Flemingo Group
One of Flemingo’s strong suits has always been liquors; pictured is the company’s operations in Nairobi, Kenya
The Spirits section at Flemingo's departures store in Chennai, India
shop development, ensuring expansion objectives are met and ensuring that shops are opened quickly to the standards required. “We have put together manuals on where to source shop equipment in each market so that we have a formula in place for any new business opportunities,” Topping says. “Nonetheless, Flemingo has proven that it can move very quickly and allocate resources where they are needed.” Of course, being fast on its feet and getting stores up and running in record time has always been one of Flemingo's strong suits, especially in emerging markets. Topping chalks this up to a move away from the centralized business model and a concentration on having the right people in key positions in every region where the group operates. And speaking of emerging markets, it's clear that Flemingo is a pioneer, especially in India. The company is also a major shareholder in a duty free operation in Poland, which has effectively allowed it to make the move into Eastern Europe. This has opened up developments in the Ukraine and Romania as well. Of course, there's also the highly successful joint venture in Mumbai, India's second-largest airport, with DFS. Additionally, Flemingo bought into a business in Turkey that is predominantly inflight. The company's view, says Topping, is that there is a lot of potential in getting into other travel retailing, such as border shops, from this foothold in Turkey. “We have a mas46
sive distribution operation in Dubai and obviously Dubai must be the base for whatever may happen in the Middle East and Africa,” Toppings explains. “Having these regional centers and strengthening them will allow us to branch out into new regions such as Africa, where we already have 45 shops in 18 countries. However, there are so many more locations and countries to go for.” Indeed, Flemingo defies a lot of the traditional classifications used in the industry; the company seems to be at a point in its evolution where it possesses some important attributes of both big and small duty free operators that will likely pave the way for numerous future successes. Flemingo has proven its willingness to partner with likeminded companies in Mumbai, while at the same time having the skill set to go it alone in other operations like Sri Lanka. Furthermore, Flemingo still sees the potential in working with smaller airport operators who appreciate its wealth of experience, specialized knowledge and ability to offer a range of retail and catering options.
GULF-AFRICA DUTY FREE & TRAVEL RETAILING OCTOBER 2012
“For smaller airports we really want to be able to give them the whole gamut of services, from retailing to catering, and this is a very big consideration for emerging markets and smaller airport owners,” explains Topping. Of course, Flemingo understands that looking closely at both strengths and weaknesses is needed to reach the next level. While traditionally very strong in spirits and confectionary, Topping says that more work needs to be done in areas such as perfumes and cosmetics, for example. “This is largely due to Flemingo's history of mainly having shops that measure less than 200 square meters and liquor being 60% of the sales mix. Today, however, if you look at the offer in many of our polish shops—some of them over 500 square meters—you will see a very competitive perfumery offer.” Flemingo will be unveiling its new strategy this week at TFWA WE during a one-hour press conference that will include a special guest and an open boat welcome to suppliers and friends of the company. “There is plenty of potential out there, particularly in emerging markets, which is one of Flemingo's key strengths and proven skills,” Toppings concluded. “We're looking forward to showing attendees at this year's exhibition Flemingo’s new look, its new team and our desire to c reach the next frontier.”
A car giveaway promotion tied in with the popular sport of cricket in Flemingo’s Departures location in Sri Lanka