Gulf-Africa TFWA AP May 2019

Page 1

TFWA AP 2019

DUTYFREEMAG.COM MAY 2019 · TFWA AP · VOL 29 · NO 1

DDF hosts biggest IQOS lounge in TR p. 6  Haitham Al Majali elected as MEADFA President p. 9  Hamila Duty Free debuts shisha tobacco brand p. 12



Letter from the Editor

MAY 2019 · TFWA AP · VOL 29 · NO 1 Gulf-Africa Duty Free & Travel Retailing (ISSN 0954-0592) is published four times a year (Spring, Fall and Winter) by Global Marketing Company Ltd., 26 Pearl Street, Mississuaga, Ontario L5M 1X2 Canada. It is distributed to duty free operators and distributors in the following countries: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, UAE, Yemen, Algeria, Azerbaijan, Benin, Cameroon, Cape Verde, Djibouti, Egypt, Ethiopia, Gabon, Ghana, Guinea, Iran, Ivory Coast, Jordan, Kenya, Lebanon, Madagascar, Malawi, Mali, Mauritius, Morocco, Mozambique, Niger, Nigeria, Namibia, Pakistan, Reunion, Senegal, Seychelles, South Africa, Sudan, Syria, Tanzania, Togo, Tunisia, Turkey, Turkmenistan, Uzbekistan and Zaire, as well as to duty free suppliers worldwide. Subscriptions: $200 for one year, $300 for two years and $400 for three years. Art and photographs will not be returned unless accompanied by return postage. The views expressed in this magazine do not necessarily reflect the views and opinions of the publisher or editor. May 2019, Vol. 29, No.1. Printed in Canada. All rights reserved. Nothing may be reprinted in whole or in part without written permission from the publisher. © 2019 Global Marketing Company Ltd.

GULF-AFRICA DUTY FREE & TRAVEL RETAILING 26 Pearl Street Mississauga, Ontario L5M 1X2 Canada Tel: 1 905 821 3344; Fax: 1 905 821 2777 www.dutyfreemagazine.ca PUBLISHER Aijaz Khan aijaz@globalmarketingcom.ca EDITORIAL DEPARTMENT EDITOR-IN-CHIEF Hibah Noor hibah@dutyfreemagazine.ca ASSOCIATE EDITOR Jas Ryat jas@dutyfreemagazine.ca ART DIRECTOR Jessica Hearn jessica@globalmarketingcom.ca CONTRIBUTORS Mary Jane Pittilla

CIRCULATION & SUBSCRIPTION MANAGER accounts@globalmarketingcom.ca

Growth

by association T

he Middle East and Africa region is never without its challenges, and it is a testament to this industry how well it continues to succeed despite this. A majority of the success can be attributed to the efforts of MEADFA, which recently held its Board elections, with Mr Haitham Al Majali elected as MEADFA President for the second consecutive two-year term. The meeting witnessed the election of the first Board member representing the Affiliate category, a move that has helped increase membership. While the MEADFA conference normally posts stronger delegate numbers when it takes place in Dubai, the Beirut event in November attracted a large number of delegates, and we look forward to the event in Muscat later this year. As we’ve been reporting, airports and retailers the region over are renovating and growing. Dubai International Airport (DXB) and Dubai Duty Free always have news, and this time is no exception. Following the launch of its award-winning IQOS 3 smoke-free product at Dubai Duty Free in December 2018, Philip Morris International has opened its new smoke-free lounge in DXB – the largest duty free IQOS lounge in the world. The company is introducing this smoke-free alternative throughout the region. In this issue, we report on these and other stories, bringing you news on successful promotions, launches and innovations throughout the region. We sincerely hope you enjoy it, and that you have a successful event in Singapore. Kindest Regards,

Hibah Noor Editor-in-Chief hibah@dutyfreemagazine.ca

www.dutyfreemag.com GULF-AFRICA DUTY FREE & TRAVEL RETAILING

3


Contents

What’s inside Lead Stories 6 Philip Morris International

Dubai Duty Free hosts biggest IQOS lounge in travel retail Philip Morris International has ramped up the IQOS smoke-free experience at Dubai International Airport

9 MEADFA

Haitham Al Majali elected as MEADFA President for second time MEADFA announces its new Board members and committee officers for the new term from April 2019 to March 2021

6

10 Qatar Duty Free

Teatime for Qatar Duty Free at Hamad International Airport Doha’s gateway is set to be the only airport in the world to boast a Harrods Tea Room, thanks to Qatar Duty Free

11 Mauritius Duty Free Paradise

Mauritius Duty Free Paradise CEO aims to transform company The ambitious new CEO of Mauritius Duty Free Paradise plans to enter the East African duty free market with potential partners as part of a strategy to become a regional player

12 Hamila Duty Free

Hamila Duty Free to premiere trendy new shisha tobacco brand Leading Tunisian operator Hamila Duty Free has partnered with a tobacco manufacturer to supply a high quality shisha brand to international retailers

13 Patchi

A gift to savor Having climbed to the top of Dubai Duty Free’s chocolate sales rankings, Dubai-based supplier Patchi is going places in travel retail

14 Diverse Flavours

Wine tourism pays dividends for Diverse Flavours Tourism to South Africa is rapidly growing among the wine-loving Chinese, and Groot Constantia Estate is reaping the rewards

10 14


SWITZERLAND

Demanding and delicate skin ?

SWISS

SKIN SOLUTION The Alpine power to the heart of the skin Born from a controlled fusion between Swiss Nature and the science of cosmetology, this new skin care line for demanding and delicate skin combines the power of Alpine botanic treasures with advanced dermatological ingredients. The dermo-soothing Mallow flower, Swiss mountains beauty queen, and the pure water from the Alps, enrich each formula with their beneficial properties for skin. Let yourself be amazed by both the sensoriality and the efficiency of our targeted solution care.

DERMATOLOGICALLY TESTED Without mineral oil, phthalates, sodium laureth sulfate

With MAVALA SWISS I SKIN SOLUTION, transform lastingly the quality of your skin. TFWA Asia Pacific Exhibition Visit our Stand 2-K1 www.mavalaskinsolution.com

Naturally Swiss. Scientifically proven.


 Philip Morris International

Philip Morris International’s pop-up IQOS lounge at Dubai International Airport

Dubai Duty Free hosts biggest IQOS lounge in travel retail Philip Morris International has ramped up the IQOS smoke-free experience at Dubai International Airport by HIBAH NOOR

Tomislav Vujcic, General Manager Duty Free, Travel Retail MEA & ISC BU, Middle East, Africa, PMI

6 GULF-AFRICA DUTY FREE & TRAVEL RETAILING MAY 2019

F

ollowing the successful launch of its award-winning IQOS 3 smoke-free product at Dubai Duty Free in December 2018, Philip Morris International (PMI) has opened the largest duty free IQOS lounge in the world at Dubai International Airport (DXB). The 107 square meter lounge (pop-up store) began trading on March 6, 2019 in Terminal 1, Concourse D. The IQOS lounge features different experience zones where IQOS experts guide legal age smokers and IQOS users to learn more about IQOS and the science behind it. Consumers can also try IQOS and the different HEETS variants in the guided trial zone. IQOS and HEETS (heated tobacco sticks) are now available across all terminals in Dubai International Airport. Thirty IQOS experts are available in the duty free shops and the IQOS lounge to explain IQOS and offer experiences to adult smokers, who are interested, at any time of day. To boost brand visibility further, all PMI back walls at the airport are allocated to HEETS and IQOS, and an above-the-line marketing campaign ran from December to February at DXB. Elsewhere in the Middle East market, IQOS and HEETS are also available at Abu Dhabi Duty Free, and HEETS are available in Sharjah and Beirut Duty Free. To date, IQOS and HEETS are not yet available in their respective domestic markets. The new IQOS 3 and IQOS 3 MULTI feature improved design and functionality to offer adult smokers a better alternative for nicotine consumption than traditional combustible cigarettes.


To boost brand visibility further, all Philip Morris back walls at the airport are allocated to HEETS and IQOS

IQOS is a technologically-advanced, heat-not-burn alternative to cigarettes and offers a cleaner way of enjoying tobacco with no smoke, no ash and less smell. Additionally, IQOS emits on average 95% lower levels of harmful chemicals compared to cigarettes. The new IQOS 3 and IQOS 3 MULTI aim to deliver a premium tobacco experience with simplified usability, personalization and taste from real tobacco rather than liquid. Both devices have new protective reliability, a more sophisticated design and concentrate on the expectations of adult smokers who would otherwise continue to smoke and are looking for an alternative. “PMI has made a commitment to a smoke-free world and IQOS has already helped nearly six million adult smokers stop using cigarettes and switch to smoke-free alternatives,” said Rami Maktabi, Director External Affairs, PMI Duty Free, Middle East, and Africa. “Tens of thousands of adult smokers per day globally make the change and switch from cigarettes to IQOS. The large majority of smokers that switch to IQOS enjoy the product and its benefits enough to convert to it fully.” He continued: “There is no better choice than quitting tobacco and nicotine use completely. But the vast majority of adult smokers will continue smoking cigarettes – the most harmful tobacco product. Those smokers deserve a better alternative. These alternatives exist, and it would be irresponsible to not do everything in our power to get the word out. We are ready, when you are ready to make the change.”

Kleinood, Delaire Graff, 88 Vineyards, Deetlefs, Avondale, Groot Constantia, Napier, Mt Vernon, Ernie Els, Cederberg

Premium South African wines and Japanese Sake Taste and discover award-winning wines from South Africa and famous sake from Japan. To schedule a meeting, contact Anthony Budd at Diverse Flavours: +27 71 255 7344, anthonybudd@diverseflavours.com

Supplying Diversity

Sakuramasamune

Stand D34 TFWA Asia Pacific Conference, Singapore May 12-16, 2019 diverseflavours.com www.dutyfreemag.com GULF-AFRICA DUTY FREE & TRAVEL RETAILING

7


Philip Morris International

Tomislav Vujcic, General Manager Duty Free, Travel Retail MEA & ISC BU, Middle East, Africa said: “We have successfully launched this newest version of IQOS in the vast majority of markets currently offering IQOS products. Every week thousands of smokers switch to it around the world.” IQOS 3 and IQOS 3 MULTI have no ash and release a nicotine-containing aerosol, not smoke, which leaves a less lingering smell on hands, clothes and hair, meaning favorite clothes are safe from burns and smoke smell. The upgraded version comes after two years of global development, building on the successes of its predecessor in several markets. The device boasts significant improvements, further reducing the charging time by 40 seconds between uses. The IQOS 3 MULTI provides the user with 10 consecutive uses without needing to be recharged. The work of over 400 PMI scientific personnel has yielded an elegant design that does not sacrifice functionality. As well as state-of-the-art design and premium feel, IQOS 3 and IQOS 3 MULTI come with a choice of 500+ color combinations using a wide range of available accessories.

8 GULF-AFRICA DUTY FREE & TRAVEL RETAILING MAY 2019

To boost brand visibility, Philip Morris International and Dubai International Airport have allocated signage all over the airport to HEETS and IQOS


MEADFA

Haitham Al Majali elected as MEADFA

President for second time

T

he Middle East & Africa Duty Free Association held its Board elections for the new term from April 2019 to March 2021 during its annual meeting on April 2 in Dubai. The Associate members selected the following Board, while the new Board selected the committee officers as follows: President: Mr Haitham Al Majali, CEO, Jordan Duty Free Shops; Vice President: Mr Sherif Toulan, CEO, IDFTA Ltd; Treasurer: Mr Tarek Hamila, CEO, Hamila Duty Free; Secretary General: Mr Taleb Izmigna, Chairman, Dufry Jordan; Mr Bernard Creed, Senior VP Finance, Dubai Duty Free; Mr Nuno Amaral, CEO, AerRianta International Middle East; Mr Nicolas Van Brandt, CEO, IDF Africa & Middle East DWC – LLC; Mr Alain Maingreaud, President, Tax Free World Association; Mr David Bisset, CEO, Lagardère Travel Retail; Mr Karl Raphael, CEO/ Chairman, Aphrodite Duty Free Shops; Mr Felix Brunner, General Manager, Dufry Sharjah. The meeting witnessed the election of the first Board member representing the Affiliate category under the Tobacco group to

MEADFA announces its new Board members and committee officers for the new term from April 2019 to March 2021

represent them on the MEADFA Board: Ms Rita Chidiac, Corporate Affairs & Communication Manager Worldwide Duty Free, JT International. Mr Haitham Al Majali, elected as MEADFA President for the second time, thanked the outgoing Board members for their support and contribution to making MEADFA as successful as it is today. He also welcomed the new Board members and wished the officers elected the best of luck in running the association. Al Majali said: “It is a pleasure and honor to be elected as the MEADFA President for the second time. My sincere gratitude to the members for their trust. “Since the introduction of the Affiliate category, our membership grew to 44 members. A new chapter in direct collaboration with the affiliate members, and it is indeed an exciting and interesting period joining forces for the best advantage of the duty free and travel retail industry in the Middle East and Africa region. “I look forward to partnering with my fellow Board members to deliver on our vision and help accelerate the strategic actions to represent the industry and strengthen the association’s growth.”

Snapshot from last year’s successful MEADFA conference held in Beirut, Lebanon. Far right: Haitham Al Majali named President for second term

www.dutyfreemag.com GULF-AFRICA DUTY FREE & TRAVEL RETAILING

9


Qatar Duty Free

The Harrods Tea Room at HIA will offer teas from Harrods Food Halls, along with a menu of pastries and an ice-cream parlor

Teatime for Qatar Duty Free at Hamad International Airport Doha’s gateway is set to be the only airport in the world to boast a Harrods Tea Room, thanks to Qatar Duty Free

Q

atar Duty Free (QDF) has announced that it will open a Harrods Tea Room in Hamad International Airport (HIA) later this year, offering passengers a range of Harrods specialties. HIA will be the only airport in the world to house a Harrods Tea Room, adding to the two Harrods signature stores already trading at the state-of-the-art, awardwinning airport. The Harrods Tea Room will be located at the heart of HIA next to the iconic Lamp Bear and will present an impressive selection of teas from Harrods Food Halls, along with a menu of mouth-watering pastries. The tea room will also feature an icecream parlor with flavors and a quality unrivaled in the region. Qatar Duty Free Senior Vice President, Bruce Bowman, said: “Qatar Duty Free believes in providing its customers with the finest experiences and we have expanded our partnership with the iconic Harrods brand to do just that. We are very much looking forward to unveiling the Harrods Tea Room at HIA later this year and are certain that this launch will delight passengers traveling through the airport; a destination with shopping, dining and five-star facilities catering to the needs and tastes of travelers from around the globe.” Harrods Director Raj Assanand said: “Since its inception, Harrods has been famous for bringing the finest tea experiences to customers around the world. We are delighted to be launching this new venture at HIA.”

10 GULF-AFRICA DUTY FREE & TRAVEL RETAILING MAY 2019

The history of Harrods spans over 170 years. The world famous brand, synonymous with quality, started its operation by offering tea. Harrods special relationship with tea growers continues to this day, with over 170 teas sold at the Knightsbridge store, London. QDF was awarded Airport Retailer of the Year at the 2018 DFNI Global Awards. In April, the leading airport retailer was recognized at the PAX International Readership Awards when Qatar Airways won Best In-Flight Duty Free Program for the Middle East and Africa and was acknowledged as an industry leader for its outstanding inflight duty free service, which is operated by QDF. QDF boasts more than 90 affordable and luxury stores as well as over 30 restaurants and cafés covering an area of 40,000 square meters at HIA and providing travelers with a world-class shopping experience under one roof. Luxury brands available at the five-star airport include Tiffany & Co, Gucci, Bulgari, Hermès, Hugo Boss, Moncler, Rolex and Harrods. Hamad International Airport, the home of QDF, has been ranked as the fourth best airport in the world at the Skytrax World Airport Awards 2019, which took place during the Passenger Terminal Expo 2019 in London, UK. HIA was also once again ranked as a five-star airport and was honored with the title of Best Airport in the Middle East for the fifth year in a row and Best Staff Service in the Middle East for the fourth year in a row.


EXCLUSIVE:

Mauritius Duty Free Paradise

Mauritius Duty Free Paradise CEO aims to transform company The ambitious new CEO of Mauritius Duty Free Paradise plans to enter the East African duty free market with potential partners as part of a strategy to become a regional player by HIBAH NOOR

A

noop Nilamber, the newly appointed CEO of Mauritius Duty Free Paradise (pictured right), has set out his strategy in an exclusive interview with Gulf-Africa Duty Free magazine. The former banker, who has worked in Paris at HSBC, was formerly an Economic Advisor at the Ministry of Finance in Mauritius, before joining Mauritius Duty Free Paradise three months ago. “It’s been very hectic [since I joined], as we are preparing our business transformation plan. Strategy is one thing but most important is execution. My aim is to transform the organization and to ensure we are well prepared to compete with regional and international competitors,” he said. “My vision is to bring the organization to another level. Our staff will be at the heart of this transformation plan; this is why our key agenda will be HR, among others. Other investments are planned in new marketing tools such as digital tools.” Mauritius Duty Free Paradise operates three airport stores in Mauritius and also trades on Rodrigues island, east of Mauritius. The business generated €60 million (US$68.8 million) in 2018. As part of the strategic plan, the retailer’s first task will be to review the business processes in order to address execution efficiency. “We need to be proactive. We need the right tools which help us to take good and quick decisions,” he said.

Investing in digital

Technology is a key area for improvement. “We need to move into digital tools to sell – via social media, and design new ways to catch more customers. We will be investing heavily in digital.” Mauritius Duty Free Paradise already has a loyalty program, which will be revamped. Because most of the operator’s

customers use Air Mauritius, Nilamber is planning to strike a partnership with the carrier. “We need to capture their loyal clients,” he said. Most of the passengers are tourists from Europe, and the main market is France. In the peak season there are around 50 flights arriving in Mauritius daily, with the bulk of passengers from Europe. The island is seeing more customers from Dubai and Saudi Arabia in the Middle East, and also from China, India, South Africa, and Australia.

New opportunities

Thanks to a planned increase in capacity at Sir Seewoosagur Ramgoolam International Airport over the next three years, the size of the company’s shops is also set to expand. The medium to long-term plan is to enter the East African duty free market with potential partners. “Our objective is to become a regional player,” he said. “We’re very close to Africa and we are part of the African continent. Given our proximity, we need to go outside of Mauritius to find new opportunities – in Kenya, Zambia, Rwanda, Madagascar – and we need to find partners there. “In the next three years I expect we will be able to have at least a foot in one of those countries. We have the know-how, the experience and the right products.”

Anoop Nilamber, the newly appointed CEO of Mauritius Duty Free Paradise

www.dutyfreemag.com GULF-AFRICA DUTY FREE & TRAVEL RETAILING

11


Hamila Duty Free

Hamila Duty Free to premiere trendy new shisha tobacco brand

Leading Tunisian operator Hamila Duty Free has partnered with a tobacco manufacturer to supply a high quality shisha brand to international retailers by HIBAH NOOR

Shisha tobacco brand 111 comes in four flavors, available in 500gram packs

Y

KH Holding Group, the parent company of well-known and respected Tunisian retailer Hamila Duty Free, has partnered with a local tobacco company to introduce a new brand of shisha tobacco worldwide. Hamila Duty Free, which has the distribution rights for travel retail and domestic markets, will distribute the premium 111 brand of shisha tobacco starting with its own outlets in coming days. The company has signed an exclusive distribution agreement with Société Orientale, a specialist manufacturer based in the Tunisian city of Sousse. The two firms want to emphasize that their 111 tobacco can match the high quality of other leading shisha tobacco players on the market. Société Orientale is a family-run company that started producing black and aromatic molasses in 1996. It is a leading player in the North African market and exports its products to Egypt, the US and some Middle Eastern countries. In the manufacturing process, the company utilizes the most up-to-date technology, while maintaining traditional manufacturing methods during the fermentation and sourcing of its products. CEO and owner of Société Orientale explained: “After three decades of

manufacturing and selling shisha tobacco through North Africa and chosen countries in the Middle East, we expanded our expertise into developing and manufacturing, blending finest tobacco with molasses. Our idea was a great success, and since then we have created many flavors named 111.” Explaining why the name 111 was chosen, he said that some numerology experts claim 111 is a message from the angels to tell people that their thoughts and ideas are ready to manifest. The CEO believes that he may have received that message 20 years ago when he started developing successful flavors. Karim Mahjoub, International Business Developer, Hamila Duty Free, said the operator has known Société Orientale for years, as it supplies Hamila Duty Free with other brands. “When we spoke to Société Orientale, we thought about creating an international tobacco brand to compete with other international brands. We want to reach this standard. We wanted something new, with new packaging and high quality tobacco, and with a good price.” The two firms developed the 111 brand together, working on the brand name, the packaging, the taste and the flavors

12 GULF-AFRICA DUTY FREE & TRAVEL RETAILING MAY 2019

over a couple of months. There are four flavors – two apples, blueberry, mint, and mojito (mint and lemon) – available in a 500gram packs. Hamila Duty Free is in talks to supply other operators in the region in locations such as Beirut, Jordan and Morocco. Because of the complex requirements of local taxes and regulations, the company is seeking distributors in Europe. “We are really optimistic about developing this product worldwide,” said Mahjoub. “We’ll start with operators in North Africa and the Middle East, targeting all duty free channels.” Explaining why Hamila Duty Free chose shisha tobacco as a sector in which to expand, he said: “Shisha tobacco [smoking] is well developed in the Middle East and is now growing in Europe – in places like Germany, France and UK through shisha lounges. Before, the product was just made of tobacco, but today all the manufacturers are improving the flavors. It’s become a premium product and it’s trendy and social.” He concluded: “We want to develop something which can make a difference and give the consumer complete satisfaction – in price, taste, and packaging.”


Patchi

At the TFWA Asia Pacific show in Singapore, Patchi will be showcasing its travel retail portfolio, in addition to pre-packed gifting lines from its retail boutiques

A gift to savor Having climbed to the top of Dubai Duty Free’s chocolate sales rankings, Dubai-based supplier Patchi is going places in travel retail

A

trendsetter since 1974, and a chocolate gifting specialist, Patchi is a premium brand with a distinctive heritage, established in over 20 countries around the globe, including North America, Europe, North Africa and Asia Pacific. The Chairman and Founder is Mr Nizar Choucair, who pioneered the introduction of a new gifting concept in Lebanon over 45 years ago and expanded rapidly across the Middle East and the world. Striding in his father’s footsteps, CEO Mr Oussama Choucair has a bold vision to expand the travel retail division into new horizons. Fast forward to 2003, when Patchi launched its first travel retail collection in Dubai Duty Free. Since then, it has ranked among the operator’s top chocolate brands. This year, Patchi reached number one at Dubai Duty Free, among over 150 chocolate and confectionery brands, a record-breaking accomplishment which marks the brand’s determination to strengthen its travel retail presence, having already gained major market share as a premium chocolatier in the region.

Well-established retail network

Patchi Travel Retail has a major presence at Dubai Duty Free, which it describes as a key player that supported the brand and the business from the start. Today, Patchi has a well-established network of over 214 boutiques in 21 countries across the world. It currently has a presence in the UAE, Lebanon, Thailand, and soon in Moscow duty free. Today, the company is in talks to expand across Asia and Europe. Patchi has a selection of travel retail exclusive products and will be launching new lines with Gebr Heinemann in Moscow and with Lagardere in Abu Dhabi. “We frequently introduce new seasonal skus including Chinese New Year, Mother’s Day, Easter, Christmas, Ramadan, Diwali and others to ensure we always have a wide selection for travelers,” says Patchi’s Head of Travel Retail, Sharbel Barhoush. “We also carry in our travel retail portfolio destination boxes adapted for the different cities we are in, which are one of the best performing skus.” At the upcoming TFWA Asia Pacific show in Singapore – the brand’s debut travel retail trade fair – the company will be showcasing its travel retail portfolio, in addition to a wider selection of pre-

Sharbel Barhoush, Patchi’s Head of Travel Retail

packed lines from its retail boutiques, including the Patchino line targeting younger travelers. Barhoush commented: “We are very proud and excited to be part of this year’s Asia Pacific Exhibition & Conference, to preview our travel retail collection and other exclusive products.” Barhoush will certainly be busy over the next year. “The travel retail sector is a growing business for us, and we currently have a presence in the UAE, Lebanon, Thailand, and soon in Moscow duty free, and we are in talk for new expansion in Asia Pacific, India and Europe. “We are very excited about our new expansion in the travel retail sector, and we are confident of the potential yet to unravel in this growing market, especially with our unique offerings,” he enthuses.

www.dutyfreemag.com GULF-AFRICA DUTY FREE & TRAVEL RETAILING

13


Diverse Flavours

Wine tourism pays dividends for Diverse Flavours Tourism to South Africa is rapidly growing among the wine-loving Chinese, and Groot Constantia Estate is reaping the rewards by JAS RYAT

C

hinese outbound travelers are finding substantial opportunity in the continent of Africa, specifically South Africa. Over 100,000 Chinese travelers visit South Africa every year for business or vacation, only strengthening the ties between the two countries. Anthony Budd, Managing Director of spirits and wine distributor Diverse Flavours, sees this as the perfect opportunity for his South African wine, as reports indicate that China is looking to become the second-biggest wine consumer after the US in 2021, reaching a value of US$23 billion. In particular, Groot Constantia, a 334-year-old wine estate in the Constantia Valley, South Africa, has become a permanent fixture on the Chinese traveling itinerary over the years. The winery has become a national monument and a living working museum for travelers to enjoy, and is one of the world’s longest surviving trademarks today. Groot Constantia Estate, named after the Latin word for constancy or steadfastness, was originally granted to

Groot Constantia will soon be available in most duty frees in Asia Pacific as well as business and first class on prestigious airlines

Commander Simon van der Stel, the first Governor of the Cape, by the Dutch East Indian Company. The 763 hectares went on to produce wines from the estate that garnered the attention of people across the globe, eventually exporting wines to the US as early as 1774. A Mediterranean climate, combined with vineyards on a high elevation, produce 400,000 bottles of wine every year. Chinese travelers flock to this historically rich tourist attraction to enjoy the experience, their love for sweet wines and also to buy gifts to take home, giving the wine global exposure. With its history, its awareness in Europe and the US, and its growing presence in Asia, Groot Constantia is on track to become a major South African wine brand in duty free. The classic, award-winning red wines, along with the beautifully packaged Grand Constance sweet wine, will be the driving force for establishing a strong and growing presence for South African wines in global duty free. The wines are renowned, respected, classic, high quality,

Groot Constantia Estate offers a portfolio of wines that garners the attention of the Asian traveler

14 GULF-AFRICA DUTY FREE & TRAVEL RETAILING MAY 2019

award-winning, historical and in demand. The estate celebrates its 334th year with many awards and accolades. Groot Constantia’s wine portfolio has received over 100 awards in the past decade. Among the highlights: in 2018 its wines won seven Double Platinum awards at the prestigious Top 100 South African Wines awards and in 2015 Grand Constance wine achieved a Gold Award at the 2018 Monde Selection International Wine Contest. Jean Naude the CEO of Groot Constantia commented: “It would be ideal to receive all our clients on the Estate. This is however not always possible and therefore we are grateful for the services provided by the Duty Free Industry in spreading our products to all traveling clients across the globe. Having our Groot Constantia Shiraz on ANA (All Nippon Airways) in First Class, and the many retail shop listings is really raising the profile of the brand in the best possible luxury settings”. Looking ahead to a bright future, Groot Constantia wines will one day be available in all duty free shops from Dubai to Hong Kong, from London to Singapore, from New York to Beijing, from Bangkok to Shanghai, from Tokyo to Seoul, and being poured in First and Business Class onboard the world’s best airlines. Diverse Flavours will be exhibiting the Groot Constantia wines during the TFWA Singapore show at stand D34, along with their entire portfolio of Estate wines from Avondale, Cederberg, Deetlefs, Delaire Graff, Ernie Els, Kleinood, Mt. Vernon, Napier and 88 Vineyards. In addition they will have their Japanese Sake range’s which are also making a great impact in duty free. Contact Anthony at anthonybudd@diverseflavours.com




Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.