CHINA. Offshore duty free sales across Hainan’s burgeoning store network rose +20.03% year-on-year to CNY1.685 billion (US$248.4 million) in the five-day Spring Festival holiday period (21 to 25 January), according to the Provincial Department of Commerce.

The result, based on sales in Sanya, Haikou, Bo’ao and Wanning, represents a +325% increase over the equivalent holiday period in pre-pandemic 2019.

The results were revealed by our colleagues at Hainan Daily, part of Hainan Hinews Media Co, The Moodie Davitt Report’s long-term strategic partner in the province.

“During the Spring Festival holiday, Hainan’s offshore duty free shops saw high popularity and enthusiastic spending by travellers,” wrote reporter Luo Xia.

‘Nearly 1.7 billion Yuan in Hainan offshore duty free sales over the five-day Spring Festival holiday’ runs the Hainan Daily headline

The six offshore duty free stores in Haikou generated sales of CNY470 million (around US$69.3 million), up +140% +641%, respectively, ahead of the same Spring Festival periods in 2022 and pre-pandemic 2019.

In Sanya, sales at the four offshore duty free stores amounted to CNY1.158 billion (US$170.7 million), representing an increase of +253% over the five days before the Spring Festival in 2019.

cdf Haikou International Duty Free Shopping Complex (pictured above and below on opening day, 28 October 2022) helped spur offshore duty free sales to new heights

The report noted that Hainan’s 12 offshore duty free stores (airport and downtown) have been offering consumers a Spring Festival spending ‘gift package’ across online and offline channels. “A variety of thematic activities and strong promotions were well received by consumers,” the report said.

cdf Haikou International Duty Free Shopping Complex – the world’s largest single duty free store – ushered in the Year of the Rabbit with a range of promotional discounts, a wide product range, quality services, and a variety of Chinese New Year activities, attracting heavy footfall from islanders and visitors.

Hainan Daily reporter Yuan Chen captures some of the Spring Festival shopping scenes

Wangfujing International Duty Free Harbour City in Wanning, which as reported opened its trial operation on 18 January, launched  a ‘New Year’s Adventure Carnival’, attracting many visitors, Hainan Daily noted.

Winning in Wanning: Newly opened Wangfujing International Duty Free Harbour City got off to an encouraging start

CDFG also offered a range of promotional activities, including flash sales and special New Year’s sets at its stores in Mova Mall Haikou, Qionghai Bo’ao, Haikou Meilan International Airport, and Sanya Phoenix International Airport.

At Mission Hills in Haikou, Times DF (Shenzhen Duty-Free Group and DFS) also entered into the festive spirit with a range of promotions, including flash sales. Global Premium Duty Free (GDF) Plaza in Haikou introduced an array of new products and new boutiques and a flurry of seasonal activities including a celebratory Chinese New Year parade.

In Sanya, Hainan Tourism Duty Free Shopping Complex offered several new products featuring Year of the Rabbit theming, while the CNSC store featured a lucky draw and gift incentives to visitors.

The Elizabeth Arden x Miffy pop-up brings a cute and festive atmosphere to the Hainan Tourism Duty Free Shopping Complex in Sanya

“The market for offshore duty free is dynamic, characterised by the launch of new products, strong promotions, rich shopping activities and immersive shopping engagement to meet travellers’ consumption needs,” the report concluded. ✈

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