On location in Singapore: TFWA Asia Pacific Exhibition & Conference

SINGAPORE. Welcome to our rolling coverage of an important week in travel retail, as many in the industry community return for TFWA Asia Pacific over the week ahead (7-11 May). That event was preceded by The Moodie Davitt Smile Raising Charity Dinner, which raised funds and visibility for international cleft charity Smile Train.

11 MAY

Some final memories of a memorable week in Singapore

TFWA board members at the closing press conference; (from left) Hervé Ducros (Chanel), Sam Gerber (Skross), Frédéric Garcia-Pelayo (InterParfums), President Erik Juul-Mortensen and Managing Director John Rimmer. They advised that registered attendees (as of Wednesday night) stood at 90% of 2019 levels (2,934) with key buyers (airports & retailers) at 1,228, or 1% ahead of 2019. They saluted the positive spirit of the event and advised that bookings for Cannes and Singapore next year were already strong. TFWA Asia Pacific will take place on 12-16 May 2024.
“The more we care for our earth, the better our wines” – Familia Torres Bruno Teixeira and Salim Frederic Isler highlight the wine producer’s sustainability credentials. Torres aims to reduce its CO2 emissions per bottle – from the vineyard to the end consumer – by -60% in 2030 to become a net zero emissions winery before 2040.
Enhance your travel experience: The Moodie Davitt Report’s Colleen Morgan was treated to an on-stand mini foot treatment by the brand’s Director of Podiatry Tamara Iglesias. CEO and Founder Margaret Dabbs noted the brand’s presence with Asian airlines, adding “there is plenty more potential, not just with airlines, but airport shops, downtown, and the rapidly growing cruise market where we see opportunity in both retail and spa”.
According to CEO Ajay Bindroo, ‘affordable luxury’ lifestyle brand Beverly Hills Polo Club, which launched a range of sunglasses at the show, is set for a stand-out presentation at TFWA World Exhibition in Cannes later this year. Watch this space.
Great start to the final day testing Be Relax’s Neck Therapy Pillow which has a built-in neck massage function. The brand’s Head of Operations Jean-Pierre Bombet highlighted new beauty and wellness products which include Cryo Therapy and are “completely in line with Be Relax’s spa-based DNA”.
“This is more than Umeshu. This is Choya” – The Choya invites exhibition visitors to sample a range of drinks and cocktails, all prepared with a huge smile by Brand Ambassador Verlita Capricho
As well as promoting its wider sustainability credentials, Travel Blue is highlighting its environmentally-friendly neck pillows and products from mobile accessories brand, Lexingham
The Moodie Davitt Report’s Sarah Genest (right) catches up on the latest news from Hershey World Travel Retail Director Rebecca Wong as the US confectionery company looks to unlock opportunities and increase conversion in the category
Jewellery and watches company Kurate International has featured new self-select display units for its Belle & Beau jewellery and watch range at the exhibition, as well as highlighting its Author recycled silver collection

“Reimaging comfort on the go” – Cabeau Founder and CEO David Sternlight introduces the travel essentials brand’s TNE S3: The Neck’s Evolution pillow. It features new chin-strap technology to offer a customisable fit to keep the user’s spine in neutral alignment while preventing head drops and neck kinks.
Many brand owners have underlined their commitment to Asia Pacific travel retail through their investments here this week; among them is Brown-Forman with its duplex suite showing its updated multi-category range. With Dermot Davitt (left) are Marketing Director Global Travel Retail Stéphane Morizet, Vice President, Managing Director Global Travel Retail David Rodiek and Communications Director Europe & Emerging International Maike Ladebeck.

10 MAY

Stay tuned for a dynamic film interview with (left) L’Oréal Travel Retail Asia Pacific Managing Director Tao Zhang who gave (right) Hannah Tan-Gillies  a special tour of their sprawling stand
Mondelez released a limited-edition laser-engraved chocolate bar from Cadbury, which was sold out in one week at Heathrow Airport
Mondelez released a limited-edition laser-engraved chocolate bar from Cadbury, which was sold out in one week at Heathrow Airport
Coty Senior Vice President Global Travel Retail Guilhem Souche gave us a preview of the beauty giant’s exciting innovation pipeline
Swarovski Head of Global Travel Retail Andreea Marginean (Vantu) talks to Hannah Tan-Gillies about the jewellery house’s recent rebrand and leading performance in the fashion jewellery sector in Asia Pacific travel retail 
(Right) Brown Forman Marketing Director Global Travel Retail Stéphane Morizet takes us on a tour to discover its Jack Daniels, Woodford Reserve and Benriach brands in film
A partnership 21 years and counting: The Estée Lauder Companies was one of the first advertisers of The Moodie Davitt Report, a partnership that is going strong even today.
Blue Chip Group Vice President Vice President Flora Lee (centre) discusses the company’s latest developments, travel retail strategy and beauty brand highlights with The Moodie Davitt Report’s Irene Revilla and Colleen Morgan
The Ambassador of Ireland to Singapore, Sarah McGrath, visited the TFWA Asia Pacific Exhibition today, along with representatives of ASEAN Enterprise Ireland. She was greeted by TFWA President Erik Juul-Mortensen and Managing Director John Rimmer. During a tour of the show, McGrath met with the executives and representatives of Irish companies and brands, starting with Formulae Prescott Founder Pauline Prescott.

English Tea Shop makes an eye-catching addition to the show, treating visitors to hot and cold brews, along with other beverages. The company is showcasing its range of organic, gifting teas grown by small-scale Fairtrade farmers worldwide and blended in its own factory in Sri Lanka.
Introducing the Ultimate: Go Travel team members are highlighting the travel essentials company’s three-pillow strategy in travel retail
Haribo is featuring travel retail-exclusive packs to target emerging traveller groups. A Friends & Party Halal pouch focuses on key markets across India, the Middle East and Africa while a Duo Pack of Haribo and Maoam sours targets Gen Z and Millennials travellers.
KT International’s Marina Panayotova (left) and Milena Stoyanova are introducing visitors to the tobacco company’s King and Corset lines and new-look stand as KT focuses on sustainability and major efforts to reduce its carbon footprint
Confectionery company Cloetta continues to underline its sustainability credentials with refreshed paper-based packs for its Red Band Swedish Fish and Sour Suckers lines which will be available in travel retail in July. Cloetta is exhibiting on the Himan Trading stand.
Sense of Place: Greetings from Singapore and from Perfetti Van Melle as the confectionery specialist showcases its latest innovations
Look out for ‘Mr P’ who is part of the Pringles team which is set on expanding the “underdeveloped” salty snack category in travel retail
“Clean and vegan” – Eco-friendly cosmetics brand Teaology brand uses Tea Infusion Skincare technology based on the nutrients included in a cup of tea. The brand’s CEO and Co-founder Paolo Bevegni is on-stand to explain how five organic tea infusions feature in a product range which includes Hyaluronic Infusion Serum, Black Matcha Micellar Jelly Cleanser, Happy Skin – All-in-One Beauty Balm and Tea Glow Exfoliating Lotion.
Moroccanoil has upped its focus on the development of products to suit regional markets and is featuring a new shampoo and conditioner line which is available in sizes tailored to travel retail
What better brand ambassador than the brand’s founder and owner herself? Pauline Prescott presents the Formulae Prescott line-up of beauty products, with an eye to new developments.
Ricola’s Andreas Reckart presents the Swiss herbal confectionery brand’s refreshed portfolio on a new, eye-catching stand which reflects its new approach to retailing
Gisada Switzerland makes its debut at the show, with Hanse Distribution Business Development Director Dennis Holst spotlighting the Prestige and Luxury fragrance collections. The Prestige line-up includes Ambassador for men, fronted by ‘hot felon’ Jeremy Meeks, a former gang member who found fame as a fashion model and actor when his mugshot went viral.

Pernod Ricard Global Travel Retail introduces its industry-first Circular Making Life Analysis Tool

Catch-up time with Almora Botanica CEO Ravid Prasad as the innovative beauty and wellness brand looks to extend its footstep in travel retail
German chocolate specialist Ritter Sport is highlighting its striking brand redesign and extended travel-retail exclusive ranges
The unmissable Le Croc is back at TFWA Asia Pacific with Erin Lillis at the helm of the Lacoste team

9 MAY

WiTR+ members, friends and supporters got together this evening in a networking event at the TFWA Asia Pacific Lounge at Marina Bay Sands. Maitreyi Karanth, Founder of the Koma Karanth Foundation, WiTR’s charity for 2023, was on-hand to speak about the foundation. She is shown here with WiTR+ Chair Sarah Branquinho.

Naughty but nice: Valrhona, Villars, and Weiss hosted a gourmet cocktail party this evening with their Master Chocolatier on hand to serve up irresistible treats. A new premium chocolate concept for travel retail – Gourmets & Co – is launching at the exhibition.
The Moodie Davitt Report Brands Director Hannah Tan-Gillies samples the latest LED anti-ageing masking device from FAQ
(Left to right) La Prairie Vice President Global Travel Retail and Asia Pacific Noelle Goris; Martin Moodie and La Prairie Managing Director for Australia and New Zealand Rosi Fernandez have an impromptu catchup 
Swiss skincare brand Verdilab is blending 100% natural formulations with science-backed efficacy and is exhibiting at the TFWA Asia Pacific show for the first time
Beam Suntory Global Travel Retail Managing Director Ashish Gandham invites delegates to share a glass of Courvoisier at their stand
Caudalie is going from strength to strength reaching +118% of sales versus 2019 globally. (Left) Caudalie Head of Global Travel Retail and Export Benoit Davaillon; (right) Caudalie’s Giada Deng
Shiseido Travel Retail returns to the TFWA Asia Pacific show after four years (Left to right) Shiseido Travel Retail Global Communications Senior Director Linda Lee; Martin Moodie; Shiseido Travel Retail Vice President Asia Pacific Travel Retail Evelyne Ly Wainer and Hannah Tan-Gillies
The Lindt Chocolate Master makes an appearance in Singapore, creating delicious chocolate treats for delegates
Chinese watch house Fiyta is bringing Chinese watchmaking craftsmanship to the TFWA Asia Pacific show
L’Oréal Travel Retail President Vincent Boinay and Martin Moodie share a sweet moment as the latter gifts the former a signed copy of ‘Miller’s Tale’, a book that tells the story of Robert Miller, co-founder of DFS Group 
iClick Interactive Asia today hosted a workshop session at the TFWA iLab, titled ‘Engaging New Wave Chinese Traveling Consumers Through Digital Marketing’ and released a new report on Chinese traveller trends and behaviour. President International Business Frankie Ho (second left) and his team were joined by partners and guests, who included Hainan IEDB Global Media Officer Ruslan Tulenov (third left) and The Moodie Davitt Report President Dermot Davitt (centre).
Whitley Neill Gin Founder Johnny Neill is on-stand with Halewood Artisanal Spirits to introduce two alcohol-free Rhubarb & Ginger and Raspberry expressions as the brand targets the ‘no and low’ category
Beauty distributor and consultancy On the Mark is featuring 17 beauty, skincare and wellbeing brands with a focus on travel retail-exclusive lines
Belgian chocolatier Guylian is introducing its refreshed travel retail-exclusive range. Sporting a new look, the line-up includes Original Guylian Seashells, Guylian Tablets, Guylian Temptations and the brand’s Master’s Selection. It also introduces a newcomer, Dark Praliné Seashells.

Gift with edge: Just minutes after the exhibition opened Mondelez World Travel Retail’s Toblerone personalisation service was already attracting interest. The company is introducing a “new Toblerone era in travel retail”, with revamped Toblerone messages, Sense of Place, pack sizes and new activations.

Maestrani’s Faozia Math-Ly Roun and Christoph Rusch highlight the latest additions to the Munz range, along with a new airport POS unit
The Welsh Whisky Company’s Director of Business Development Simon Roffe is ready to introduce exhibition visitors and travel retailers to upcoming changes for the Penderyn brand. They include the relaunch of the Dragon range in international markets and travel retail from July and a new look for the Faraday line.
Mavala’s Doris Maute Bobillier introduces the Swiss brand’s first sustainable nail polish range, Bio Mini Colours and Magic Powder
Back with a bang: The TFWA team officially opens the Asia Pacific event this morning

8 MAY

Celebrating the Mercedes-Benz launch in Singapore today are (from left to right): INCC Parfums International Operational Marketing Manager Sandrine Verleene; The Moodie Davitt Report Associate Editor Colleen Morgan; INCC Marketing Director Magaline Chavin and The Moodie Davitt Report International Account Manager Aran Turner

Toasting the launch of a Mercedes Benz trilogy: International New Creative Concepts (INCC), which specialises in the creation, development, marketing and sales of perfume products, has introduced its Mercedes-Benz Land, Sea, Air fragrances for men to the Asia Pacific market.

Created by French Master Perfumer Anne Flipo, Mercedes-Benz Land, Sea, Air is described as a “tribute to layering”. The fragrances can be customised, worn separately or combined and are available as individual eau de parfums or as a trilogy, with the packaging combining to form the signature Mercedes-Benz star.

 

From the Kingdom of Bhutan to the County of Surrey and now Singapore: Duty Free Global Founder Barry Geoghegan (left) and Silent Pool Distillers Global Sales Director Adam Dobson reveal a new rare Silent Pool Black Juniper gin.

The ultra-premium expression is created with high quality black juniper found only above 4,000m in the Himalayas. Botanicals include Coriander, Voatsiperifery, Grains of Paradise and the warming spices of Tasmanian Mountain Pepper, with rare teas added to optimise flavour complexity.

The gin is being released in limited batches, with a RRP of US$350.

 

Standing room only this evening at the TFWA Asia Pacific Lounge as Qatar Duty Free Vice President Thabet Musleh welcomes everyone to the best bar in town

 

The Economist Intelligence Unit Global Chief Executive Simon Baptist kicks off the APTRA Exchange this afternoon with insights on the most pressing issues and what they mean to businesses in Asia.

He notes recovery across G20 countries in 2024, led by India, China and Indonesia and highlights risks to the global economy.

Pi Insight Managing Director Stephen Hillam introduces the APTRA Index, an initiative to provide APTRA members and participating retailers with the ability to monitor the performance of the duty free sector in the Asia Pacific region.

The concept offers an anonymised monotoring system to track regional unit and value sales performance. It would be based on retailer participation and follow the successful launch of the ETRC Index in Europe in 2021.

“We are asking for an intention to be involved,” Hillam says, “and propose a round-the-table call to go through more specific details including data sharing.”

He also points out that the Index would offer an added value service for APTRA members at no cost.

ForwardKeys Vice President of Brands, Retailers and Media Marina Giuliano looks at the latest travel forecasts in the region, and the future of the travel retail sector in terms of international departures and key airports in Q2.

She touches on ways to grow business through new opportunities in the region and spotlights the busiest airports worldwide, with Dubai, Istanbul and Doha “the ones to watch” as they switch to growth models. She also underlines India’s role in the recovery of the region.

Giuliano also reveals the top hubs for Chinese travellers going to Europe and traveller profiles.

Key take-aways of her presentation included statistics showing that APAC is the most dynamic region, set to reach 61% of 2019 levels in Q2. Indians are expected to be the second nationality in APAC in Q2, “supported by a stellar reactivation of connectivity” and Chinese travel is set to reach 32% of pre-pandemic levels in Q2 2023.

Sharing the view of how our sector should be engaging travellers in new, more innovative ways were Japan Tobacco International (JTI) Global Travel Retail General Manager Claudio Ferreira (standing), Mars International Travel Retail Global Sales Director Marcus Hudson and Puig Global Travel Retail Executive Vice President Kaatje Noens (with moderator Michele Miranda, TFWA, right). Key themes underlined by speakers were the importance of speed, flexibility, and creating inspiring moments for travellers in industry environments.
Emerging Communication Head of Planning Rocky Chi offered an emphatic message about the continued importance of Hainan to Chinese travellers, even with international markets opening up
Pi Insight Managing Director Stephen Hillam presented the latest findings from the company’s Global Shopper Series, with a focus on shopper motivations and trends. The chart shows some shifts in what travellers are seeking from duty free stores in 2022 compared to 2019.
In a data-rich late morning session, ACI Asia Pacific Director General Stefano Baronci (centre) and OAG Aviation Head of Asia and PATA Executive Board Member Mayur Patel (left) covered the latest trends in Asia Pacific travel, and discussed the broadly upbeat outlook as Chinese travellers return and as new destinations open up. Patel has close personal connections to the duty free sector; he is the son of Motibhai Group Chairman and CEO Mahendra Motibhai Patel, a pioneer of the industry in Fiji. 
(Left to right) CDFG Executive President Luke Chang; Qatar Duty Free Vice President Operations Thabet Musleh; SK-II Global CEO Sue Kyung Lee; Heinemann Asia Pacific CEO Marvin von Plato; Dufry Asia Pacific President and CEO Freda Cheung and TFWA Managing Director John Rimmer 

This session heard from a panel of regional industry leaders on how they are preparing their businesses for the recovery: CDFG Executive President Luke Chang, Dufry Asia Pacific President and CEO Freda Cheung, SK-II Global CEO Sue Kyung Lee, Qatar Duty Free Vice President Operations Thabet Musleh and Heinemann Asia Pacific CEO Marvin von Plato.

Lee assessed the current market for cosmetics brands in travel retail, “Overall we’re seeing a strong domestic recovery since COVID restrictions were lifted. We’ve seen very strong demand from domestic markets such as Japan where SK-II grew +47% versus the year before. In China, we saw +8% growth in the last quarter. When it comes to travel retail we’re seeing a slow and steady recovery.”

“We need to work together to revolutionise the whole travel retail experience and drive that recovery” — Freda Cheung

Echoing those sentiments, Cheung said: “When China reopened in January it brought in a breath of fresh air to the industry. However, while the restrictions in this region are on par with the rest of the world, the pace of recovery hasn’t been the same. We believe that is due to a supply and demand issue. To solve this, we need to work together to revolutionise the whole travel retail experience and drive that recovery.”

Von Plato added: “Over the last three years we’ve had very difficult challenges and used that time to strengthen our partnerships in the region. We have secured all our existing concessions until the end of the dace. For the first time since March 2020, all our shops are now open in the region. We’re seeing momentum and the results so far have been very confident.”

“We need to create quality and a memorable shopping experience” — Marvin von Plato
“We are the jewellery box and the brands are the jewels” — Thabet Musleh

As reported, Qatar Duty Free (QDF) today announced record-high revenues for its latest financial year (April 2022-March 2023). Sales rocketed by +59% compared to 2021-2022 and by an impressive +45% over 2019-2020.

The hugely encouraging performance was driven by a more than +49% year-on-year uplift in sales per passenger (SPP). In another key indicator, QDF achieved a notable +26% turnover growth over pre-pandemic 2019 in the 2022 calendar year.

Commenting on QDF’s stellar performance, Musleh said: “We’ve had an amazing few years and that’s down to our brands and partners coming to the table with innovation and support. Tough times don’t last but tough people do. The last three years has been about being tough and taking risks. A lot of that growth was delivered through spend per passenger and we did this with lots of new shops lots of new brands. It’s a significant performance supported by all our brands and partners and all our success has been down to that collaborative approach.”

Musleh also revealed plans for the first Louis Vuitton lounge & restaurant an airport later this month. By year-end of Q1 2024, the retailer will also introduce a new omnichannel solution for its shoppers.

CDFG Executive Vice President Luke Chang (see also below) noted that the company was full of confidence about the future of the business in the Hainan Island offshore duty free market, with traffic returning to normal levels this year and many big infrastructure projects recently completed (led by cdf Haikou International Duty Free Shopping Complex) and others continuing.

Asia Pacific at the crossroads: Giving an overview of how travel retail should gear up for the recovery of the ASEAN economy, keynote speaker former Singapore Minister of Foreign Affairs George Yeo said: “At the end of the pandemic, the league table in the world has changed dramatically. I just want to leave you with one thought. China has been the least damaged economy during COVID. China will account for 35% of global growth this year alone.”

Luke Chang, Executive Vice President of China Duty Free Group, delivered a candid and insightful overview of China’s travel retail sector and how it has been impacted by the pandemic and other more positive influences.

“First of all, I would like to share with you the challenges and opportunities to restart travel retail post-COVID,” he began.

“On the challenge side, airports, airlines, and duty-free operators are facing many practical problems, including an overall shortage of industry personnel, challenges in restarting facilities, and the slow pace of port openings and visa processing.

“It is predicted that in 2023, the number of inbound and outbound tourists in China will reach about 120 million, which is only 40% of pre-COVID levels.

“Duty free shop profitability remains significantly lower than the pre-pandemic period, while rental rates at major airports are gradually returning to 2019 levels. The overall global economic slowdown has affected Chinese consumer sentiment, leading to decreased spending. Consumers have become more price-sensitive and their purchases are more practical and rational.

China Duty Free Group Executive Vice President Luke Chang discussed the challenges and opportunities of reopening duty free operations in Chine as outbound travel begins to pick up pace

“However, I would like to emphasise that despite these challenges, the Chinese market still presents tremendous opportunities.

“IMF’ (The International Monetary Fund) report of April 11, predicted that in 2023 China’s economic recovery of 5.2% will outpace global economic growth of 2.8% . UNWTO (the United Nations World Tourism Organization) predicts strong demand for international travel, with worldwide tourist numbers reaching 80% to 95% of pre-pandemic levels .

“Many countries are actively welcoming back their “old friends”— Chinese tourists.

“China’s economic recovery will outpace the global level. By 2030, Chinese consumers will account for 60% of all luxury personal spending in the world,” Chang says

“Despite recent softness in consumer sentiments in China, Morgan Stanley’s latest report still predicts that Chinese consumers, will remain the world’s largest consumer group of luxury goods. By 2030, Chinese consumers could account for 60% of the total growth in personal luxury spending.

“Within China, there were a total of 65 million inbound and outbound travellers in Q1, an increase of +116.2% compared to last year. We are particularly excited about the rapid recovery of traffic in Hainan. In Q1 of this year, Hainan welcomed 27 million tourists, an increase of +22.5% YoY and +22.1% higher than the same period in 2019. The total sales of offshore duty-free shops in Hainan reached RMB 20.3 billion in Q1, growing by +29% YoY. The forecast is that annual sales in Hainan this year will surpass RMB 80 billion.

“In addition, many airport authorities have extended concession agreements with duty free retailers, including our stores at Hong Kong and Macau airports.

“Over the past three years, we have made a lot of efforts to adapt to the changes. Our top priority is to maintain a continuous connection with our customers. One of our goals is to transform our store spaces into destinations that will inspire and delight our customers.

“In this regard, I would like to express my gratitude to our friends for their increasing attention on our cdf Haikou International Duty Free Shopping Complex. Recently, my team and I have received a lot of positive feedback.

“Our customers are pleased with the brand mix that we bring to the project, and they are particularly impressed by the experiential and immersive environment in our mall. They enjoy taking photos and sharing their experiences in the AURA Atrium, visiting the independent watchmakers’ shop, exploring Dunhuang culture at the Meet You Museum, or experiencing breathtaking views of China in the Flying Cinema.

Luke Chang: “Our top priority is to maintain a continuous connection with our customers. One of our goals is to transform our store spaces into destinations that will inspire and delight our customers.”

“For online, we have established a pre-order platform in preparation for post-pandemic new retail business. We have continuously improved our strategy of integrating online and offline services, optimising our membership ecosystem and CRM system to enhance customer loyalty.

“Moreover, the pandemic has accelerated the development of our digital strategy, and we have launched online platforms such as ‘CDF Membership Platform’. Today, the number of CDF members exceeds 26 million.

“2022 was an extremely difficult year for CDFG. However, we are proud that we were able to retain all 16,808 of our employees and continue to invest on our long-term strategy. We opened the Haikou Xinhaigang Project in October last year and renovated our Haikou and Sanya airport stores. We opened two Duty Zero stores in downtown Hong Kong. We had the largest IPO in Hong Kong for our H shares and paid a record cash dividend of US$425.51 million (2.93 billion yuan) for our A shares in 2022.

“Recently, ChatGPT and AI have been trending all over the world. However, we believe that the offline experience is fundamental and irreplaceable for the retail industry. We hope to work closely with our partners to create greater value and open a new chapter in the travel retail industry together.

“Finally, I would like to express my sincere gratitude to TFWA for its outstanding contributions to the global travel retail industry over the years, especially for its effective work as an industry organisation during the past three deeply challenging years of the pandemic. Once again, welcome everyone and I wish the conference and indeed this week’s exhibition a great success. It is great to be back. Thank you.”

Recently re-elected APTRA President Sunil Tuli discussed the recovery of Asia Pacific and the opportunities that lie ahead. He said: “More than 1 billion Asian consumers are going to join the middle class by 2023. India and China are accelerating growth, but so are nations like Vietnam and Bangladesh.” Tuli also discussed APTRA’s lobbying efforts in areas of sustainability and enhancing tax-free allowances.

“On behalf of APTRA welcome back to our home here in Singapore. It’s fantastic to see so many of you – familiar faces, new faces – welcome,” began APTRA President Sunil Tuli in a strong and upbeat address..

“For anyone not yet familiar with APTRA, we are THE association for travel retail in Asia Pacific, a not for profit organisation delivering advocacy and regulatory response on behalf of the industry to over 45 governments; we share knowledge and research; we facilitate fantastic networking and connection opportunities. We have many members in this room today and APTRA membership is open to all businesses operating in travel retail.

“Here in Singapore we’re right at the heart of the region that will soon carry on where it left off in 2019 – the engine that drives the global growth of the travel retail industry.

Sunil Tuli: “Steady, sustained progression is apparent across the region – including highly positive spending patterns”

“With the return of Chinese outbound traffic easing week on week, and tour groups starting to travel again to key destinations including New Zealand and Thailand – where China was the largest market before the pandemic – our prospects are strong for the rest of the year and we can finally plan for a full return in 2024 to the region’s long-term performance path.”

Tuli continued: “The regional engine is accelerating. With strong forecasts indicating a full recovery to pre-2019 traffic levels next year, there’s a great deal to look forward to, and the priority is how we optimise that recovery.

“It’s crucial that we strive to make this recovery phase in 2023 as strong as possible; the better we do this the more robust our position will be to fully exploit the growing opportunities that 2024 will bring.

“As a tangible example of what’s coming – last month, ACI’s data showed that Changi returned to the list of the world’s top ten busiest airports – just 13 months from when Changi reopened to international traffic.

“And there’s more. The latest forecast from APTRA research partner ForwardKeys points to an overall recovery in international departures from AsiaPacific to 53% of 2019 volumes in Q2 2023.

“Steady, sustained progression is apparent across the region – including highly positive spending patterns – and, ultimately, this will materialise into a manageable and stable base for full recovery.”

He added: “The intensity of the pandemic inevitably dominated the agendas of the region’s governments but, as Covid moves into the rear-view mirror, there are increasing regulatory obstacles on the road ahead.

“In fact in APTRA’s 18 year history we have never been busier on regulatory and advocacy issues – with 13 campaigns over the last 15 months.

“Last Spring, APTRA shared in a wider travel and tourism industry approach working closely with ACI, AAPA, IATA and PATA to urge governments to consider open border solutions such as travel corridors and bilateral agreements to enable the resumption of international travel and the return to business for all impacted sectors, including travel retail.  We were part of a meeting with senior officials at ASEAN who were sympathetic to our representation and we had letters of support from other organisations including the Hong Kong Tourism Board.

“Looking more specifically at travel retail… in tobacco, you may be aware that New Zealand’s government has pioneered a significant strategy aimed at a ‘generational end game’ designed to ensure that no one born after 1st January 2009 – ie currently under 14,  will ever be able to legally purchase cigarettes in New Zealand.

“APTRA has responded by making representation to the government to ensure the unique aspects of travel retail are properly considered, especially regarding the allocation of retail licenses – which are set to be reduced by up to 90% across the country.  And we have emphasized our industry’s robust retail protocols that ensure there is no under-age selling.  This is an ongoing situation and we expect an outcome later this year.

“Other countries in the region, including Malaysia and Hong Kong, look set to be considering similar strategies and we are currently working with operators in Malaysia to co-ordinate the most effective approach to the government’s recently renewed focus on the issue.

“In alcohol, APTRA’s Alcohol Working Group scoped out the optimal approach to South Korean authorities for an increase in alcohol value allowances following a review in August/September 2022, the first in 40 years, that increased value but volume remained unchanged.

“I’d like to thank Pernod Ricard, Bacardi and Diageo for helping navigate a complicated government network to find the most influential decision-makers.

“Pernod Ricard represented APTRA in a face to face meeting with Korean customs in March, making the case for increasing value allowances to reflect inflationary changes and the increasing sophistication of Korean consumers skewing towards ultra premium spirits.  This is now being considered although we don’t expect it to be reviewed in the short term.”

Tuli said that sustainability is also moving up government agendas in the region.

“Last July the India government implemented a country-wide ban on single use plastics (SUP) under 100 microns – typically seen as polywrap packaging in travel retail.

“The implications for travel retail have not been officially stipulated and there was considerable ambiguity as to the interpretation of the regulation. APTRA led a strong cohesion with duty free retailers across India and brands in major categories to share information and agree best practice going forward and, given the long track record of duty free being considered an export channel, the industry aligned on this being the case for the ban on Single Use Plastics.

“These are just a few of the many issues that APTRA manages on behalf of our members and the wider industry.

“Most of our campaigns are ongoing, we still have much to do and we will of course, face new threats in the year ahead – and we have a great industry to fight for.”

Mortensen paid tribute to Generation Research Founder Yngve Bia who passed in December, 2022. He says, “His passing deprived us of a thoughtful, generous man and a true pioneer who played a vital part in our industry’s development”.
Juul-Mortensen paid tribute to Generation Research Founder Yngve Bia who passed in December, 2022. He said, “His passing deprived us of a thoughtful, generous man and a true pioneer who played a vital part in our industry’s development”.
“Duty free and travel retail is recovering but we still face significant economic and geopolitical headwinds. TFWA are grateful for the efforts you have made, whether as an exhibitor or visitor, whether you have travelled near or far, to participate in this first full Asia Pacific summit in the last four years,” said Juul-Mortensen
Opening the TFWA Asia Pacific Conference on Monday morning, TFWA President Erik Juul-Mortensen offered an overview of recent trends and developments in the region. He also confirmed that this event would be held in Singapore until at least 2026, following agreement with local authorities. Juul-Mortensen reminded delegates about the dates of the MEADFA Conference in Ghana, 19-21 November 2023. 
(Left) TFWA Conference Manager Michelle Miranda and TFWA Managing Director John Rimmer open the first session of the day

7 MAY

Close partners: The Dufry leadership team of Freda Cheung and Pedro Castro with Lal Arakulath and Kreol Arakulath (Kreol Group); the companies jointly operate the duty free concession at Cochin Airport
TFWA closed the Flower Dome for the opening cocktail, giving delegates the opportunity to explore the Gardens by the Bay attraction at night
(Left to right) The Moodie Davitt Report’s Colleen Morgan, Sarah Genest, Irene Revilla and Hannah Tan-Gillies strike a pose with Purple’s Helen Pawson
The Asia Pacific Travel Retail Association today hosted a lunch at The Tanglin Club in Singapore, welcoming members and other guests to a wonderfully warm social occasion. The association plans to repeat the Sunday afternoon gathering next year and beyond, APTRA President Sunil Tuli (speaking above) confirmed. 
The APTRA team generously helped Dermot Davitt (The Moodie Davitt Report, left) and Luke Maga (CVH Spirits, second left) to mark their birthdays today by supplying two magnificent cakes at the lunch. Also pictured are (from centre to right) Sunil Tuli, Erin Lillis (Lacoste) and Martin Moodie (The Moodie Davitt Report).  

6 MAY

The Moodie Davitt Smile Raising Charity Dinner tonight reached sold-out status with close to 250 guests attending the event at Hotel Fort Canning, Singapore. The event rasied funds and critical visibility for international cleft charity Smile Train.

(More photos coming soon)

Setting the stage: The Fort Canning Hotel ballroom is taking shape in advance of the Smile Raising Charity Dinner; below, some of The Moodie Davitt Report team put the finishing touches to the space and gift bags.

Good to be back: The magnificent view from Tower 3 at the Marina Bay Sands hotel, where The Moodie Davitt Report (and many others from the industry community) are based this week

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