TFWA Asia Pacific Exhibition & Conference
TFWA Asia Pacific Exhibition & Conference
Monday afternoon’s Workshop C took a closer look at the challenges that will have an impact on the future of the industry. Patti-Chau, Regional Director, Airports Council International, Asia-Pacific, spoke of the need for airports to become more diversified when it comes to revenue, particularly in the non-aeronautical sector. She cited ACI’s estimate that as many as 66% of airports worldwide operate at a loss, and that retail concessions, which account for 28.8% of non-aeronautical revenue, are vital if that statistic is to be improved.
Michael Barrett

Building on the theme of developing traffic trends, Jameson Wong, Director of Business Development APAC at travel analyst Forward Keys, said that China’s market will grow a healthy 8.9% between May and July, while overall, international departures from China are forecast to be up by over 21%.

Michael Barrett, Executive Officer, Asia Pacific Travel Retail Association (APTRA), addressed the challenge of differentiated regulation. While the industry is a unique sales channel, not all governments appreciate this. If domestic regulations are applied to duty free, he said, the risk is that these will then be introduced to other markets without understanding the need of the broader implications on airport revenues. He also spoke of the increasing regulatory scrutiny on duty free and travel retail as a sales channel, particularly on labelling and marketing.

His message was underscored by Sarah Branquinho, President of ETRC and External Affairs Director at Dufry, who said that it is impossible to meet the local language requirements on labelling. Creating a digital solution would allow for a cross-category approach, provide a multilingual platform, and would be an easy format for consumers to use, she commented.