PANAMA. ASUTIL officially opened its 19th conference today at the Westin Playa Bonita hotel in Panama City.
After yesterday’s networking sessions and a colourful opening cocktail hosted by Duty Free Americas, conference proceedings kicked off this morning – addressing the theme of Market Perspectives and Challenges 2015.
ASUTIL President Enrique Urioste officially welcomed industry representatives from the region and around the world to the annual event.
Despite the challenging climate caused above all by ongoing devaluation of regional currencies against the US Dollar, Urioste expressed optimism that the worst is past.
“Operators have continued their investment in the region and we expect a phase of transition as we look forward to a growth stage in the business cycle,” he said.
Registrations for the conference reflect that confidence, with 347 delegates in attendance, up +5.1% from 2014.
Presenting a round-up of a difficult first quarter for travel retailers across the region, ASUTIL Secretary-General José Luis Donagaray noted that signs of a return to stability are appearing.
Yet recession and the negative direction of the Real-Dollar exchange rate are still weighing on Brazil, and much of today’s session focused on trends and prospects for the regional economic engine.
Peter Mohn of M(1)nd-set presented the results of a major market research project on the Brazilian travelling consumer completed with ASUTIL in the second half of April.
Among the findings was the desire of Brazilian travellers for strong local identity, price promotions and better information about customers regulations at airport, border and ferry shops.
Carlos Loaiza, Secretary-General of the Chamber of Free Shops of Uruguay, portrayed depressed sales activity on the border with Brazil, but cited major investments at Rivera’s Melancia shopping centre, Rio Branco Shopping and Duty Free Puerto Iguazu as evidence of long-term viability.
There was, however, no revelation around the still sensitive negotiations to manage Brazil’s proposed changes to personal spending allowances and store regulations along the border.
A substantial and provoking presentation on the present and future of the Latin American duty free market followed from Dufry’s key executives in the region.
René Riedi, COO of Dufry Region America I, profiled the three key channels of airports, border stores and cruise ships, and identified potential for growth in all.
Referring to improvements in airport infrastructure, Riedi called for “new airport development to allow full potential for enhanced retail activity.”
Focusing again on Brazil, Gustavo Fagundes, COO of Dufry Region America II, reflected on the major window of opportunity the group has seized to enhance retail environments in privatised airports.
Significantly, he confirmed Dufry’s interest in opening border stores if the current legislation reaches full implementation, noting: “We can be a player on the borders in Brazil.”
Networking Time has now resumed, ahead of tonight’s gala dinner.
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ASUTIL board members and speakers, from left: Marcelo Montico (Grupo Wisa), Enrique Urioste (Neutral), Gustavo Fagundes (Dufry Region America II), Martin Laffitte (Bernabel Trading), René Riedi (Dufry Region America I) and José Luis Donagaray (ASUTIL) |
