Airport, airline retail and the passenger on board.

As the airline and duty free retail conference season unfolds with forthcoming events in London, Cannes and Miami, many specialist travel IT and consultancy firms are offering their proposals as to how the future will unfold and how these new technical advances will improve the passenger experience and the consequent retail revenues. In the last 10 days, five companies in this arena have all issued major statements related to on board, in-flight and airport retail activities.

SITA, the Paris based tech operation released an impressive promo video on YouTube promoting the future headlining it as “What the passenger wants”.

Meanwhile Amadeus, another travel related IT firm launched their report “The always connected passenger". m-Travel.com and Travel Distribution News also entered the fray with an informative article headed "Ancillary sales on mobile devices can instantaneously alter passengers travel experience"

Likewise, Guestlogix the Canadian Company well known for their payment terminals and merchandising initiatives with airlines introduced "Destination based and experienced focused offerings". IATA have also been “Shaping aviation's future” with their Vision 2050 theme.

All these developments and more are well summarised on the excellent website r&d hub who regularly feature how these industries are advancing for the benefit of all.

The common theme for all these initiatives is technology, mobile connectivity and social networking. How this market unfolds, we shall have to see, but what is clear is that the good old days for airline and airport retail is well and truly over.

Check before you fly at www.dutyfreeonarrival.com

Duty Free on arrival incorporates Global Tax Refund shopping into their search database.

As part of the ongoing development of the global travel shopping web site, dutyfreeonarrival.com have now started integrating Tax Refund Shopping outlets into their destination based search. Ivor Smith Founder of the web portal told The Luxury Project "We intend to be the one-stop-shop for those searching on the web for travel shopping opportunities. Already we have all world airports, European, African and North American Ports and Border store locations from Canada down to Argentina and in Asia. We have now decided to add Tax-Refund shopping locations to assist our visitors with their pre-travel planning. Consumers wish to consider all their options before they travel and we believe that the sales tax rebate facility is of great interest to shoppers, especially in the luxury goods market. By highlighting new and perhaps unknown opportunities, like the tax refund shopping entitlement in the US States of Texas and Louisiana, we believe that this will enhance our service value to those browsing the Internet."

The site now features a specific section for land based travel and those searching specific destinations under the bus icon can find worldwide border stores, often known as "Free Shops", Tax Free Zones, Tax Refund locations and eventually Downtown stores. Smith added, "until now the traveller has relied upon blogs and travel forums for his information, with our search engine they can find all they need to know for each specific destination. We are also delighted to announce our first co-operation with a duty free and tax-free Operator who has asked us to add all their relevant details related to their border, port and airport locations. This data will be incorporated shortly and we hope that this is just the beginning of a long journey for tax free shopping on the net".

http://www.dutyfreeonarrival.com/en/travelpoint/1411

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Ryanair Baggage, Spanish airports and the legal carry-on.

The carry-on baggage battle between Europe's leading low-cost carrier Ryanair and the Spanish Airports Authority AENA took another step forward this week with Ryanair issuing a comprehensive statement on their website clarifying their interpretation of the legal position. Simply the Spanish Airport monopoly recently sought and apparently gained a new statute in Spanish Law in an attempt to restrict what is commonly known as “the one-bag-rule”. This airline baggage condition restricts the passenger as to what he can carry on board an aircraft from airports.

The Spanish action was seemingly precipitated by complaints from European airports and their retail concessionaires that “duty-free” sales had dropped “up to 40%”, according to Ms Sarah Branquinho, Public Affairs Director of Spain’s largest airport retailer Autogrill, as quoted in Airport Business Magazine July 2010

Publicity surrounding this baggage fracas has only been seen to date in the airline, airport and duty-free trade press and up until now the forthcoming battle has been over-shadowed by the confusion surrounding the planned EU re-introduction of liquids in-flight. This was further highlighted last week when the UK Transport Minister Philip Hammond announced a 6 month delay in the proposed lifting of liquid rules with a Government source stating “The EU regulation will still come into force but, because of current security conditions, we are imposing stricter measures that mean, effectively, there will be no change”.

Meanwhile the airport operators in Europe and their retail counterparts have been pushing hard for both the liquid and baggage rules to be eased as their sales are allegedly hurting.

Press reports on the subject actually report Airports Council Europe Director General as saying that he commended the Spanish Airports on their legal action and recognising the right of passengers to carry their shopping onboard flights. But, there seems to be a direct correlation between the "defending of passenger rights and the alleged 40% drop in airport sales".

What seems to be unfolding here is a mystifying feud between the Spanish airports and in particular Ryanair. Recent bust-ups between the parties include the airline pulling out of both Gerona and Alicante due to disagreements over charges and procedures, whilst the baggage issue smoulders on.

What is more mystifying is when the baggage policies of other airlines operating to Spain are studied. Thomson Airways, a big charter and LCC, owned by the huge TUI Group quote the same regulations as Ryanair, but a lesser 5kg in-flight (by 50%) carry-on allowance. Their website states “Other bags such as handbags, laptop bags or laptop computers must be carried within the single item of cabin baggage. We recommend that video cameras, mobile telephones and other valuable items should be carried as hand luggage; they must not exceed the dimensions outlined above”, as do Monarch. Other airlines are similar with their rules, so why is there such a feud with Ryanair and why do AENA wish to pick a fight with all the major UK or Irish airlines that carry so many tourists to Spain? What is generally accepted as the best source for duty free sales statistics Generation Research of Sweden, quote airlines as having a 7% share of the market, whilst airports 59% (source 2009/10 Market review). Considering these shares and assuming they are accurate, is there a need for such a baggage fight and where are does this leave the Eco credibility of airports who wish to legislate to force more weight back into the skies?

This website advocates the purchase of duty free on arrival and all the benefits this practice brings, not to mention the fact that “duty free sales” within the EU do not actually exist as the practice was abolished by the very Legislators that seem (allegedly) to be supporting the Spanish legal action. Not to mention the arrivals shops currently being opened in all Spanish and UK airports because these airport sales (within the EU) do not legally need to be sold outbound and carried on aircraft at all. Even though non-EU Members, the Swiss airport Zurich seem to be one of the few dissenters as they recently issued a press release extolling the virtues of the arrival duty free shops they plan to open later this summer.

check before you fly at www.dutyfreeonarrival.com

World duty-free internet search complete.

This week saw the launch of the enhanced dutyfreeonarrival.com worldwide duty-free search engine for travellers. Travelling shoppers can now search for the details of duty free and travel retail outlets around the world in any travel mode, such as airports, ferries, cruises or border stores. Customs allowances for over 170 Countries are included, with more being added all the time. This enables travellers to research and consider their travel shopping before they leave home in line with the growth in web based travel planning. Ivor Smith Founder of the business said "the world is a big place, it will take us some time to incorporate all the outlets, rules and regulations, least of all in nine languages. I have to admit some of our translations need improving. But, we are working hard at getting there soon. It is clear from the travel forum postings on the web that the consumer wants this information in advance and before he arrives at the airport, boards his ship or drives through a border and we intend to give it to them as best and easy as we can and under one simple banner".


The site now permits specific searches for cruises, ferries, border stores, airports and allowances. The next step, already in production, is a full detail of in-flight shopping and a mobile App. Smith also said "our software developers are from the former Russian Republics and Eastern Europe seems to have a very good aptitude for this type of database logic, we can't wait for them to to produce the mobile App. Eventually all the outlets will be geo-located, so that potential customers can be 'pinged' when they are within 100 metres of the nearest shop"

Smith was asked, "how do you intend to make money out of this". His response? "when the duty-free retail industry fully moves into the internet age, where are retailers and advertisers more likely to affiliate, on 5000 or so different travel blogs, discount sites or some of the few websites that properly address this subject for the consumer? Will they follow the logical path, we shall see"



you can check before you fly at www.dutyfreeonarrival.com

Easter flyers braced for an airline, airport security and baggage muddle.

April’s air travellers flying to, from and through The European Union will find themselves caught in the crossfire of a political and bureaucratic transport struggle this Easter, all centred around in-flight baggage allowances, security and the transit of liquids, known as “LAGS”. (Liquids, aerosols, gels).

Different transport industry sectors, regulators and industry lobbyists are all colliding at a perfect time to meet the Easter holiday rush with a confusing and conflicting array of interests and policies. The EU Transport Commissioners have already set their deadline as April 29 for the phased re-introduction of liquids (LAGS) through airports and onto aircraft. But, only last week Airports Council North America spokesman Christopher Bidwell commented in The Washington Examiner, stating their reticence to accept the policy. This is due to the new security equipment, which will be used to screen liquids for explosives, not being fully tested and not yet properly certified. He also said that it was unclear whether the TSA would accept the arrival and transit of duty-free or other liquids into the USA from Europe or beyond.

At the same time, Keith Spinks a spokesman for ETRC, a European duty-free retail lobby group, was quoted in Duty Free News International with regard to their meeting with EU Transport and Consumer Officials saying, “Our concerns were taken on board and now we are wondering what next steps to take with the Commission.

The most pressing issue we have at the moment is those low-cost carriers that are restricting hand luggage, which directly restricts the commercial activities at airports.” This campaign refers to their desire to pressure low-cost airlines, such as Ryanair, into relaxing their “one bag rule” restrictions. Ryanair and other LCC’s are yet to enter the debate, but expect a media firestorm when Michael O’Leary joins the fray.

In the Irish Mayo Advertiser (Feb 11th) Jim Higgins, North West MEP , has confirmed the lifting of the ban by transfer passengers within the EU in April-with the ban on all travelling with liquids and gels to be lifted by 2013. Crucially, (it stated) other major markets, notably the USA, Canada and Australia are not lifting restrictions for duty free items bought in Europe as US airport officials are concerned that this would create a security gap and may confuse travellers to their country. Thus, passengers travelling to these countries and then transferring will not be able to carry purchases acquired in European duty free shops. Higgins has written to the Transport Commissioners asking them to review in-flight baggage rules.

So, where does this leave the traveller from Easter and through the summer peak season? Ivor Smith Founder of dutyfreeonarrival.com says “duty free in Europe was abolished over 10 years ago, any goods sold from airports to intra-EU travellers can be (just as) easily sold to passengers inbound on the ground and in the arrival hall. There is no longer the need for goods to be sold outbound and exported, unlike the legislation for proper non-EU duty free sales to far off destinations. In fact, EU airports are moving apace to open baggage hall shops, nearly every major UK airport terminal now has one." Smith cannot understand why The EU Transport Commission wants to penalise airlines for their carbon use, whilst trying to force them to carry more unnecessary weight on-board. He said "the Politicians seem to prefer the PR to the practicalities".

Catharine MacIntosh runs the website zerobaggage.com from Canada, where the Government is actively reviewing a policy to reverse the duty free modus operandi and introduce airport arrivals duty free shopping. On her recent blog post referring to this debate “Less baggage should increase airport revenue” she thinks that airports may be missing a huge opportunity for extra revenues, whilst the general trend is to travel light. Meanwhile other duty free and air travel related web sites are now emerging, suitearrival.com, taxfreetravel.com, luggagelimits.com and onebagger.squarepace.com all address the subject of light air travel rules and regulation. ACI have published a document on the web called "Liquids, Aerosols,& Gels. Myths and Realities".

Clearly, there is now a web market for this widely discussed and confusing subject for flyers and perhaps the free enterprise of the internet through travel bloggers and web sites, will be a solution to help, inform and advise them. Meanwhile, the Politicians seem to be muddling the issue with their attempts to assist travelers.

You can check before you fly all world airport arrivals duty free shops at http://www.dutyfreeonarrival.com/en/home/

TVXQ persuade Chinese tourists to switch their shopping to Korean duty-free stores!

courtesy: Bernama.com and Yonhap News Agency 25/10/10



The Malaysian News Agency Bernama.com reports that Chinese tourists are switching their shopping destination to South Korea and away from Japan due to the growth in the popular culture called "The Korean Wave".

"We came here because of the Korean Wave," said Xiao Yongqiang, one of two Chinese guides leading the group of 17 tourists from Guangdong on China's southern coast. "We want to see, experience and buy everything that's in Korean dramas."

The popularity of Korean pop culture and entertainment, called the Korean Wave, and a strong yuan have been traditionally cited as a major magnet for Chinese tourists, but now there seems to be a new political factor in play.

Some Chinese tourists have canceled trips to Japan and instead headed to Korea since a diplomatic row in September inflamed anti-Japanese sentiment in China.

In that incident, Japan arrested a Chinese fishing boat captain after his vessel collided with Japanese coast guard boats in waters around an island group that both countries claim as their territory. Mass rallies and a boycott of Japanese goods ensued in China.

Stores in shopping districts like Myeongdong have added Chinese-speaking staff and glitzy arrivals duty-free stores are dropping European luxury brands to give more space to Korean cosmetics chains that are less expensive but more popular in the Asian region.

Nature Republic is one such cosmetics brand riding on made-in-Korea appeal in China. Its latest promotion pitch features members of the now-dissolved Korean boy band TVXQ, whose popularity is still invincible across China and Southeast Asia.

Arrivals duty free stores are not yet available in Korean airports, but there has been a recent submission by a Politcal party to change this status.


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SavingsOnArrival.com offers more than duty free shopping deals.

SavingsOnArrival.com offers more than duty free shopping deals.

check before you fly!

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DFNI to discuss Arrivals Duty Free and Social Networking

Extra categories with discussion points regarding Arrivals Duty Free opportunities and internet social networking have been introduced to the forthcoming Duty Free News International Scandinavian and Baltic Conference to be held in Riga in November 2010. DFNI is the longest established duty-free and travel retail trade journal and has been publishing news related to this sector for over 20 years.

DutyFreeonArrival.com embraced the online media since its inception in 2008 and it maintains information related to arrivals duty free and allowances for all world airports and countries. With related links on Twitter, Facebook, Orkut and Google Earth consumers can search their destination and check before they fly.

Many Operators have now started to embrace online information and sales for duty-free with pre-order websites. But the travel industry and particularly OTA's seem slow to embrace this channel for ancillary revenues through affiliation and as yet, have not fully grasped that "every duty free consumer needs to first buy a ticket". But, it now seems that the coming-together of these huge industries is starting to germinate.

check before you fly........ http://www.dutyfreeonarrival.com/

World Facts and Figures: Duty Free Shopping

• You can go duty free shopping upon arrival and pick up your goods in the baggage hall in over 75 airports around the world. The Korean Government are now looking at a Bill to introduce arrivals shopping.

• Airports that provide this service include Dubai, Bangkok, all airports in Australia, Singapore, Hong Kong, Panama, and Shanghai, Sri Lanka.

• There are no duty free allowances to bring tobaccos into Barbados, Hong Kong, Singapore and Sri Lanka. More Countries are introducing this rule in 2011.

• Dubai duty free has the largest sales for any duty free shop in the world, over USD$1 billion per year.

• Many airlines allow you to pre-order your goods before you fly and collect them in-flight.

• Japanese and Korean passengers spend up to $250 per head on duty free shopping.

• In the USA duty free is sold outbound only and the goods are normally delivered to you at the gate when you board the aircraft.

• You can buy duty free goods at many border crossing around the world such as when travelling from The USA to Canada (and back) or in and out of Mexico.

• There are 5 duty free border shops on The Malaysian/Thai border where you can buy.

• Most South American countries have duty-free border shops; the largest shops are located on the borders between Brazil, Argentina and Paraguay.

• If you are a tourist visiting Egypt you can buy your duty free goods up to 48 hours after arrival in the country at downtown shops.

• Downtown duty free shops exist in many Asian countries.

















Check before you fly at http://www.dutyfreeonarrival.com/

How did British Duty Free retailers and airports manage to get it so wrong?

This weekend has seen a hammering for British duty free retailers and airports, two major UK national sunday newspapers have battered the British airports and the retailers for their prices.


The News of the World printed a price check calling UK airport retail "Duty Fleece" highlighting prices compared to normal high street shops, whilst the more conservative Guardian printed a story related to airline baggage charges. "Airlines hit passengers with extra baggage charges".

Within this story, it warns passengers not to buy goods in airports in case they are confiscated or charged extra as part of their carry-on baggage restriction.

Then, just when the dust was settling, Kelkoo the online price comparison site released a widely circulated a story related to their pricing survey in airports. This story is a scathing report on prices and competitive value compared to other locations around Europe and highlights Heathrow airport within their headline. Blogs as far afield as Malaysia have churned the headline, whilst CNN, NY Times, MSN and AOL news have published it too.

How can it be that the UK airport retail market has received such a battering and when will the industry defend itself and explain why prices are so high, due perhaps to excessive airport retail rents and operating costs?

Such media coverage does nothing to enhance the confidence to generate consumer spending in "Travel Retail" and perhaps now is the time for a different approach to the market? In the meantime high street retailers must be rubbing their hands with glee!


http://www.dutyfreeonarrival.com/