MALAYSIA. Taipei-based Tasa Meng and Malaysian duty free retailer DR Group have begun discussions on mutual points of cooperation such as staff development, e-commerce and product sourcing.
Talks have been ongoing since last year, the parties said.
Leading travel retailer Tasa Meng Corporation was selected to operate one of the two long-term Taoyuan International Airport Terminal 2 duty free concessions in August last year. In Taiwan, a Public Private Partnership (PPP) duty free operator licence model is favoured, under which the duty free retailer is partly responsible for the upkeep of the common facilities at the airport.
DR Group is a Malaysian duty free retailer that specialises in perfumes & cosmetics and confectionery. The company said it was “keen to learn” about Tasa Meng’s experience with the PPP concession model. It said the model might “be seen more favourably with Taiwanese duty free retailers as they usually have a vested long term interest to retain and sustain the business in their home territory, unlike international players”.
Tasa Meng General Manager Gary Chau said: “This friendly cooperation is in line with the New Southbound Policy promulgated by the Taiwanese government. We believe that both parties can benefit from the sharing of knowledge and experience in their respective jurisdiction. That said, our business focus still remains in Taiwan.”
DR Group Business Development Director Dr Afendi Dahlan commented: “As the industry landscape becomes more challenging, Tasa Meng’s experience in Taiwan shows how small local duty free players can remain relevant and competitive through a unique value proposition like PPP.
“We are keen to learn whether such model is relevant in the Malaysian context. This obviously requires acceptance on the part of the airport authority.”
In addition to cooperation on staff development and product sourcing, DR Group believes that it can “learn a lot” from Tasa Meng, given the latter’s experience in many product categories including luxury fashion, fashion accessories and jewellery.
