DFS Group and Shenzhen Duty Free aim to “set a new retail bar in Hainan” with Haikou Mission Hills project

CHINA. DFS Group has revealed further details of its partnership with Shenzhen Duty Free Group in Hainan and congratulated its Chinese partner for being awarded a highly sought after licence to operate an offshore downtown duty free business in Haikou Mission Hills.

As  revealed by The Moodie Davitt Report earlier this month, the two companies plan an ambitious, upscale retail programme at the expansive leisure resort.

DFS said it would partner with Shenzhen Duty Free Group “to establish a world-class duty free retail experience for visitors to Hainan totalling around 30,000sq m”. The project will be completed in phases beginning in January 2021.

DFS said it aims to bring its “strong relationships with international luxury brands, together with its unrivalled merchandising know-how, digital innovation and world-renowned store design expertise”, to create a ‘city within a city’ – an exciting and luxurious shopping destination that will set a new retail bar in Hainan”.

The project will feature DFS’ largest Beauty Hall as well as products from some of the world’s best-known brands in the worlds of fashion and accessories, watches and jewellery, wines and spirits, and premium food and gifts.

In the first phase, due to open in Q1 2021, DFS plans to present “an experiential display of its retail capabilities, taking customers on an immersive and spellbinding tour of ‘The World in a Day’ that represents the very best of its global store network”.

Incorporating elements from DFS gallerias in locations from Venice and Paris to Sydney and Macau, the store will offer customers in Hainan a curated selection of fashion, beauty, watches and jewellery brands.

DFS and Shenzhen Duty Free Group have a long-established partnership, with DFS supplying merchandise and advising on operations across Shenzhen Duty Free Group’s network. Earlier this year, DFS acquired a 22% stake in Shenzhen Duty Free Ecommerce Co, which is majority-owned by Shenzhen Duty Free Group.

DFS had a presence in Hainan from 2005 to 2019 and said it was excited to again support the Hainan Provincial Government in its ambition to transform the island into a world-class free-trade island.

“With our long history of developing new markets in Asia, as well as our expertise in downtown duty free retailing, strong luxury brand relationships and deep understanding of travelling Chinese customers, we are ready to take retail in Hainan to new heights,” said DFS Group Chairman and CEO Benjamin Vuchot.

“We look forward to supporting our esteemed partner, Shenzhen Duty Free, in their latest successful venture, and to contributing to the development of tourism and retail in Hainan. We are also proud to take our valued brand partners on the next phase of our journey into new and exciting travel retail destinations.”

DFS also congratulated the Hainan Provincial Government on its success in controlling the COVID-19 outbreak on the island and applauded the authorities’ efforts to encourage visitors to return to Hainan. In a show of solidarity with its Chinese customers earlier this year, the retailer issued a message on its WeChat platform, assuring in Chinese, “No winter can’t be passed, No spring will not come.”

In partnership with Shenzhen Duty Free Group, DFS said it “looks forward to creating a beautiful Springtime for customers in Hainan, with the completion of this latest project”.

Haikou, a port city and the capital of China’s island province Hainan, sits on the island’s north coast. The city is an important centre of cultural heritage and boasts rich natural beauty as well as a pleasant tropical climate and numerous attractions.

Mission Hills is an integrated eco-tourism resort in Haikou spanning 100,000sq m, offering high-class leisure and recreation facilities including golf courses, a water park, hot and cool mineral pools and a man-made beach.