January 4 2021  |  Retailers

Lagardère TR expands presence in China with new DF store in Hainan

By Laura Shirk

In partnership with Hainan Tourism Investment Development, Lagardère Travel Retail has opened its second large scale downtown duty free store in Sanya, Hainan, to capitalize on booming Chinese consumer demand and further strengthen its presence in Asia

Lagardère Travel Retail has partnered with Hainan Tourism Investment Development to open its second large scale downtown duty free store in Sanya, on the Chinese island of Hainan. With the opening, Lagardère TR continues to capitalize on booming Chinese consumer demand and further strengthen its presence in Asia. Building on its track record of partnerships with strong local players, the travel retail operator teamed up with the Chinese state-owned enterprise to launch new duty free operations in China’s tropical holiday hotspot.

Under a strategic supply and service agreement with its partner, Lagardère Travel Retail has brought 278 brands to Hainan. Product categories including perfumes & cosmetics, fashion & accessories, watches & jewelry, wine & spirits, confectionery & fine food and toys can be found on more than 30,000-sqm over five floors.

In addition to its global duty free expertise and experience developing large-scale, high-end travel retail concessions, Lagardère Travel Retail is bringing the best of its portfolio of brand partners to the project including all key Western and Asian Beauty brands. Over a dozen of these brands are new to the island such as Dyptique, Byredo, Gucci Makeup and Victoria’s Secret.

Pulling off the ambitious project in record time, Lagardère Travel Retail relied on its experience developing large-scale, high-end travel retail concessions to introduce a wide range of products and showcase the best of its portfolio

“We are very excited to play a leading role in Sanya’s world-class new duty free project. Working in close partnership with Hainan Tourism Investment Development, we made this large-scale opening happen in record time. It is a very ambitious project in terms of scale and timing and I am very proud of how our teams, locally and globally based, came together to rise to the challenge of delivering a comprehensive and enchanting Duty Free shopping experience in downtown Sanya.

We also had tremendous feedback and support from all our brand partners to pull this project off in a record 120 days, while having a team of 2,000 travel retail professionals based in China was the key to success.

Chinese consumers spending at home has boomed as a result of both the global pandemic and local government policies to stimulate domestic consumption. This creates a great potential for Lagardère Travel Retail to continue its growth in China.

We also hope the phenomenal growth of Hainan also is a responsible, sustainable one. Besides sales we are very focused on delivering unrivalled customer experience and building brand image,” comments Eudes Fabre, CEO for North Asia at Lagardère Travel Retail.

In line with the improvement of the sanitary situation in China, the island of Hainan has been free of COVID-19 for more than six months and is becoming an increasingly attractive tourism and leisure destination for Chinese consumers. The opening of large-scale duty free facilities in Hainan is a testament to China’s efforts to re-balance its economy from an export-driven model toward domestic consumption.

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