GTR_SOTA-2025-print by Paramount Publishing Ltd.

No One Needs to Know You Bought This at the Airport

Leading the travel experience revolution together.

MARCH 2025 · VOL 33 · NO 1

Global Travel Retail Magazine (ISSN 0962-0699) is published seven times a year by Paramount Publishing Company Inc. The views expressed in this magazine do not necessarily reflect the views and opinions of the publisher or the editor. March 2025, Vol 33. No. 1. Printed in Canada. All rights reserved. Nothing may be reprinted in whole or in part without written permission from the publisher. Paramount Publishing Company Inc.

GLOBAL TRAVEL RETAIL MAGAZINE www.gtrmag.com

PUBLISHER

Aijaz Khan aijaz@globalmarketingcom.ca

EDITORIAL DEPARTMENT

EDITOR-IN-CHIEF Hibah Noor hibah@gtrmag.com

DEPUTY EDITOR Laura Shirk laura@gtrmag.com

SENIOR EDITOR Wendy Morley wendy@gtrmag.com

SENIOR WRITER

Alison Farrington alison@gtrmag.com

ART DIRECTOR Jessica Hearn jessica@globalmarketingcom.ca

ADVISORY BOARD

Gary Leong Thomas Henningsen

CIRCULATION & SUBSCRIPTION MANAGER accounts@globalmarketingcom.ca

A time of recalibration

The travel retail landscape in 2025 presents a study in contrasts. While passenger numbers have rebounded impressively through 2024, the industry faces challenges in converting this traffic into sales. The disconnect between footfall and spend tells a deeper story about changing consumer behaviors and economic pressures that continue to shape our industry.

Along the US-Canada border, retailers face a perfect storm of challenges. The combination of a weakened Canadian dollar and growing political tensions has hit border stores particularly hard, just as they were regaining momentum after the extended COVID shutdown period.

Yet amid these challenges, innovation and adaptation flourish. In North America, Avolta’s pioneering work in hybrid retail concepts is redefining the airport shopping experience, while ARI’s transformation of its Edmonton stores showcases how local culture and sustainability can reshape the travel retail experience. Infrastructure development remains robust, with DFW Airport’s ambitious expansion plans setting the stage for future growth.

In Latin America, Top Brands’ strategic expansion in Chile signals confidence in market potential, while Essence Corp strengthens its Caribbean presence through strategic distribution partnerships, notably with the successful launch of Fenty Beauty.

Spending patterns may be shifting, but brands and retailers that focus on exclusivity, authentic storytelling, and innovative retail experiences are finding new paths to growth. The cruise retail sector, led by Starboard and Harding+, is elevating the onboard shopping experience through personalization and immersive brand storytelling, while industry voices highlight the critical need to attract younger travelers to address persistent penetration challenges. Premium spirits, particularly tequila, continue their remarkable trajectory, with Fraternity Spirits and Cincoro capturing new markets globally.

The industry’s resilience through recent years has proven that challenges often catalyze positive change. As we navigate through 2025, the ability to adapt while maintaining core value propositions will be key to capturing opportunities in this evolving landscape.

As our community comes together at the Summit of the Americas in Miami, we’ll have the chance to strengthen the personal connections and collaborative spirit that have always been our industry’s greatest strength. These face-to-face meetings, where ideas are shared and partnerships forged, remind us that beyond the numbers and strategies, it’s the people who drive our industry forward.

Kindest regards,

HIBAH NOOR Editor-in-Chief hibah@gtrmag.com

L’ORIGINALE

THE NEW EAU DE PARFUM

WHERE WILL IT TAKE YOU ?

WHAT’S INSIDE

20 Features

RETAILERS

20 Revolution in motion

From innovative hybrid concepts to sustainable practices, Avolta’s recent contract wins showcase its vision for transforming the North American travel experience

26 Strategic growth

Growing Latin America-based travel retailer Top Brands expands its footprint with the acquisition of prominent Chilean duty free store

28 Creating joy

ARI’s newly refurbished Edmonton Duty Free stores bring local culture and history to life while delivering on the company’s “Joy On Your Way” promise

ASSOCIATIONS

32 Evolution in Miami

As the travel retail industry continues to evolve, Summit of the Americas adapts its format to meet changing needs, emphasizing education and networking alongside a focused exhibition space

36 Next for ASUTIL

This year’s ASUTIL Conference is set to take place against the backdrop of the grand opening of Lima’s renovated airport terminal; Global Travel Retail Magazine speaks with ASUTIL Secretary General Carlos Loaiza-Keel

We’re the reason they arrive early.

Our unique offerings excite travelers, creating experiences they’ll remember.

AIRPORTS

38 DFW’s vision to transform travel

Covering modular construction, its path to net zero and major development plans, we scratch the surface on Dallas Fort Worth International Airport’s “DFW Forward” and vision for the future

CRUISE REPORT

50 Guest-centricity in cruise

With over 300 shops across more than 85 ships, Harding+’s guestcentric strategy is on course to deliver a record-breaking year for the specialist cruise retailer

56 EDITOR’S CHOICE

A collection of favorites from participants at Summit of the Americas

58 GUEST COLUMN

With a mere 15% of travelers entering airport stores, Duty Free Global’s Barry Geoghegan warns the industry must radically reinvent itself to capture the attention and spending power of Generation Z

BEAUTY

60 Strategic vision

Essence Corp demonstrated its resilience in 2024, maintaining growth momentum despite facing regional headwinds and market uncertainties

TOBACCO & SPIRITS

62 Seven decades of flavor

As Marlboro marks its 70th anniversary, Janet Santana, Director & General Manager, Altria International Sales, reflects on the brand's enduring legacy in U.S. duty free, celebrating its iconic status while introducing exclusive offerings that honor this milestone for adult smokers

68 Limitless legacy

CVH Spirits has partnered with Blue Caterpillar to bring its legendary Scottish single malts Bunnahabhain and Deanston to Americas travel retail, showcasing centuries of tradition and distinctive taste profiles alongside groundbreaking sustainable production methods

72 Premium innovation

With the global surge in premium tequila driving strong growth, Fraternity Spirits expands its international footprint while staying true to its heritage roots

74 A premium portfolio

Strategic portfolio expansion and next-generation focus drive Americas travel retail growth as MONARQ strengthens market position through premium partnerships and innovative offerings

CONFECTIONERY & FOOD

76 Cause for celebration

In this Confectionery & Food Report, Global Travel Retail Magazine hears from confectionery players Kellanova and Perfetti Van Melle about permissible indulgence and the category’s rule rebellion trend

The Big Apple?

Or The Windy City?

Our customers don’t have to choose, they can find us in both locations.

Fraport wins 23-year BWI contract for entire concession program

In a strategic move that signals major changes ahead for Baltimore/Washington International Thurgood Marshall Airport (BWI), Fraport Baltimore Partnership LLC has secured a 23-year contract to manage and develop the airport’s entire concession program. The Maryland Aviation Administration (MAA) awarded the contract following a competitive solicitation process by the Maryland Department of Transportation (MDOT), positioning Fraport to reshape BWI’s retail and dining landscape.

The partnership brings together Fraport USA’s extensive airport retail expertise with Ernst Valery Investment Corporation’s (EVI) local development capabilities. This combination aims to deliver what Maryland Transportation Secretary Paul J. Wiedefeld describes as the airport’s signature “Easy Come, Easy Go” service standard. “Members of the partnership have decades of experience successfully managing concessions programs at BWI Marshall and other major US airports,” Wiedefeld notes. “Thanks to the Board of Public Works, approval of this contract will keep Maryland at the heart of BWI Marshall’s food and retail scene, grow the state’s economy and provide opportunities to uplift communities.”

The scope of the project encompasses over 118 concession spaces, presenting an opportunity to reimagine the airport’s commercial offering.

This contract builds on Fraport’s established presence in airport retail management. As a global operator active in 30 airports across four continents with over 20,000 employees, the company brings substantial operational expertise to BWI. The organization pioneered the independent operator model in North America, which has driven higher per-passenger spending and increased customer satisfaction in national surveys.

Canadian land border duty free stores struggle to compete with US retailers

Frontier Duty Free Association (FDFA) recently released a report showing that Canadian land border duty free stores are unable to compete with US retailers due to unnecessary red tape, unfair regulations, and misapplied policies. FDFA is the national association representing Canada’s 32 land border duty free shops. Its mandate is to promote the development and success of the land border duty free sector by acting as a voice, advocate, and business resource for members.

The association is calling for urgent government action to level the playing field, remove the regulatory burdens, and safeguard the survival of these vital businesses. Immediate steps can be taken to support the industry and ensure its competitiveness.

“The Canadian land border duty free industry plays a pivotal role in supporting border communities, promot-

ing Canadian-made goods, and contributing to Canada's economy,” said Tania Lee, FDFA President.

“However, our businesses are at a distinct disadvantage due to domestic policies that are not similarly applied to US duty free stores and US retailers. By taking immediate action to eliminate red tape and adjust regulations, our businesses could compete with and thrive like our American counterparts.”

From launching new local brands to reimagining 118 concession spaces, Fraport Baltimore Partnership LLC aims to transform the passenger experience at BWI Marshall Airport

Mexico City Airport plans US$392 million upgrade ahead of FIFA World Cup 2026

Mexico City International Airport (Aeropuerto Internacional Benito Juárez) will undergo a comprehensive US$391.7 million renovation ahead of the FIFA World Cup 2026, according to an announcement at President Claudia Sheinbaum's recent press conference.

The project, overseen by the Mexico City Airport Group (GACM), will encompass both terminals along with runway improvements and control tower upgrades. Work is scheduled to be completed by May 2026, ahead of the FIFA World Cup kickoff in June.

Admiral Juan José Padilla Olmos, GACM's general director, said Navy Minister Raymundo Pedro Morales Ángeles has directed the organization to ensure AICM becomes a "worthy representative of Mexico" during the tournament. The navy took control of the airport's operations in a previous reorganization.

The investment reflects Mexico's broader preparations for co-hosting one of the world's largest sporting events, with improvements targeting both aesthetic and functional aspects of the airport's infrastructure.

Mexico City's Aeropuerto Internacional

will undergo a substantial upgrade in time for the 2026 FIFA World Cup

Duty Free Americas hosts “extraordinary” 10th annual Golf Day

Duty Free Americas (DFA) is celebrating the “extraordinary” success of its 10th annual DFA Charity Golf Tournament, held on Thursday, February 6, at the Trump National Doral Golf Club in Miami.

This highly anticipated, sold-out event united a recordbreaking 400 friends, colleagues, and suppliers from

the global travel retail industry, raising an impressive US$500,000 in support of Joe DiMaggio Children’s Hospital, a renowned leader in pediatric care located in Hollywood, Florida, where DFA’s world headquarters is located.

The tournament featured an 18-hole scramble competition, alongside a tennis tournament and a relaxing spa day. The event culminated in an evening reception with cocktails, dinner, a silent auction and a raffle, all contributing to the remarkable fundraising total.

Jerome Falic, CEO of DFA and Principal of the Falic Family Foundation, said, “It is truly inspiring to witness the global travel retail community come together year after year in support of such an important cause. This 10th annual milestone event underscores our shared commitment to making a meaningful impact to communities worldwide.”

The charity event raised an impressive US$500,000 in support of Joe DiMaggio Children’s Hospital in Hollywood, Florida

Benito Juárez

Moroccanoil launches debut fragrance

L'Originale Eau De

Parfum

Moroccanoil launches its first-ever fine fragrance, L’Originale Eau de Parfum. This transportive fragrance captures the essence of a luxuriant escape—blending sweet florals, velvet woods and spicy amber.

To mark this iconic launch, Moroccanoil has signed on American actress, Adria Arjona, as the muse of the advertising campaign. According to the team, Arjona grew up immersing herself in new cultures through travel and brings her unique blend of elegance, authenticity, adventurous spirit and global appeal to the brand.

The stunning visuals, shot in Puglia, Italy, by renowned photographer Mikael Jansson transport viewers on a journey to explore pockets of paradise that hold the secrets of the Mediterranean.

This transportive fragrance captures the essence of a luxurious escape; American actress Adria Arjona stars in the advertising campaign

Cartier reaches airport expansion milestone with LAX boutique debut

Cartier, in partnership with DFS Group, opened its inaugural airport boutique on the West Coast of the US at Los Angeles International Airport (LAX) on January 31.

The boutique is said to reshape the luxury airport retail experience through an enhanced concept, featuring interior design elements reflective of the multi-faceted city.

With a global presence of 24 boutiques in 19 major airports, this latest addition signifies Cartier’s commitment to bolstering a leading global airport network, connecting luxury travelers with authentic and meaningful experiences at major airports around the world.

In line with its global airport expansion initiative since 2020, Cartier has strategically positioned itself in key international airport locations across the Americas, Asia, Europe and Oceania. The initiative also sought to re-imagine a new vision of Cartier airport boutiques into highly curated spaces dedicated to expressing the creativity and elegance of the Maison, while emphasizing sustainability which includes working towards achieving LEED certification.

Cartier opens with DFS Group at Los Angeles International Airport

Petrina Kho and Pat Molloy join IAADFS Board of Directors

The International Association of Airport and Duty Free Stores (IAADFS) has announced the appointment of two new members to its Board of Directors.

Petrina Kho, appointed as Managing Director of L'Oréal Travel Retail Americas effective January 1, joins the Board to complete the term of her predecessor, Julia Seve, and will serve on the Board through June 2026. Pat Molloy, Senior Vice President of Harding+ US, was recently appointed to a new seat on the Board and will serve through June 2026 as well.

Rene Reidi, IAADFS Chairman, commented, “We’re excited to have Petrina and Pat as the newest members of our Board of Directors. They both bring extensive expertise to our Board and will be valuable contributors as we chart the organization’s course going forward.”

Michael Payne, IAADFS President & CEO, added, “We are pleased to have Petrina on the Board continuing

L’Oréal’s participation, and it’s exciting to have Pat join us representing Harding+. We look forward to benefiting from their perspectives and expertise.”

The Somerset Toiletry Company partners with International Brand Builders Inc

The Somerset Toiletry Company is strengthening its presence in Latin America and the Caribbean through a new partnership with International Brand Builders Inc (IBBI).

This strategic expansion aims to enhance brand visibility, particularly in the travel retail sector.

For over 26 years, The Somerset Toiletry Company has been crafting high-quality, sustainably sourced, and cruelty-free products, which are now distributed in more than 50 countries worldwide. With design at the heart of the business, the company’s in-house creative team ensures each product is beautifully packaged to reinforce its reputation for excellence.

Having operated in the Latin American beauty market for over a decade, the company has established strong partnerships in key markets such as Dominican Republic, Guatemala, Costa Rica, El Salvador, Chile and Uruguay. Its products are available in major retail outlets, including department stores, pharmacies, drugstores and duty free shops. The collaboration with IBBI marks an exciting step forward in expanding the brand’s footprint in travel retail.

The Naturally European collection offers a range of luxurious body care and home fragrances

Petrina Kho (left) and Pat Molloy join IAADFS Board of Directors

Gateway to growth

From the Amazon to the high seas, Avolta is crafting a bold vision for travel retail across Latin America

by HIBAH NOOR

In the heart of the Amazon, a retail revolution is taking shape.

As Avolta’s first integrated duty free and duty paid store opens its doors at Manaus Airport, it marks more than just another pin in the company’s expanding map – it represents a carefully orchestrated strategy to redefine travel retail across the Americas.

“The Avolta team continues to work in close collaboration with key airport partners, as we work towards broaden-

ing our presence in airports in which we operate, as well as maximizing the potential offered by new locations,” says Enrique Urioste, Avolta President & CEO, LATAM & Caribbean. This methodical approach is already bearing fruit, with robust growth in passenger spend and notably improved customer satisfaction levels.

The Manaus opening, with three additional locations set to complete in Q1, isn’t just about expanding square

footage – it’s about reimagining what an airport store can be in one of Brazil’s most culturally significant regions.

Beyond borders

As Brazilian travelers increasingly embrace retail opportunities during trips between Mercosur countries, the border store market is entering a new

Enrique Urioste, President & CEO LATAM & Caribbean, Avolta

A celebration of Mexico's spirits heritage: The tequila and mezcal section at Los Cabos Airport invites travelers to explore the country’s most iconic beverages

phase of maturity. This evolution is particularly evident in the southern regions, where cross-border shopping has become an integral part of the travel experience between Brazil, Argentina, Paraguay and Uruguay.

Yet Avolta’s vision extends far beyond traditional retail metrics. In developing markets like Brazil, the company has pioneered a different kind of investment – one measured in human capital rather than just financial returns.

“For more than 20 years, Avolta has been sponsoring a social promotion program in Rio de Janeiro aimed at

improving the skills of young people and hence improving their employability,” Urioste explains. This initiative, which provides education and training to young adults from communities surrounding RioGaleão Airport, has proven so successful that it’s now being replicated at Sao Paulo Guarulhos International Airport in partnership with the airport team and JTI.

Digital horizons

Throughout Latin America, and particularly in Brazil, arrival duty free stores have long been crucial revenue genera-

tors. But Avolta is transforming these traditional retail spaces with a suite of digital innovations that are reshaping the customer journey.

From Reserve and Collect services to pre-payment options and home delivery, these digital touchpoints are driving both penetration rates and average ticket values. The company’s loyalty program, Club Avolta, has found particularly fertile ground in Brazil, where participation rates rank among the highest globally.

This digital transformation goes beyond mere convenience features.

Bold colors and dynamic displays bring energy to Avolta’s Mexico City location, where traditional retail meets digital innovation

“These types of technology are central to Avolta’s overall strategy as they help us to enhance the customer journey by delivering seamless, tailored, and efficient experiences,” Urioste explains. “AI can analyze customer data to provide more personalized recommendations, and it can help us adapt our offer to suit local preferences.” The integration extends throughout the shopping experience: “We are also able to integrate in-store and online channels to offer the convenience of pre-ordering, and selfservice checkouts, while targeted notifications and digital tools help to drive engagement and sales. Together, these technologies bridge the gap between physical and digital retail, aligning with Avolta’s mission to innovate and to make travelers happier.”

Spirit of place

Nowhere is Avolta’s commitment to local authenticity more evident than in

its Manaus Airport development.

As a gateway to the Amazon, these stores demand a different approach –one that honors the region’s cultural heritage while advancing modern retail practices.

“First and foremost, Avolta is committed to incorporating cultural and sustainability themes into our business operations in Brazil,” Urioste says. “By aligning our store designs with the spirit of the Amazon, we aim to create a sense of place that resonates with both local and global travelers, and in turn, inspires meaningful connections and increased levels of environmental awareness.”

Setting sail

Avolta’s growth story isn’t limited to airports. “Since the creation of Avolta, we have continued to consolidate and expand our cruise business, with a strengthened partnership with Norwe-

gian Cruise Line (NCL) as a cornerstone of our strategy,” says Urioste. After successfully transitioning operations on four ships from previous operators last year, Avolta is now preparing to open stores on four brand-new ships between 2025 and 2027.

This maritime expansion aligns perfectly with Avolta’s broader vision. “The development of our F&B and convenience business is an intrinsic part of our Destination 2027 strategy and is particularly relevant in Brazil,” Urioste notes.

“Avolta, as the evolution of Dufry and Autogrill, combines the strengths of both travel retail and F&B to redefine the travel experience,” he continues.

“Our cruise partnerships are a testament to the unique benefits we offer through our focus on innovation, operational excellence, and traveler engagement.”

Clean lines and contemporary design define the beauty retail experience at Santiago de Chile Airport, where Avolta has created a sophisticated space for global cosmetic brands

Revolution in motion

From innovative hybrid concepts to sustainable practices, Avolta’s recent contract wins showcase its vision for transforming the North American travel experience

by HIBAH NOOR

The landscape of airport retail and dining in North America is undergoing a significant transformation, with Avolta leading the charge through its multiformat approach spanning duty free, convenience retail and food & beverage operations.

The company’s recent string of contract wins throughout the US in 2024 demonstrates its innovative vision, with programs that integrate all three business lines – duty paid, duty free and food & beverage – to create comprehen-

sive passenger experiences.

“The concessions programs we’ve recently created are unlike anything we have ever done, and this is what has driven this success,” says Steve Johnson, President & CEO, North America, Avolta. “Some of the contracts are especially notable as they include all three lines of our business, because airports are embracing our vision and ability to deliver duty paid, duty free, and food & beverage together to enhance the travel experience while empowering travelers to choose their own journey.”

Passenger-centric approach

At the core of Avolta’s strategy is a focus on anticipating and exceeding traveler needs. “One of our core values is to design concessions programs that place travelers at the heart of every decision, not only addressing their current needs but proactively anticipating and shaping the future of their journey. We are driving the evolution of our industry,” Johnson explains.

The company’s commitment to innovation kicks into high gear in 2025 as it continues executing its Destination 2027

Steve Johnson, Avolta’s North American President & CEO

The new Fannie May boutique at Midway International Airport showcases the beloved local brand’s premium chocolates

strategy. New developments will include groundbreaking hybrid concepts alongside partnerships with local brands, artisans and indigenous peoples to create authentic sense of place. These will be complemented by enhanced digital engagement and experiential moments.

Sustainable foundations

“Sustainability is a cornerstone of our Destination 2027 strategy, reflecting our unwavering commitment to creating sustainable travel experiences across our business,” says Johnson. “It’s not just a priority, it’s embedded in our culture, driving operational decisions, reducing environmental impact, and fostering long-term responsibility.”

This commitment starts with the supply chain, where over 75% of North American suppliers are certified under Avolta’s code of conduct. Through strategic consolidation of transportation routes and resource management, the company has reduced its carbon footprint across multiple business lines.

In retail operations, the introduction of reusable, recyclable shopping bags has eliminated 20 million plastic bags annually. The company’s HMSHost restaurant division has achieved notable milestones, including 98% certified coffee sourcing, over 90% cage-free eggs, and 65% sustainable pork sourcing. The food service operation’s donation program provided more than 350,000

meals to local charities last year while diverting waste from landfills.

Avolta’s sustainability vision extends to infrastructure development, where LEED-certified design and construction teams incorporate eco-conscious solutions from the ground up. New projects feature innovative materials like recycled glass tiles, ultra-low flow fixtures, and Energy Star commercial

A place for travelers to unwind at Charlotte Douglas International Airport’s OMB Biergarten, where local craft beer meets authentic German fare in Avolta’s latest dining concept

Shake Shack’s modern roadside burger stand concept lands at St. Louis Lambert International Airport, serving up their signature ShackBurgers to hungry travelers

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appliances, emphasizing water conservation and energy efficiency throughout.

Operational excellence meets innovation

The company’s success stems from decades of operational expertise that enables the design of concepts perfectly suited to the unique airport environment. “Our concessions programs are meticulously tailored to each venue,” Johnson emphasizes. “We take into account passenger demographics, airport goals, and operational logistics to ensure every concept is both groundbreaking and highly functional.”

This approach is seen in how Avolta treats each space as a blank canvas, considering multiple factors including the specific airport environment, concourse layout, airline mix, passenger dwell time and evolving traveler needs. “By combining our deep understanding of airport operations with a culture of con-

tinuous improvement, we create ideal commercial offerings in partnership with our landlords,” Johnson explains.

Digital engagement and artificial intelligence are playing an increasingly important role in Avolta’s operations, though Johnson emphasizes that technology serves to enhance rather than replace human interaction. “For us, digital engagement like AI, is a tool that works alongside human engagement,” he says. “The human experience remains critical to the guest experience, and digital engagement simply enhances that relationship, allowing our team members to focus on meaningful personal interactions with travelers.”

Pushing boundaries

Projects like the new JFK Terminal 6 showcase Avolta’s innovative approach, balancing creative concepts with operational demands.

“Our Prohibition-style speakeasy

is a prime example of pushing the boundaries of travel retail and redefining the food and beverage experience. This innovative concept not only captures travelers’ imaginations but also enhances their journey, creating memorable moments in transit,” Johnson notes.

Looking ahead, Avolta sees significant potential in hybrid store concepts that blend retail and dining experiences. The company is preparing to launch several innovative hybrid locations, including an Eataly at JFK combining full-service dining with retail elements, and a Starbucks market concept at Sacramento International Airport.

“Hybrid stores will continue to evolve for years to come, shaped by the unique needs of travelers,” Johnson says. “Looking ahead, hybrid concepts will evolve to include multiple categories, like the Eataly location we will open in JFK, which includes a full-service restaurant, convenient and fast grab-and-go options, and a retail component.”

These hybrid destinations aim to attract diverse traveler segments while increasing footfall and creating more dynamic passenger experiences. The model represents Avolta’s broader vision for airport retail and dining – one that seamlessly integrates different commercial offerings to enhance the overall travel journey.

Independent bookseller Green Apple Books brings San Francisco’s literary culture to Harvey Milk Terminal 1, creating a peaceful haven for passengers seeking their next great read

Luxury meets innovation at Toronto Pearson’s new DIOR boutique, where Avolta’s travel retail expertise creates an elevated shopping experience

Strategic growth

Growing Latin America-based travel retailer Top Brands expands footprint with acquisition of prominent Chilean duty free store

by HIBAH NOOR

As the newest in Top Brands International’s series of major strategic moves, the company has announced the acquisition of Mega Shopping, a prominent 1,200-square-meter duty free store in Iquique, Chile from the Vierci Group.

Mega Shopping, which stands as the largest and most important duty free shopping destination in the region, will be rebranded under Top Brands’ retail chain brand LURYX, which already maintains a strong presence in The Zona Franca de Iquique (ZOFRI) with 13 existing stores.

Premium experience

The newest acquisition represents a strategic expansion of Top Brands’ footprint in Chile’s duty free retail sector, adding

Top Brands International continues to strengthen its Latin American presence, systematically acquiring significant operators across the region under its LURYX retail brand

to the company’s growing portfolio of premium retail locations across Latin America. The Mega Shopping operation has built a strong reputation in Iquique for its extensive range of product categories and a premium shopping experience.

The Panama-headquartered company has been aggressively expanding its presence in Latin American travel retail through strategic acquisitions of major regional players. In 2019, Top Brands acquired Neutral Duty Free, Uruguay’s largest duty free chain, adding nine border stores across six cities along the Uruguay-Brazil border to its portfolio.

The company further strengthened its position in 2020 by securing a 10-year exclusive contract to operate

duty free stores at Silvio Pettirossi International Airport in Asunción, Paraguay, where it developed state-of-the-art retail spaces including a 1,300-square-meter walk-through store in departures and a 500-square-meter store in arrivals.

Transition strategy

As part of the transition plan for Mega Shopping, Top Brands is developing a comprehensive marketing strategy to convert Iquique-visiting tourists into loyal customers. The company also plans to launch an e-commerce platform to provide a seamless omnichannel shopping experience.

“As part of this exciting transformation, we are proud to feature exclusive brands, including the internationally

renowned Mango franchise, along with many other premium brands available only at LURYX,” the company stated in its announcement. “Our diverse selection ensures that we cater to a wide range of tastes and preferences, offering something special for every shopper.”

The acquisition of Mega Shopping marks another significant step in Top Brands’ regional expansion strategy. Through these calculated moves, including the addition of this key Chilean location, the company continues to strengthen its position as an increasingly dominant force in Latin American travel retail, systematically acquiring significant independent operators and securing prime retail locations across the region.

As part of the transformation, the new store will feature many exclusive brands available only at LURYX

Creating joy

ARI’s newly refurbished Edmonton Duty Free stores bring local culture and history to life while delivering on the company’s “Joy On Your Way” promise

by HIBAH NOOR

ARI has unveiled its newly refurbished Edmonton Duty Free stores, bringing an elevated travel retail experience to Edmonton International Airport (YEG). Located in both the DomesticInternational and US Departures lounges, the stores showcase Edmonton’s rich cultural heritage while offering a carefully curated mix of international and local brands. The January 2025 opening marks a significant milestone in ARI’s commitment to creating worldclass retail experiences across its global locations.

Bringing the city to life

The store design elevates local elements far beyond simple decorative touches. “The team have done a great job of capturing the essence of Edmonton across the new stores. For ARI, sense of place is not just about adding a few local features – it encapsulates the entire retail experience, from store design to our product range to our local, expert sales professionals,” says Katherine Sullivan,

Head of Marketing and Visual Merchandising at ARI North America.

The emphasis on local identity appears throughout the store environment. A vintage photo of Jasper Avenue, Edmonton’s historic main street, offers travelers a glimpse into the city’s past, while the store’s extensive greenery pays tribute to North America’s largest urban park, the Edmonton River Valley. The replica dinosaur fossil is suspended from the store ceiling in homage to Edmonton’s history of dinosaur discoveries. These carefully chosen elements transform the retail space into a celebration of Edmonton’s heritage, creating what Sullivan describes as “moments of discovery” that compel passengers to explore the stores.

Understanding the customer

Local partnerships form a key part of the retail strategy, including Edmontonbased Strathcona Spirits Distillery, which harvests wheat just outside the airport. “The extensive offering of premium and international brands is

complemented by a carefully curated range of local brands to offer customers an authentic taste of Edmonton,” Sullivan says. This includes products from Canadian hockey legend Wayne Gretzky’s brand, celebrating his connection to the city through the Edmonton Oilers.

The stores’ product mix has been carefully tailored to match traveler demographics. “The passenger profile at Edmonton International Airport is mostly locals, escaping the cold Canadian winter in search of sun destinations such as Hawaii and Las Vegas. We also see a lot of cross-border US traffic through the airport,” Sullivan notes. This understanding of the passenger base has helped shape both the product selection and the overall retail strategy.

ARI executives and Edmonton International Airport leadership celebrate the grand opening of the newly refurbished duty free stores on January 22, 2025

Katherine Sullivan, Head of Marketing and Visual Merchandising at ARI North America

Customer engagement remains central to the retail strategy. “We host regular ‘Joy Day’ activations in the store, giving us the opportunity to surprise and delight customers, partner with local brands for in-store tastings and create unique experiences. We want every customer experience to be memorable,” says Sullivan. These activations serve as a key component of ARI’s “Joy On Your Way” brand promise, transforming routine travel retail into engaging experiences.

Sustainable operations

Sustainability guides all aspects of operations through ARI’s ESG strategy, which encompasses three pillars –People, Product and Planet. “We have certain sustainability criteria that all brands must meet in order to partner with us,” says Sullivan. “We also focus on supporting local brands, sourcing locally produced products with low mileage and a reduced carbon footprint.” This approach not only reduces environmental impact but also supports the local economy by offering smaller brands a global platform.

The commitment extends to daily operations, with concrete initiatives already in place, including plans to roll out new compostable reusable bags this year. The company’s sustainable approach extends to store design and fixtures, incorporating recycled materials and energy-efficient lighting throughout the space.

Digital innovation

The digital strategy focuses on creating seamless customer connections across multiple touchpoints. “Digital for us means a hyperconnected experience with the customer and convenient shopping facilities,” Sullivan explains.

“We have been focused on growing our social media presence, in particular Instagram, to engage with passengers before they ever enter the airport. It’s an important storytelling tool for us and gives us the opportunity to create a ‘shop window’ to our stores.”

Beyond social media, the stores offer Click and Collect service through their website and work closely with airport partners to reach customers via the airport channels, whether through targeted newsletters or social channels. This integrated approach ensures consistent communication with travelers throughout their journey.

The partnership between ARI and Edmonton International Airport represents a shared vision for elevating the travel retail experience. As noted by Carmen Donnelly, Vice President, Passenger Experience and Terminal Operations at Edmonton International Airport, at the opening of the renovated store, “YEG is a gateway to the world, and part of the travel journey is ensuring our passengers have the best experience possible.”

replica dinosaur fossil suspended from the store ceiling pays homage to Edmonton’s rich history of dinosaur discoveries, creating an “Instagrammable moment” for shoppers

As well as several home-grown, locally produced Edmonton brands, the stores also feature Liquor and Ice Wine ranges by Canadian hockey legend, Wayne Gretzky, synonymous with Edmonton from his time with the Edmonton Oilers

EVOLUTION IN MIAMI

As the travel retail industry continues to evolve, Summit of the Americas adapts its format to meet changing needs, emphasizing education and networking alongside a focused exhibition space

by WENDY MORLEY

The 2025 Summit of the Americas is tracking ahead of the same time frame last year when the final attendance number for the Summit was 1,200. The Association is preparing for a significant strategic shift, relocating to Miami with a reimagined format. Running from Saturday evening through Tuesday midday, this year’s event represents a calculated balance between exhibition space, educational content and networking opportunities.

The move to Miami responds directly to industry feedback and practical considerations, according to Michael Payne, President/CEO of International Association of Airport and Duty Free Stores (IAADFS). “The decision to go to Miami was based in large part on the feedback from membership and attendees. Miami has become a core location for numerous regional headquarter offices, plus

most people can all get there with nonstop flights.”

Caribbean buyer registration and participation from South America is expected to remain robust, though with some variations from previous years.

The new location brings practical benefits beyond convenience – many Miami-based companies can now participate without the logistical challenges of transporting large teams to other locations. “We have had feedback from several big exhibitor companies that are located in Miami that they would like the opportunity to be involved in the show and are but would prefer not to have to send staff to locations requiring travel costs,” says Payne.

Education takes center stage

The 2025 Summit features five distinct educational sessions, starting with a Sunday morning plenary session. The

program includes focused discussions on the cruise industry, particularly relevant given Miami’s status as a global cruise hub, and airport-specific sessions featuring ACI North America and ACI Latin America representatives.

Monday’s schedule delves into buying power and demographic trends, with sessions aimed at improving sales and penetration rates in stores. Another session will explore revenue streams and airport partnerships, reflecting the industry’s broader scope beyond traditional duty free retail.

Exhibition evolution

This year’s exhibition space, while more concentrated than in previous years, sold out quickly in November with just over 50 exhibitors. The spirits category maintains a strong presence, with major players like Diageo and Pernod Ricard participating through meeting rooms.

This year’s Summit of the Americas features several educational sessions over two days, covering plenary discussions, cruise industry insights, airport operations, retail demographics and revenue partnerships

content sessions. They might have staff that would never have been sent to the show before because it wouldn’t have made sense to pay for four nights in a hotel and plane tickets,” he says. This could provide companies an opportunity to expose more team members to the broader industry landscape while managing costs effectively.

Cruise industry focus

The Summit’s expanded focus on the cruise sector comes at a pivotal time, as more duty free operators extend their reach into cruise retail. A dedicated Sunday session will explore the evolving cruise industry landscape, particularly relevant given Miami’s position as the world’s cruise capital. “We hope that it will garner some attention from some of the local cruise industry folks,” says Payne, while acknowledging that cruise companies have their own industry events.

duty free operators increasingly seek opportunities across multiple retail channels.

Networking is the heart

A substantial networking lounge serves as the event’s centerpiece, providing a comfortable, always-open space for both scheduled meetings and impromptu discussions. This area is particularly valuable for industry newcomers looking to establish connections.

The format acknowledges the changing nature of business interactions, with the networking space designed to facilitate everything from formal meetings to casual conversations. Evening receptions further enhance networking opportunities, maintaining the social aspects that have become increasingly important to attendees.

The show also features confectionery and jewelry representation along with several new exhibitors.

The beauty sector’s relationship with the show has evolved significantly over the years. While long-time supporters like Essence Corporation maintain their support, many larger beauty houses have stepped back from traditional booth participation. This shift stems in great part from the substantial investment required to take part in a way they felt was appropriate for their brands. “For many of the larger beauty houses, the traditional trade show model requires a significant level of investment to maintain the brand presence and image they feel is necessary. It became a very expensive proposition for them,” says Payne.

The Miami location opens new possibilities for their engagement. With many beauty companies headquartered in the area, Payne sees potential for increased participation without the traditional exhibition model. “We’re hoping we’re going to get local attendance into the

“We’ve had a cruise session before and it was well received, and we got lots of feedback we need to do more of these,” says Payne. This increased emphasis on cruise retail reflects broader industry trends, as traditional

The 2025 event will test this new vision, balancing traditional exhibition needs with enhanced educational and networking opportunities in a location that puts it at the heart of the Americas travel retail industry. “We hope we’re providing what people have been asking for,” says Payne.

John McDonnell, Managing Director International Tito’s Handmade Vodka, is a long-time supporter of IAADFS and the Summit of the Americas

Networking is an important part of the Summit of the Americas, whether at the substantial networking lounge or events such as the opening cocktail, as seen here in 2024 with Diego Lord, Enrique Urioste and Peter Zehnder

Next for

ASUTIL

This year’s ASUTIL Conference is set to take place against the backdrop of the grand opening of Lima’s renovated airport terminal

by LAURA SHIRK

When asked about early lessons from his first year on the job, Carlos Loaiza-Keel, Secretary General at South America Duty Free Association (ASUTIL), explains more than any lessons he has gained confirmation of what made him accept the position in the first place. “ASUTIL is a great institution, with a strong focus, with committed board executives and members and with a team that works with principles and values of companionship and solidarity. In all this, I would like to acknowledge once again the role that my predecessor, José

Luis Donagaray, has played for so many years.”

ASUTIL Nexus to take Lima

Suffice to say, the team at ASUTIL is gearing up to host its annual conference in Lima, Peru (June 3 – June 6) at the Swissotel Lima. Described as a conference that embodies the convergence of innovation, opportunity and collaboration in duty free and travel retail, this year’s edition is set to take place against a truly transformative backdrop: the grand opening of Lima’s completely renovated airport terminal.

“On March 30, the New Lima

Airport will welcome passengers with a spectacular expansion, featuring 2,500 square meters of F&B space with 10 new restaurants and an impressive 4,000 square meters of duty free retail,” comments Conference Manager, Diego de Freitas. “This milestone is a major achievement not just for the airport, but for the entire region and the travel retail industry. We extend our congratulations to the New Lima Airport team on this incredible accomplishment and look forward to experiencing it firsthand

Thrill seekers take in a bird’s eye view of the city while paragliding along the coast of Miraflores in Lima

Carlos Loaiza-Keel, Secretary General, South America Duty Free Association

with the entire industry during ASUTIL Nexus 2025.”

According to de Freitas, this year, ASUTIL opened registration for its next conference earlier than ever before (on January 31). “This decision reflects the enthusiasm and demand from our community and is a testament to the event’s success. We’re also recognizing the loyalty of our 2024 participants by giving them an exclusive pre-sale window, reinforcing our commitment to those who make ASUTIL what it is,” he adds.

As it has in the past, the association will focus on fostering the right atmosphere for meaningful connections, where conversations naturally lead to new opportunities and connections. A line-up of speakers, which will be made up of both leaders within the industry, as well as globally renowned voices, is still to be announced.

“With the opening of Lima’s new

airport, an unmatched networking environment and a speaker line-up designed to inspire and engage, ASUTIL Nexus 2025 is shaping up to be an exceptional event,” says de Freitas.

LATAM market and challenges

Regarding the current state of the travel market in Latin America (LATAM), Loaiza-Keel cites m1nd-set data that shows the region experienced almost 7% air traffic growth in 2024 (versus 2023) and is expected to see more than 5% growth in 2025. This steady growth, combined with the performance of leading regional airports (Cancun, Mexico City, Sao Paulo, Bogotá, Santiago, Buenos Aires and Lima, among others) and LATAM’s border-free regimes, allows him to feel optimistic about the future of the travel retail industry.

“We saw a good performance in 2024 for the border regime across the region,

as we will discuss at the upcoming Lima conference,” says Loaiza-Keel. “It will be a year of significant advocacy challenges to continue to adjust the regulation of the regime in different countries (for example, in Uruguay, with a new government), but we are confident that we will have an excellent relationship with the authorities and that the rich work agenda we will maintain will be a success.”

Also on the conference agenda will be ASUTIL’s ongoing collaborative efforts with Duty Free World Council (DFWC) on tasks related to the control of the illicit tobacco trade. The World Health Organization recently commissioned a report on the relationship between the travel retail channel and the illicit tobacco trade. As noted by Loaiza-Keel, the DFWC has updated the report it prepared several years ago and compared it with reliable sources. “Our task this year will be to raise awareness of the fact that the duty free channel is not responsible for this pertinent issue, which our partners are openly and consistently fighting,” says Loaiza-Keel.

An evening shot of The Plaza Mayor, also known as the Plaza de Armas, in Lima; it is the main public square of the historic city center

DFW’S VISION TO TRANSFORM TRAVEL

Covering modular construction, its path to net zero and major development plans, we scratch the surface on Dallas Fort Worth International Airport’s “DFW Forward” and vision for the future

by LAURA SHIRK

With a price tag of US$1.6 billion, Terminal F will feature a 400,000-square-foot, linear-design concourse, a modernized baggage handling system and expanded concessions

Dallas Fort Worth International Airport (DFW) has begun work on its nearly US$9 billion capital improvement plan called “DFW Forward,” making it the airport’s largest capital investment since opening in 1974. “DFW Forward” includes more than 180 projects in various stages of planning, development and construction. According to the team, representative of DFW’s vision – Travel. Transformed., work will see monumental upgrades and expansions across terminals, roadway systems, airfield and infrastructure through 2029. With a lengthy “to do” list on the go, DFW Airport is set to add, rebuild or reconstruct a total of 52 gates.

Ranked third globally in terms of operations and passengers, DFW offers over 250 international destinations; it conducted 732,000 operations and served 86.9 million passengers in FY 2024. It is the world’s largest, and North America’s first, carbon-neutral airport.

Rebuilding Terminal C

The first phase of Terminal C’s reconstruction and expansion is already well underway, which features a pier-style expansion that will be home to nine new gates (adding a net gain of four gates to Terminal C). The expansion is being built via modular construction, a method that has proven to increase project and cost efficiencies, reduce

operational impacts, improve quality and provide flexibility. When ready, the modules will be transported across the airfield and installed into place. This will also be the case for the reconstruction of Terminal C and the building of Terminal F, as well as the Terminal A pier expansion.

Terminal C will be home to all-new facilities, including shops and restaurants, lounge space, check-in areas, security checkpoints and revamped restrooms.

“In partnership with American Airlines, DFW’s busiest and least-updated terminal is getting a complete overhaul – from curb to gate – with a total reimagining of the customer experience,”

reads “Going Monumental: A Guide to Construction and Capital Investments at DFW.” As noted in the brochure, reducing the number of view-blocking columns, raising the roof and installing new light-enhancing, energy-efficient windows will transform the terminal into a modern and spacious facility for decades to come. “This work will be done in phases to help reduce travel impacts and keep customers moving, and will be among the most complex projects that DFW undertakes in the coming years,” the source continues.

Putting the “F” in future

At the end of last year, DFW broke ground on its much-anticipated Terminal F. “The new Terminal F will expand the airport’s footprint with state-ofthe-art facilities that align with our first-in-class customer experience and operation as we support the historic rise in air travel to and from the North Texas region,” said Sean Donohue, DFW’s Chief Executive Officer in a press

release. “By utilizing modular construction techniques that we first pioneered with the High-C Gates, we will deliver Terminal F using technology at a scale that is unique among airport development projects.”

DeMetris Sampson, Chair of DFW Airport’s Board of Directors, added, “Terminal F has a key role in preparing for more historic growth on the horizon for both DFW Airport and the North Texas community. This new terminal will allow the airport to continue discovering new ways to care for our customers, inspire the future of travel, fuel our community with more jobs and create opportunities for businesses in our region.”

With a price tag of US$1.6 billion, Terminal F will feature a 400,000-square-foot, linear-design concourse, a modernized baggage handling system and expanded concessions. This program also involves a Terminal E expansion that will add over 100,000 square feet of new check-in, security

and baggage claim facilities dedicated to passengers flying to or from Terminal F. As revealed by the airport, passengers using Terminal F will check-in at Terminal E and connect between both terminals using a one-terminal transfer via DFW’s Skylink system, which will introduce a new station above Terminal F when the terminal is scheduled to open in 2027.

“Terminal F has been strategically designed for the future, setting DFW up for the ability to expand Terminal F with additional gates and other supporting facilities,” reads the release.

DFW Order Now service

At this time, the Concessions Development Team is assessing passenger interest to provide the most sought-after options for travelers in the terminal expansions and redevelopments.

Before arriving to the airport, customers can order from the concession of their choice on the DFWOrderNow. com website, on the DFW mobile app,

Terminal C pier expansion at DFW Airport

A look at the new and improved Pier C Gate Lounge; the pier expansion portion of the project is scheduled to be completed in 2026

or through kiosks. Additionally, modern Grab & Go spaces have been established throughout each of DFW’s five terminals and convenient self-checkout options have also been incorporated into customer options to further expedite the needs of DFW’s busy travelers.

Path to net zero

Also underway is the construction of a new Electric Central Utility Plant (eCUP), which will help DFW’s ambitious goal to achieve net zero carbon emissions by 2030 and build a sustainable and resilient future at the airport. The new facility, which will support the heating and cooling of all airport terminals, will be fuelled by electricity purchased by the airport that comes from 100% renewable sources. According to the team, it is on track to be used partially starting in Spring 2025.

Other major projects are in progress and coming soon:

• East West Connector Roadway:

A new east-west throughfare on the southside of the airport is under construction to connect Rental Car Drive to State Highway 360

• Southwest End-Around Taxiway Project: DFW’s third end-around taxiway is currently under a multi-phase construction program to further enhance the

Terminal C will be home to all-new facilities, including shops and restaurants, lounge space, check-in areas, security checkpoints and revamped restrooms

safety and efficiency of aircraft movements

• Fire Station Modernization Project: Two new fire stations are being built in central airfield locations on both sides of the airport that will maximize resiliency, minimize response time and improve efficiency and protection of essential equipment and personnel

CRAFTED IN THE NORTH

OVER 20,000 YEARS IN THE MAKING. WE ARE CANADA’S VODKA.

MAKING WAVES IN THE CARIBBEAN

A look at the state of travel and tourism in the Caribbean including top destinations, air connectivity and the cruise sector; plus, data from m1nd-set and ARI on consumer trends in the region

by LAURA SHIRK

The Caribbean saw growth across most key markets in 2024.

According to Caribbean Tourism Organization (CTO), during the first nine months of the year, the tourism sector demonstrated a strong recovery, with growth in both visitor arrivals and cruise visits. More specifically, year-onyear growth in tourist arrivals ranged from 0.3% to 29.4% and only three destinations recorded declines. Montserrat experienced the highest growth, with a 29.4% increase.

“Tourism continued to grow within forecast ranges throughout the first nine months of the year, driven by sustained strong travel demand from the United States and increasing demand from Canada. This growth was further supported by enhanced air connectivity, including new routes and increased flight frequencies, as well as diversification efforts aimed at reducing seasonality,” says Aliyyah Shakeer, Director of Research.

The Caribbean Rum Collection located in Runway Duty Free at Grantley Adams International Airport in Bridgetown, Barbados

Tourist arrivals

Between January and September, the region welcomed an estimated 26.0 million international tourist arrivals, marking a 6.7% increase compared to the same period in 2023. “The year-todate total arrivals not only surpassed all previous comparable periods, but also exceeded the benchmark year of 2019 by 5.9%,” states Shakeer.

With 13.0 million arrivals (an increase of 4.7%), the United States remains its largest source market at 50%. Canada made up 9% of visitors, with 2.3 million arrivals (an increase of 7.4%).

Drawing around 25% of the region’s total tourists, the Dominican Republic remains the top Caribbean destination, followed by Jamaica at approximately 9% and Cuba at around 7%.

“Tourist arrivals to the Caribbean in 2024 displayed a mix of recovery and growth, with most destinations seeing increases versus 2023. Smaller destinations typically experienced robust percentage growth, while larger destinations drew the majority of visi-

tors, though some still have not fully returned to pre-pandemic levels,” she adds.

According to the ACI World Annual Traffic forecasts, passenger traffic at Caribbean airports is expected to grow by 3.3% CAGR (Compound Annual Growth Rate) between 2024 and 2030; by 2.6% to 2040 and 2.3% to 2050. This includes traffic in Puerto Rico, which is dominated by flows to and from mainland United States.

Air connectivity

As shared by Shakeer, to continue tapping into the growing demand for multi-destination travel in the Caribbean, airlines and destinations need to focus on enhancing regional connectivity via numerous strategic initiatives. For example, she points out, establishing agreements to boost air services and reducing taxes on airline tickets would make intra-regional travel more affordable and accessible.

Shakeer explains, “Increased collaboration between airlines, governments and tourism authorities is crucial for

aligning regional carriers with international networks, ensuring smoother connections for travelers. Utilizing datadriven strategies to analyze past successes and failures will help refine these efforts while engaging finance ministers in strategic financial planning, which is essential for long-term sustainability.

“Operational improvements, such as extending airport hours to accommodate better flight schedules and introducing seasonal fares to encourage off-peak travel, would also further enhance connectivity. Harmonizing regulations across the region is also vital to streamline operations and reduce barriers to travel.”

With the aim to drive connection among more destinations across the Caribbean, particularly CTO member states, the CTO Airlift Committee, a sub-committee of the Board of Directors, was established in February 2024.

“A key aspect of airport management is route development, that is the efforts made by airports to develop existing services and attract new airlines or add new destinations. This is particularly

Hosting 3.3 million international travelers in 2024 (an increase of 13% versus 2023), Santo Domingo remains the number one Caribbean airport by air traffic

Between January and September, the Caribbean welcomed an estimated 26.0 million international tourist arrivals, marking a 6.7% increase compared to the same period in 2023

important in the Caribbean given the relatively small volume of traffic at most airports. Hence the reason why ACI is pushing for the liberalization of air services within the Caribbean as an essential tool to maximize the potential of each destination,” says Rafael Echevarne, Director General, Airports Council International – Latin America and Caribbean.

Passenger experience

The passenger experience, and more specifically, the immigration experience, is an important element of airports in the Caribbean, as it has a direct relationship with the overall impression and competitiveness of the destination. Echevarne reports that there is an increasing number of Caribbean countries implementing biometric border control processes and cites Aruba and Barbados as excellent examples of those using technology to expedite passenger processing. Paper-based customs forms are also being replaced with online systems.

Data for the first nine months of 2024 showed steady growth in the Caribbean’s cruise tourism sector, with each month outperforming the same months in both 2023 and 2019

Cruise tourism

The Caribbean experienced an increase of 11.1% in cruise arrivals from January to September last year, with an estimated 24.6 million cruise visits during this period. This figure represents a 12.4% rise compared to the same period in 2019.

“Preliminary data for the first nine months of 2024 showed steady growth in the Caribbean’s cruise tourism sector, with each month outperforming the same months in both 2023 and 2019. This highlights the sector’s ongoing recovery and expansion. Compared to 2023, growth ranged from 3.1% in March to 25.3% in July. Compared to 2019, the most significant growth occurred in March (20.7%), while January saw the smallest increase at 2.1%,” reports Shakeer.

Trinidad & Tobago saw the highest growth, with a 31.8% increase in cruise passengers (January – April). This was followed closely by Turks & Caicos with a rise of 29.7% (January – September).

Developments in Caribbean cruise tourism include new ships, ports, destinations and expanded offerings.

Notably, managed by Global Ports Holding, the Saint Lucia cruise port redevelopment project has launched, featuring an enhanced passenger experience, state-of-the-art facilities and new berthing capabilities for larger ships. Coming up, Carnival Cruise Line is set to open Celebration Key in July 2025, a major new cruise destination in the Bahamas with a strong culinary focus including multiple restaurants, food trucks, snack shacks and bars.

Duty free shopping

When it comes to the performance of airport duty free shops in the Caribbean, m1nd-set reports positive news. According to the travel research agency, the purchase rate in the region is 27%. Gen X shoppers (45 – 60 years) are the most likely to browse, but the least likely to convert into buyers; Gen Z shoppers (13 – 28 years) demonstrate the opposite behavior. “The challenge lies therefore in motivating the younger generation to browse airport stores in the first place,” the team says.

Below is a snapshot of the duty free channel in the Caribbean, as shared by m1nd-set:

• Confectionery and food (including chocolate) is the most purchased category at 33%, followed by alcohol (28%), perfumes (21%), tobacco (20%) and souvenirs and gift items (15%)

• While confectionery and chocolate ranks number one, only 6% of the wallet is dedicated to this category

• Duty free shoppers are open to buying never before purchased products (65%); products perceived as unique or exclusive to travel retail are of high interest

• The planning level of purchase is diverse with both generally planned shoppers (51%) and impulsive shoppers (27%) highly influenced by in-store elements and experiential retail

• A combination of elements motivates shoppers to make a purchase including good value for money (24%), along with more practical aspects such as convenience and time

• The top barrier to purchase among shoppers is the unwillingness to carry more (23%)

• Hosting 3.3 million international travelers in 2024 (an increase of 13% versus 2023), Santo Domingo remains the number one Caribbean airport by air traffic. With slightly more than 2.0 million international travelers, Havana Airport follows with an impressive 38% growth compared to 2024.

A word from ARI

Aer Rianta International (ARI) operates three duty free stores at Grantley Adams International Airport in Barbados. Nuno Amaral, Chief Operations and Business Development Officer at ARI, says the operator has seen a strong performance year-on-year with double digit growth versus 2023.

“A big focus for us – across all our operations – is on sense of place, ensuring that we can create an authentic and memorable experience for passengers. This covers the entire customer journey, from store design to brand and product assortment, complementing leading

international brands with the best of local.

“Barbados has such a diverse and colorful local culture, and the team expertly bring this to life in our stores. We have built a strong partnership with the airport, which is currently exploring options for the redevelopment of its passenger terminal. We’re excited to work collaboratively with them to develop our retail footprint in line with the airport’s commercial vision,” shares Amaral.

As one of the operator’s more seasonal locations, with travel peaks during the winter months of November to April, and again in the summer months of July and August, its team in Barbados is well positioned to maximize on growing footfall during peak seasons and convert more travelers into shoppers. ARI recently completed work on its new customer segmentation model as part of the Future Customer Initiative, which according to Amaral, ensures that ARI can be even more agile in tailoring its offering across each of its locations to meet specific passenger needs.

With 13.0 million arrivals (an increase of 4.7%), the United States remains the Caribbean’s largest source market at 50%

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GUEST-CENTRICITY IN CRUISE

With over 300 shops across more than 85 ships, Harding+’s guest-centric strategy is on course to deliver a record-breaking year for the specialist cruise retailer. Global Travel Retail Magazine talks to Chief Commercial Officer, Linzi Walker

by ALISON FARRINGTON

At Harding+, putting the cruise guest at the heart of the retail experience has always been the travel retailer’s priority. “We are experts in creating memorable shopping experiences at sea,” says Chief Commercial Officer, Linzi Walker. In 2025, Harding+ plans to elevate its focus on delivering more tailored, immersive and data-driven experiences that truly delight travelers.

“Our approach is grounded in robust data, including insights from sales performance, demographics and thousands of guest questionnaires conducted annually,” she states.

Enhancing brand experiences and creating “wow ranges” are just two of Walker’s retail strategies for 2025.

“We're collaborating with brand partners to deliver surprising and immersive activations onboard our key ships,

ensuring every encounter with our retail spaces feels exciting and engaging,” she explains. Leveraging guest insights, her team is constantly curating exclusive product ranges that offer unique cruise mementos tailored to customers’ tastes, whichever the partner, wherever the region.

With an increasing number of first-time cruisers and family groups – especially teens and tweens, Walker notes Harding+ assortments, events and experiences are designed to reflect the shifting demographics onboard cruise ships in 2025. Working with 14 cruise line partners that range from high-end luxury lines to more family-focused cruise brands (including P&O Cruises, Cunard and Sun Princess) and operating across multiple continents, Walker points out the challenge is understanding this diversity and recognizing the

As part of its partnership with Sun Princess, Harding+ has created destination fashion boutiques to enhance the retail experience onboard

distinct needs and preferences of each cruise line's guests.

“Our data-driven approach helps us identify shifts in guest profiles. For instance, new-to-cruise guests now represent over 50% of the passenger mix on some lines, and the average cruiser age has dropped to 46, according to the CLIA [Cruise Lines International Association]. This is very different from the classic view of a typical cruise guest as a retiree couple looking for a stress-free way of seeing the world,” she says.

Brand impact

Brand activation experiences are an opportunity for impact and engagement; on average they drive a 35% uplift

Linzi Walker, Chief Commercial Officer, Harding+

in sales, says Walker. She cites research by travel research agency m1nd-set that finds 87% of cruise guests say their shipboard purchases are influenced by brand theater.

Last summer, Harding+ launched an exclusive retail experience in collaboration with beauty brand Benefit, spotlighting six of its iconic products along with a limited-edition “Porecare” selection. The collaboration featured guest demonstrations, daily masterclasses on specific product focuses and eye-catching marketing materials. Tailored specifically for the teenage demographic, the initiative drove a 125% boost in sales.

“Another successful brand experience was our partnership with Tanqueray, where we curated exclusive pop-up bars across three UK-based ships. Guests were invited to enjoy tastings and mixology sessions; it resulted in a remarkable sales increase of 109% over the summer,” adds Walker.

Meaningful engagement

One of the biggest advantages of cruise retail is the extended time that passengers are a captive audience onboard – this could be seven days, 14 days or even longer. “This dwell time allows us to showcase products in a deeper, more meaningful way by engaging guests in conversations about the origins, features and stories behind the items,” says Walker.

A pre-cruise survey conducted recently by Harding+ revealed that 70% of cruise guests are shopping “for fun” and “to fill in time.” Passengers say they are seeking exclusive, oneof-a-kind items that they can’t find elsewhere.

Limited editions such as single cask whiskies and destination-inspired jewelry are top of Harding+ guests’ shopping lists, according to Walker. Personalized services including label printing and professional engraving are found to enhance these products’ desirability.

Tailored partnerships

To ensure brand experiences resonate with guests, Harding+ works closely with each cruise partner to align with its brand identity and core passenger demographic. In the case of P&O Cruises, it’s about executing familyfriendly activations and collections that celebrate the British cruising spirit; for Cunard, the focus is on creating luxury exclusives to match the cruise line’s elegant onboard atmosphere; on Sun Princess, since there is a mix of multigenerational travelers and adventureseekers, offering destination-inspired products and engraving services helps to appeal to a broad audience.

“This approach keeps guests returning to our shops – many times during a single voyage, while also creating a meaningful connection to their trip. Our goal is to offer fresh, dynamic and tailored retail experiences that capture guests’ attention and loyalty," concludes Walker.

Harding+ developed a luxurious set of boutiques spanning beauty, fragrances, watches and jewelry for the 2024 launch of Cunard’s Queen Anne ship

Steering emotional connection

From cruise retail to land-based retail, Starboard Group is leaning into its guest-centric focus onboard new ships and at new locations. CEO Lisa Bauer speaks with Global Travel Retail Magazine about the retailer’s latest dual strategy

by ALISON FARRINGTON

Counting over 90 shops with 15 cruise partners, not least a 20+ year partnership history with Royal Caribbean, Starboard Group (Starboard) is a leading player in the cruise retail category. Further to its divestiture from LVMH in December 2023 and its following corporate restructuring in September 2024, the retailer has bold plans for more land-based retail expansion while continuing to build its reputation for first-at-sea concepts.

In 2025, the retailer’s plans include elevating its guest-centric focus through multi-location analysis of traveler behaviors, preferences and expectations

onboard cruise ships. “We’re leaning into personalization to create curated experiences that resonate with each guest profile,” says Lisa Bauer, CEO. Starboard also recently expanded into land-based retail with the debut of its first boutique with Westgate Resorts in Las Vegas, providing guests and local visitors with curated assortments, personalized services and engaging activations. It is a dual strategy that crosses both duty free and resort operations, and according to Bauer, it “emphasizes experiential retail and a blend of shopping with entertainment, that is destination-focused to ensure guests connect emotionally with the products and experiences Starboard now offers.”

Tailored product assortments

For its cruise partnerships, which include shops onboard 90+ ships on major cruise lines, Starboard tailors its retail offer by guest demographic. “Each cruise partner has its unique brand identity and itinerary, which guide our tailored product assortments,” says Bauer. For luxury-focused lines, this means highlighting exclusive, high-end offerings; for family-oriented cruises, it means featuring accessible, memorymaking products and kid’s assortments; while adventure-focused cruise lines prioritize practical gear and destination mementos.

Meanwhile a destination-led approach is needed for the Westgate

An inside look at the Bvlgari boutique onboard the yacht Ilma

Lisa Bauer, CEO, Starboard Group

Resorts partnership. “For our landbased partner, we recently launched a luxury boutique and a fashion jewelry boutique, as well as a trendy shop complete with handbags, candles, sunglasses and more,” she comments. “It’s about curating a vibrant world for every guest and complementing each partner’s vision.”

Ways to engage

Brand partnerships are led by datadriven insights that help the team at Starboard design “engagement moments” that align with its cruise line guests’ preferences and interests. Bauer says, “For younger travelers, we create interactive and digital-first activations; families might enjoy hands-on workshops, while luxury travelers are offered exclusive unveilings or private shopping appointments. Customization ensures each demographic feels catered to in a meaningful way.”

Partner promises

For Royal Caribbean, Starboard wanted to focus on cutting-edge tech-based experiences such as SkInsight, its ARenhanced beauty diagnostic tool, that taps into its strategy to redefine beauty experiences onboard. Plus, the retailer is developing an exclusive branded logo assortment of clothing and gifts for Royal Caribbean that guests can personalize during their vacation.

For TUI Cruises, with its European guest cohort onboard, Starboard chooses to emphasize local collaborations and culturally resonant experiences, ensuring their guest is at the center of every purchasing decision.

One of Starboard’s latest multi-ship launches took place in November 2024 when it introduced Venus Fashion onboard Royal Caribbean, Carnival and Virgin Voyages ships, marking the brand’s first-ever retail presence outside of e-commerce.

The watches and jewelry category is also a strong area for Starboard. Recent highlights, according to Bauer, have been a very special unveiling of a Swiss timepiece space on Royal Caribbean’s Oasis of the Seas featuring Breitling, Hublot, Omega and Tag Heuer; else-

where it opened a one-of-a-kind Bvlgari boutique on the Ritz-Carlton Yacht Collection’s newest yacht, Ilma

Loyalty buzz

Personalization is a cornerstone of Starboard’s future customer acquisition. “Through pre-cruise insights and onboard interactions, we offer tailored recommendations, exclusive products, and even personalized gifting options,” says Bauer. Personalization also remains key as Starboard moves more into landbased retail and aims to provide guests with immersive events and activations such as trunk shows, pre-owned vintage handbag and jewelry events, pop-ups, and exclusive-themed gatherings, which are likely to lead to higher loyalty and stronger emotional connections.

The cruise retailer’s luxury division opened a one-of-a-kind Bvlgari boutique on the Ritz-Carlton Yacht Collection’s newest yacht, Ilma

Starboard introduced Venus fashion brand onboard Royal Caribbean, Carnival and Virgin Voyages ships last year, marking the resort boutique chain’s first-ever retail presence at sea

Recently launched across several cruise lines, Starboard’s “Beauty for All” mantra has a new AR-enhanced personalization tool

Editor’s

Choice

1. Beekman 1802 Milk Shake Hydrating Toner & Facial Mist: This daily toner mist consists of an alcohol-free, bi-phase formula that blends goat milk and mugwort with squalene and hyaluronic acid to keep sensitive skin toned and hydrated around the clock. A favorite among beauty experts and influencers, this hero 2-in-1 treatment prevents transepidermal water loss, supports the skin barrier without clogging pores and helps to relieve redness and irritation.

2. Loacker Chocolaterie Dark Chocolate Wafer: Loacker released its Chocolaterie product line in 2024 to the delight of wafer and chocolate lovers. Available in Dark Chocolate, Milk Chocolate and

White Chocolate, the three flavors come in different formats including a stand-up bag, family pack, classic pack and multi-pack, as well as in single portion mini versions. The company aims to grow the wafer category by adding its typical goodness and lightness to the chocolate market. Loacker will celebrate its 100th anniversary in 2025.

3. KROMA Makeup Telia Mini Lifting

Primer: Now available in travel size, this nutrient-packed primer helps to gently smooth complexion, reduce redness and lift appearance. Featuring a clean scent, it can be used under makeup, post-shave or alone as a moisturizer (by both women and men). It contains botanical ingredients including lavender, chamomile and soy,

which help to soothe skin, reduce redness and regenerate cell growth. This product has been the company’s bestseller for two decades, resulting in the creation of a travel size and addition to KROMA’s new Travel Skin Kit.

4. CHOYA Aged 3 Years Extra

Fruit Umeshu: Dubbed “The CHOYA” and aged for at least three years, this rich fruit liqueur is created based on the company’s long history of ume liqueur making experience. It is made with 100% Japanese grown Nanko-ume fruit (characterized by its large, thin-skinned and soft pulpy flesh) and produced with no added artificial additives or flavors. The CHOYA won a Double Gold medal at the 2024 San Francisco World Spirits Competition.

5. Wonderful Pistachios No Shells

Unsalted: In February, Wonderful Pistachios introduced a new No Shells Unsalted variety to its award-winning product lineup. Available in 6-, 12- and 24-ounce bags at U.S. retailers nationwide and online, Wonderful Pistachios No Shells Unsalted is ideal for health-conscious consumers, home chefs and anyone looking to add a sodium-free snack or ingredient into their daily lives without having to sacrifice delicious flavor.

is derived from a combination of the words “hydration” and “luxury” and is a product of Elite Super Foods, a Delaware C-Corp.

Unsalted joins an array of Wonderful Pistachios No Shells varieties and flavors, including Roasted & Salted, Lightly Salted, Jalapeño Lime, Chili Roasted, Sea Salt & Vinegar, Sea Salt & Pepper, Honey Roasted and Smoky Barbecue.

6. Hylux Pomegranate Raspberry

Vitamin & Electrolyte Water: Distributed by CITRA in travel retail, Hylux is a health beverage company that knows simple changes can deliver big results. Its name

Hylux was founded by CEO, Lamar Letts, after a heart injury ended his career as a track athlete. Letts launched the vitamin filled and nutritionally enhanced water, after consulting with a food scientist and holding a successful crowdfunding campaign. Hylux has since then expanded internationally and has made waves within athletic organizations, sports circles and with notable professional athletes.

7. Ferrero Rocher Iconic Gift Tin: Introduced to the trade in Cannes last October, Ferrero Travel Market is presenting the Ferrero Rocher Iconic Gift Tin to the Americas region for the first time at the 2025 IAADFS Summit of the Americas. This new travel retail exclusive SKU is ideal for premium gifting and filled with 24 Ferrero Rocher pieces. Notably, it has been designed with sustainability at its heart. The packaging

can be reused in numerous ways, giving it a new life after the pralines inside have been consumed. By scanning the QR code on the sleeve, shoppers can discover inspiration on how to reuse the tin box as a decorative item.

8. Bottega Gold Diamond: Bottega Gold

Diamond is a Prosecco Doc Extra Brut. It is the last release, recently launched and part of the prestigious Prosecco Premium Vintage Collection, a project to improve Prosecco that Bottega developed more than ten years ago.

Bottega Gold Diamond, vintage 2022, originates from grapes home to a single vineyard and is produced with the exclusive Bottega method of long fermentation (minimum nine months) in horizontal autoclaves. It is characterized by fine and persistent perlage. The liquid’s dry, sapid and persistent taste is completed by aromas of ripe fruit and bread crust.

Reshaping how younger travelers view airport retail is a goal that can be met as airport stores have the perfect stage to surprise them with exclusive and unique product offers

We need to talk

With a mere 15% of travelers entering airport stores, Duty Free Global's Barry Geoghegan warns the industry must radically reinvent itself to capture the attention and spending power of Generation Z

In the busy travel retail industry, each year flows seamlessly into the next. We find ourselves moving from one trade show to another –Miami, then Singapore, then possibly a Latin American venue – with countless “See you in Cannes” farewells punctuating our calendar. While this familiar rhythm feels reassuring, we’re avoiding a critical discussion at our industry events: our failure to attract younger consumers to our stores. Most don’t even pause for a quick browse. This has to change.

The industry’s troublingly low penetration rate at airport stores –hovering around 15%, according to research – demands immediate attention. We need urgent action to reverse this downward trend.

This isn’t to suggest there’s a simple solution. The path forward will require a multifaceted approach that includes data sharing, dedicated merchandised spaces, digital communication strategies, and partnerships with food and beverage operators. However, I believe the core challenge is straightforward: we

must make our offer relevant to younger travelers and ensure our product mix reflects their generation’s brand preferences rather than merely showcasing a collection of traditional “power brands.”

Generation gap

I belong to a generation that embraced duty free shopping as an essential part of international travel. No journey abroad felt complete without maximizing our duty free allowance. However, this cultural practice hasn’t transferred to subsequent generations in many regions. For Europeans born after February 1999, the traditional concept of duty free largely disappeared when the European Union abolished tax and duty free sales for travelers within the Union.

Geoghegan says we must prove to younger travelers that airports offer unique discoveries and products that aren’t readily available in domestic markets

In the United States, meanwhile, where domestic travel predominates, duty free opportunities are limited and airports are primarily associated with dining rather than shopping.

This mindset isn’t fixed. We can reshape how younger travelers view airport retail. While they may not currently think of airports as shopping destinations, we have the perfect stage to surprise them. To do this, we must clearly communicate – and prove –to younger travelers that airports offer unique discoveries, products not readily available in domestic markets, including exclusive items. Visual merchandising alone isn’t sufficient; since this demographic is not entering our stores, we need to engage them earlier in their journey.

Communicate, connect and follow through

Our industry must collaborate to develop channel-specific mobile applications and harness artificial intelligence effectively, ensuring we connect with the right audiences at optimal times through genuinely appealing offers. But this communication will only drive conversion when operators courageously realign their product selection with this generation’s interests. While established brands will invest substantially to maintain their market positions, those embracing necessary change will ultimately succeed.

Despite current challenges, including geopolitical tensions and economic uncertainties, our industry maintains enviable advantages over other retail

channels. According to Fortune business magazine, the travel retail market is projected to more than double its revenue to US$145.46 billion by 2032. This growth will be driven by emerging market middle classes, robust airline order books and humanity’s enduring passion for travel and discovery. While traditional retail and e-commerce struggle to forecast such positive growth, we possess a unique advantage: guaranteed customer traffic through our airports and cruise ships. However, if we want to attract younger passengers and secure long-term customer relationships rather than rely solely on our traditional duty-free-savvy clientele, we must embrace bold change. The opportunity exists – we simply need to seize it.

Barry Geoghegan, Founder, Duty Free Global

Strategic

vision

Essence Corp demonstrated its resilience in 2024, maintaining growth momentum despite facing regional headwinds and market uncertainties.

The Miami-based distributor, known for its strategic approach to travel retail, successfully expanded its portfolio and geographic presence while adapting to evolving market conditions across the Americas

After several outstanding years, Essence Corp’s growth trajectory moderated in 2024, though the company did close above the previous year and thus did experience some growth. “In 2024 we had a bit of a slowdown following an exceptional 2023 and continuous years of double-digit growth post pandemic,” says Antoine Bona, VP of Sales, Essence Corp.

Latin American markets presented a mixed picture in 2024, says Bona, with exchange rate issues in Brazil and Argentina affecting purchases down South, especially along the borders and the Argentinian airport. “However, we had some markets that still had positive growth, like the Uruguayan borders, the Caribbean, Panama and Colombia and

Antoine Bona, VP of Sales at Essence Corp

some of the North American accounts,” he says.

Fenty Beauty

A transformative addition to Essence Corp’s portfolio came in Fall 2024 with the securing of Caribbean distribution

by HIBAH NOOR

Part of the expanding Brazilian border retail market, Cellshop Duty Free in Foz do Iguaçu represents one of several new points of sale developed by Essence Corp since the 2019 market emergence

rights for Fenty Beauty, which significantly strengthened the company’s position in the color cosmetics category. The prestigious addition of Rihanna’s powerhouse beauty brand has not only expanded Essence’s makeup offering but has also enhanced the company’s competitive edge in the region. The launch was particularly meaningful given founder Rihanna’s Barbadian roots, adding an authentic connection to the market.

“We were fortunate enough to be appointed the distributor for the Caribbean. We chose one retailer per island to work with,” Bona notes. “Rihanna’s commitment to the brand was clear – she stayed at the launch party well into the night. You could see she was extremely proud that her brand was being launched in her hometown. The brand resonates deeply with the people there, and it’s been one of our most successful launches; it’s already one of our top makeup brands.”

Retail investments

Across the Americas, Essence Corp is benefiting from significant retail development and renovation projects. “There are a lot of changes happening in JFK. There have also been store refits in Vancouver, Boston and Mexico,” Bona says. “We’re seeing substantial investments, which are effects of postpandemic recovery and lease renewals with airports.”

These renovations often yield additional space for beauty products, particularly in the fragrance category. “Every time there’s a refit, there tends to be more square footage or more space dedicated to beauty, a lot more spaces dedicated to fragrances,” says Bona. “We benefit from that. We also have niche brands in our portfolio and we see those entering into the market. We’re happy with any store renovation, as the result is in our favor.”

Evolving market

The current market presents interesting contrasts in consumer behavior, particularly in the fragrance category. While economic pressures and currency fluctuations drive strong demand for promotional items in the US$29-$39 range, there’s simultaneously robust appetite for premium offerings.

“Today we’re seeing a significant effect in the market,” Bona notes.

“Times are tough, the dollar’s strong, and the currencies are weak in South America. The promotional items are very big, like the US$29 offers in fragrances.” He adds that these items are now moving to the US$34-$39 price point because the lower price is more difficult to maintain.

However, this trend coexists with strong demand for luxury products. “Designer fragrances are being impacted by both the strength of niche brands, the Arabic fragrances craze,

price promotions, and also the currencies, because the designer fragrances have experienced recent price increases,” Bona says. “What’s even more striking is that you see this huge demand for niche fragrances at US$300 and above,” he adds. “If you sell one, it’s equivalent to selling three designer fragrances.”

The beauty sector is experiencing its own transformation in consumer behavior. “It’s changed from how our parents used to shop, who might have bought their whole skincare line from only one brand. Now it’s about hero SKUs. Customers want the brow makeup from Benefit, the blush from Fenty. The money gets spread out, which makes it challenging for makeup brands and cosmetic brands,” Bona observes.

Market uncertainty

Bona indicates that the first half of 2025 will likely mirror the uncertainty seen in the latter part of the previous year. He notes that market speculation is centered around exchange rates, with the strong dollar creating challenges for their travel retail operations since international customers are making purchases in dollars using their local currencies.

Potential policy changes could also impact the business. “Most designer fragrances are made in Europe and if the president adds a 10% import tariff, these tariffs would be passed on to the consumer. Travel retail could benefit from a greater savings vs US domestic but retailers would need to change how they operate fragrances in US duty free.” Currently, his company manages inventory as duty paid because tariffs on European goods, particularly fragrances, are very low.

“With a 10% tariff, we would need to convert our warehouse to a bonded facility or foreign trade zone status. This is a feasible change – it just requires an application and going through a process, which we’ve already initiated,” he says.

Liberty Duty Free located in Guaira, Brazil on the border of Brazil and Paraguay

Seven decades of flavor

Marlboro’s flip top box, red roof and cowboy motif have been instrumental in creating the iconic stature of the brand *For trade use only

As Marlboro marks its 70th anniversary, Janet Santana, Director & General Manager, Altria International Sales, reflects on the brand's enduring legacy in US duty free, celebrating its iconic status while introducing exclusive offerings that honor this milestone for adult smokers

For seven decades, Marlboro has maintained its position as a leading brand in the US market, driven by its legendary Richmond Recipe and the enduring imagery of the American Frontier. The brand commemorated its 70th anniversary in 2024, and Altria International Sales is rolling out an exclusive campaign in US duty free retail locations that pays tribute to this milestone while reinforcing the brand's commitment to adult smokers who have made Marlboro their choice over the years.

by HIBAH NOOR

GTR Magazine: Marlboro is celebrating its 70th anniversary. What does this milestone mean to the brand and its legacy?

Janet Santana: The 70th anniversary of the Marlboro brand is an extraordinary milestone that holds great significance. We are excited to commemorate this remarkable achievement along with our adult smokers who have chosen Marlboro, making it the number one brand in the US market. Over the course of these 70 years, Marlboro has consistently delivered superior flavor by expertly and uniquely blending three tobaccos to create the Richmond Recipe, which is exclusively available in the US. The legacy of Marlboro encompasses not only this legendary blend but also the iconic Marlboro campaign that brings to life the aura of the American Frontier. This campaign embodies enduring values that transcend time and deeply resonate with our adult smokers. The 70th anniversary represents the

successful stewardship of a brand that continuously surpasses adult smoker expectations while remaining firmly anchored in its core values, symbolized by the Marlboro cowboy.

GTR Magazine: How has Marlboro managed to maintain its status as an iconic brand for seven decades?

Janet Santana: Several factors have contributed to Marlboro’s iconic status. First, the brand’s focus on delivering a high-quality product has been a consistent factor in its success. The Richmond Recipe established Marlboro as a uniquely different cigarette in the category when it was introduced. This unwavering focus on developing the highest quality product with unprecedented flavor has also resulted in line extensions in the non-menthol and menthol segments, showcasing the brand’s commitment to innovation while meeting the evolving adult consumer preferences.

Janet Santana, Director & General Manager, Altria International Sales

Marlboro’s iconic packaging has also played a significant role in its success. The introduction of the flip-top box, a revolutionary product innovation, was a game-changer for the brand. This packaging innovation, and the addition of the Marlboro red roof, established the brand as the most recognized in the category.

Third, Marlboro’s classic advertising campaign and tagline, “Come to Where the Flavor Is. Come to Marlboro Country,” has been used over decades. This consistent messaging helped create a strong emotional connection with adult smokers and reinforced the brand’s image as a symbol of the American Frontier. By staying true to its core values, Marlboro continues to maintain its authenticity and appeal to the brand’s adult smokers.

Lastly, Marlboro is also a trailblazer when it comes to engaging with its adult smokers, executing numerous memorable programs helping Marlboro maintain its status as an iconic brand.

US duty free stores will carry Marlboro in its special 70th anniversary packaging, featuring the "70 Years of Flavor" seal and the iconic Marlboro cowboy *For trade use only

celebrates the history of cowboys and the values they embody. This summer, US duty free adult smokers will have the opportunity to carry a piece of Americana with them during their travels. Specifically, the Marlboro Red and Gold products will showcase special messaging and imagery on cigarette packs. The cartons will prominently display the “70 Years of Flavor” seal on the outside. It’s important to note that the Richmond Recipe and the Marlboro cowboy are exclusive to the US, and only US duty free retail locations will feature this exciting packaging.

GTR Magazine: What has been the response from duty free retailers and operators to Marlboro’s anniversary plans?

GTR Magazine: Can you share some insights into the summer promotional campaign planned for duty free stores? What can travelers expect in terms of exclusive offers or special features tied to the 70th anniversary celebrations?

Janet Santana: In celebration of Marlboro’s 70th anniversary in US duty free retail locations, a captivating summer promotional campaign showcasing the brand’s legendary Richmond Recipe and iconic Marlboro cowboy has been planned. The campaign, titled “70 Years of Flavor,” pays homage to the Richmond Recipe and the consistent quality that Marlboro has delivered over the years. This campaign will be prominently featured on packaging and point-of-sale materials.

Adult smokers in US duty free stores can expect exclusive packaging tied to the 70th-anniversary celebrations. The packaging will be unique, featuring the “70 Years of Flavor” seal and captivating Marlboro cowboy imagery that

Janet Santana: The response from our US duty free operators has been overwhelmingly positive. Retailers we have engaged with are excited to showcase the exclusive packaging and advertising in their retail locations. Given that Marlboro is the leading brand in the category, introducing US duty free exclusive packaging will not only drive sales but also generate significant news within the category. This initiative perfectly caters to the expectations of adult smoker duty free consumers, who value the opportunity to purchase distinctive products that are unavailable elsewhere.

GTR Magazine: Looking ahead, what can we expect from Marlboro in terms of innovation and engagement in travel retail and beyond?

Janet Santana: Looking ahead, Marlboro is dedicated to nurturing our valuable partnership with US duty free operators and driving innovation in the travel retail sector. Our primary objective is to consistently find new and exciting ways to delight our adult consumers. We look forward to doing that in the future.

Tequila

craze

In this Tequila Report, Global Travel Retail Magazine speaks with three names in the business about the wave of enthusiasm the category is currently experiencing globally, the growing impact of “tequila tourism” and what is to come

by LAURA SHIRK

The rise of cocktail culture and mixology, an increase in versatility and more meaningful brand positioning have contributed to the change in perception of tequila. With this in mind and the growing impact of “tequila tourism” in travel retail, Global Travel Retail Magazine spoke with representatives of Cincoro Tequila, Cazcabel Tequila and Tequila Komos for an update on the category.

On a global scale

According to Quentin Job, Managing Director – International, Cincoro Tequila, there is a wave of enthusiasm for high-end tequilas currently flowing out of the United States toward Europe, the Middle East, Africa and Asia Pacific, as consumers in these regions are looking to indulge in the liquid.

“There is definitely an appetite for high-end cocktails, especially in the US where premium tequila is more established. Cincoro has helped drive

Tequila Komos launched Komos Reposado Cristalino exclusively in global travel retail in 2024

According to Chris Richards, Global Marketing Director at Vamos Drinks, there is still a need in markets to educate consumers on premium tequila, particularly with broadly appealing classic serves such as the margarita and paloma

Summit Ameri cas of the 2025

March 8-11, 2025

InterContinental Miami, Florida

Visit www.2025summitoftheamericas.org to learn more about registration, room reservations, and ways to increase brand exposure through sponsorships and exhibit space. We look

Don’t miss an unparalleled opportunity to connect with key stakeholders from the duty free and travel retail industry in the Americas and Caribbean – join us in Miami, Florida, for the 2025 Summit of the Americas! Take advantage of valuable networking, learning, and business-to-business meetings during this three-day event.

this trend and worked with numerous bartenders on some great cocktails like the Cincoro Blanco Bleau Diamond at the Fontainebleau Hotel in Miami,” says Job.

Since Cincoro started its international expansion in early 2023, the super-premium tequila brand has signed over 20 new markets. This is thanks to its ability to deliver on the luxury consumer consumption occasion and strong brand proposition, which features its smooth and multi-layered profile, elegant five-sided bottle and compelling founder story. Cincoro is founded by former professional basketball player and American businessman Michael Jordan.

Expressing a similar point of view, Chris Richards, Global Marketing Director at Vamos Drinks, comments, “We believe there is great potential for the tequila category to grow globally which will be done through build-

ing consumer understanding of the category, driving trial through mixable drinks and making great quality tequila available at an affordable price point.”

Within North American markets where the tequila category is well-developed, Richards explains Cazcabel’s focus is on sharing its brand story as an independent family estate tequila brand with full control of all aspects from field to glass. It is recognized for using 100% of its own agave. According to Richards, in many global markets there is still a need to introduce and educate consumers on the category. He says while tequila globally represents 1.9% of the total spirits category, when excluding the United States and Mexico this drops to 0.4%.

“The key we have found so far in many of these markets is that there is still a big job to do on educating consumers on premium tequila and driving trial, particularly with broadly appealing classic serves such as the margarita and

paloma. The flavored Cazcabel tequila liqueurs in our range have helped drive trial with consumers who may be wary of tequila, who then go on to try blanco later on,” he reveals.

A boost to the channel Launched exclusively in global travel retail, Tequila Komos released Komos Reposado Cristalino in 2024. This expression features rich tasting notes and roasted agave flavors that are packaged in a chrome bottle, handmade by Mexican artisans and designed to be upcycled.

As shared by the brand’s President, Sean Hartnell, the launch was supported by luxury tequila educational shopping experiences such as in-store displays that included well-educated brand advocates who presented unique production processes that are used in crafting Komos across its diverse range of expressions.

Since Cincoro Tequila started its international expansion in early 2023, the super-premium tequila brand has signed over 20 new markets

A look at Cazcabel Tequila’s new brand home and distillery in San Francisco de Asís, Jalisco. A mural on the outside of the distillery by local artist Alejandro Rodriguez celebrates the independently owned brand, which is led by the Vazquez family

“Consumers can now convert their luxury scotch and whisky occassions to tequila and enjoy the same standard of high quality craftsmanship,” says Tequila Komos President, Sean Hartnell

“Komos brings the highest rated tequila portfolio to travel retail. Consumers are now well educated, and they can convert their luxury scotch and whisky occasions to tequila and enjoy the same standard of high quality craftmanship,” states Hartnell.

Komos Reposado Cristalino helps the brand connect to the younger generation of tequila shoppers. “Of significant importance to this consumer are sustainability and eco-conscious initiatives,” he says. “Through our instore advocacy campaign, we are able to share details of the award-winning sustainability efforts and waste reduction practices that Komos is pioneering in Mexico through the work of the Komos Foundation.”

Cazcabel also continued its expansion into travel retail last year by entering the United States in partnership with Duty Free Global. Both its blanco and coffee tequila liqueur expressions

can be found at JFK and SFO airports.

“With a sizeable audience that is already engaged in the tequila category, [travel retail] has been a great opportunity to share some of our story with consumers in an environment where they have a longer dwell time. In Europe, our activation has been more around driving trial and trying to drive recruitment into the category, particularly over the summer period when we know a lot of younger consumers are traveling for holidays and more open to new experiences,” says Richards.

This year, as the travel industry continues to see an increase in tequila tourism in Mexico, the Cazcabel team hopes to start welcoming visitors to its new brand home and distillery in San Francisco de Asís, Jalisco.

The future of tequila

It is agreed that tequila is well-positioned to offer something different than

more established luxury spirits and has the ability to create a wide variety of products with differing styles.

“We are starting to see consumers, particularly in the US, discover this more, with growing interest in the conditions the agave that is used is grown in, the way the agave is cooked and then for reposados and añejos, the barrel-ageing process. The result of this being that we are seeing tequila enjoyed in many different ways, whether it be in classic cocktails or sipped neat. Recent examples of this include the emergence of high proof blanco and cristalino products,” explains Richards.

Plus, the tradition of artisanal crafts in Mexico lends to innovation through design, packaging and limited editions, showcasing its creative culture. He continues, “The key to unlocking this exploration of the category is to really establish broader consumer understanding of the category first, along with driving trial to increase tequila’s share of spirits globally.”

On the topic, Hartnell adds, “As more consumers are introduced to the category, similar to whisky and gin, there will be discovery of the tremendous tradition and heritage relative to craftmanship that tequila brings to luxury spirits. With respect to tradition, I believe consumers will also begin to embrace that great tasting tequila is made through thoughtful innovation such as non-traditional barrel types and other methods.”

Regarding the future, Job says the luxury tequila category has only just started developing outside of the United States. “I believe we’ll see luxury tequila expanding its distribution in global travel retail, particularly with Cincoro. As more consumers are able to try our delicious liquid, we’ll also see trade ups with more premium expressions within our brand Blanco to Reposado to Añejo or indeed our more luxury offerings of Gold and Extra Añejo,” he adds.

Limitless legacy

Two different yet equally compelling single malt brands define the CVH Spirits portfolio: Bunnahabhain, the iconic unpeated Islay single malt known for its distinctively sherried flavor profile, and Deanston, a Highland distillery offering soft, honeyed and uniquely waxy single malt scotch whisky.

The story of these distilleries reflects both deep Scottish heritage and modern innovation. Bunnahabhain, founded in 1881, holds the position of most northerly distillery on Islay. Until the 1960s, the only access was by boat and even today visitors must navigate a single track road to reach its remote location. Unlike its peated Islay neighbors, Bunnahabhain carved its own path with an unpeated, sherried style that has become its signature.

This commitment to doing things differently extends to the practice of sustainability. Bunnahabhain leads the way as the first distillery on Islay to operate its own biomass plant, powered

by WENDY MORLEY

entirely by felled timber and spent malt known as draff, a distillation byproduct. This facility saves approximately 3,500 tonnes of carbon annually, equivalent to the emissions of 1,800 diesel cars, which exceeds the total number of vehicles on Islay.

“The heartland for Bunnahabhain is sherry and this is where our single malts truly sing,” says Julieann Fernandez,

Master Blender at CVH Spirits. “We innovate with different types of sherry casks, partnering with likeminded sherry bodegas. The result is our signature distillery style of warm spice, nuts, chocolate and cereal notes, with a distinctively creamy mouthfeel.”

Deanston’s story represents a different kind of innovation. The distillery began life as the Adelphi Cotton Mill

Perched on Islay’s rugged northern coast, Bunnahabhain Distillery’s remote location is accessible only by a single track road, preserving the authentic character of this historic whisky maker

Housed in a converted 18th-century cotton mill on the banks of the River Teith, Deanston Distillery harnesses the same hydropower that once drove Scotland’s textile industry to create its distinctive highland single malt

November 10 – 13, 2025

in 1785. When the mill closed in 1965, entrepreneur Brodie Hepburn saw the potential in transforming the building into a whisky distillery. The River Teith, which once powered the mill, now not only provides water for whisky making but continues to power the distillery through hydropower, a visionary approach to sustainability dating back to the 1960s.

While Bunnahabhain focuses on perfecting its signature style, Deanston prefers to embrace experimentation. Its uniquely waxy and flexible new make spirit allows for innovation across different cask types, as demonstrated by its 2023 launch of a 15-year-old Tequila Cask Finish.

A marriage of two spirits

In travel retail, CVH Spirits is launching its new campaign “Hard to Say, Easy to Love” for Bunnahabhain, “Bringing a taste of our Scotch Gaelic heritage and Islay home to airports around the world,” according to Fernandez. The campaign playfully addresses the first question asked worldwide: how to pronounce Bunnahabhain. Even the distillery’s long-serving manager of 35 years and office administrator of 50

years disagree on the pronunciation, though everyone agrees on the whisky’s exceptional taste.

May 2025 marks a significant milestone with the release of a limited edition Bunnahabhain bottling at select airports: The Westering Home Collection: Turas Math No. 1. Limited to 6,156 bottles globally with an RSP of £150 (US$189), this expression showcases the master blender’s skill in combining two distinct spirits.

“[We’ve married spirit first distilled in 2008, fully matured for 15 years in Manzanilla sherry casks from Jerez, with spirit that spent the first 10 years in refill casks, then finished for five years in Amarone wine casks from Italy’s Veneto region. This represents our signature style while embracing innovative cask combinations,]” explains Fernandez.

The release marks the first in a threeyear series connecting global markets with the brand’s home. Named after “Westering Home,” the anthem of Islay, the collection pays homage to Bunnahabhain’s heritage, echoing lyrics that appeared on its first 12-year-old bottling in the late 1980s. The series celebrates the universal theme of returning home, sharing experiences and connecting

with a community united by their passion for whisky.

Americas partnership

Looking ahead, CVH Spirits anticipates a continued focus on pushing the boundaries of taste and flavor. This includes innovative cask finishes, unique whisky marriages and new ways of enjoying whisky, from artisanal chocolate pairings to charcuterie combinations. As noted by Fernandez, the company views travel retail as an ideal platform for consumers to discover exciting whiskies beyond the mainstream.

In the Americas, CVH Spirits has partnered with Blue Caterpillar as the exclusive distributor for both brands in travel retail. Team members will showcase their portfolio at IAADFS Summit of the Americas 2025, looking to expand their presence in the region and connect with current and potential partners. Through this combination of heritage, innovation and strategic partnerships, CVH Spirits continues to strengthen its position in global travel retail while maintaining the distinct character of its historic Scottish distilleries.

CVH Spirits’ portfolio demonstrates how tradition and innovation can coexist in modern whisky making, from sustainable production methods to experimental cask finishing

Premium innovation

With the global surge in premium tequila driving strong growth, Fraternity Spirits expands its international footprint while staying true to its heritage roots

by WENDY MORLEY

After being touted as the next big thing in spirits for over a decade, the tequila category is now hitting its stride. Amid this remarkable global expansion, Fraternity Spirits is strategically positioned to capitalize on emerging markets while reinforcing its premium credentials. “We see our growth potential now in Europe, where sales have been growing stronger than elsewhere, and in China and Asia in general,” says Raffaele Berardi, founder of Fraternity Spirits. “Those emerging markets represent significant potential for the next years to come.”

The company’s flagship brand Corralejo has benefited significantly from the worldwide surge in premium tequila consumption, particularly in traditional strongholds like North America.

“We have been growing during the past few years,” says Berardi. “Last year was the first year that we saw only single-digit growth, but this year we see with the new activities and expansion plan that we have in Asia and Europe that we will be back in double-digit growth, probably for the years to come as well.”

Asian expansion

A key part of the company’s growth strategy involves establishing a stronger presence in Asia. With a new team based in Singapore, Fraternity Spirits is working market by market across the region to develop brand presence. “They’re participating in different exhibitions as well,” notes Berardi, highlighting the importance of having boots on the ground to drive regional growth.

The company is taking a methodical approach to this expansion, focusing first on market introduction before consolidating its position and launching targeted social media communications to boost brand awareness and engagement in the region.

Aged 18 months in American oak barrels, Corralejo 99,000 Horas Añejo offers a smooth, full-bodied experience with notes of wood and fruit

Heritage meets innovation

Perhaps the company’s most distinctive asset is the historic Hacienda Corralejo, which serves as both a production facility and tourist destination. This dual function provides a unique narrative that allows the brand to showcase its authentic heritage while embracing modern production methods.

In response to growing health consciousness and demand for organic products, particularly among Gen Z consumers, Fraternity Spirits is developing a new organic tequila line. This initiative demonstrates the company’s understanding of shifting consumer preferences, especially among younger consumers who prioritize sustainability and natural ingredients in their purchasing decisions. The development of

organic offerings directly addresses the values and preferences of Gen Z, who increasingly seek products that align with their environmental and healthconscious lifestyle.

Luxury line

The launch of Sánchez de Tagle represents a perfect alignment with duty free’s core strengths of premium positioning, compelling storytelling and unique presentation. This luxury tequila pays homage to the original creator of tequila, offering the heritage narrative that resonates strongly with travel retail customers and comes from an authentic place. Crafted from premium blue agave and triple-distilled in copper stills, this exclusive edition features agave sourced from the Guanajuato region, imparting distinctive characteristics. Each bottle is a handmade white ceramic masterpiece created by Mexican artisans, symbolizing the purity of the spirit within.

“We have developed this brand based on the the region of the hacienda’s first owner in the 1750s, and he was actually the first developer of tequila in the world,” explains Berardi. “In honor of his place, we have created a special edition with the ceramic bottle.” The brand’s premium positioning, distinc-

tive packaging and rich heritage story make it particularly well-suited for duty free, where unique offerings and giftworthy presentations are key drivers of purchase.

The brand is currently available in Mexico and duty free, with plans for global market expansion. “Not necessarily duty free specific, but duty free definitely could be a high attraction for it, especially because the bottle is very unique,” says Berardi.

Vertical integration and sustainability

The Blue Dream glass factory initiative has been instrumental in Fraternity Spirits’ resilience and continued growth. This strategic investment in vertical integration proved especially valuable during the pandemic, when global bottle shortages disrupted many producers’ operations.

Beyond securing supply chain stability, the facility exemplifies the company's commitment to environmental stewardship through its advanced eco-conscious manufacturing processes. The initiative drives both operational excellence and sustainability, with practices that minimize energy consumption and reduce waste throughout produc-

tion. This environmental mindset extends across Fraternity Spirits' entire operation, encompassing everything from innovative packaging solutions to greener logistics, production and distribution methods

Looking ahead

With investment in process improvements and exploration of alternative sourcing options, the company aims to maintain its premium positioning while ensuring product quality. The focus on craft spirits innovation, balanced with preservation of traditional practices, positions Fraternity Spirits to continue its expansion while honoring its heritage.

“We are committed to maintaining the heritage of brands like Corralejo by embedding traditional practices into our production processes,” says Berardi. This approach of honoring tradition while embracing innovation appears to be paying off as the company projects double-digit growth in the coming years.

The historic Hacienda Corralejo stands as a living testament to Mexico's tequila heritage, where traditional production methods meet modern innovation in a stunning venue that doubles as both working distillery and sought-after tourist destination

A handcrafted white ceramic masterpiece housing tripledistilled premium tequila, Sánchez de Tagle pays homage to tequila’s original creator with distinctive Guanajuatosourced blue agave and artisanal Mexican craftsmanship

A premium portfolio

MONARQ has made a point of including brand names such as Cream Heroes, which appeal to Gen Z and Millennials

Strategic portfolio expansion and next-generation focus drive Americas travel retail growth as MONARQ strengthens market position through premium partnerships and innovative offerings

by WENDY MORLEY

MONARQ Group continues to strengthen its position in the Americas travel retail market through strategic portfolio expansion and a keen focus on evolving consumer preferences. The spirits distributor’s dynamic approach to brand development spans premium spirits, innovative RTDs and luxury wines, creating a comprehensive offering that caters to both traditional connoisseurs and emerging consumer segments.

“Our success is fueled by a diverse and dynamic portfolio that caters to the evolving tastes of global travelers, ensuring we stay ahead as a first mover in emerging trends,” says Garrett Koolman, International Marketing Manager at MONARQ. “With the increasing demand for premium spirits, ready-to-drink options and experiential purchases, we continue to refine our selection to meet the expectations of discerning consumers.”

Strategic portfolio growth

The group's whisky portfolio has seen significant expansion with the addition of premium single malt brands from Scotland and new world producers. Notable developments include an extended agreement with Nikka Whisky for the Caribbean market and the introduction of Taiwanese brand Kavalan. The Jack Daniel’s range has also grown, featuring new Caribbean travel retail exclusives such as Jack Daniel's Single Malt, the Bonded Series and new Travelers editions.

Beyond whisky, MONARQ has broadened its spirits selection with Nemiroff Vodka, Finlandia, Diplomatico Rum and Gin Mare. The company’s wine portfolio received a notable boost through an expanded partnership with Bollinger Champagne, securing exclusive supplier status in the US duty free channel.

Social media-friendly marketing from companies like Surfside have helped grow MONARQ’s next-gen portfolio

Innovating for new generations

Understanding the importance of connecting with younger consumers, MONARQ has strategically added brands that resonate with Millennials and Gen Z. “Cream Heroes embodies the nightlife culture – fun, vibrant and effortlessly shareable,” Koolman explains. “This is an extremely appealing combination for Millennials and Gen Z consumers who are looking for new experiences.” The tequila-based liqueur brand’s unique dessert-like flavor profile and eye-catching branding position it perfectly for high-energy social settings.

The company’s RTD strategy reflects similar consumer insights, with brands like White Claw Hard Seltzer appealing to health-conscious young adults seeking flavorful, low-calorie options. Recent additions BeatBox Party Punch and Surfside further strengthen this approach, aligning with younger consumers’ preferences for bold flavors and social media-friendly branding.

To support its growing portfolio and market presence, MONARQ has relocated its Miami office and expanded its workforce across all departments. These strategic investments in infrastructure and human capital demonstrate the company’s commitment to scaling operations while maintaining service excellence.

Cause for celebration

In this Confectionery & Food Report, Global Travel Retail Magazine hears from leading confectionery players

Kellanova and Perfetti Van Melle about permissible indulgence and the category’s rule rebellion trend

by LAURA SHIRK

The latest Chupa Chups lollipop sharing bag offers a trio of new flavors: Sour Apple, Sour Lemon and Sour Strawberry

Ahead of 2025, market research company Mintel announced the rule rebellion trend on its way to reshaping the confectionery category. As reported by Confectionery News, rather than one-size-fits-all, the trend is said to take inspiration from personalization and customization trends in the case of formulations, packaging and engaging experiences that showcase uniqueness.

At the center of this mindset is the rise of permissible indulgence and the evolution of rule rebellion around the pushing of boundaries and the tackling of social stigmas.

“The confectionery industry has looked at edging beyond ‘norms’ through an environmental, sensorial and experiential lens,” reads the source. “The rule rebellion [trend] brings all

these elements together, encouraging brands to tap into consumer calls to celebrate the ‘perfectly imperfect.’”

Self-acceptance

and “me-time” snacking

According to Mintel’s 2025 Global Food and Drink Trends report, consumers worldwide are becoming more comfortable with opening up about their acceptance of themselves, as well as shedding light on their personal habits and consumption patterns.

“Kellanova embraces balance between indulging and balanced snacking. With Pringles we emphasize the fun of enjoying snacks as a ‘me-time’ treat and sharing with others. This makes sense especially in travel retail, where consumers are having a break from their ordinary lives and more open to [an]

‘imperfect lifestyle’ or indulgence,” says Jeanne Reijnders, Lead Global Travel Retail Duty Free, Kellanova. “We celebrate finding more balance with them by offering salty snacks in a playful way.”

Consumers and stakeholders alike are still reeling from Mars’ major move in which it acquired Kellanova, the snacks spin-off division of Kellogg’s, last year at the price of US$35.9 billion.

Featuring well-known brands such as Mentos and Chupa Chups, the Perfetti Van Melle product range also links to this sense of rebellion. From its fruity flavored Mentos Gums and wide range of Mentos Jumbo Rolls to its Chupa Chups lollipops in Classic to Sour, indulgence is at its core. According to Lauren Potter, Marketing Manager – Global Travel Retail at Perfetti Van Melle, there is something for everyone

The Feeling Berry Good Mentos Jumbo Roll, featuring flavors Cherry, Blueberry and Raspberry, will include eight rolls and refresh the brand’s Berry Mix Jumbo Roll variation

This year in travel retail, Kellanova will further increase the in-store experience with personalized gondolas, joyful activations and the introduction of new travel retail exclusive products in the premium and novelty gifting price ranges

to express themselves through their confectionery choices. Potter comments, “Indulging with a sweet treat whilst on the go is a common consumption moment within travel. However, further social acceptance should have a positive impact on consumer decision-making when exploring the confectionery aisle.”

Embracing the perfectly imperfect Coming up, with this type of rulebreaking innovation in place, the future could see new brand collaborations and formulation choices enter the market on the way to reaching new heights in tastes and textures.

Speaking about the potential for confectionery companies to draw upon each other’s brand presence, products and positioning to create new sweet treats or subcategories, Reijnders

explains, “At Pringles, we love to partner with other companies to offer surprising and unique experiences to our consumers. Whether it’s to offer unique prizes or let them taste new flavors, Pringles is all about fun, adventure and quality time, alone or with friends.”

She continues, “The ‘perfectly imperfect’ trend matches well with our vision, as we seek to include all types of consumers and let them be who they are, while encouraging them to share that with others.” Since consumers are becoming more open to trying and being surprised by innovations, and taking part in activations for the chance to win prizes, Kellanova is always seeking to find exclusive partners to bring unique offers to the market.

Whether within the confectionery category or wider, collaboration is key

for Perfetti Van Melle. The team is working with The Coca-Cola Company on its Mentos Fanta partnership worldwide, which includes the Mentos Fanta Jumbo Roll as part of its global travel retail (GTR) portfolio. It also works closely with entertainment licenses to develop GTR exclusives such as its Hello Kitty Colour Kit and San Rio Tins, both of which include Chupa Chups lollipops.

A glance at the future

With an understanding that impulse purchasing is increasing in importance within the channel, Kellanova has teamed up with travel retail research agency m1nd-set on its upcoming launch to ensure it captures the demand of the consumer. More details to come.

“Whether it’s for their own consumption or as an exclusive branded gift to offer, shoppers in global travel retail are looking to share love and experiences through food. Therefore, we are planning to extend gifting and food experiences within the travel retail landscape,” says Reijnders.

In 2025, Pringles will deliver playful campaigns to offer unique treats to its consumers on various occasions including gaming, music and the summer season. In travel retail, Kellanova will further increase the in-store experience with personalized gondolas, joyful activations and the introduction of new travel retail exclusive products in the premium and novelty gifting price ranges.

Separately, Perfetti Van Melle will launch two new products this year. The Feeling Berry Good Mentos Jumbo Roll, featuring flavors Cherry, Blueberry and Raspberry, will refresh its current Berry Mix Jumbo Roll and include eight rolls. The extension of the Chupa Chups lollipop range with a new sharing bag that offers a trio of new flavors: Sour Apple, Sour Lemon and Sour Strawberry, will tackle the growing popularity of the sour flavor profile.

Butlers Chocolates reveals a major twist on sustainability

A key player in travel retail confectionery, Irish familyowned company, Butlers Chocolates is making a major upgrade to one of their most popular packaging formats.

New, fully recyclable paper wrap for its popular twistwrapped truffles which will be introduced over 2025. This move from Butlers Chocolates will contribute to a substantial reduction in waste annually.

This project has been thoughtfully planned as part of Butlers Chocolates ongoing commitment to more considered and progressive environmental and sustainable practices across all areas of the business. It reflects the brand’s dedication to doing what’s right for the planet and builds on Butlers' many other sustainability commitments.

Karl Marnane, Managing Director, commented, “We are very pleased to announce this major development today as part of our continuing sustainability initiatives. It represents a meaningful commitment to the environment and our impact on it. There has been significant effort and hard work in the background to get to this point and as a team, we are very proud to make this change.”

Anthon Berg expands travel retail partnerships with Luxardo and Kahlúa

Building on the success of its Baileys range, Danish chocolate maker Anthon Berg is targeting emerging consumer trends with new low-alcohol and flavor-focused offerings.

The company is expanding its travel retail portfolio through new strategic partnerships with Pernod Ricard and Luxardo, capitalizing on shifting consumer preferences and the success of its existing brand collaborations.

The Danish confectioner, which has seen its Baileys range grow by over 400% in the past two years, currently offers the world's largest selection of partner brand chocolates, working with 20 different brands across more than 300 airports globally.

Set to launch in autumn 2025, the new offerings include a Luxardo Cherry Liqueur Bottle and Kahlúa Praline, responding to dual consumer trends toward stronger flavor experiences and low-alcohol products.

Responding to millennial trends, Anthon Berg's Kahlúa Praline taps into specialty coffee market growth with sustainable sourcing credentials

Butlers Chocolates focuses on sustainability with new Truffles wrappings

GTR_SOTA-2025-print

No One Needs to Know You Bought This at the Airport

A time of recalibration

L’ORIGINALE

THE NEW EAU DE PARFUM

WHAT’S INSIDE

20

Top stories

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RETAILERS

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CONFECTIONERY & FOOD

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Fraport wins 23-year BWI contract for entire concession program

Canadian land border duty free stores struggle to compete with US retailers

Mexico City Airport plans US$392 million upgrade ahead of FIFA World Cup 2026

Duty Free Americas hosts “extraordinary” 10th annual Golf Day

Moroccanoil launches debut fragrance

L'Originale Eau De

Parfum

Cartier reaches airport expansion milestone with LAX boutique debut

Petrina Kho and Pat Molloy join IAADFS Board of Directors

The Somerset Toiletry Company partners with International Brand Builders Inc

Gateway to growth

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Passenger-centric approach

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Operational excellence meets innovation

Strategic growth

Growing Latin America-based travel retailer Top Brands expands footprint with acquisition of prominent Chilean duty free store

Premium experience

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4. CHOYA Aged 3 Years Extra

We need to talk

Strategic

vision

Retail investments

Evolving market

Market uncertainty

Seven decades of flavor

Tequila

craze