CHINA. The new ‘domestic duty free’ operation at Haikou Meilan International Airport on Hainan Island got off to a flying start yesterday.
Click here for video coverage of the store from Chinese television broadcaster CCTV, and here for a picture gallery of images from People’s Daily Online (English version).
As reported earlier this week, Hainan Provincial Duty Free Co. Ltd (HNDF) has opened a 2,200sq m duty free store at the airport, with DFS acting as its exclusive supplier and providing a range of management services.
The airport offer includes five separate stores, which will be fine-tuned in coming months. All major brands and fittings are expected to be present by Chinese New Year in early 2012. [NOTE: The Moodie Report launches The Moodie Report China e-Zine early next year, published in bi-lingual format. To sign up for a free Year 1 subscription, please send your e-mail address to Martin@TheMoodieReport.com].
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This image captures the elegance of the new airport duty free retail venture |
The central government introduced legislation in April permitting Chinese nationals to buy up to RMB5,000 (US$800) of duty free goods (twice a year for Mainland-domiciles, once a year for locals) when returning to the mainland from Hainan.
Earlier this year China Duty Free Group opened an extraordinarily successful downtown store at Sanya Bay. The HNDF airport outlet, while smaller, enjoys the benefit that customers can take their goods immediately as opposed to waiting for airport pick-up.
CCTV reported: “Passengers are buying up big, after passing a security check and before boarding. It [the store] provides a wide selection of merchandise, from fragrances and cosmetics to sunglasses and watches. Imported confectionery also takes up a large portion of the sales floor.
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(Above and below) Big-name brands such as Coach and Bally are already proving big attractions |
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“Only a few hours after the shop opened, it’s already packed with busy shoppers. In less than an hour, close to a thousand travellers came through the door. Most are shopping for fragrance and cosmetics, others are looking for sunglasses and accessories.”
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Media interest in the new ‘domestic duty free’ offer is intense |
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One tourist told CCTV: “This prompted us to visit Hainan. We already love travelling here, now we are even more motivated.”
Another said: “We have been to the duty free shop in Sanya, but we usually leave the island from Haikou. This is really convenient for us.”
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(Above and below) Consumers can choose from a wide range of fashion and luxury categories and brands |
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Under the agreement with DFS, HNDF runs the stores with its own staff and management, who work closely with DFS in areas such as staff training and store design.
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(Above and below) Judging by these pictures, demand will be hectic at the new store |
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The company (partnered by DFS) has ambitious plans to further develop duty free on Hainan, including downtown stores. HNDF has the right to open duty free shops anywhere on the resort island, though every location will require separate approval from central government.
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(Above and below) Job well done: The local team celebrate a successful opening |
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