World Duty Free Group reveals vibrant new retail arena at Glasgow Airport

Reaching for greatness in Glasgow: Airport Managing Director Amanda McMillan, WDFG Retail Operations Director UK Fred Creighton and their teams cut the ribbon to officially open the new walk-through store

UK. “This new store has delivered the ‘wow factor’ and more choice than ever before for passengers; World Duty Free Group has matched the ambition we set out for this project.” That’s how Glasgow Airport Managing Director Amanda McMillan described the retailer’s newly refurbished and expanded operation at the official launch on Thursday (attended by The Moodie Report).

At 1,555sq m, the new WDFG walk-through store is one-third larger than the store it replaces. The additional space has enabled a more extensive product range to be introduced, most notably in the beauty and liquor categories. Crucially, WDFG has agreed a new long-term contract with the airport as part of its £2.2 million investment.

Speaking at the opening, WDFG CEO José Maria Palencía said: “This store sends an important message about the commitment of World Duty Free Group to Glasgow. The airport, which is very ambitious, challenged us and we have responded with passion.

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“This environment reflects the industry reality that the business is more and more about uptrading. This is important in areas like luxury spirits and high-end beauty. It’s about the point of difference this industry can create. We are focusing heavily on whisky; after all, we are in Scotland and we are betting on this category in our store.”

World Duty Free Group CEO José Maria Palencia: The Glasgow store underscores the retailer’s commitment to the Scottish airport
Amanda McMillan: The new environment delivers the ‘wow factor’

WDFG UK Director of Retail Operations Fred Creighton said: “For us, the customer is at the heart of everything we do and Glasgow Airport shares this focus too. We enjoyed working in close partnership with the airport team to create this superb walk-through store, which began trading in July and we’re proud to deliver an exceptional airport shopping experience to our customers”.

He later said: “All of our new stores are different in character, based on the region they’re in. Here we have devoted extra space to most categories and that has allowed us to offer more brands and to showcase them with more authority. It’s also, along with Stansted, the first in a new generation of walk-throughs. The aim is to make this more of a journey and experience for passengers; the walkway through must be obvious for those who don’t want to shop but enticing for those who are open to browsing and purchasing.”

Creighton added: “Since we completed the project we have had a record September, so the store has performed from the start.”

Glasgow Airport Commercial Director Francois Bourienne hailed the WDFG store as a key element in the transformation of the facility. “We are making Glasgow a more welcoming airport, and this store is part of that process, with a great Sense of Place.

“We have challenged WDF to grow revenues by +10% and they have responded with new space for the major categories.

“It complements our other investments in expanded food & beverage, fashion and other categories such as electronics. We want to make the journey through the airport a seamless one, ideally with one flow of passengers, and have plans for the next phase of expansion down the line.”

Engaging the shopper: Popular mainstream spirits followed by the new, enlarged World of Whiskies (below), are the first areas the traveller sees as they enter the walk-through
World of Whiskies gives Scotch its rightful place at the heart of the store; the unit is neatly divided by region, with a Rare & Vintage section appealing to high spending connoisseurs

Whiskies to the fore
In the WDFG store, the key liquor area (covering 172sq m in total) is the first zone that passengers encounter as they enter post-security. It features a shop-in-shop format of WDFG’s World of Whiskies concept, which showcases over 300 different whiskies, including some that are exclusive to World of Whiskies.

Previously there was a World of Whiskies wall but this new zone brings the best of Scotch out into the store as a more visible concept.

“The positioning is key,” said WDFG Liquor Category Buying Manager UK Nigel Sandals. “We had to create a balance between the popular mainstream brands [which are right in the traveller’s eyeline as they enter the store] and World of Whiskies. The opportunity here is to trade people up to more premium brands, and in particular malts.”

World of Whiskies is divided by region: Speyside, Islands, Highlands and Islay, plus a Rare & Vintage zone, offering items of £1,000 and more (such as Brora, exclusive to the retailer).

“There is also a big focus on travel retail exclusives, which we are guiding the traveller towards,” said Sandals. “We make a point of merchandising travel exclusives together and we try to convert more people into purchasing exclusives. Tasting is key in this regard.”

Key spirits brands occupy personalised wall bays in the liquor area

Liquor is traditionally the major category by sales at Glasgow, said the company, and apart from whiskies there is a strong business in popular white spirits brands (Smirnoff Red is the best-selling brand across spirits). This is reflected in the mainstream brands that populate the front of the store and in the personalised wall bays devoted to key brands such as Smirnoff, Bacardi, Bombay Sapphire, Hendricks, the increasingly popular Ciroc brand and others.

Wines & Champagnes are not as big a business as at Heathrow but remain important, with growth in brands such as Veuve Clicquot and at the top end, Dom Pérignon, noted Sandals.

Among the highlights of the launch event was the appearance of John Dewar & Sons Master Blender Stephanie Macleod. She talked of WDF’s “stunning backdrop” for our whiskies and of the “specialist knowledge, enthusiasm and attentiveness of the staff” in the stores.

“Having partnered with WDFG on a number of launches over the past two years, I think the close relationship between Dewar’s and World Duty Free has clearly opened up a stronger whisky conversation with the traveller, enabling us to share new launches, travel retail exclusives and deeper in-store experiences.”

Macleod also hailed the rebranded Dewar’s range, and also revealed that the latest addition to the travel retail portfolio, Aultmore single malt (12yo and 21yo), will be available first through WDF at Glasgow from 1 November. It will go on sale via other outlets later that month.

Stephanie Macleod: Hailed the evolution of the Dewar’s brand, and revealed the launch of new global travel retail exclusive The Aultmore single malt through WDF in Glasgow in November

Bacardi Global Travel Retail Regional Director Europe Aude Rocourt said the release was one of five new malts into global travel retail this year.

“We’re delighted to share in the launch of this stunning new store at Glasgow Airport, further consolidating World Duty Free’s pioneering role in driving the in-store whisky category experience for the shopper,” she said.

Focus on digital
Adjacent to the liquor area is WDFG’s Contentainment space, which now occupies a more prominent position than it did in the previous store format. This innovative marketing concept, with its multi screen digital feature wall, blends state of the art technology with product sampling and engaging events.

WDF’s Contentainment initiatives have lifted the quality of digital engagement with passengers at UK airports in recent years

WDFG Head of Global Experiential Marketing and Creative Solutions Sue Gosling said the changing dynamics of the Contentainment system (which is becoming more interactive over time) presented brands with superb opportunities for digital marketing – and the prominent space at Glasgow enhances those opportunities, she noted.

New brands, new services
At 590sq m, beauty commands the largest space allocation in the store, with strong personalisations for some brands including Chanel and Dior, which are featured for the first time in Glasgow. Other newly listed brands include Elemis, Smashbox, Biotherm, GlamGlow, L’Occitane and Molton Brown.

WDFG Head of UK Beauty Debbie Ansell said: “We feature the leading brands in their own space and better space, which is key. But also what is important is that we maintain that value message, in this case -40% off the high street on certain products.”

The message around newness is equally important, which the retailer communicates through its ‘Discover something new’ slogans around the store.

“The walkways guide people around the beauty category, but we also have provided areas to step off that walkway and spend time; our premium area with brands such as Armani, Fendi, Burberry, Bulgari and others is a good example.”

A number of promotional sites also draw passengers in, as do skilful use of the many pillars dotted around the store. One of these is devoted to Viktor & Rolf, described as a “huge brand here in Glasgow; it’s hip and interesting and appeals to the Glasgow passenger,” said Ansell.

The vital beauty category has gained high-quality added space, with dedicated areas for the ‘hero’ brands, an emphasis on newness and travel exclusives
The MAC unit is the fastest growing outlet for the cosmetics brand in Europe or the Middle East, says the retailer

“We want to tell a story through our fragrances & cosmetics range,” said Ansell. “That’s why it’s important that we either get the major launches first in the UK, as we often, do, or at least at the same time as the major department stores. People read about the newest brand and expect us to have them. So it’s key that we have the brands of the moment, whether it’s Michael Kors, a coming brand such as Zegna, Bare Minerals which is new or Smashbox which offers the chance to try new make-up styles and colours.”

Beyond colour cosmetics lies MAC, a shop-in-shop that is the brand’s fastest growing across all channels in Europe or the Middle East today, according to WDF.

Ansell also noted how the beauty areas now offer a range of express services that give added value to travellers.

Luxury (in 113sq m) is another key category for the store, featuring strong personalisations from Pandora, Swatch and RayBan and also from Diesel Watches. Michael Kors is a new brand now offered as part of the luxury mix in Glasgow. The leading sales SKUs are Sekonda watches, said WDFG.

This was the final portion of the store to open, in July, noted WDFG Regional Manager David Orchison and Store Manager Glasgow Michael Gaffney.

Pandora is a star performer within jewellery, says WDF
New presentations for brands such as Buckley and Martin James (foreground), Swarovski (through its spinner) and watches (Swatch and Diesel notably) have lifted the luxury area
Sunglasses, led by RayBan, are a stellar category within luxury

Sunglasses is a major driver of the luxury business here, with RayBan a big drawcard, at over 40% of category sales (Oakley also performs well, noted the company).

“Luxury has performed encouragingly since we opened this area,” noted Orchison. “Watches are performing strongly with the new Diesel personalisation and the new Swatch ranges plus Michael Kors as a new brand. There is now a lot more uniformity to the look and feel of the area.”

Gaffney said: “Pandora is the star performer in jewellery, now from a bigger space, with its core charm range doubled. There is also new treatment for Buckley and Martin James which is making an impact.”

The food and souvenirs area houses a ‘Thinking Scotland’ area with a range of premium destination items and Scottish foods, ranging from traditional Scottish toffees and fudge, to shortbread and whisky infused haggis.

Gaffney said: “Sense of Place is important to us and we wanted not only a Scottish but a Glasgow feel to this area. People want to take away something from the area, and I can say that the supplier support here has been phenomenal.”

Close to half the food & confectionery offer is now represented through Scottish bands, underlining the focus on local and regional items. Walker’s shortbread is hugely popular, as are items associated with the recent Commonwealth Games and Ryder Cup, said the retailer.

A taste of Scotland: The destination zone is much enhanced here
The food offer blends international and local brands
Walkers is the best-selling item among Scottish food souvenirs

Fred Creighton said: “Every five years we try to upgrade the entire estate; we need to do that grow the business. We have shareholders that are prepared to invest, and airport partners such as here at Glasgow that support us.”

This is the third of four major store launches from WDFG in recent weeks; the others, as reported, were at London Heathrow T2 and Stansted; East Midlands will open officially on Friday.

Tobacco occupies its own department hidden from the main passenger flow; Scotland was the first UK region to introduce this style of unit last year

Amanda McMillan concluded: “World Duty Free Group’s (WDFG) redeveloped store is a fantastic addition to our extensive retail portfolio. We have committed significant investment in recent years to providing passengers with first class facilities and together with WDFG I believe we’ve delivered a store to proud of.

“Glasgow is the second largest shopping destination in the UK after London and it is only fitting that the airport reflects this. With the increased retail space, WDFG will now be able to offer an even greater choice of products, many of which are sourced from Scotland, and it is no coincidence that its expansion comes at a time when we are welcoming more and more passengers to Glasgow Airport.”

World Duty Free Group placed an emphasis on guiding the traveller through the store with consistent flooring and lighting
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