ASUTIL – Carilux Duty Free
Interview: Carilux Duty Free outlines grand ambitions for fast-growing border channel
Carilux Duty Free states its ambition to become the leading non-airport duty-free retailer in Colombia as it prepares to open its first store on the frontier with Venezuela.
Carilux Duty Free has outlined the company’s high ambitions for growth in the regional border store market, following news of its forthcoming inaugural venture on the Colombia-Venezuela frontier.
As reported in recent days, Carilux Duty Free will open a 200sq m border duty-free store at the Simón Bolívar International Bridge in the Colombian city of Cúcuta. The opening is scheduled for late Q3 or early Q4 this year.
Carilux Duty Free is a joint venture between DFP World Ltd (www.dfpworld.com), led by CEO Matin Saluth, and CDFP Carilux Duty/Free Panamericana (cariluxcaribe.com), led by President Julian Esteban Salgado Lopez.
The company is forecasting sales of US$17.6 million in year one and has stated its ambition to become the leading non-airport duty-free retailer in Colombia. Sales will be led by P&C at around 63%, said Carilux, followed by liquor at 25%, then tobacco, luxury goods and other product sectors.
Lopez said: “Carilux Duty Free uses DFP World Group’s expertise and local knowledge to turn the main Colombia-Venezuela border crossing and one of the top in Latin America, into a major travel retail hub for premium and luxury goods.”
The partners aim to further expand the retail concept to all other international border crossings in Colombia.
Click to view the Carilux Duty Free space as it will look once open
The target consumer base is led by Venezuelan travellers returning from Colombia, many of whom make same-day shopping trips; cross-border shoppers from the bustling city of San Cristóbal, Táchira and surrounding areas; plus diplomatic and humanitarian personnel living in the area.
Of the market need that it will serve, Carilux Duty Free said: “The primary gap we are addressing is the lack of accessible, high-quality duty-free shopping for the vast number of travellers crossing the Simón Bolívar Bridge.
“Many Venezuelan travellers and tourists have limited options for purchasing luxury goods at competitive prices (with the assurance that these are genuine). Our store will fill this void by providing a comprehensive selection of premium international and local products in a convenient location at convenient prices and at the best possible terms.”
Carilux added that shoppers in the region are demanding in their choice of brands. “They seek a variety of luxury goods, including spirits, fragrances, cosmetics and tobacco, in a setting that guarantees authenticity and competitive pricing. Convenience and exceptional customer service are also paramount. Shoppers can also pre-order goods before crossing from Venezuela and collect their purchases at the shop.”
Carilux Duty Free is seeking to establish strong partnerships with brand owners and authorised regional distributors that “share our vision of providing top-tier products to travellers”.
“Support in terms of exclusive product offerings, marketing collaborations and promotional activities will be crucial. We aim to work closely with brands and their officially appointed distributors in order to create a unique shopping experience that drives mutual growth and success at the most trafficked border of Colombia, and, one of the most trafficked in the world.”
Work in progress: The store front of the Carilux Duty Free outlet in Cúcuta
The store design features “an inviting atmosphere” that incorporates “modern aesthetics and functional layouts to ensure a smooth flow of traffic and easy access to products”, the company added.
Additionally, Carilux Duty Free is integrating advanced technologies, such as digital displays and interactive kiosks, to enhance the shopping experience.
Consistency and reach are key elements of the Carilux Duty Free approach, said the partners. They will focus on ensuring uninterrupted supply, innovative promotions and new listings for brand owners, and with further expansion will target remote areas of the market that offer growth potential.
They concluded: “By offering a wide range of premium products, we aim to enhance the shopping experience and position ourselves among the leaders in the duty-free sector in Colombia.”
*Carilux Duty Free is a Silver Sponsor of the ASUTIL Conference 2024, which takes place in Bogotá, Colombia on 19-20 June.
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