DFASS Group wins duty free and general retail contract for Garuda Indonesia

INDONESIA. In a major gain, DFASS Group has been awarded a full-service contract to run all Garuda Indonesia’s inflight duty free, duty paid and other retail business.

The Miami-based concessionaire won the long-term contract, beginning in January 2013, after a competitive tender. The business had been run for many years by local company PT Rodamas.

The agreement includes a mail-order operation and two stores at Jakarta and Denpasar airports, plus a new staff shop that DFASS will introduce following success with similar outlets for other airline clients.

Garuda Indonesia is one of Asia’s fastest-growing airlines. This year it expects to add 20 new aircraft, bringing its total fleet to 105. Through its ambitious “˜Quantum Leap’ programme, it plans to expand its fleet to 194 aircraft by 2015.

In July it was named “˜The World’s Best Regional Airline’ by Skytrax. In the first half of 2012, Garuda Indonesia generated operating income of US$1.5 billion and operating profit of US$10.8 million, up +17.7% and +131% respectively. In the same period it carried a total of 9.6 million passengers, an increase of +22.4% year-on-year.

International passenger numbers were around 3.5 million last year and are growing fast in line with the expansion of the airline’s route network.

DFASS Group Chairman Benny Klepach (left) and Deputy Chairman John Garner pictured with key members of the DFASS team in Singapore earlier this year

DFASS Group Deputy Chairman John Garner told The Moodie Report: “We’re delighted with this success and really excited to be working with such a dynamic airline.

“We’ll be revamping all the inflight catalogues, introducing a state-of-the-art website and mobile apps for passengers to order from. We’ll also be equipping the airline with our acclaimed hand-held computer system which will make a big difference to the crew and to overall sales.”

The news is one of several recent gains for DFASS. As reported, the company has just secured the duty free concession on Nepalese start-up airline BB Airways and retained its concession as Gulf Air’s duty free sales and logistics service provider.

It has also launched an inflight duty free programme onboard Peach, Japan’s first low-cost carrier, following the successful March launch of a duty paid programme. And in August it announced that it had been awarded the concession to manage the inflight duty free programme onboard Taipei-based Far Eastern Air Transport.

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