Lotte to open Bangkok duty free store
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South Korean conglomerate Lotte is to open a “major downtown duty free store” in Bangkok. Lotte has confirmed the new store will open in early 2016. The location has not yet been revealed.
Retail News broke news of the plan last week, reporting the store would be a joint venture between Lotte Group and Lotte Holdings of Japan, with the Korean partner holding 80 per cent.
“The opening in the Thai capital is part of an ambitious international strategy designed to bolster Lotte’s strong sector leadership in South Korea, the world’s biggest duty free market,”
Lotte, the world’s third largest duty free retailer, is involved in a strident expansion program which has seen it open in Japan’s Kansai International Airport, at Guam, Singapore and Indonesia in recent years. It is targeting the fast growing legions of newly cashed up Asian consumers travelling regionally and spending increasing amounts on duty free goods at airports, and downtown department stores.
Lotte is also planning to open its first downtown duty free store in Japan – located in the upmarket Ginza shopping district.
Questions & Answers
Q.When is Lotte’s new duty free store in Bangkok expected to open?
When is Lotte’s new duty free store in Bangkok expected to open?
Lotte has confirmed that its new downtown duty free store in Bangkok is scheduled to open in early 2016. The specific month or day has not yet been announced.
Q.What is the ownership structure of the new Bangkok duty free store?
What is the ownership structure of the new Bangkok duty free store?
The new store will be a joint venture between Lotte Group and Lotte Holdings of Japan. The Korean partner, Lotte Group, will hold an 80 per cent stake in the venture.
Q.What is the strategic reason behind Lotte’s expansion into Bangkok and other international locations?
What is the strategic reason behind Lotte’s expansion into Bangkok and other international locations?
Lotte’s international strategy aims to bolster its leadership in the duty free sector, especially by targeting newly wealthy Asian consumers. This expansion capitalises on their increasing spending on duty free goods while travelling regionally.
Q.Has Lotte opened other international duty free stores recently?
Has Lotte opened other international duty free stores recently?
Yes, Lotte has opened duty free stores in several international locations recently. These include Japan’s Kansai International Airport, Guam, Singapore, and Indonesia as part of its expansion programme.