PANAMA. Las Delicias Duty Free is preparing to open its fourth land-based store in Panama with a novel beachside store at La Miel, on Panama’s south-eastern frontier with Colombia.
Due to open by December 2011, the store will have a 200sq m showroom and around 500sq m in warehouse space.
The spectacular beach is popular with Colombian tourists holidaying at nearby Capurgana, where many hotels offer regular boat services to the beach. Some 68% of visitors to the surrounding San Blas region are Colombians, with 14% Europeans and 11% Americans and Canadians.
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La Miel, one of the most beautiful beaches in the San Blas region, will welcome the Las Delicias store by December |
Las Delicias is planning to offer a typical Panamanian experience for visiting tourists, and Commercial Director Walter Aguilar said the company is considering construction and layout options for enhancing that flavour.
“The customer base is people coming to pass the day on the beach, so they’ll be able to get a nice RTD or cocktail, listen to music, buy sunglasses, perhaps experience Panama rum and then purchase,” he told The Moodie Report.
Price advantage is still a major driver for Colombian duty free spending, with a key product segment being premium liquor brands like Old Parr and Buchanans, while sunglasses and sports watches are also in demand.
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Las Delicias directors (L-R) Enrique Montenegro, New Ventures Director; Jaime Cucalon, CEO; Renato Famiglietti, COO |
The store at La Miel represents a first foothold in the Colombian end of Panama following Las Delicias expansion to three stores along the Panama-Costa Rica border.
Las Delicias is primarily a ship’s chandler with major ship supply at both ends of the Panama Canal, but in 2007 it opened a land-based store at Las Canoas, on the Pacific side of the border.
It followed this last year by openings at Guabito and the town of Las Delicias, closer to the Caribbean coast. All stores follow the template of a 200sq m showroom and 500sq m warehouse, as planned for La Miel.
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The 200sq m showroom duty free store in Paso Canoas, which opened in 2007 |
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The Guabito store gives the only duty free option in the vicinity of the nearby Caribbean coast border crossing |
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The unique store near the town of Las Delicias is accessed by crossing the Sixaola River |
Demand is highest from Costa Rican travellers, who pay high duties on imported luxuries in their home market. Liquor accounts for 40% of their spending, followed by perfume and cosmetics at 19% and car audio at 15%.
A similar category division is predicted with Colombian customers at La Miel, with the liquor category benefiting from Las Delicias’ experience as a bonded liquor and tobacco chandler.
The company is reporting “a very good year,” and Aguilar added that the corporate objective for 2012 is to maintain the same rhythm among its existing major categories while seeking to diversify.
“We will be focusing more on perfumes, cosmetics and accessories, and that is what we will be looking for at the TFWE show in Cannes,” Aguilar said.
Note: A feature article on Las Delicias Duty Free will be published in The Moodie Report September Print Edition.
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Colombian duty free spending is led by liquor, beer, and perfume and cosmetics, and Las Delicias will encourage souvenir purchasing also at La Miel |
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Liquor/beer accounts for 40% of spending by Costa Rican customers; Las Delicias will develop other categories |
