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Room with a view: Looking down over the giant 1,680sq m walkthrough store at Stockholm-Arlanda Airport Terminal 5 |
SWEDEN. The media’s first impression of the new Arlanda store was, appropriately enough, from on high, writes Martin Moodie. Together with other media, as well as airport and retail executives, I looked out over the vast expanse of the 1,680sq m store from a reception area one level above.
It was exactly the right perspective, for the new Nuance store touches great heights, both literally and metaphorically.
It’s from here that a second security checkpoint will open in 2009, allowing those passengers a similar grandstand view to that which I enjoyed yesterday.
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This stunning overhanging visual for World of Cigars is one of the first images consumers see of the store |
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Another example of the powerful visuals for the various worlds, in this case Cosmetics, that dominate the store |
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This image shows a contemporary twist on traditional Swedish design in the lighting and design |
Such positioning offers a tremendous panorama of this cavernous retail environment – a view rivalled only by a handful of duty free stores around the world. I always enjoy looking back down over the Dubai Duty Free store at Dubai International Airport Terminal 2 as I ride the escalator up towards the gates and taking in the grand sense of spectacle that lies behind me. The same phenomenon applies here – except that you’ll be arriving to rather than departing from the store when you first witness the view.
The ground-level entry, through which the large majority of passengers enter, is less dramatic, but even then the impact is considerable, and a vibrant contrast to the typically cramped security area from which they have just emerged.
By any standards, it is a visually striking store. At 1,680sq m it’s big, and, with near 8m ceilings, it’s high. Really high. The huge supporting columns throughout the length of the building have been used brilliantly to convey the various “˜Worlds’ that form the heart of the retail offer (World of Whisky, World of White Spirits, World of Wellness, World of Perfumes and so on).
As a navigation technique it’s fabulous – one can see the World of Cosmetics (located at the far end of the store) as soon as one enters the shop – and the signage also creates a real sense of a high-class travel retail department store.
“You feel like you are in a Printemps or Galerie Lafayette,” enthused Pierre Norlander, Trade Marketing Manager for JTI Trading. “In the security area the ceiling is very low but suddenly you enter this “˜cathedral’ as I see it. It gives a real wow effect. It’s fantastic because it’s so strong.”
These high ceilings may seem like mana from heaven but as The Nuance Group CEO Jean-Paul Bonnel pointed out to me (listen to him on The Moodie Podcast), they’re not necessarily easy to work with. As he noted, such a store could easily have been “a hangar”. Instead it’s an easy on the eye experience, and something of a voyage of discovery that seamlessly integrates international brands with local names.
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The Nuance Group hits new heights at Stockholm-Arlanda Airport |
Real thought has gone into matching the category mix with the customer profile. Here, for example, you’ll find the world’s first “˜snusidor’, a fun name but a serious piece of business [For those of you not in the know, snus is a moist powdered tobacco product, traditionally placed under the upper lip for extended periods – similar to American chewing tobacco].
The Swedish theme continues in an eclectic manner. The country’s iconic vodka, Absolut, naturally dominates the liquor area (though I feel it should be positioned further into the store rather than right at the entrance), but there’s a surprise presence (at least for international consumers) – Swedish whisky.
The Mackmyra Svensk Whisky is a great story in its own right (you can read it at www.mackmyra.com) and it’s delightfully championed here. Besides being a sales driver in its own right, it fulfils an important function in checking the passenger as they enter the store, slowing them down and inviting them to take a look. I am sure that thousands of foreign consumers, like me, will be drawn to the area and will start with the comment: “I didn’t know Sweden made whisky.” Once that sort of consumer engagement is attained, the battle for conversion is half won.
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Arlanda Schiphol Development Company celebrates new opening |
The quality of Swedish destination merchandise is consistently good and brought to life nicely during our visit by exhibitions of glass engraving and wood carving – theatrical elements which I was reassured will remain part of the approach going forward.
While the store mix has been driven more by category management principles (click here to listen to Director Buying & Merchandising Europe Alex Anson on The Moodie Podcast) than by hunch, there’s lots of daring and risk here too. I was very impressed by the passion that Sabine Asimus, Nuance’s Head of Perfume & Cosmetics Europe, feels for the wellness category, for example. “Consumers want to pamper themselves,” she said. “And there’s tremendous interest in natural and organic products and fair trade.”
The World of Wellness gives visibility and voice to that interest. Aside from King Power International at Suvarnabhumi Airport in Bangkok and at London Heathrow Airport, Arlanda ranks as one of the surprisingly few real airport retail statements of intent in a concept – and, now, a category – that surely has tremendous mileage.
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Cigarettes, led by regional favourite Prince, are positioned right at the front of the walkthrough store |
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The huge advertising visuals, hung above the points of sale, are perfectly attuned with the scale of the store |
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World of Wellness: A commendable, coherent effort to really drive an emergent category |
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L’Occitane (top) and Origins are two major drawcards in the World of Wellness |
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Embracing the spirit of wellness (L-R): The Nuance Group Head of Perfume & Cosmetics Europe, Sabine Asimus; Arlanda Schiphol Development Company Managing Director Anne-Marie Zuidweg; Organic Apoteke Founder Dr Nitasha Buldeo |
While the big international brands (Origins, L’Occitane, Molton Brown) draw in the consumer, there are plenty of exciting but lesser-known names in the department, such as Organic Apoteke (www.organicapoteke.com), which makes its travel retail debut here.
That brand’s founder, dynamic entrepreneur Dr Nitasha Buldeo, was on hand to witness the debut and there was no doubting her enthusiasm for the vision and the quality of Nuance’s retail execution. Other wellbeing debutants include Tær Icelandic, ila, Ren, Korres (the Greek brand fast making a name for itself in travel retail), Amala and “˜Doctor’ brands such as Murad. There’s also an interesting first foray into luxury (and organic) hair care with John Masters Organics, and a travel retail debut by Ole Henriksen (skincare to haircare). Sabine Asimus and her team have clearly done their homework here.
Besides the thoroughness of the offer, we like the conviction and risk-taking behind the World of Wellness. And there’s plenty of justification for the investment – as Anson rightly points out, it is also the end-result of a great deal of consumer research.
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Swedish snus and Swedish whisky evoke a powerful Sense of Place |
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A curious consumer is briefed on the history and taste of Swedish whisky |
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A glass engraving demonstration brings the Spirit of Sweden destination merchandise area alive |
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Quality destination merchandise rather than cheap souvenirs makes the Spirit of Sweden area a delight |
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Craftsmanship at work as Dala horses (a symbol of Sweden) are carved and painted |
There’s plenty of education going on in this store. The Mackmyra people may not be able to offer samples under Swedish law, but consumers can “˜nose’ the whisky and there’s copious amounts of literature on hand – as well as a visually arresting display.
Click on the arrow in the video screen to view the new Stockholm-Arlanda store from on high |
The shelf talkers in the wine area – impressively ranged and merchandised, not something I can say about many airport wine offers – are another example of that educational approach. Swedes know and love their wines and Nuance has worked with an Australia-based Master of Wine to select the Wines of the Month and to add credibility to the whole range.
The flow of the store is also noteworthy. The “˜World of’ signs play a major role here but there’s a notable emphasis on the aeronautical as well as the commercial – something that certainly doesn’t apply to some airport walkthroughs which can feel like little more than shopping entrapment.
ASDC Managing Director Ann-Marie Zuidweg was quick to emphasise that point, telling me that the airport company had insisted on a straight line thoroughfare through and out of the store (it has multi-exit points) so that passengers who simply wanted to reach their gates could do so (hear her comment on that balance between aeronautical and non-aeronautical on The Moodie Podcast). There is a notable use of flight information monitors throughout the store – such a fundamentally important reassurance to the consumer, so often overlooked by retailers and airports.
Much thought has also been given as to what goes where. Tobacco – a big driver of footfall, penetration and spend – is right at the front, along with wines and spirits. But the luxury beauty brands – Chanel, Dior, Estee Lauder – are right down the back of the store. But here’s the thing – you can see them from the moment you enter the shop (some may complain they have not been given enough space but the consumer will be the ultimate judge of that).
Click on the arrow in the video screen to watch The Moodie View at Stockholm-Arlanda Airport |
“˜Category management’ is one of those terms that many retailers struggle to translate from text book theory into exciting retail. This is different. The category thinking hasn’t just formed a blueprint; it’s been given expression via the various “˜worlds’. Each is supported by a lot of point-of-sale material, again in an effort to engage the consumer. There’s plenty of event space to maximise that engagement.
Interestingly, the celebrity fragrances have all been grouped together – a direct reaction to consumer research that showed UK customers “overshop” the category, Anson said. Grouping them rather than having them scattered around the individual parent brands will drive incremental sales, he reckons.
Along with education and events, the third critical element of the retail philosophy here is product excellence. In general, and clearly helped by the space available, there’s a diverse, often exciting mix. I liked the wine line-up; I was delighted to see loose chocolates from the great French house Valrhona; and the wellness offer is simply outstanding.
It’s not all perfect. The entrance to the store doesn’t really work and cigarettes, so key to the overall spend and penetration, are stranded at the front. It almost feels as though some of the units are actually in the bare transition zone between security and the store. Similarly, the “˜Absolut arch’ as it has already been dubbed, is an appropriately iconic fitting but for those entering the store from above, it will probably come too soon. Even from below, I suspect some work needs to be done to maximise its effectiveness.
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The mainstream confectionery selection is positioned near the cash points to spur impulse purchases |
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Premium confectionery is a ‘hero’ category for Nuance, which sees a major opportunity to drive incremental sales value |
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A neat visual display that shows the key ingredients in luxury French chocolate Valrhona |
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This is the first time Nuance has offered loose chocolates in Sweden; note the wall map and taste chart |
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This guide shows how most passengers enter the store from the central security area before walking to their gates |
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The passenger mix at Stockholm-Arlanda Airport (all terminals) – Source: The LFV Group |
I’m not convinced about part of the confectionery area either. The premium section, which features brands such as Anthon Berg, Goldkenn, Lindt, Neuhaus and Valrhona (including loose chocolates under glass), looks good and features an impressive emphasis on education. A specialist chocolatier will demonstrate the art of chocolate making to add theatre. A nice wall map shows the cocoa growing areas and all products here have tasting notes. But the standard line-up (M&M’s, Toblerone and so on) has the slight feeling of a number of units stuck on to an otherwise carefully thought-out store.
But overall, there’s no doubt that Nuance has brought its best game to town here, the end result of its intensive evaluation of how categories should function in-store. The size of the store is especially marked given the modest passenger base – T5 handles only a small percentage of Arlanda’s total throughout (2007) of 17.9 million (12.9 million international) passengers.
It’s travel retail that ticks many of the most important boxes on the industry’s agenda – from Sense of Place to retail theatre to consumer education, engagement and interaction. There’s the feeling of a true shopping emporium that offers discovery, surprises and old favourites. The value message is prominent but this is no discount warehouse. It’s quality retailing through and through and patently one of the best store openings of recent years.
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Luxury beauty names such as Chanel, Estée Lauder, YSL and Clinique pull the passenger deep into the store |
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Clinique, Elizabeth Arden and Clarins are positioned at the ‘difficult’ end of the shop – but the signage above helps |
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Strong, bright, uncluttered – Nuance has made good use of the back walls |
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Effective use of promotional space is vital in a store this size; here we see a high-profile campaign for J’Adore |
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Stand-alone appeal: L’Oréal Paris enjoys a prominent dedicated boutique in the Terminal 5 store |
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Absolutly dazzling: The iconic vodka literally brings the spirit of Sweden to the Arlanda store |
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Vintage form: Swedes love their wines and there’s a suitably premium feel for the way the category is merchandised |
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Sparkling merchandising: World of Bubbles celebrates the great Champagnes of France |
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‘Discovery’ is a key word in Nuance’s retail philosophy at Arlanda – here the focus is malt whisky |
YESTERDAY’S OPENING DAY REPORT
SWEDEN. The Nuance Group has unveiled a new 1,680sq m flagship store at Stockholm-Arlanda Airport Terminal 5, the largest store in the group’s portfolio and certainly one of its most impressive. {Look out for our full report and extensive Picture Gallery coming later].
The new walk-through Tax Free Store has been developed in close cooperation with airport partner Arlanda Schiphol Development Company (ASDC). It is located directly after the new central security area at T5, with some 60% of all passengers travelling from T5 passing through the shop on their way to the gates.
The store houses shop-in-shop concepts (the so-called “˜Worlds of”¦’) for the traditional duty free core categories of liquor, tobacco and perfume & cosmetics as well as confectionery and destination products.
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This striking image conveys the immense sense of space in the new 1,680sq m store with near 8m ceilings |
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Another view of the walkthrough store that neatly captures both the depth and height of the environment |
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You didn’t know that Sweden makes whisky? Well if you travel through Arlanda you’ll find out all about it |
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The Nuance Group General Manager Sweden Karl Walter with ASDC Managing Director Ann-Marie Zuidweg |
Walking down from the upper floor security level, which opens next April, passengers have a spectacular overview of the store with its 8m ceiling height. On their way through the store they encounter a “˜World of White Spirits’, a “˜World of Whiskies’, a “˜World of Wine & Bubbles’, a “˜World of Cognac’, a “˜World of Cigars’, a “˜World of Wellness’ and a “˜World of Perfumes’, with the rest of the product offer centred around these areas.
The new duty free store is part of a grand expansion of T5. The departures hall is being widened, with check-in counters on one side and check-in machines on the other and security checkpoints consolidated at one end of the terminal. Eventually the security area will be open on two levels – only the downstairs level was open during our visit – featuring eleven lanes and a much-improved flow from check-in to gate.
But first there’s the opportunity to shop. Immediately post-security, passengers arrive at Sweden’s largest duty and tax free shop. “It will be easier for passengers to find, and faster to reach shopping, restaurants and aircraft,” said LFV Stockholm-Arlanda Head of Corporate Communications Jan Lindqvist.
Not just easier and faster but also of much higher quality. “Passengers are demanding better shopping,” said Arlanda Schiphol Development Company Managing Director Anne-Marie Zuidweg. “The new tax free shop is one element of our effort to make time spent at the airport pleasant and inspiring. The journey begins well before you board your aircraft, and our ambition is to offer an exciting experience starting at Stockholm-Arlanda.”
Two years of development
The set-up of the store is the result of more than two years of research and development and intensive work on category management, the group said. The objective was “to present each product category at its best as far as range, price and promotions are concerned and to convey both passion and expertise through the way the products are presented”.
Two promotional platforms located at strategic locations within the store allow single brands to individually showcase their products. These promotions tie in with the educational theme of the “˜World of “¦’ concepts, targeted at converting customers into connoisseurs and sparking their enthusiasm for the product on offer.
The Nuance Group Europe CEO Jean-Paul Bonnel said: “We are truly excited about our new flagship operation, which will serve as the role model for all future General Merchandise stores to be opened in our European region. Our target was to make time spent at the airport enjoyable and inspiring.
By offering travellers an exciting range of products at great prices and presented in a breathtaking environment, we will allow them to better understand and appreciate the supreme products we are offering them, thereby converting them to repeat buyers.”
The Nuance Group Sweden General Manager Karl Walter added: “For this new flagship store, great care was given to create a unique Sense of Place using traditional Swedish elements and colours and translating them into modern Swedish design.”
Anne-Marie Zuidweg added: “The new store has been developed in close cooperation with us. To us, it was essential that the store should reflect the uniqueness of Sweden while providing a truly outstanding offer as far as product assortment and presentation are concerned.
“At the same time, we have endeavoured to find the optimal balance between commercial offer and operational processes. We are pleased with the final result and look forward to many happy customers enjoying their shopping at Stockholm-Arlanda Airport.”
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Education, via tastings, brochures and well-trained staff, is key to engaging the consumer in such a vast store |
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This is a nice shot that portrays the space given to – and between – the various ‘worlds’ |
Distinct ‘Worlds’ for diverse product categories
The “˜World of “¦’ concepts present each product category in its own unique setting and design. The concepts provide background information on the specific product such as country or region of origin, ingredients, special features, tasting notes or recommendations of the month voiced by an independent expert in the field.
All the educational material is targeted at stirring up the customers’ interest in the product and converting them into connoisseurs who will recognise and purchase the more exclusive product next time.
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Luxury French brand Valrhona is one of several star names in the premium chocolate area |
World of Chocolate: This section is designed in warm tones of brown. Loose chocolate is sold over the counter, allowing passengers to assemble their personal “˜best of’ mix, while a specialist chocolatier demonstrates the art of chocolate-making in a retail theatre set-up. Much attention is given to educating the customers on the origin of cocoa beans used and special ingredients.
World of Whisky: This area features many rare products, with information material regarding the particularities of Scotland’s different distilling regions and the influence of the origin on the taste of the product.
World of Wine & Bubbles: This sector presents a wide choice of sparkling wine in a shop-in-shop dominated by the design theme of bubbles. It also features a large selection of wines of different origins presented along with tasting suggestions and recommendations from international wine experts.
World of White Spirits: Dominated by a giant arch made from LED screens depicting various content, sponsored by vodka brand Absolut, this section houses a wide assortment of vodka, rum, gin and tequila.
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L’Occitane heads an impressive line-up of wellness brands that underlines Nuance’s conviction towards the category |
World of Wellness: This concept was created to meet the needs of an emerging segment within beauty -customers who want to pamper themselves and who show an interest in natural and organic products. This new concept claims to be a world first for airport retail within a large general merchandise store. The shop-in-shop unites a series of skincare brands offering wellness, natural and organic skincare. Some brands such as Korres Natural Products and Amala are making their debut in the Swedish market, while others like Ole Henriksen or REN become available in Swedish travel retail for the first time. Still other brands such as Organic Apoteke, John Masters Organics, Ila, Taer Icelandic and Nux mark their worldwide travel retail launch at Stockholm-Arlanda.
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Note the great way a supporting column has been used as a beacon to The World of Perfumes |
World of Perfumes: This shop-in-shop presents a wide range of classic favourites as well as the latest releases. To make it easier for customers to find the scent that suits them, the educational material focuses on matching ingredients with passenger preferences, classifying scents and providing guidance.
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Big brands such as Clinique act as a beacon to the luxury beauty area at the end of the vast store |
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Local cosmetics brand Make Up Store seems set to be a smash-hit success in its travel retail debut at Arlanda |
World of Cosmetics: This section carries major cosmetic brands including Chanel, Dior, Lancôme, Biotherm and Clinique in their dedicated studios.
World of Cigars: Located in the tobacco area, this concept features a 16sq m walk-in humidor (by Dunhill) presenting a range of cigars both from Cuba and the Dominican Republic, Nicaragua and Honduras in a state-of-the-art environment. The educational element here focuses on tasting notes and indication of smoking length.
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Snus, a Swedish tobacco speciality, gets great space and focus with its own stand-alone ‘Snusidor’ |
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The Snusidor features an attractive – and supremely space-efficient merchandising system |
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The World of Cigars features a 16sq m walk-in humidor as well as the world’s first ‘Snusidor’ |
Snusidor: Especially developed for this store, this 16sq m walk-in display with a fully refrigerated back wall presents Swedish snus tobacco in a completely new way. Snus accounts for some 50% of all tobacco sales in Arlanda and will clearly benefit from the upgrade in presentation, The Nuance Group said.
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Demonstrations of local handicraft making emphasise the retailer’s strong commitment to championing Swedish tradition |
Spirit of Sweden: Designed to house destination products with a strong focus on Swedish design, the shop presents a selection of souvenir items such as the Swedish moose, T-shirts and key rings. It also presents a select choice of gift and design items from Swedish glass manufacturers Kosta Boda or Orrefors.
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The layout of The Nuance Group’s new Tax Free Store: 1 – World of White Spirits, 2 – World of Whisky, 3 – World of Wine & Bubbles, 4 – World of Cigars, 5 – Snusidor, 6 – World of Chocolate, 7 – Spirit of Sweden, 8 – World of Wellness, 9 – World of Perfumes, 10 – World of Cosmetics, and 11 – Promotional areas |
ABOUT STOCKHOLM-ARLANDA AIRPORT
Stockholm-Arlanda is the largest airport in Sweden, with 167 destinations and 74 airlines. Some 50,000 passengers fly in or out of the airport daily. About 16,000 people employed by 250 companies work at Stockholm-Arlanda. The commercial activities at Stockholm-Arlanda Airport are managed by Arlanda Schiphol Development Company (ASDC) AB, a joint venture between the Swedish LFV Group and Schiphol Group. ASDC AB manages all commercial activities at Stockholm-Arlanda Airport.
ABOUT THE NUANCE GROUP (SVERIGE) AB
The Nuance Group opened for business in Sweden in January 2002. It currently operates 25 tax free stores and specialist boutiques at 15 Swedish airports, employing 300 staff. The operation is led by General Manager Karl Walter.
At Stockholm-Arlanda Airport, The Nuance Group operates 11 shops at T2, T4 and T5 terminals, covering some 4,000sq m.
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