INTERNATIONAL. The Moodie Davitt Report Founder & Chairman Martin Moodie comments on today’s news that Julián Díaz, Chief Executive Officer and member of the Board of Directors of Dufry AG, will step down from his position as Chief Executive Officer on 31 May.
As reported, Díaz will not stand for re-election as a member of the Board of Directors at the 2022 AGM.
Díaz will be replaced by a former long-time Dufry executive, the well-regarded Xavier Rossinyol, who has been appointed as Chief Executive Officer, effective 1 June.
How does one begin to sum up the profound influence of Julián Díaz on the global travel retail channel? It is almost 18 years to the day since global private equity giant Advent International completed the acquisition of Dufry and simultaneously revealed the experienced Spanish travel retailer as the new CEO.
During the intervening years, Díaz and Dufry recharted the travel retail landscape. Under Díaz’s stewardship, the hitherto mid-ranking travel retailer – historically known more for its wholesale than retail activities – embarked on an extraordinary acquisitional spree that over the years took in international rivals World Duty Free and The Nuance Group; and regional powerhouses such as Brasif, InterBaires, Regstaer, Hudson Group, Hellenic Duty Free and others.
By the end of 2014, Dufry had become the world’s largest travel retailer by sales [Source: Moodie Davitt Top Travel Retailers], a leadership position it extended until 2020 when the pandemic ravaged the company’s expansive global footprint and China Duty Free Group assumed number one status.
The past two years have been immensely demanding of Dufry and its leader and it is perhaps not surprising that a man who had achieved pretty much everything at the company prior to the pandemic, should choose to stand down.
Díaz skilfully steered what could have been a stricken ocean liner away from the rocks to the point that the company, now leaner and restructured, is well-poised to take advantage of what shapes increasingly as a steady global air traffic recovery.
A driven but thoroughly decent and highly personable and engaging individual, Julián Díaz has put an indelible stamp on the travel retail channel, one that ranks him among the most authoritative figures in the sector’s history and certainly the definitive influence of the 21st century.
Dufry Chairman Juan Carlos Torres is right on the money when he speaks of the company’s immense gratitude to Julián Díaz for his “outstanding dedication and extraordinary contributions”. The whole travel retail community, in fact, owes that same debt of gratitude.
Dufry, though, will be in good hands with his replacement, Xavier Rossinyol, who by dint of his lengthy senior management responsibilities with the company from 2004 to 2015, knows the company inside out.
Since then he has been CEO of gategroup, the leader in airline catering and onboard retail, a role that he stepped down from last November to “pursue new challenges outside the airline industry”. Now we know that that challenge is, one that is actually inextricably intertwined with the airline industry.
It will be interesting to watch what changes he brings to the Dufry world. Some clues lie in his quoted comments today within the official announcement, as he noted the group’s strong financial position and sufficient liquidity to address the short-term recovery. That defensive job, as it were, has been well done by his predecessor.
Now, as Rossinyol notes, it is about re-energising growth and addressing both company and channel challenges. Neither will be easy, but in a man who has got the role he long aspired to, Dufry has found itself a leader who besides possessing great abilities will hardly lack motivation.
