On location at the MEADFA Conference in Bahrain

BAHRAIN. Welcome to our rolling coverage of the Middle East & Africa Duty Free Association (MEADFA) Conference, which takes place this week in Bahrain.

More than 400 delegates are registered for the event, which runs from 27 to 29 November in Manama, hosted by Bahrain Duty Free.

TUESDAY 29 NOVEMBER

Concluding the event, MEADFA President Sherif Toulan said: Now is the time to look forward not back. MEADFA is determined to play a central role in the resurgence of duty free and travel retail in the Middle East and Africa region. That role includes defending the interests of our members in the face of regulatory threats and other challenges. As founding members of the Duty Free World Council, we are also keen to support global efforts to defend our industry. As we gather here, it’s good to see passenger numbers that give us grounds for optimism, both in our region, and beyond.”

Bahrain Duty Free CEO Bassam Al Wardi and his magnificent team, who hosted the event, join co-moderators Dermot Davitt and John Rimmer for a celebratory photograph on the MEADFA stage
Kevin Alderweireld, Co-Founder and CEO of creative tech company and Metaverse specialist Bureau Béatrice, gives an easy to understand introduction to the power and potential of the Metaverse in the final session, in conversation with Dermot Davitt. A packed audience remained to the end to hear about a subject that has relevance for airports, retailers and brands today.
Kevin Alderweireld talks about how Louis Vuitton has embraced the Metaverse as it engages with a new generation
Rebuilding tourism and developing travel retail in East Africa is the theme for Ethiopian Airlines Country Manager Surafel Sakata (centre) and Lagardère Travel Retail VP Business Development Baptiste Duguit (right), in conversation with John Rimmer
Lagardère Travel Retail’s Baptiste Dugout sets out the company’s ESG credentials and how they relate to activity on the ground in key African markets
Harding+ CEO James Prescott introduces the dynamics driving the cruise sector and says that global retail sales in the channel can double to around US$4 billion by 2025

Dubai Duty Free Senior Vice President Purchasing Sharon Beecham (centre) and Beam Suntory Director Asia & MEA Alasdair Dickinson (left) addressed the thorny challenges around supply chain in a superb morning session on day two at MEADFA. They are pictured with moderator Dermot Davitt. 
Sharon Beecham set out the picture for stock-outs related to supply chain challenge in stark terms. The figure below is the estimated lost sales due to this challenge for Dubai Duty Free in 2022.

Surging demand for certain brands has accentuated the supply challenge, says Sharon Beecham
Marcus Hudson: “We will communicate more openly on the shop floor about sustainability.” He eloquently outlined the Mars strategy to work with communities, and to help women in cocoa-producing countries in particular.
Day two begins with several useful case studies of sustainability in action in our channel. Here, Lagardère Travel Retail CEO Saudi Arabia Munif Mohammed outlines the MEADFA strategy around this vital theme, and explains how it is taking a leadership position to restore and nourish the environment, not just ‘to do no harm’. Joining him on the panel are Mars Wrigley Global Sales Director Marcus Hudson (second right) and Bahraini sustainability champion and Founder, New Normal Consultancy, Shivani Sathasivam (right), with moderator John Rimmer. Below, Lagardère Travel Retail key sustainability goals for 2023 and 2025. 

MONDAY 28 NOVEMBER

The highly-anticipated results for the The Middle East & Africa Duty Free Association (MEADFA) Awards have been revealed at the Gala Dinner. The MEADFA Awards aimed to recognise “innovative, dynamic, world-class travel retail specialists” in the region.

The five awards categories were as follows:

Best Retailer Award: Recognises organisations that have demonstrated excellence across their business, continue to innovate in providing outstanding customer service and have provided a notable contribution to the development of travel retail in the region. Winner: Bahrain Duty Free. 

Best Marketing Strategy of the Year Award: Recognises organisations that lead with their marketing approach towards adaptable and customer-driven engagement. This award highlights the use of new and innovative platforms using dynamic innovative content to engage with consumers across the industry. Winner: Nestlé International Travel Retail.

Sustainability and CSR Award: Entries can be for one or all of four sub-categories. They are Best Green Achiever, Best Sustainable Brand, Sustainable Retailer of the Year and Best CSR Performance. Winners: Dubai Duty Free, Bitmore. 

Customer & Supplier Award: Entries can be for one or all of three sub-categories including Outstanding Achievement in Customer Satisfaction, Innovative Supplier of the Year and Excellence in Supplier Collaboration. Winners: Muscat Duty Free, Merlin Travel Group. 

Lifetime Achievement Award: No entry is required. MEADFA will honour an outstanding leader who has made a remarkable contribution to the overall travel retail environment, promoted strong leadership, supports their people, and significantly impacted the overall sustainability, strategy, culture and development of the industry as a whole. Winner: Dubai Duty Free Executive Vice Chairman & CEO Colm McLoughlin. 

Introducing the award to McLoughlin, event MC and former ARI-Middle East CEO Richard Gray said: “This individual has shown great leadership, supported his people and significantly influenced sustainability, strategy, culture and development in the region. He is one of the most important and influential name in our industry.

“He was responsible for setting up duty free shops with a team of ten, and a company that grew from a US$20 million to a US$2 billion business, winning over 700 awards over the years.

“MEADFA is honoured to celebrate his achievement and success. We celebrate Colm McLoughlin.”

Accepting the award on McLoughlin’s behalf, Dubai Duty Free COO Ramesh Cidambi said: “It is an honour and privilege to receive this award on behalf of Mr. McLoughlin. He is said he cannot be here as he is recovering from an operation but he is thrilled to win this award.

“For us this is a memorable award. More than anyone else Colm was responsible for MEADFA being created, for an office being set up in the Dubai Free Zone, and for being there in the early days.

“His achievements in the duty free industry are legendary. We have never seen a person who has served the industry, served Dubai Duty Free, served the Government of Dubai with such dedication, passion and integrity, as he has over the past 39 years.

“From a personal perspective, he is a great boss, he is fearless and he has your back whenever you do something. So we are all very proud that he has won this award, and thank MEADFA and the judges for recognising him this evening.”

Dubai Duty Free Chairman & CEO Colm McLoughlin wins the prestigious Lifetime Achievement Award at the MEADFA Awards. While McLoughlin was not able to attend the event in person, Dubai Duty Free Chief Operating Officer Ramesh Cidambi offered a warm tribute (more to follow).
Bahrain Duty Free CEO Bassam Al Wardi (centre) celebrates winning the Best Retailer Award with his team

Senior Dubai Duty Free management celebrate winning the Sustainability and CSR Award. Joint winner was Bitmore, with consultant Rajiv Malhotra accepting the award (below). 

(Above and below) Muscat Duty Free and Merlin Travel Group were the joint winners of the Customer & Supplier Award

Sword play: ARI CEO Ray Hernan shows his skills in traditional Arabic dance; below; Dermot Davitt and former ARI-Middle East CEO Richard Gray (MC for the awards that followed) call it a draw on the dance floor

A vibrant cultural performance kickstarts the MEADFA Gala dinner, hosted by Bahrain Duty Free
(Above and below) The high-flying local entertainers arrive at the event 

(Above and below) The 400 delegates pour in for the glamorous Gala Dinner, celebrating a successful first day at the MEADFA Conference

The Moodie Davitt Report Vice President Sales & Events Sarah Genest attends the Gala Dinner in a traditional Abaya
Women in Travel Retail (WiTR) held its annual MEADFA networking event, where the organisation celebrated Vice Chair Gerry Munday’s birthday with a toast. Munday was not present at the MEADFA Conference.

The MEADFA Conference began on Monday, with organisers pledging to discuss recovery, vital themes such as sustainability and technology, the emerging African market, regulatory challenge, the cruise sector, supply chain, the Metaverse opportunity and much more, including a special focus on host market, Bahrain.

Bahrain Duty Free closed off day one of the conference by hosting a prize raffle, with tickets to its luxury car draw made by Head of Operations Dave Gorman. Winners included Zegna Head of EMEA, LATAM, Global Travel Retail & Outlets Francis Gros (below) and our very own Vice President Sales & Events Sarah Genest (above). Tonight, Bahrain Duty Free hosts what promises to be a wonderful social gathering of the industry at the Gala Dinner.

The advocacy panel chaired by John Rimmer (left) included ARI-Middle East CEO Rob Marriott, DFWC President Sarah Branquinho and MEADFA Board Members Roger Jackson (Organico Travel Retail, part of The Seva Group) and Mazen Kaddoura (Mars International Travel Retail)
MEADFA board member Roger Jackson addressed the regional challenges to liquor, including a cutting of allowances in Egypt from three bottles to one last year; duties and taxes imposed on liquor & tobacco in Jordanian arrivals shops (forcing their exit from the offer a year ago) plus product labelling in Ethiopia. MEADFA is working to turn around decisions that have been made mainly with the domestic market in mind without travel retail being considered. He said our sector needs to be proactive, hyper-vigilant and quick and decisive once problems occur.
A key session, steered by the MEADFA Advocacy Working Group, updated delegates on recent progress on regulatory and other challenges in the Middle East, Africa and worldwide. Duty Free World Council President Sarah Branquinho outlined the latest on regulatory challenge in Africa, on the tobacco issue and on the Duty Free: Trusted, Transparent, Secure campaign launched in July. She underlined the message that duty and tax free channels are among the world’s most transparent, secure and legitimate supply chains.
Abu Dhabi Airports Chief Commercial Officer Francois Bourienne (right) assesses the ecommerce and wider digital opportunity for airport commercial activities, in the company of Smart Way Consultancy CEO Waleed Khalaf (centre) and moderator John Rimmer
Beaming in from Accra, Ghana to discuss West African travel & tourism was Kojo Bentum Williams, Founder and Publisher, VoyagesAfriq Travel Media and Lead Communications, UNWTO Africa. ForwardKeys VP Travel Retail Gordon Clark presented a valuable summary of travel bookings patterns in the region.

 

Where Africa sits within the global picture (above) and key sub-region projected growth patterns into Q1 2023, as presented by ForwardKeys

“I can’t see my business card in here, Bernard.” Dubai Duty Free SVP Finance Bernard Creed draws the names of two lucky winners who go into the main draw with the chance to scoop a luxury car or US$1 million – among the big prizes on offer courtesy of event sponsors at MEADFA. The two winners (who go into the main prize draw) were Philip Geeraert (Neuhaus) and Alessandro Eucaliptus (Thelios). 
Dermot Davitt (left) with speakers in the morning session including Dubai Duty Free Chief Operating Officer Ramesh Cidambi, Bahrain Airport Company CEO Mohamed Yousif Al Binfalah, Dufry COO North & Central Europe, Russia & Africa Isabel Zarza and ARI-Middle East CEO Rob Marriott
Ramesh Cidambi warned that the industry needs to be conscious of pricing and margins. If demand softens and prices continue to increase, troubled days lie ahead he cautioned. See below for further highlights of Dubai Duty Free performance this year. 

Rob Marriott addressed how average spend continues to be elevated, though he questioned how long this would remain the case
Isabel Zarza presented a valuable snapshot of Dufry performance in the first nine months, amid an encouraging rebound

A strong line-up of Middle East & Africa business leaders from three top travel retailers discussed business prospects. Speakers included Rob Marriott, CEO of Aer Rianta International-Middle East (right); Ramesh Cidambi, COO of Dubai Duty Free (second from left) and Isabel Zarza, COO North & Central Europe, Russia & Africa at Dufry Group.

It is worth noting that Bahrain International Airport never stopped operating during the pandemic,” said Bahrain Airport Company Chief Executive Officer Mohamed Yousif Albinfalah in the morning’s keynote address. “While global travel restrictions saw most commercial flights grounded, the airport played a key role in the Kingdom’s fight against the virus, facilitating the import of PPE and urgent medical supplies and helping repatriate stranded Bahraini nationals.

“Thanks to the exceptional efforts of our people, we overcame all challenges. When the time was finally right, we carried out a safe and seamless transfer of operations to the new facility,” he said of the transition to the Kingdom’s new airport.

Boutique appeal

“Our 210,000sq m new Passenger Terminal is still among the smaller airports in the region. Fortunately, this boutique design works in our favor for several reasons,” he said.

“Many international airports are large, confusing, and even a little overwhelming with few features to distinguish one from another. With Bahrain International Airport, we aimed for quality rather than size, ensuring it is hassle-free, distinct, and very easy to navigate.

“The boutique design means passengers can traverse the arrival and departure areas more quickly than at any other airport in the region, giving them more time to enjoy the amenities Bahrain International Airport has to offer. This includes a wide range of duty free products from leading luxury brands.

“However, not all boutique airports have the same objectives. Unlike Bahrain International Airport, some boutique terminals focus solely on arrival-to-destination convenience rather than the airport experience. With an emphasis on speed, their goals are to streamline the whole transit process and reduce waiting times.  This means no shops and very few places to grab a bite to eat.”

What makes Bahrain International Airport unique

He continued: “What makes Bahrain International Airport truly distinct is that it combines the speed and convenience of a smaller airport with the commercial appeal of a much larger one.

“In recent years, airports have begun shifting from a traditional operating model – aimed at processing passengers as quickly as possible – towards a more commercial one, focused on the impact non-aeronautical activities have on revenue growth. This is very much part of our commercial strategy.

“One of our most important goals is to deliver a memorable travel experience. Since the inception of the Airport Modernization Program, we have aspired for our new terminal to be much more than just a waiting area for the next flight.

“Bahrain International Airport’s retail areas are three times larger than the legacy terminal, featuring a broader selection of local and international brands and a diverse range of food and beverage outlets, transforming Bahrain International Airport into a key commercial hub. Among the major new additions are the Bahrain Airport Hotel, an airport clinic, comfortable Arrivals and Departure lounges, an Entertainment Zone, an open-air terrace, and a variety of duty free and food & beverage offerings.

“With 3,300sq m of duty free space in the departures Area, 541sq m of duty free space in the arrivals Area, and 21 cafes and restaurants, the airport caters to the needs of virtually all types of passengers.

“For example, SSP Bahrain – which is a joint venture with Gulf Air Group Holding – operates a range of F&B units at Bahrain International Airport. The units offer a strong combination of local and international brands, many of which made their Bahrain debut, including Jamie’s Deli and Pizzeria from world-renowned chef Jamie Oliver. Bahrain International Airport also houses the first TGI Fridays in an airport in the Gulf, further differentiating us from our regional neighbours.

“Furthermore, the airport’s Souq Al Qaisariya is a unique retail concept that encapsulates the spirit of Bahrain’s traditional markets.  It features a wide selection of locally made products and is one of our signature offerings.”

“As the Kingdom’s only international airport, Bahrain International Airport is an important platform for promoting the Kingdom and is a destination in and of itself. With a broad range of local artwork and cultural artifacts proudly on display at its cultural heritage galleries, passengers can experience the Kingdom’s artistic heritage without having to set foot outside the terminal. Featuring the work of talented Bahraini artists, past and present, Bahrain International Airport is a cultural platform that celebrates the Kingdom’s distinct character.

““Bahrain International Airport’s focus on Bahraini art and culture not only spotlights our heritage, but it also makes the airport a more interesting place. This encourages passengers to arrive early and explore everything Bahrain International Airport has to offer, including our impressive duty free area.”

In a rousing conclusion Mohamed Yousif Al Binfalah said, “Old orthodoxies won’t work in this new world; new thinking and new approaches are needed. Coming together at events such as this is crucial to help the airport retail industry recognise and respond to changing customer needs and expectations.

“The airport retail market will recover. But it will take greater collaboration to ensure we emerge from the pandemic more responsive, more agile, and more financially sustainable than ever before.”

A class double act: The MEADFA Conference is being moderated by TFWA Managing Director John Rimmer (left) and The Moodie Davitt Report President Dermot Davitt. There’s nothing too moderate about Dermot Davitt’s golf game, however, as evidenced by this image of him winning the Dubai Duty Free Golf World Cup a couple of days back – his second success in the tournament.

SUNDAY 27 NOVEMBER

The Art Hotel & Resort is home to MEADFA 2022, where the finishing touches are being put to the stage, ballroom and garden areas before the Welcome Cocktail tonight (courtesy of Dufry) and main plenary sessions, which begin on Monday.

These might just be my favourite pictures of the year, writes Martin Moodie: What fantastic photos of the equally fantastic Bahrain Duty Free team. Look at all that irresistible energy and camaraderie.

Martin Moodie (left) and Dermot Davitt (right) with our most generous of MEADFA 2022 hosts, Bahrain Duty Free Board Director and CEO Bassam Al Wardi and TFWA President Erik Juul-Mortensen (second right).
At the Welcome Cocktail on Sunday night were (from left) Senior Vice President Retail Michael Schmidt, Senior Vice President – Human Resources Mona Al Ali, Senior Vice President – Loss Prevention and Corporate Security Zayed Al Shebli and Joint Chief Operating Officer Salah Tahlak
Martin Moodie with Yufei Chen, Marketing Executive of Dubai-based Oriental General Trading, which represents the revered Kweichow Moutai brand
Martin Moodie with Dubai Duty Free Co-Chief Operating Officer Salah Tahlak, Kreol Group CEO Lal Arakulath and Kreol Group Executive Director Kreol Arakulath
(Left to right) Lagardère Travel Retail Middle East Chief Executive Officer Munif Mohammed; Aer Rianta International Chief Executive Officer Ray Hernan; Martin Moodie; and Kreol Group CEO Lal Arakulath

Time for delegates to take in a football game as Spain and Germany battle it out in a crucial pool match
A resurgent Dufry hosted a packed Welcome Cocktail

MEADFA President Sherif Toulan runs through his opening presentation for Monday morning as rehearsals continue on Sunday

The stage is (almost) set: Inside the ballroom at the Art Hotel, where the two-day conference will take place

The exhibition and registration area, where brand partners such as Pointful Korea, Imperial Brands, ZYN, ANDS, Oriental Group and Pernod Ricard are on colourful display

The last word: Industry titles lead on one of the biggest stories of the year, the opening of the Hamad International Airport Expansion. The Moodie Davitt Report was the only industry media on location for the inauguration earlier this month. Full coverage in our November Magazine, now online, with hard copies available at MEADFA. 
Relaxing before business begins: Saturday night at the Art Hotel, where (from left) Dermot Davitt (The Moodie Davitt Report), John Rimmer (TFWA), Jaya Singh (Mondelez International World Travel Retail), Antonio Vencesla (JTI) and Carlos Granados (Mondelez International World Travel Retail) met to watch the latest games in the FIFA World Cup Qatar 2022.
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