The Moodie Report Picture Gallery: Nuance-Watson Singapore unveils its new Changi T3 mega-store – 28/02/08

SINGAPORE. Following our on location report from the formal opening of Nuance-Watson Singapore’s new perfumes & cosmetics stores at Singapore Changi Airport’s impressive new Terminal 3 last week, we present an additional Picture Gallery that takes readers on a walk through the main mega-store.

As many suppliers noted, this is an impressive but not easy store. Unlike the ‘world without walls’ shop that Nuance-Watson does so well at Changi T2, the T3 mega-store is not only closed in on two sides but is also funnelled down to an awkward, narrow tip at the end. How did the retailer combat the limitations of the layout and of the pillars that also block some sight lines? In the main, pretty well, as the supplier reaction (see our full original story below) testifies. But make up your own mind after viewing our Picture Gallery – we welcome feedback via The Moodie Forum below.

ON LOCATION AT SINGAPORE CHANGI AIRPORT TERMINAL 3: 22 FEBRUARY 2008

More than 200 guests attended the official opening of the S$4.5 million (US$3.2 million) Nuance-Watson Singapore perfumes & cosmetics stores at Singapore Changi Airport’s new Terminal 3 today.

Declared open by The Nuance Group President and CEO Roberto Graziani; AS Watson Group CEO, Health & Beauty Asia, Andrew Miles; Nuance-Watson Singapore Managing Director Ken Tse and Civil Aviation Authority of Singapore Director-General and CEO Lim Kim Choon, the glitzy ceremony at the main mega-store included a Chinese opera performance and a visit from the “˜God of Fortune’.

The big moment arrives as the ribbon is cut to mark the opening of the new perfumes & cosmetics stores. (Left to right): Ken Tse, Nuance-Watson Singapore Managing Director and Worldwide Head of Category – Perfumes & Cosmetics for The Nuance Group; Andrew Miles, CEO, Health & Beauty Asia, AS Watson Group; Lim Kim Choon, CAAS Director-General and CEO; Roberto Graziani, President and CEO, The Nuance Group


Nuance-Watson (Singapore) is a joint venture between The Nuance Group and AS Watson Group, a member of the Hong Kong-based conglomerate Hutchison Whampoa Limited.

The retail powerhouse, which defended its concession last year in the face of stiff international competition, now has 24 perfumes & cosmetics stores at Changi. It operates in all four terminals and is set to benefit from increased passenger traffic at the airport, which hit an all-time high of 36.7 million in 2007 – a +4.8% rise over 2006, ahead of Civil Aviation Authority of Singapore projections.

Revenues of perfumes & cosmetics exceeded S$220 million (US$152million) in 2007 and the company projects double-digit growth in 2008.

(Left) Ken Tse sounds the three gongs that ring in prosperity; (Right) VIPs and local celebrities gather for a photo opportunity outside the mega-store just after the opening – note the wide open shop frontage just behind them


Commenting on the physical challenges of the main shop [deep, and narrow at the back], Roberto Graziani told The Moodie Report: “The shape of the shop is not ideal but the frontage is quite big so the exposure of the brands is quite effective. And by having located the luxury part of the assortment at the end of the shop – the cul de sac – we are able to attract people to the end. The location is also much better than in the previous Changi terminals because we are just in front of passport control.”

Asked if he was confident of making money after a necessarily aggressive bid to retain the business, Graziani replied: “You know my philosophy right from the beginning was that I prefer to have a smaller company that is more profitable than a bigger company which is less profitable.

“Sometimes you can make a mistake in bidding too high to retain a concession but I can assure you this was not the case here. We were confident and we are now even more confident that we can achieve good results.”

(Top) Two Chinese performers lit up the opening with a rousing Teochew operatic tale of a pair of lovers reunited;
(Bottom) The ‘God of Prosperity’ rolls out good fortune by generously giving out ‘gold coins’ to eager guests


Commenting on the main mega-store Andrew Miles told The Moodie Report: “It looks good and there are some new brands throughout the store. It’s easy to shop, the brands have got great presence and we have a concierge service [see below for details] which is an interesting approach. We also have the [Michael Edwards] Fragrance Finder, which we might need to give more presence to, as it a very interesting concept.”

Miles said the joint venture had taken a very creative approach when it set out its T3 strategy. “As we were going to be coming into this fantastic new terminal we couldn’t just put in another perfumes and cosmetics offering – it had to be something special. So during the tender process the local team came up with these ideas by asking what would the consumer want. What would really make this interesting and make us a little bit different?

“I think the result is great and it can only get better. And I am really looking forward to Terminal 2 as well because we’ll take the learnings from here when we renovate in April.”

(Top left) Victoria’s Secret “˜Angels’ unveil their Asia Pacific travel retail exclusives; (Top right) The start of a new business cycle for L L.A.M.B. by Gwen Stefani fragrance? (Below left) A Becca make-up demonstration underlines the store’s emphasis on consumer interaction and theatre; (Below right) Benefit, seen here in a make-up demonstration, is another of the brands making a duty free exclusive debut at Singapore Changi Airport with Nuance-Watson

Civil Aviation Authority of Singapore Director (Commercial) Lim Peck Hoon said: “Nuance-Watson has again outdone themselves. They have delivered not one but six impressive perfumes & cosmetics stores in our new Terminal 3. They have understood our desire to have a lively shopping street that is filled with activity and theatre and will be entertaining shoppers at their T3 mega store with numerous highlights from promotions to mini beauty treatments or makeovers. The store designs are well thought out and make a bold statement with their bright pink and white façade which is clearly visible from afar.

“The results are testament to Nuance-Watson’s commitment to delivering only the highest standards in the beauty business. We are proud of Nuance-Watson’s achievement in creating another exciting destination shop for beauty here at Changi and applaud their constant quest for new and exclusive brands that will excite our passengers.”

Nuance-Watson (Singapore) Managing Director Ken Tse said: “Our approach is to be the “˜category killer’ in beauty by having the widest possible range of brands and price points, recognizing the diverse personalities and desires of our customers.”

Exclusivity is one of the key buzzwords for Nuance-Watson Singapore at Changi Terminal 3

The company said it prides itself on being a launchpad for beauty-related products. So exclusivity and newness are key watchwords of the offer. It has brought in several beauty brands or lines that are unavailable in other Asia Pacific airports or local downtown stores. The list includes Amouage Jubilation, Gwen Stefani, Gucci by Gucci, Courvoisier, Badgley Mischka, Victoria’s Secret Beauty and Loewe fragrances, and cosmetics from Victoria’s Secret Beauty, Becca, Botlux (‘France’s answer to botox’ – launched less than a year ago), Bellefontaine, Benefit Cosmetics and Laneíge (the Korean skincare brand launched a day earlier).

The T3 mega-store also features a La Prairie mini treatment room where travellers can be pampered with caviar-based skincare before they fly. The Swiss beauty treatment service is complimentary with any purchase of a La Prairie item. Treatments last between 10 and 30 minutes each.

Nuance-Watson has also introduced the “˜Michael Edwards Fragrance Finder’ kiosk, an acclaimed online application from the renowned Australia-based industry expert, that aids in fragrance recommendations.

(Left) Andrew Miles of A.S. Watson Group said he is delighted with the store execution and with the level of innovation;
(Right) Will T3 bear fruit for Nuance-Watson? Here The Nuance Group President and CEO Roberto Graziani is being handed a mandarin orange (to the Chinese a lucky symbol for a gold ingot). Giving out oranges is like distributing wealth, which explains the expectant smile on the Nuance leader’s face.


(Left) A show of executive strength from Andrew Miles, Ken Tse, Lim Kim Choon and Roberto Graziani – note the backdrop of another Changi first, Laneíge skincare from Korea; (Right) Civil Aviation Authority of Singapore Director (Commercial) Lim Peck Hoon with The Moodie Report Publisher Martin Moodie

Taking note of the proven growth potential of cosmetics, especially with the emergence of the Chinese travellers and their interest in skincare, Nuance-Watson has allocated more space (+70%) to cosmetics. Cosmetics today contributes about 53% of sales in the main store compared to around 42% five years ago.

Nuance-Watson Singapore takes its bow at Changi Airport Terminal 3


Click the Podcast icon to listen to impressions from today’s launch


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Nuance-Watson has also launched a beauty concierge service counter at both the T3 Mega and South-gate stores to provide services such as personal shopping, gift-wrapping and provision of beauty tips. More than 25 beauty consultants, plus a beauty concierge, are available during operating hours to attend to customers.

Brand executives interviewed by The Moodie Report today at Changi were complimentary about the execution, especially given the physical contraints of the store architecture.

Guerlain Director Travel Retail Worldwide Olivier Plagnol said: “It’s a magnificent terminal. The store location is very good and they have done a good job on the layout because it is a difficult store to work with. The store is deep and you have pillars so it’s not easy to see. So the weak point is the visibility of the brands because the shop is deep just like you have with Nuance-Watson in Hong Kong. But they had no choice and have done well. They have put the big brands at the back to attract people while the visibility for secondary brands is quite sufficient.”

Also from Guerlain, Regional Director, Travel Retail – Asia Pacific Jackie Pan added: “I think the T3 mega-store really gives each brand enough space to show off and display the brand properly. We’re very happy that Nuance-Watson has given us the opportunity to show our potential here. I like this store very much because when you come into the store, you feel so happy. And when you’re happy, you want to shop. It’s good to have this ambience; it’s very traveller-friendly.”

Chanel Area Manager Fragrance & Beauty – Travel Markets Linda Goh told The Moodie Report: “Overall the store is very welcoming. They have created a nice platform for a nice shopping experience – it is not a “˜pick and go’. You feel like you are in a department store – I hear that from customers. There’s a lot of variety here which makes you want to stay longer, whereas in a lot of airports you see the same thing. So as a vendor we’re very happy to be here.”

Left: Linda Goh of Chanel: “You feel like you are in a department store”; (Right) Clinique Regional Director Asia Pacific Philippe Warnery with his Clinique Changi team, Norfazlin Ramli (left) and Joanna Ng


Clinique Regional Director Asia Pacific Philippe Warnery added: “We are very pleased with what they have done with Clinique. People are spending much more time at the airport these days and they want the same level of consultation at the airport as they do downtown. That’s been our approach and it helps create loyal customers – it’s been an amazing success for the past six months.”

MORE REACTION FROM NUANCE-WATSON SINGAPORE’S BRAND PARTNERS

Estée Lauder Travel Retailing Asia-Pacific Vice President/General Manager Stefan Herzog:

“The opening of Nuance-Watson’s new beauty shops in Changi T3 not only gives pride to Nuance-Watson’s team who did a fabulous job but also to Estée Lauder Travel Retailing. We are pleased with the presentation of our brands. The concept that Nuance-Watson selected is a perfect match between the requirements of an airport operator and the brand’s. This can only be the result of a great partnership between the two parties. Ken Tse and his team have always focused on building strong relationships with the vendors and the beauty shops in Changi T3 are a shinning example of this approach.”

Chanel Regional General Manager Asia Pacific, Eric Bale:

“The opening of the shops by Nuance-Watson in the new state-of-the-art Terminal 3 in Changi represents another great achievement of Ken Tse’s company in this airport and one must congratulate you for this. The design of the very spacious main shops allows a great visibility for all the brands and a perfect traffic flow for the passengers while proposing very clear merchandising.”

P&G Prestige Products Travel Retail Group Manager, Rosemary Chegwyn:

“Procter & Gamble has always found Nuance-Watson Singapore to be an exceptional business partner in Singapore Changi Airport. We work together to hit joint business goals and with the team’s great collaboration, communication and fast reaction ability we continue to maximize the potential of the P&G Prestige Products portfolio in the Airport. We are very excited about the possibilities of Terminal 3 ensuring the ongoing growth of brands and maximizing the world class consumer experience at Changi.”

Jonathan Holland & Associates Managing Director, Jonathan Holland:

“In these days of homogeneity in P&C airport stores regionally and globally, it is so refreshing to see the innovation and creativity that Nuance-Watson Singapore incorporate into their stores. They are prepared to experiment and challenge the norm with the brands they take onboard as well as the design features of the store itself. After having had considerable success in T2, in particular, they have now done it again in T3. We are excited to be launching the renowned Laneíge brand from Amore Pacific in this store especially as this is the first travel retail counter worldwide for Laneíge outside of Korea. Being the first Asian brand in our portfolio, we are very happy that we have the chance to launch it with our valued partner, Nuance-Watson, in Changi T3 as this will give it every chance of success.”

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