News from ACI Asia Pacific: 90% of airports report Q1 growth

News from ACI Asia Pacific: 90% of airports report Q1 growth

In the latest bulletin from our partners at ACI Asia Pacific, it is reported that growth across Asia Pacific and the Middle East was experienced at almost all airports.

The Middle East experienced stronger growth than Asia Pacific, with 8.6% vs 5.5% respectively compared to the same period in 2013. Dubai Airport’s growth was among the strongest with 11.4% while Bangkok’s passenger traffic declined in the first quarter of this year, unsurprisingly given the political tensions in the Thai capital. For more on this and other stories from ACI Asia Pacific, read more here.

China’s love affair with luxury still strong

China’s love affair with luxury still strong

A new report by Exane BNP Paribas claims that, despite a slowdown, Chinese consumers are still very much in love with luxury. The report claims that Shanghai residents for example spend significantly more on luxury than New Yorkers.

In an article by Chinese luxury daily business review Jing Daily, the author of the report underlines that outbound travellers from China will continue to be an important source of demand for luxury goods when travelling due to the price differences with the domestic market. To read the full article, click here.

Tell and sell

Tell and sell

Delivering a shopping experience with a difference appears to be one of the main catalysts for Chinese shoppers to purchase, especially if they have a story to tell. According to a recent report entitled “Shared Stories: The New Global Luxury Storyteller” released by global media company Universal McCann, Chinese consumers desire and share new experiences when travelling and shopping.

In this article, also from Jing Daily, the report goes on to reveal that 94% of Chinese consumers surveyed use microblogging sites, almost 30% more than the global average.

It goes on to say that Chinese consumers “want authentic experiences that they cannot access at home, and are hungry to share stories and opinions based on expertise and cultural relevance.” To read the full article, click here.

Policy Watch

Policy Watch

Monitoring how legislators are looking at both the industry and parallel industry sectors is part of what the regional associations are doing in order to anticipate what future challenges there may be.

This report from the BBC shows how campaigners are lobbying governments for stricter regulation on food. Consumer groups around the world are calling for stringent rules such as tobacco-style health warnings illustrating the harmful effects of over-indulgence and obesity. As the report states, however, the Food and Drink federation has already acknowledged the need to address the issues and supports such measures. Read the full article here.

APTRA President lays out the vision

APTRA President lays out the vision

At the TFWA Asia Pacific Exhibition and Conference in Singapore last month, APTRA President Jaya Singh explained to a full morning plenary session his and the board of APTRA’s vision for the industry in Asia Pacific and how the association will help accomplish that vision. Singh explained that the association had organized its activities around four key strategic pillars of intervention: firstly advocacy and training as a means to defend and protect the industry against increasing threats. As well as defense mechanisms, Singh stated, the association has also centered its strategy around driving value and wealth creation through its research activities and connectivity and the creation of a comprehensive database. Read the full speech here.

APTRA Membership tops 100

APTRA Membership tops 100

We are delighted to announce that APTRA signed up its 100th member, India-based luxury textiles company Pashma, during the TFWA Asia Pacific Exhibition in Singapore in May.

Pashma was closely followed by Australian confectionery company Nutworks and also Big Retail, which manages the inflight retail operations across AirAsia and its subsidiary airlines. Read the full press release here.

Asia Pacific consumer insights report : Reflections on sunglasses in travel retail

Asia Pacific consumer insights report : Reflections on sunglasses in travel retail

We combine this month’s consumer insights report from m1nd-set with the release of the first part of APTRA’s 2014 research publications. Presented by Peter Mohn, CEO & Owner of m1nd-set at a special eyewear workshop during the TFWA show in Singapore, the research which has been co-funded by Luxottica, De Rigo, Marchon, Marcolin, Maui Jim and Safilo in partnership with APTRA , reveals some striking facts and figures about the category in travel retail. Among the key findings, it emerged that 98% of Asia travelers consider the choice of sunglasses in travel retail is insufficient. 34% of travelers interviewed claimed a preference for purchasing sunglasses in travel retail as opposed to downtown. Price, authenticity and convenience were among the main reasons behind the preference for travel retail.

The report also reveals the importance of the sales advisors in the purchasing process with the decision making happening after entering the shop in 81% of cases, and 60% of travelers stating that the sales advisors had a direct influence on the purchase.

To find out more members can find the charts from the exclusive APTRA insights report in the members’ only section of the APTRA website.

For further information on these findings, please contact Peter Mohn at pmohn@m1nd-set.com.

Generation reports good start to 2014 in Asia

Generation reports good start to 2014 in Asia

In the first two months of 2014 duty free sales in Asia Pacific grew by +10.8%, nearly twice the global average industry growth at +5.9% during the same period. According to Generation, in the early parts of 2014 no other region could match the growth in Asia Pacific. Singapore and Taiwan ROC have been maintaining sales growth but some markets are finding it a challenge to keep up to previous sales levels. Generation add that it has been more challenging in markets such as Japan and Guam as well as Australia and New Zealand. Sales continue to grow at above average rates in China, Hong Kong, Macau, Indonesia, South Korea and Thailand, among others, but in comparison to previous years, while still positive, the growth rates have been on the decline.

Members can access the full report, including the details by product category in the members’ only section of the APTRA website. For further detailed information and insights please contact info@generation.se or Malin Eriksson on +46 660 103 20.

New faces at APTRA

New faces at APTRA

During the Annual General Meeting, which took place on May 15 in Singapore, elections for two vacant board seats were held after Steffen Brandt of Heinemann Asia Pacific and Gerry Munday of Furla, stepped down due to work commitments. The new members elected by the membership to the Board in their place are Andrew Ford, VP Global Business Development, DFS Group and Gladys Rodriguez, Corporate Affairs & Communications Director, Worldwide Duty Free at JTI.

APTRA is also pleased to announce the appointment of Gerri Goh to the position of Administrative Officer, following the resignation of Jazlyn Koh who will pursue her career within the industry at golf simulator Yam Seng. Gerri will be taking care of the day to day administrative tasks as well as providing further support on other aspects of the association work, including communication, the APTRA member-exclusive industry database and the Responsible Retailer Training Programme.

APTRA welcomes 6 new members!

APTRA welcomes 6 new members!

Before, during and following the TFWA Asia Pacific Exhibition and Conference in Singapore last month, APTRA saw interest in the association spike as six new companies joined the association ranks. Here is a brief insight into each of the new member companies. To find out more, you can visit their websites or contact the respective company representatives. The full contact details can be found in the members’ only section on the APTRA website.

Etro

Etro was founded in Milan in 1968 when Gerolamo “Gimmo” Etro, a world traveller educated in economics, established his own prêt-a-porter and haute couture textile company. The Milanese Etro Headquarters, which boast an in-house library archiving rare books and textile art are located on the central Via Spartaco,. In the late 80s, Etro launched its fragrances collection to complement the existing product ranges. From the mid-90s, Etro began its international expansion with store openings in Paris and then New York. The flagship store in Tokyo opened in 2000 and in 2008, the company hosted Etro Circus, to celebrate its 40th anniversary in Tokyo. Today the company employs over 1100 staff and has an annual turnover of US$ 350 million.

For more information on Etro, visit the company website: www.etro.com or contact Travel Retail Manager, Claudia Matteini.

Goodman Classic

Incorporated in 1995, Goodman Classic started as an importer and distributor primarily for fine wines and spirits for the duty free and travel retail market for Malaysia, Thailand, Philippines and Vietnam. In 2005, a tobacco division was set-up as an addition to the company’s line of business. With some of the most renowned brands in its portfolio, it continues to expand in search of more prominent international brands. The company also aims to expand its distribution channels into other markets in and around the region.

For more information on Goodman Classic, visit the company website: www.goodmanclassic.com.my or contact Zona Ann Pinto, Managing Director.

Pashma

APTRA’s 100th member Pashma was founded by Shilu Kumar in 1999 . Debuting at a high-end trade-show in Milan that same year, Pashma evoked an instant “bellissimo” from the fashionistas of Europe who embraced the refreshing culturally-inspired and authentic take on luxury as opposed to the proliferation of brands from conventional “first world” cultures.

Today the brand is sold at over 1200 single and multi-branded outlets worldwide, including some of the world’s finest department and specialty stores as well as at leading luxury shopping destinations across India. Pashma is distributed today in over 30 prime duty-free sales points in leading airports as well as on international airlines and has 18 stand-alone stores in Singapore, USA, Japan, Hong Kong and Macau.

For more information on Pashma, visit the company website: www.pashma.com or contact Deepti Kumar.

Nutworks

Nutworks commenced operations in the early 1990’s in a small factory on a farm property in Verrierdale on Australia’s Sunshine Coast in Queensland, employing six people. Thanks to rapid expansion, the company established a new factory and tourist facility and commenced processing Macadamias at the new facility in 1997. The company continued to grow rapidly as demand for the Macadamia Nut and associated products has increased, and is now a major employer of locals on the Sunshine Coast. Nutworks diversified into chocolate and confectionery in 2002 and now provides a strong product base of panned, enrobed and hand made products. The company’s extensive range of products can now be found on the shelves of many major supermarkets and Airport Duty Free Outlets throughout Australia.

For more information on Nutworks, visit the company website: www.nutworks.com.au or contact Sales & Marketing Manager Sarah Leonard.

Big Retail

Big Retail is responsible for the inflight retail operations for AirAsia and its subsidiary airlines as well as Big Retail ecommerce and ground retail store activity. The company was founded recently by Tony Fernandes, the Malaysian-based entrepreneur whose business portfolio includes Air Asia Group, TUNE Hotels, F1 Caterham, BIG media and Queens Park Rangers Football Club.

For more information on Big Retail, please contact CEO Max Williams.

The Cocoa Trees

The Cocoa Trees, which is wholly owned and operated by Focus Network Agencies (FNA) Singapore, was founded in 1991 by Mr Loo Lip Giam. FNA was born with 5 staff and 2 Agency lines: Hawaiian Host & Droste. Today, the company offers the widest range of the world’s leading confectionery brands – including Hershey’s, Toblerone, M&M’s and Ferrero Rocher. Since the inception of FNA, Mr and Mrs Loo, together with a team of committed staff and partners, have steadfastly grown the business from a distributor of just 2 agency lines to a recognized leader in the distribution and retailing of chocolate and confectionery in the Asia Pacific realm. Today, the company employs more than 650 staff and Group CEO Mr Loo Lip Giam, continues to be at the helm of FNA’s outstanding growth in both travel retail and aggressive regional expansion.

For more information on The Cocoa Trees, visit the company website: www.thecocoatrees.com or contact CEO, Paul Loo.