DFS and Diageo mark Chinese New Year in style at LAX

US. DFS and Diageo have partnered to transform the liquor category merchandising in the retailer’s landside store at Los Angeles Airport’s Tom Bradley International Terminal (TBIT).

The project – a work-in-progress which will be completed in the next few weeks – was previewed to members of the media on Monday (31 January) by top DFS North America executives including Managing Director Polly Nelson and Vice President Business Development Joe Lyons.

The world-leading travel retailer is redesigning key product categories in the 12,000sq ft store, to cater to the terminal’s changing passenger mix. New international flights are bringing many North Asian passengers, and there is strong growth from Australia and New Zealand, as Los Angeles Airport is a principal gateway to the Asia Pacific region.

Sophisticated and contemporary approach

DFS and Diageo decided to combine their knowledge of these new travellers to devise a sophisticated and contemporary approach to category management in the core categories, including liquor, tobacco and luxury confectionery.

DFS Global Vice President – Merchandise Manager Spirits, Wine and Tobacco John Hoover explained: “The changing passenger mix is a positive opportunity to do something radical with our store space. We asked Diageo to help us leverage the latent power in the leading brands across key categories. As such, they looked beyond their own portfolio and indeed beyond liquor to help us create a holistic approach that provides subtleties of flow and navigation, making the shopping experience both easy and a pleasure.”

While the store has only been trading since mid-December, early sales results are positive, DFS and Diageo said.

As part of the revamp, ultra-premium Scotch whiskies such as Johnnie Walker Blue and The John Walker sit alongside high-end Cognacs and other rare spirits. A revolving glorifier for The John Walker stands in the middle of a huge circular presentation area showcasing the expanding Johnnie Walker portfolio.

“Amazing canvas for travel retail”

Diageo Global Travel & Middle East Customer Marketing Manager Adam Irvine said he sees this initiative as an indication of things to come: “We believe the gateway American airports can offer an amazing canvas for travel retail to engage shoppers with a premium retail experience and premium brands. Passenger dynamics are changing dramatically and will continue to do so. There is now an opportunity to really leverage the region’s potential in ways previously undreamt of.

“The DFS store at TBIT sets a new benchmark for that and is a prime example of our ambition for both North America and for global travel in general, and we’re delighted to have partnered with DFS yet again, building on the success of previous Trinity projects at Changi and Abu Dhabi.”

Celebrating Chinese New Year

Conveniently, the DFS store at LAX is located right by the China Eastern Airlines check-in desks, and when The Moodie Report visited on Monday (31 January 2011) at 10am, eager passengers flocked to see what was on offer. Such peak hours are called the “power hours” in the DFS lexicon.

To celebrate the Chinese New Year, a Johnnie Walker Blue promotion titled “Celebrate the fortune” was tailored for the passenger profile. Special packaging to mark Chinese New Year was also evident in the tobacco category.

Cross-merchandising techniques were also used to great effect in-store. A display area themed “For Men” merchandised Johnnie Walker Blue alongside Burberry ties and a Burberry leather messenger bag.

Shop-in-shops for the world’s leading luxury fashion brands include Hermès, Gucci, Dunhill, Burberry and Coach, while a sunglasses section offers top marques such as Ray-Ban, Gucci and Coach. The beauty room also houses the best the industry has to offer.

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