Eraman Malaysia adds theatre; drives confectionery with Kidz Smart Tunnel at KLIA

MALAYSIA. Eraman Malaysia, in partnership with Swiss chocolate brand Lindt, recently organised a chocolate-making demonstration in its duty free emporium at Kuala Lumpur International Airport’s Low Cost Carrier Terminal (KLIA-LCCT).

Held at the newly opened international departure hall, the live demonstrations aimed to promote the Swiss brand, which joined Eraman’s portfolio in March. Imported straight from the factory in Switzerland, Lindt is now available in Eraman outlets nationwide, offering more than 20 skus.

Conducted by Lindt’s Maitre Chocolatier Reto Marzari, the demonstrations were supported by sampling opportunities, boosting sales at the 1,500sq ft outlet. Among the best-selling Lindt chocolate are Lindt assorted Napolitains 500g, Lindt Gold and Silver Tablets as well as Lindor Tube Assorted 400g, the retailer said.

The demonstration at the KLIA-LCCT ran from July to August, and has been extended to Eraman’s Lifestyle Mall at the Contact Pier due to “good response” from passengers. Held near the Kidz Smart Tunnel*, which opened on 29 July, the promotion is currently running until 12 September.


Lindt’s Maitre Chocolatier Reto Marzari makes fresh Lindt chocolate at Eraman’s duty free emporium at the KLIA-LCCT

Buoyed by increased passenger spending at the LCCT

The global economic downturn may have had an impact on passenger numbers, but passenger spending at Eraman’s duty free stores at the KLIA-LCCT remains brisk. Passengers may travel on budget airlines, but that doesn’t mean they restrict their duty free shopping, Eraman said.

In an interview with Business Times, Eraman Malaysia Head of Division Merchandising Core Products Elina Jamaluddin revealed that the average retail spend per passenger at Eraman’s LCCT stores is RM150 (US$42.50) per receipt, compared to RM130 (US$36.80) per receipt at its KLIA stores.

Travellers from China and India are expected to further drive passenger spend at the KLIA-LCCT, says Eraman Head of Division Merchandising Core Products Elina Jamaluddin

Eraman’s duty free stores at the LCCT have outperformed its stores in KLIA’s main terminal in the past few months, despite more international arrivals at KLIA, the report said.

In the first quarter this year there were 2.7 million arrivals at KLIA (down from 3.3 million in the same period in 2008) compared with 1.55 million international arrivals at the LCCT (up from 1.06 million).

Eraman’s duty free stores at KLIA’s main terminal contribute 63% to Eraman’s total sales, while stores at LCCT generate the remaining 37%. In the first quarter this year Eraman sales contributed about one-fifth to Malaysia Airports’ revenue of RM392 million (US$111 million).

According to Jamaluddin, international passengers at the LCCT are spending on premium products such as chocolates, fragrances, cosmetics and hand-rolled cigars. In particular, the increase in demand for hand-rolled cigars has spurred Eraman to expand its small cigar section at the LCCT into a cigar boutique, selling products priced up to RM3,000 (US$850) for a box of ten.

Travellers from China and India are expected to further drive passenger spend at the LCCT, Jamaluddin added, as there are now more AirAsia routes to the two countries.

Passengers from China are the third biggest spenders at Eraman emporiums located at the LCCT Departure and Arrival halls, while those from India are ranked fifth. Over at the KLIA, travellers from India and China rank second and third respectively, in terms of passenger spend.

To encourage higher spend at the LCCT Eraman is going to introduce limited-edition products, more value-pack items and retail sets, as well as in-store and on-counter promotions, Jamaluddin added.

Eraman is hoping to repeat its success at the new permanent LCCT, which will be located just 1.5km away from KLIA’s main terminal building. The 150,000sq m terminal, expected to be ready in 2011, is designed to hold up to 30 million passengers a year, with the capacity for expansion up to 45 million passengers a year.

Jamaluddin revealed that Eraman will maintain the emporium concept at the new LCCT, but other Eraman outlets will be added to house fashion items, children’s products as well as food & beverage.

Eraman is aspiring to be a “full-fledged retailer”, Jamaluddin added, and will diversify its offer to cater to those who travel with families.

*NOTE: A profile of Eraman’s innovative confectionery concept at the newly opened Kidz Smart Tunnel at the Contact Pier will be featured in The Moodie Report Digitial Print Edition’s Category Insight supplement for September 2009. In the meantime, The Moodie Report offers a gallery of exclusive pictures:


The Kidz Smart Tunnel has an open tunnel concept featuring colourful ‘dinosaur bones’ forming arcs over the passageway


The open space in front of the Kidz Smart Tunnel provides an ideal spot for children to watch cartoons; Eraman Malaysia Head of Division Merchandising Core Products Elina Jamaluddin presents the Barbie collectors’ items in the toy section



The Kidz Smart Tunnel offers items for boys and girls of all ages, including Transformers, Dora the Explorer and storybooks

‘Big Purple Story’: Cadbury’s mega display features a wall tracing the chocolate brand’s timeline since the early 1900s


A colour riot of Chupa Chups’ signature red, yellow and orange hues and Mentos’ cool blue-white colour theme


(Left) The twinkling lights of Hershey’s signage pay tribute to the Hershey’s store in New York’s Times Square; (Right) M&M’s characters immerse themselves in the localised Malaysian backdrop featuring KL’s iconic Petronas Towers

Jelly Belly’s 100sq ft corner features Eraman’s first pick-and-mix offer – two walls of dispensers filled with jellybeans of all flavours, as Kit Kat and Smarties add a dash of energy with their vibrant colours and travel retail fun-packs