Airport Malls: The Call of Duty-Free

The Wall Street Journal: “In the age of online shopping, retailers are finding that airports can take some of the sting out of declining mall traffic. Travelers have time to kill and money to spend when they’re captive inside airport security. Major airports around the world, from Singapore to Dubai, London to Beijing, have essentially become shopping malls with gates.”

“And the U.S. is finally starting to catch up. Just as they have upgraded restaurants and basic amenities like power outlets, U.S. airports are finding they need to improve duty-free stores, which have become a necessity for many world travelers who routinely stock up on perfume, cosmetics, alcohol and chocolate coming home from trips … Airports like duty-free shops because they get a cut of the revenue; luxury-goods makers like the chance to interact in person with shoppers; and customers like the convenience, savings and opportunity for capricious purchases.”

“Moët Hennessy, the Paris-based maker of Champagne and cognac, has a boutique in the Dallas duty-free store where it does tastings of rare editions—a spot of cognac before boarding. The unit of luxury-goods conglomerate LVMH sees airport retail as a chance to educate consumers about its brand … The store has no doors; travelers just wander through. Brands have their own areas, creating a boutique feel. There is some seating upstairs on an open, second level designed for events such as tastings, entertainment and parties that will lure curious passengers.”

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