These could be the world’s fanciest duty-free stores
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But that’s far from the reality of some passengers at Singapore’s Changi Airport, who in some cases shell out more than $100,000 dollars for a bottle of their favorite tipple before hopping onto a flight.
High-end duty-free retailer DFS opened its new concept stores – complete with whiskey, wine, cigar and tobacco rooms, bartenders, complementary tastings and even virtual reality installations – in Changi’s Terminals 2 and 3 with precisely these customers in mind.
“We drew inspiration from stylish restaurants and bars around the world when we created this space,” Wilcy Wong, DFS’s vice president of store operations in Singapore.
He said there would be no hard sell when it came to the pricey products.
“These days a lot of the customers are very knowledgeable themselves, so to be able to engage them and teach them something new is important,” Wong said.
Not that the hard sell would be necessary; as well as knowledgeable, many customers are big spenders.
DFS staff recounted that one traveler recently bought a bottle of Glenfiddich 50-year-old single malt whisky priced at 43,910 Singapore dollars ($31,611) on a whim after passing the store. And that paled in comparison to the most expensive bottle ever sold at Changi, for S$250,000 ($180,000).
“We drew inspiration from stylish restaurants and bars around the world when we created this space,”
Hong Kong-based DFS Group, which is majority owned by LVMH, has outlets at 17 major international airports, mostly in Asia, but has also staked flags in New York and San Francisco.
The global travel retail market is estimated to grow to $85 billion by 2020, according to the Fung Business Intelligence Center, and Asia-Pacific is the largest single sector of the market, accounting for 39 percent, followed by Europe at 32 percent.
This forecast growth is in contrast to the fall in retail mall traffic, particularly in the U.S., which has slumped as consumer spending lags and online shopping grows in popularity.
Singapore’s Changi Airport, repeatedly ranked the best in the world by the influential Skytrax annual survey, hosts 55 million passengers a year, all of whom are classified as traveling internationally because Singapore is a city-state, and thus are free to buy duty-free items.
DFS declined to provide any change in sales or foot traffic since opening of the new stores in Changi, but the concept has been praised by the retail and travel industry, winning “Best Shopping Experience” this year by Singapore’s Tourism Board, and Singapore’s Retailers Associations “Best Retail Concept of the Year”.
Questions & Answers
Q.What kind of products do the new DFS stores in Changi Airport focus on?
What kind of products do the new DFS stores in Changi Airport focus on?
The new concept stores in Changi's Terminals 2 and 3 focus on high-end wines, spirits, cigars, and tobacco. They offer a luxurious experience with bartenders, complementary tastings, and virtual reality installations.
Q.How much was the most expensive bottle ever sold at Changi Airport?
How much was the most expensive bottle ever sold at Changi Airport?
The most expensive bottle ever sold at Changi Airport cost S$250,000, which is equivalent to $180,000. This sale indicates the high-spending nature of some customers.
Q.Where does DFS Group operate its airport outlets internationally?
Where does DFS Group operate its airport outlets internationally?
Hong Kong-based DFS Group has outlets at 17 major international airports. Most are in Asia, but the company also has locations in New York and San Francisco.
Q.How much is the global travel retail market expected to grow by 2020?
How much is the global travel retail market expected to grow by 2020?
The global travel retail market is estimated to grow to $85 billion by 2020. The Asia-Pacific region represents the largest sector, accounting for 39 percent of the market.
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