Riding the upward curve at Dubai Duty Free

Reflecting on the launch event and the ongoing Givenchy/Glenmorangie activation, Cidambi praised the teams from Dubai Duty Free and the LVMH brands as having done a “fantastic job”. “To have had so many senior representatives [from stakeholders] and both the master perfumer [Givenchy’s Nathalie Lorson] and the master distiller [The Glenmorangie Company’s Dr Bill Lumsden] here, is another great milestone in the collaboration between Dubai Duty Free and the LVMH houses. “It’s great to give our customers the opportunity to experience the collaboration, see what went into it and to learn a little bit more about both the brands. The initial results are very good. There is a genuine interest from passengers and from the media to see these kinds of events happen. “We want to offer customers a better experience, and something a little bit different. This activation is part of that and will stand out at the airport in the coming months. And it will help improve the experience as numbers recover.” Cidambi reported that although passengers at DXB are down -35% in the year to date compared to 2019, revenues are just -25% less than the equivalent figure for that year. This equates to a significantly higher spend per passenger compared to pre-pandemic numbers. Assessing this, Cidambi said: “The spend has consistently remained higher, partly because passengers are having a better experience in the airport. Also because of the dev of the retail offer in fashion and other areas.

“From a leadership point of view, from [Executive Vice Chairman & CEO] Colm McLoughlin’s and my point of view, we never took our foot off the pedal in terms of retail development. “We continued to invest and to progress with the brands on their activities throughout the pandemic. Now that the passenger numbers are coming back, we are able to get the benefits of this in terms of revenue. We’re very happy about that and are happy that the spending remains elevated. “Next year as the passenger numbers start to get closer to the pre-pandemic levels, it remains to be seen if this level of spending will continue or if it will moderate. But we do expect to see passenger numbers get closer to pre-pandemic levels in the second half of next year.” The potential return of Chinese passengers next year would certainly help to keep those airport retail spending levels up. Assessing that prospects, Cidambi was cautious while underlining the importance of this customer demographic. Revenues from Chinese passengers, he noted, are -98% down in 2022 to date.