CANNES, France — In the travel-retail channel, concepts high in creativity and in service are key.
This story first appeared in the November 8, 2013 issue of WWD. Subscribe Today.
Beauté Prestige International, Shiseido’s fragrance division, held a well-received scented ribbon campaign this past May and June outside the point of sale in Dubai’s airport for the launch of Elie Saab Le Parfum Eau de Parfum Intense.
“It sold around 270 pieces a day,” said Delphine Pellerin, operational marketing brand manager for travel retail at BPI.
A strategic part of the beauty business at DFS is its Beauty Concierge service, providing personalized premium beauty treatments by the likes of makeup artists and skin-care experts, which the company has implemented in its Gallerias, according to Harold Brooks, president of global merchandising at the company.
“The days of just putting a product out on a floor have really stopped,” he said. “Today, it’s a question about how do we design space, location and add energy, excitement and entertainment.”
To wit, DFS will be implementing its Master series in the beauty segment that involves exclusive products and an off-site event to which its high net worth customers are invited. In spring, one on fragrances will be staged in Abu Dhabi.
It is possible that DFS will introduce a freestanding beauty retail concept in the next two years, according to Brooks.
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World Duty Free plans to open freestanding stores selling beauty in the duty-paid area of some American airports, according to Antonin Carreau, its global head of beauty. The airport operator is also expanding its menu of free services, including for nails, which helps increase the average spend per basket, he said.
“The conversion with a service is over 80 percent,” he explained. “Most of the consumers are buying.”
La Prairie Group hopes to roll out two or three boutiques in more airports by mid-2014 similar to the one it opened in Zurich in summer 2012, said Patrick Rasquinet, the company’s president.
La Prairie has recently opened in travel retail in Bali and plans to launch in Toronto early next year.
“We still have some white spots, fortunately,” said Rasquinet.
He said another aim is for La Prairie to increase the level of service at its travel-retail counters, including small facial treatments, hand massage and makeup touch-ups.
It plans to ramp up its promotional activity, especially around the launch of Ice Crystal skin care early next year.
To help trade up transactions, Guerlain has introduced in certain airports in France and Asia some fragrance collections generally reserved to its own stores in the local market, according to Thierry Dugny, the brand’s international marketing director.
Coty is working on a project — whose details weren’t divulged — that’s meant to bring entertainment and service to the fragrance category in order to make it easy to shop, explained Philippe Margueritte, vice president of global travel retail and Latam at the company.
Among the creative projects Puig has on deck is a tie-in between Nina Ricci and Ladurée — involving especially created macaroons, a fragrance and candle — that’s due out in both the domestic and travel-retail markets in February, said Lyndea Dew, global travel retail marketing director at the company.
For the Carolina Herrera brand, Puig has dreamed up a photo booth. Given items to dress up with such as masks, time-strapped travelers can have their pictures taken and don’t have to wait more than a few seconds for prints to pop out.