Travel Retail and Duty Free Business Intelligence    Wednesday 04 May 2016


Children's items sales go Kaboom as Lagardère Services Asia Pacific responds positively to crisis – 06/11/08

Published: 06/11/08

Source: ©The Moodie Report

By Martin Moodie

Note the colour and sheer vibrancy of the offer - "a controlled sense of chaos"
AUSTRALIA. The Moodie Report’s article earlier this week on the positive approach of Hong Kong International Airport (HKIA) and its commercial partners towards the current economic crisis struck a chord with Lagardère Services Asia Pacific.

Corporate Communications Manager Matt Gardiner told The Moodie Report: “Great job on your HKIA article, as well as thanks for your quote regarding our Relay stores [the Lagardère Services-owned news and books concept singled out in the article for the diversity and energy of its offer and approach –Ed].”

“It’s pretty safe to assume maintaining sales is high on everyone’s mind right now… personally, I think you are spot on the mark with your comments about the test being how we as an industry react to the current ‘crisis’.

“As a case in point we are actually having some great successes in our stores at the moment that defy the market trend.”

Gardiner cited a recent in-house interview (see link to read) with Speciality Category Manager Harriet Moutsopolous that discusses how, despite a huge number of obstacles, the company’s Kaboom (children’s items) store at Sydney Airport has broken all previous sales records. “All a result of a positive attitude, team approach and some creative thinking,” Gardiner told The Moodie Report.

The interview makes some key points as to how retailers can drive penetration and sales amid testing conditions. The Moodie Report plans to relentlessly highlight and champion such positive approaches in order to encourage a pro-active response to one of the most difficult periods the travel retail channel has ever faced.

Moutsopolous makes some key observations that are helping to stimulate business:

• The concessionaire has a great relationship with its landlord, Sydney Airport Corporation Ltd, which allowed a positive response to a difficult situation during redevelopment of the terminal
• The use of striking and highly visible graphics to lure passengers in-store
• The imaginative use of space outside the store to attract customers
• A more ruthless approach to poor-performing lines
• Better merchandising
• Improved product differentiation to distinguish the toys offer from high street competitors
• Creating a unique and fun experience
• Keeping staff morale high – “the old retail adage about happy staff selling more is true”
• Ensuring staff input to store changes

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