
Our Canadian report on
And keeping travel retail
page 16 is a perfect case in point: sailing for the foreseeable We wish everyone of our Plus Products-People-Places record-breaking cruise passenger Breitling and TAG Heuer, among shopping fresh and exciting, company. Brown-Forman has travel retail are supporting the as the industry again gathers expand omni-channel to their design is so original it is patented. Insider. Monica Ariaudo, Owner, Business in Brazil is nearly at series of studies with
ground stores as well, in order to
There are also some very intriguing
Estudio Ariaudo
others.
traffic. Grenada, “the Spice
Canadian tourism again turned future. Servicing the huge debt readers good health. Stay safe. The Insider View Islands,” enjoyed double-digit We are very proud to we feature some of the creative Lois Pasternak, Alfred Giraud luxury stay in contact with their customers. eco-friendly travel related products Lois Pasternak Plus Products-People-Places
introduced a duty free exclusive
trend towards greater luxury by
in Cannes and next month in
in its best year on record in 2019 carried by many lines may be an growth and landmark visitation in include the latest special report animations and retail-tainment Editor/Publisher Woodford Reserve in Baccarat upgrading stores and installing Toronto, Inside Insider. French Malt Whisky “We are in retail now and if that appeal to the increasingly Editor/Publisher The Insider View
1 April 2020
in what I am calling “Before insurmountable challenge if they Lois Pasternak, Editor/Publisher 1 August 2019 LATAM Special Issue crystal that retails for $1,500, a personalized spaces and engaging Lois Pasternak, Editor/Publisher Plus Products-People-Places
pop-ups to a greater degree than
formerly unheard of price for an
The Insider View
Special Issue Special Issue 1997-2017 Special 1997-2017 Special Issue
SUMMIT IAADFS June 2017 TFWA
OF THE Duty Free Show ASUTIL
AMERICAS of the Americas CONFERENCE World Exhibition/
FDFA
March March/April Issue October/November
2018 2017 2017
Travel Retail digitalizes to compete in the INSIDE INSIDER Uncertainty clouds year ahead in A nostalgic ASUTIL looks back and ahead as it How much will natural disasters impact
wider world News North America Travel Retail Americas INSIDE INSIDER concludes two decades of stand-alone conferences INSIDE INSIDER
DFA, DFASS, Fraport USA, TMI celebrates 20 years! Americas travel retail? News
Hudson Group, DFW, MIA, SFO,
Digitalizing travel retail ATL, NYNJPA, DEN, more Travel Markets Insider is North America
It has been a very
International Shoppes at JFK T1
-- combining the best of the celebrating our 20th anniversary and traveler statistics specially somber few weeks in the Concessions International,
e-commerce world with the in business in 2017, a year we compiled by CiR for this issue of Americas, especially in Morgan Ventures
travel retail world-- is a huge see clouded by uncertainty in the TMI (see page 7). the Caribbean and North
CiR, which officially became
trend happening right now— as region. part of the industry-leading NPD America. As we write
evidenced by the choice of Kian More than a dozen key Group on January 1 of this year, these words a week prior
Gould, founder and CEO of industry figures shared their view provides market intelligence, to Cannes, islands in the
AOE, as a guest speaker at this of the future as part of a special meaningful insight, clear direction Caribbean and parts of the
year’s inaugural Summit of the One on One with ARINA GM retrospective in this issue. While and engaging shopper marketing United States are in the
Americas, and Adam Cheyer, the Jackie McDonagh they all see a bright future for activations. We are delighted to path of the third monster-
be working with CiR and look
co-founder of Siri, and Shivvy the industry ahead, they agreed forward to bringing our readers sized hurricane in a month,
Jervis, a Futurist and expert on Canada that they cannot predict how more information that can help while Mexico City has just International Shoppes
been struck by one of its
Best tourism year ever
digital economy, as the keynote CiR tracks airlift from India the current year will pan out, Special Report-A perspective their business. largest and most destructive Canada
presenters at the TFWA Asia IGL’s marketing coups especially in the U.S. market. from the voices of the industry This issue of TMI also takes earthquakes in decades. Record Tourism
Pacific Conference in May. Cruise & Caribbean are extremely promising. At this an in depth look at Duty Free In addition to the toll CiR Special Report
On the surface, numbers
Americas as it spearheads its
Gould, who has won
numerous industry awards, is SeaTrade year’s Seatrade Cruise Global News Numbers & Research development across Latin America. on human life and property, Caribbean
Now the second largest duty free
which is immense and
one of the primary people behind Diageo is aiming to engage and educate passengers traveling through Miami Hurricane recovery updates event, top industry executives Grenada has embarked on an ambitious development program for its airport, hotels, operator in Brazil, the company heart-breaking, these natural Disaster strikes and industry
the digital transformation taking International Airport through the stunning Johnnie Walker boutique it opened with Artco Group showcase enthusiastically predicted that a free zone and revitalization of The Carenage harbor in downtown St. George’s, and North America has also more than doubled its rushes to send aid
place at airports around the Duty Free Americas late last year. Designed by Miami-based Bloommiami, the Rouge, Grand DF, Top Brands more than 25 million people much more. Photo courtesy of Camper & Nicholsons Marinas. Canada operations in Colombia, and disasters will likely have a
world, and is ready to expand to 1,145sqf. luxury boutique showcases the latest products from the brand, offers gifting LATAM will cruise this year – and FDFA, Queenston-Lewiston DF opened new shops in Panama, long-lasting and devastating Flor de Caña’s stunning, disruptive volcanic activation at Miami International
impact on tourism and the
Airport was seen by millions of travelers this summer, in an event organized with
airports in the Americas. In this and personalization opportunities, and provides a full history of the Scotch and how CiR, HNA, Airports & Border with forward orders for new travel, we’ll do fine. If the world International tourists also SeaTrade Spectacular view of iconic landmarks Sugar Loaf and Christ Redeemer in Rio de Janeiro, Brazil, the site of the final Honduras and Salvador, among travel retail business. Tourism JCDecaux and coordinated with Duty Fr
issue, TMI speaks with Gould it is made. See full story on page 104 ship builds topping $50 billion shifts to closed borders that would have other destination options Caribbean stand-alone conference for South American Duty Free Association, ASUTIL. Photo courtesy of Rio Tourism Board. In another interesting is the major source of revenue
other countries.
about the reasons why this trend over the next ten years, this be a problem.” than to visit an unwelcoming U.S. Grenada, Jamaica development, Argentina welcomes for many of the islands in the path
Tourism to Canada just hit a
From an internal perspective,
is gaining momentum. introduce concepts to engage the slight gains, supported by a surging increasingly important travel both travel retail operators and 14-year high, for example. LATAM As the travel retail industry voted in favor of impeachment of speakers, ranging from top the advent of low-cost airlines of the storms, some of which are Canada, and the impact they are Last year in Cannes, TMI
retail market promises great
We also speak with
London Supply, Monalisa,
Guestlogix’ CEO Mike Abramsky consumer. economy. This is the backdrop opportunities for the future. suppler companies continue to Looking ahead, I am sure ShopGallery, Brazil privatization prepares to meet in Rio de Janeiro proceedings and thousands came economists from Brazil and and TMI analyzes how this can still assessing the damage from the having on travel retail. began an important discussion Turks and Caicos
on the impact of the grey market
earlier impacts.
for the last stand-alone Conference
On the upside, the travel
out to protest against him, reports
Montevideo, as well as specialists
impact travel retail in a country
about the new multi-channel From Miami and Dallas to against which the industry meets in The Caribbean, too, is consolidate, with independent that the always resilient travel of ASUTIL, the South American Bloomberg. A Supreme Court ruling from within the industry. which enjoys a lower percentage If any silver lining can be retail industry in South America is on spirit sales in the channel,
e-commerce platform the retail Grand Cayman and the Bahamas, Orlando this year. celebrating record tourism distributors looking for ways retail business will find ways Duty Free Association, host due the week of May 22 will decide Donagaray also reports of air travelers than many of its found, it is that public and private showing signs of recovery, even as and in this issue we continue LATAM
technology pioneer launched in operators have created some show TMI would like to take Torben Andersen bids the arrivals in 2016, with growth to partner and work together to adapt to whatever the future country Brazil is once again in whether to suspend the corruption that ASUTIL and IAADFS are neighbors. John Gallagher reports. officials pledge to rebuild and to Brazil continues to be rocked by the dialogue with arguments London Supply turns 75
turmoil.
With this conference, a
investigation against him.
working hard to finalize plans
February for airlines. The core stoppers this year, several of which this occasion to wish very Americas a fond farewell above the global average. with other companies to better delivers. Every prediction sees On May 17, just as Brazil As we go to press, Temer had for next year’s Summit of the nostalgic ASUTIL is going ensure that all new infrastructure scandal. Argentina, especially, is from both sides of the business.
of both platforms is all about the we highlight in these pages. special anniversary greetings to Latin America, after several compete. Many tell us that tighter world tourism only growing, and was set to celebrate the news refused to step down, but media Americas, researching venues, “Back to the Future,” using will be constructed to better on the verge of vastly increasing Brown-Forman senior executive Supplier Features
guest experience, they say. Caribbean islands are still a company that represents the years of dismal economic margins are the new reality. if we can keep travelers shopping that it might finally be climbing reports say he is on borrowed time agendas, and formats. current industry knowledge to withstand future storms. TMI air travel opportunities, which Jim Perry presents a compelling Unilever targets TR
The hurricane-struck
best of the duty free and travel
Many industry players are
along the way, we should thrive.
performance, appears to be
would further benefit our industry.
list of reasons on how the
“Keeping the customer
carries a full report in this issue.
“We have our next meeting in
Lancôme opens LA Lip Academy
at the center of everything we struggling to recover, but the cruise retail industry – Essence Corp. is recovering, and the improvement facing the year with extreme This issue of TMI touches out of the worst recession in its at best, and many of his reforms July but should have information reassess things it might have In other worrisome news, But overall tourism numbers grey market ultimately hurts Tea Forté’s tasting experience
history (see details on page 30),
which are needed for further
done differently in the past.
do” is also the mantra of Jackie sector is playing a major role celebrating 30 years in business. is reflected in better travel retail caution, worrying that the industry on all of these topics, including the country got slammed with a recovery may be in jeopardy. to report during the conference,” Today’s global industry is a far all numbers now confirm that have reached record highs, and the industry, while a major
McDonagh, the vivacious and in bringing back vitally needed Please check out our coverage of sales. is under siege and undergoing a detailed report on the booming Tito’s Handmade Vodka surges in bombshell allegation that President “This is a political issue, and it he says. cry from that of 21 years ago, inbound international travel to retailers and suppliers in both European-based trader candidly Special Report-
Business decisions depend
successful general manager of tourism. Read TMI’s extensive how this family-owned entity has But geopolitical issues change with issues from pricing to cruise market that offers exciting Americas and around the world Michel Temer was involved with is very difficult,” ASUTIL Secretary on accurate information now more when the Association held its first the United States, one of the North and South America are explains why the system exists Going Grey,
conference, coincidently, in the
General Jose Luis Donagaray
a cover-up and had condoned
Aer Rianta’s North America coverage from SeaTrade Global risen above the dollars and cents beyond our control can seriously margin restraints. new opportunities for travel retail. bribery payments made to a former told TMI. “Nobody knows what than ever, and Travel Markets same venue where we meet in largest destinations in the world, vigilantly working to attract a higher and why it will continue to be a
business, who shares her vision which took place earlier this aspect of commerce to become Essence Corp. turns 30. wipe out advantages, particularly Whether one is gleefully We also feature the island of congressional leader. will happen or how it will impact Insider is very proud to announce 2017. is decreasing as tourists shy away proportion of those travelers into valid option for many brands.
and philosophy with us in an month. a vitally engaged and giving Patricia Bona & the late Pancho in light of the unsettled celebrating what is called the Grenada and how it is upgrading Amid cries for Temer’s the duty free industry. We in the that we have partnered with As the curtain closes on the from stricter new visa and security their stores, as seen by Lancôme’s As always, TMI has brought
excellent in-depth interview. in the region: Tourism in Canada member of its many communities. Motta at an IAADFS Fun environment in the United States “Trump Effect” – a soaring stock its tourism offer while carefully Supplier Features resignation, global markets fear the industry can only work to do the respected research organization stand-alone ASUTIL Conferences, regulations. Travel to Canada, on innovative Lip Academy at LAX, together some of th
Business continues to be mixed
we look forward to the Summit of
Run/Walk. Essence Corp’s
important developments taking
right now.
the other hand, continues to boom.
protecting its distinctive allure.
Counter Intelligence Retail
While technology has
Flor de Caña’s stunning volcano
latest crisis can plunge the country
market and removal of restrictive
best we can for our business.”
Kering, Costa del Mar, Cabeau
become “the great disruptor” is setting records, South America Read all about it, Inside Patricia & Jean-Jacques Bona. Carnival Corp. CEO Arnold regulations; or bemoaning the The government is seeking more More back into recession, or at best, put Meanwhile, ASUTIL is to provide our readers with a the Americas and the future of duty In our ongoing partnership with activation in MIA, and the opening place throughout the Americas.
most travel retail merchandise is still recovering, and the U.S. is Insider. have worked closely with the Donald probably summed up the “Trump Slump” blamed for a business partnerships, including the recovery on hold. expecting a healthy turnout for quarterly overview of key travel free. But first, let’s share one last Counter Intelligence Retail, TMI of International Shoppes’ gorgeous We welcome your input and Plus Products-People-Places
is still bought at the POS, and feeling the effects of a stronger IAADFS for three decades. industry’s biggest fear: “The only precipitous fall in tourism arrivals retail. Temer’s future was cast the conference, with attendance metrics in the Americas. drink together in Brazil. presents an in-depth look at the new Beauty Boutique in New York’s feedback. The Insider View
We debut the first of these
airport retailers continue to dollar and more restrictive travel Lois Pasternak, Plus Products – People-Places thing that stops our industry is in reaction to travel bans, the fact Plus Products-People-Places in further doubt when a major up as much as 10% over last year, reports with an information- Lois Pasternak influx of travelers from China to JFK airport. Lois Pasternak,
Editor/Publisher
says Donagaray. The Association
coalition party abandoned his
The Insider View
work hard to upgrade stores and bans, but nevertheless showing Editor/Publisher The Insider View people’s inability to travel. As remains that incoming travelers Lois Pasternak, government, the bar association has gathered a sterling panel packed overview of airport Editor/Publisher
long as the world stays open to are nervous. Editor/Publisher
Special Issue Special Issue Special Issue Special Issue Special Issue
TFWA
IAADFS TFWA IAADFS
Duty Free Show World Exhibition/ World Exhibition/ Duty Free Show IAADFS
of the Americas FDFA FDFA of the Americas Duty Free Show
April October/November October/November March of the Americas
2016 2016 2015 2015 March/April
2012
Will Cuba’s opportunities help Travel Retail INSIDE INSIDER Hints of recovery in Travel Retail Americas INSIDE INSIDER Can travel retail survive today’s aggressive INSIDE INSIDER Record passenger traffic challenged by INSIDE INSIDER Americas Travel Retail emerges from crisis; INSIDE INSIDER
combat a tough year? News North America After nearly two years News North America market competition? News North America margin and currency issues and growing NEWS North America resumes growth throughout the region News North America
Dufry, JFK, ATL, Washington’s of daunting challenges in the IAADFS: Changes Ahead U.S. Airports: MSP, LGA, DFASS at Denver celebrates 20 years Canada’s DF operators await final
Americas travel retail channel,
International Shoppes at JFK T8
Unfavorable currency Reagan and Dulles, LAX & Westfield, the industry is seeing hints of HMSHost, AIRMALL, The travel retail industry is DFW, MIA, DFA at IAD competition from internet sales Duty Free City opens luxury store The mood of the Travel Strategic Review
International Shoppes at Boston
exchange. Corruption in Brazil. Denver Duty Free, Orlando, recovery on the horizon. Sea-Tac, more facing some daunting challenges Canada: FDFA turns 30 - on the border Retail and Duty Free industries in DFA breaks $100 million mark at
MIA, Paradies Lagardère,
A new government in Argentina. SFO, Hawaii “September is the first month this year, from currency issues, A look back and ahead with FDFA’s Record tourism and passenger Niagara operators partner in joint the Americas is decidedly upbeat MIA
Duty Free Partners expands
Falling commodity prices. when the business in Brazil is Canada mergers and consolidation, to Peter Brain and Laurie Karson arrivals should have travel retail marketing campaign as we prepare to gather for the Master ConcessionAir – raises the
Record Tourism
Mosquito-borne diseases. Internet Canada: currency, back to growth,” said one major Peace Bridge Duty Free increasing competition coming cash registers ringing in record region’s most important event of bar at the airport
competition. It has been a tough marketing, FDFA, fragrance executive, adding “TRA China accords, from outside the channel. sales across the region. Cruise: the year, the IAADFS Duty Free
Peace Arch, IGL
year in the travel retail business in has been through a storm in the Toronto, Ottawa, Calgary South America is suffering Instead, eroding margins, FCCA’s Michele Paige talks about Show of the Americas. Caribbean
Demonstrating its historical
the Americas, with not much relief past few years, but we are seeing from dire political and economic currency problems with Europe, 20 years of cruise development resiliency, travel retail suppliers Le Rouge expands
ADP cutting into air travel to region
in sight. In South America, Brazil’s Caribbean/Cruise signs that the storm is over.” Caribbean woes, which are impacting travel Expansions and renovations at intensifying competition between and distributors across all product Updates on Puerto Rico, Cuba
Seatrade 2016
retail especially hard in Brazil
Puerto Rico,
Importations Guay Ltee,
The slowdown in Brazil
political crisis has spilled over into TMI’s Caribbean Duty Free Review obviously affected the duty free Cuba by sea and by air and on the Uruguayan border. Blue Water Duty Free channels, industry consolidation, categories are telling Travel Latin America
internet sales and U.S. discounts
Markets Insider that they have just
Grenada B2B - Rouge Carib
the economy, and hit particularly Le Rouge-Curaçao business on its borders, and while “It is a tough market, and top the list of market conditions come off their “best year ever,” Central America prepares for
Hand in Hand for Haiti turns 5
hard on travel retail sales on the it still has a long way to go for full LATAM unfortunately we think this may Caribbean plaguing the travel retail sector and reporting significant sales tourism influx
border with Brazil, which are said recovery, “it seems that the decline be the new normal for travel retail Puerto Rico fiscal crisis, in the Americas this year. South increases, with spirits companies At the border: Neutral, Mannah
to have fallen between 20 – 40%. in South America. So we will Cuba opens America also faces a down particularly bullish. Dufry consolidates
Brazil airport privatizations
The strength of the U.S. Cuba president of maritime operations Nelson Torres, left, and Carnival Corp. has bottomed out” one regional have to get used to doing business economic cycle and sporadic Although the huge economic
dollar has driven up the cost CEO Arnold Donald sign a deal allowing Cuba cruises from the U.S. spirits distributor tells us. International Shoppes has opened an expanded, upgraded and redesigned duty under these conditions,” one South America issues like taxes added to credit One on One with Patrick Gates: downturn of 2009 seems to
Exchange rate stability is a
Economic analysis
Standing from left, Carnival Corp. senior vp of global port development Giora Israel,
of American-made brands in Fathom president Tara Russell and Carnival Corp. general counsel Arnaldo Perez. big factor in halting the decline. free store at JFK Terminal 8 highlighted by a 15-foot wide LED display at the major supplier told TMI. card purchases, not to mention direction be finally past, the industry is
Starboard sets sail in fresh new
overseas markets, and made See story on p. 56. Photo Credit: Carnival Corp. Paraguayan border shop operator storefront and a series of high-end beauty boutiques. See story on p. 16 One of the most pervasive Innovative animations like this race car video game experience for RL broken bridges. tempering its optimism with a The Shoppes at Ocean Drive, a 10,000sf specialty retail complex in Miami
travel to the United States and Shopping China reports its sales in Asuncion, and Shopping China It has been a conviction in complaints voiced by retailers Fragrances Polo Red at Ezeiza International Airport in September use On one hand, tourism Caribbean: healthy sense of caution, as it International Airport’s new North Terminal, features 8 groundbreaking duty-paid
neighboring Caribbean more Obama’s historic three-day visit been approved to sail its “social stopped falling in the second has expanded into Ciudad del Este. the duty free industry that times of from Canada to the Caribbean retailtainment and digital tools to recruit customers and build brands. Page 61 numbers and airport traffic are JCDecaux is helping brands engage consumers when they travel with Baha Mar brings new era of knows too well how susceptible
expensive for European and Asian to Cuba on March 20-22, the first impact” Fathom cruise brand Argentina’s Rouge comes to the In North America, passenger economic challenge often result in René Riedi - The TMI Interview is the threat posed by internet soaring to record heights, and new award-winning activations like this traffic-stopping exhibit for Jameson luxury to The Bahamas the business is to outside and Ocean Drive magazine, the breath-taking store
tourists. Nevertheless, tourist sitting U.S. president to visit Cuba between the U.S. and Cuba. Its Caribbean quarter of this year when the sales, which are inundating the internet is having on their business: seen within the pages of this issue and remodeled airports, as well Irish Whiskey at MIA. Page 32, Inside Insider. Will 2015 be the year Americans influences. MIA’s North Terminal just won ARN’s 2012 Best Overall Concessions Program
arrivals to the U.S. and the islands in nearly 90 years, seems to be inaugural cruise is scheduled for Brazilian Real stabilized. “We traffic remains at record levels increased grey market or parallel Dufry opens Lima Duty Free marketplace with aggressively “Customers come in to try of TMI, U.S. airports continue as new cruise ships, made more get to visit Cuba? Parts of the Caribbean, for Award for a single terminal. Much of the instore fixtures were
were strong. The Caribbean accelerating the thaw between the May 1! Latin America saw better progress in sales in all throughout the U.S. and Canada, sales—especially in the spirits Shopping China, Monalisa expand priced goods and to-your-door the new fragrances, but then tell to expand and modernize their room for bigger and better stores. – and they are spending money. convenience of shopping duty Penha, Le Rouge example, are still reeling from the
category. TMI is very proud to
and airport development continues
categories,” said company officials.
welcomed a record 28.7 million two countries. And all this happened just London Supply, Paraguay, The political turmoil in South to be strong, as seen with the major present an in-depth examination of Supplier Features service. us they will buy it online,” was facilities and commercial offer to The Estée Lauder 2015 Breast But nearly all of the suppliers and Just not necessarily on traditional free/ travel retail and do whatever impact of the UK a
Tairo International turns 15
Argentina, Brazil, Monalisa,
visits this past year — turning in On March 15, the U.S. days after the 2016 Seatrade Mexico City America may also be subsiding renovation and expansion made the actual prevalence—and impact Estee Lauder BCA 2016 Peter Brain, president the refrain voiced over and over. satisfy the retail demand. Cancer Awareness campaign operators interviewed for TMI’s travel retail items. it can to remove regulatory and Latin America duty, which is due to increase
a 7% rate of growth, much higher Treasury Department announced Cruise Global event took place in now that the more conservative, by International Shoppes at New -- of grey market distribution in Giorgio Armani TRA of Canada’s Frontier Duty The online price is attractive and Ever resilient, the travel is a call to action annual Orlando overview of the But the industry is fighting logistical obstacles, as well as Focus on Paraguay: Mannah, April. TMI
than the 4-5% growth officials had a further easing of restrictions Fort Lauderdale, Florida. Once Supplier Features L’Oréal’s digital transformation Free Association, addressed travelers do not wish to carry retail industry is adapting to travel retail industry report one back in all channels – in the bring the industry together at the Monalisa, Bridges and Borders. page 35, along with reports on featured on our cover, The Shoppes TMI would like to ma
originally predicted. brought on by the 54-year-old again, Cuba was a main topic of 3 Generations of Essence Corp. pro-business Michel Temer is York’s JF Kennedy International the industry. We sincerely thank the “aggressive price-based any extra purchases these days, accommodate the changing Supplier Features of the most difficult business airport, onboard the cruise ship, in Duty Free Show of the Americas, London Supply, Panama, more how Central A
While retailers tell TMI that economic embargo against Cuba, discussion. officially president of Brazil, Airport. In this issue of Travel all the many suppliers, distributors the islands and on the borders. as we are today. for a huge influx of tourism, big Terminal; along with International important milestones in the
Giorgio Armani Cosmetics,
eloquently:
charging luggage fees, they say.
the added traffic has not translated making it easier for individual This issue of TMI reports Lancôme appeals to Millenials which also helps normalize Markets Insider, we cover all of and agents throughout the world competition in the U.S.” most especially as more airlines are marketplace, providing value and RL Polo Red, Parlux, Kering takes aim environments in several years. TMI had the opportunity to Suppliers and operators Supplier Features dev
at Americas, Safilo, worldclassbrands
entertainment at the point of sale
America’s reputation as
into more sales, shopping is still Americans to travel to the island, in detail about all of the above, economic conditions. And while these developments. who participated in this ground- “…As niche retailers with a The United States and the and using many new digital tools a super attractive shopping speak with top representatives across the region are introducing Lancôme turns 80; Rico, and how South America’s DFA’s utra-luxe boutiques in JFK SMT
TMI also takes a close look
a major activity among Caribbean and loosened restrictions on with commentary from some of Argentina is still struggling, its at the industry in Canada, which is breaking report. limited product breadth relative Canadian airports are brighter to communicate with consumers destination took an abrupt turn from all channels, including innovative, appealing initiatives Revlon’s LOVE IS ON airport and border stores are and MIA –which helped drive its it
fiscal policies are expected to
Even as the industry worries
and to Tairo International, for
visitors. Widespread hotel and business and banking transactions, the leading voices in the travel stimulate a recovery for next year. celebrating unprecedented tourism that internet sales are eroding to mass-market discounters and spots in the gloom, however. at all points of their travel at the beginning of the year with airport advertising expert Jean- to engage travelers in all venues, In the U.S. – often an duty free sales at MIA to more than its
gearing up for even more growth.
infrastructure expansions should even though Congress has yet to industry, along with reports internet retailers, we have to Anna.aero reports that the experience. the fall of the euro and surging Luc Decaux from JCDecaux, and convert them to shoppers. economic barometer – the S&P $100 million between March 2011
bode well for the future and act on removing the embargo. from key retailers and suppliers Travel retail operators have growth and a nice rebound in duty duty free sales, some companies ensure our duty free offering U.S.-Europe market is undergoing The travelers are there – air strength of the dollar. The merchandising guru Patrick Gates The travel retail/duty – February 2012, all take airport very special congratulations to
tourism and health officials are On March 19, the day before throughout the region. continued to invest in the market. free sales. are investing serious time and continues to provide trusted and its longest period of sustained traffic and visitation numbers consensus is that the weakening from Starboard Cruise Services, free industry is nothing if not Retail Index has set new highs retailing to new heights in North Bacardi, on the 150th anniversary
working hard to bring the Zika President Obama’s visit, Starwood The Americas travel retail In Latin America, Dufry’s new Cuba continues to open more effort studying how technology compelling value. Otherwise, capacity growth in over a are up throughout the Americas. euro will certainly impact the Michele Paige, the veteran head of resilient, and several of these during 22 trading sessions so America. And they are not alone of Bacardi Rum, which is
virus threat under control. Hotels announced it had signed business continues to find ways Lima Duty Free store, which opportunities to Americans, even can work for them. L’Oréal, for it will become more and more decade, with the trans-Atlantic The challenge will be to find new travel retail business in the the influential Florida Caribbean issues may well be transitional. far this year, and the Dow Jones as operators are renovating and commemorating
But it is the opening of a milestone agreement to operate to weather similar storms and follows on the heels of the Dufry as the U.S. embargo remains in one, is focusing on digital tools easy for consumers to transfer Americas in 2015, both in tourism Cruise Association and Philippe Travel Markets Insider examines Industrial Average is trading near building throughout the region. a year-long program of special
The economic crisis in Europe
Cuba that is generating the most three hotels in Havana, the first intends to come through this showcase stores in Rio de Janeiro place. TMI reports on the back to transform itself into a more Special Spirits Report- purchases away from duty free to route growing by 6%. Next year ways to appeal to these potential arrivals and spend. Dray, CEO of Duty Free City, the the Americas market in great highs last seen in 2008. is a continuing challenge, and dut
decanter of rare Bacardi rum to
promises further growth in U.S.-
But even as WWD quotes
airport animations.
shoppers while they are in the
efficient, effective and relevant
story behind Carnival Corp.’s
excitement in the industry as it American hotel company to enter cycle as well. At the Point of Sale: Going Grey: the Impact of other sellers,” he observes. Europe capacity with eight carriers channel. Sinatra Century The Caribbean welcomed new luxury “life-style” store on the depth in this special show issue. Shiseido opens first TR airport Federal Reserve chairman Ben free tobacco sales remain under honor its 150 years
and Sao Paulo, is a paean to good
brings unprecedented attention the Cuba market for more than half Read all about it, Inside Jose Cuervo’s Rolling Stones design, efficiency and retail- 20-years of preparation for sailing company. paralleling spirits in duty free During the Tairo International launching new U.S.-Europe Read all about it, Inside more than 26 million tourists San Diego/Tijuana border. We invite you to take a look and store worldwide with DFP S. Bernanke warning that the
to the region from American a century. Insider. activation at JFK T4 tainment. DFA has spread its to Havana, and also takes our We live in interesting times. Plus Products-People-Places beauty training that took place at services. The number of Chinese Insider. Brown-Forman celebrates in 2014 and some 22.1 million Industry association IAADFS get back to us with your input. recovery is “uneven and modest,” the industry feels “energized,” Plus Products
travelers. And the news out of On March 21, Carnival operations into 18 retail venues readers along on one of the first The Insider View the end of September, nearly every travelers to the U.S. and Canada Frank Sinatra’s 100th birthday people took a cruise last year, – while powerless to control Plus Products-People-Places travel retail operators in all venues comments IAADFS Executive Lois Pasternak, Editor/Publisher The Insider View
Cuba is developing very quickly. Corporation announced the history- Lois Pasternak, Plus Products-People-Places in Brazil, Monalisa has opened a commercial flights from the U.S. to Lois Pasternak, Caribbean retailer TMI spoke with also keeps growing, and these Lois Pasternak, Plus Products-People-Places most of them in Caribbean or currency valuations- says it can Lois Pasternak, The Insider View
U.S. President Barack making news that the company had Editor/Publisher The Insider View stunning luxury department store Cuba in 54 years. Editor/Publisher continue to promote the value and Editor/Publisher
brought up the impact that the visitors are here to shop. As will be Editor/Publisher The Insider View Americas waters. So many tourists
Special Issue
IAADFS Special Issue
Duty Free Show IAADFS
of the Americas Duty Free Show
April of the Americas
2013 March/April
2011
Global economic uncertainties ahead, INSIDE INSIDER
but travel retail invests in the future NEWS North America Will latest oil crisis halt 2010’s strong INSIDE INSIDER
Economic forces in the FDFA updates recovery in Americas travel retail business? NEWS North America
JFK T4 unveils new retail plans
Americas are murky these days. + Chicago O’Hare, MarketPlace FDFA launches new national marketing
Analysts warn that U.S. economic Development in Washington, The fallout from the campaign & website
growth should prove uneven given Stellar Partners go West explosive situation in Libya – New York JFK: T4 & Delta Airlines begin
the downside risks of Europe’s which forced the North African $1.2 billion expansion/enhancement
sovereign debt/banking crisis, Caribbean nation to cut its oil production in BAA USA fights back against critical
a Chinese slowdown, and U.S. Shoul’s in Antigua half and pushed world prices as union report
fiscal imbalances. Nevertheless, Penha expands high as $120 a barrel at the end South America:
the past few weeks are seeing John Bull, The Bahamas of February – is already clouding The Brazilians are back; and spending big
throughout the region.
ASUR at LMM
record stock market levels, Le Rouge in Curaçao the rosy predictions of recovery Caribbean:
slowing unemployment and the SMT in Puerto Rico that fueled a robust 2010 in travel Jamaica’s Tourism Minister discusses
strongest housing market in years. retail markets in the Americas. latest duty free break-through
But enforced U.S. government Just days after the turmoil Region’s Tourist Officials ready for Cuba’s
spending cuts– just coming online erupted, on March 3, aviation opening to U.S. tourism
this month -- could put the brakes trade group IATA reacted to the Yellow House expands flagship store
on the U.S. recovery. soaring oil prices and downgraded in Curaçao
Following several years its airline industry outlook for
of consistent GDP growth, the The Essence Corp. management team at 25 includes two generations of family: 2011 to $8.6bn from the $9.1bn
economies in Latin America Jean-Jacques and Patricia Bona, President and Vice President respectively, their it had forecast in December.
son Antoine Bona, Executive Sales Director - Travel Retail, their nephew Guillaume
struggled in 2012, impacted Bona, Executive Sales Director – Caribbean, and daughter Laetitia Bona Piedra, Rum Wars pit island producers Airlines responded immediately,
by the slowdown in Brazil Executive Director Administration & Finance. See full story on page 74. against industry giants hiking fares and rolling out
and Argentina, writes TMI fuel surcharges, particularly for Swarovski is rolling out its Crystal Forest concept, a revolutionary new
correspondent John Gallagher Even the fragile Caribbean producers pitted against some Latin America international travel. As TMI goes look shimmering with crystals and light, to select boutiques worldwide,
in this issue. Brazil is widely economies – so tied to the U.S. – industry giants. TMI is honored Guyana, London Supply, to press, JetBlue—a major carrier like this one in Santa Fe Mall, Mexico. Read the full story beginning on
expected to recover and speed are showing the strongest tourism to welcome esteemed business Attenza Duty Free, to the Caribbean – announced it page 56.
up its growth, but recovery numbers in five years, except for writer Doreen Hemlock, who Brazil Border stores, was implementing a $45 one-way
in Argentina – along with the islands aligned with the U.K., along with Caribbean expert Wisa, Neutral, DFAU, surcharge in select Caribbean Uruguay’s stores in Montevideo – as this issue highlights – have
Venezuela—is worrisome, with which are impacted by Britain’s Larry Luxner, prepared an Siñeriz, Shopping China markets, which could have dire airport by more than 50%. literally come off the walls to BIJOUX TERNER steps out from the wall
an as yet unknown impact on lagging economy and the air indepth overview and analysis of repercussions on the region’s Results from border operators interact with customers in the
its own population and business passenger duty. the complicated situation. Supplier Features fledging recovery. London Supply and Mannah store and beyond, with Diageo Supplier Features:
Prior to the latest crisis,
partners. Travel retail reacted in continues to invest in its stores congratulations to Jean-Jacques Fragrance, Accessories, Watches, tourism numbers were were just as impressive, up by and Bijoux Terner being just One-on-One with
The travel retail industry
We must also send our
Tobacco, Confectionery, more
high double-digits as well. The
Swarovski’s Gonzalo Almada
two of the examples we present
its own way to the market and its business. A number of and Patricia Bona and their Plus the most extensive spirits The Voice of the Americas for more than 25 years rebounding in most of the region, which was only marginally within these pages. and Nelson Rivera,
inconsistencies. Most Uruguayan those new projects throughout the family, on the 25th anniversary news in the Americas Caribbean: 21 destinations affected by the international crisis And as for now, people are BPI’s Gerard Pichon-Varin, and
and Paraguyan border stores region are highlighted in this issue of their company, Essence Corp. recorded increases over 2009 in 2009, seems unstoppable. still traveling, the single most Parfums Narciso Rodriguez’
reported flat to slower growth in of Travel Markets Insider. The The Bona’s prove in the strongest figures, says the Caribbean Indeed, the prevailing critical driver in the duty free Christophe Fabrega, plus more
2012, but are already showing majority of suppliers we spoke way possible that values and Tourism Organization, with feeling in the Americas has been and travel retail business. This Diageo aims to transform the TR
environment in the Americas
improvements this year. Air with also report strong business ethics can go hand in hand with overall stayover figures matching one of optimism, albeit tinged issue of Travel Markets Insider
traffic was robust in most of Latin over the past year – although there business success. the peak levels of 2008. with caution. Suppliers in every examines what happened in Patrón’s XO Cafe
America, and several new airports is a distinct difference of opinion All of these stories, and And South America – driven category report that they enjoyed 2010 in Canada, the U.S., the grew by triple-digits
have opened to accommodate the between the brands that are raising many more, are covered in these by, but not limited to, a booming strong sales over the past year, and Caribbean and Latin America, in travel retail
strong growth. Air traffic did not prices for their duty free customers pages. Once again, we thank you Brazil – turned in an excellent although not all are up to the 2008 and what plans the industry has in 2010, and
grow as fast in the more mature and the operators who are decrying all for your loyal support and ELC unveils Essenze by year. Passenger traffic –both level, quite a few categories have for the months ahead, even as helped drive
North American market, but it was the shrinking gap between their readership over the years and Ermenegildo Zegna. domestic and international – grew surpassed those records. it prepares to adapt to whatever company
the most profitable. Significant offer and that on the local market. for allowing us to share your over 20% in Brazilian airports, The industry has worked hard changes may result from the sales to new
airport investment is underway One key story from the region business and your news. Products, People & Places helping Dufry do Brasil post a to achieve this rebound, however, latest crisis. heights
The Insider View
throughout the region – all of it involves the so-called Rum Wars 44% increase in sales for the developing creative, innovative All this and more, Inside
promising new opportunities for taking place in the Caribbean Lois Pasternak, first nine months of 2010. Sales animations and promotions to Insider. Plus Products-People-Places
travel retail. and the U.S., with Caribbean Editor/Publisher at InterBaires in Argentina were engage the consumer, and turn Lois Pasternak The Insider View
up by 45% and at Duty Free him into a buyer. Many companies
49 April 2023 Summit of the Americas