Benefit From Dufry's Global Retail Network
Dufry is the only travel retail operator offering suppliers a network of over 370 locations in 64 countries on 5 continents. Dufry’s retail network is unrivalled and guarantees suppliers a unique opportunity to showcase their brands globally in an exclusive environment.
We operate over 2,200 shops in duty-paid and duty-free areas, we access domestic and international audiences and we offer customers both, convenience products and luxury shopping experiences. In 2016, close to 2.5 billion passengers passed through locations where Dufry operates shops making us the perfect ambassador for global brands.
Increasing sales through close partnerships and brand plans
Travel retail is an important channel for global brands, since it provides an ever growing number of affluent customers, who are a captive audience in a prime shopping environment.
Based on our know-how and unique portfolio of locations, we have started to partner with important global brands in a more strategic way. By jointly identifying opportunities for marketing campaigns, global promotions or product launches, we have developed joint action plans to further drive sales. We call this close collaboration “brand plan”, which we define with each brand individually and which aligns both the goals of suppliers and Dufry as well as agreed measures. Both, brands and Dufry establish clear targets and evaluate the effectiveness of their initiatives.
However, cooperation and partnership can go much further, even as far as a supplier developing specific product lines marketed exclusively through the travel retail channel and in some cases even exclusively for Dufry only. A very successful example in 2016 occurred with the chocolate producer Lindt, who launched the Assorted Lindor Tube including the Stracciatella flavor. The exclusivity in terms of the item was that the Napolitains Stracciatella was not produced before and was first launched in their Assorted Pack with Dufry exclusively for one year. Such initiatives, offer customers unique shopping experiences emphasizing the exclusivity of the travel retail channel.
Suppliers benefit from Dufry’s centralized purchasing and logistics
Dufry has always given high priority to generating organizational efficiencies. Our global functions centralize key processes within Dufry and offer streamlining opportunities for our business partners. Suppliers benefit in particular from our centralized procurement and logistic functions, which considerably simplify the whole supply chain. Thus we achieve higher service levels for our business partners and customers alike.
Our Global Category Managers act as key relationship managers for brands and coordinate activities with suppliers. They define brand plans with suppliers and negotiate all contractual parameters. Dufry has centralized the ordering process by aggregating internally the orders from the different retail operations and by sending a consolidated order to suppliers. Such an approach considerably simplifies the ordering process for the suppliers and reduces overall costs.
Centralization is also used for our logistics organization. The three Dufry distribution centers in Uruguay, Switzerland and Hong Kong provide a timely and smooth shipping of goods to our retail operations. The process benefits both Dufry and suppliers, as it allows to order and ship larger volumes to the distribution centers, thus increasing flexibility to allocate the optimal product quantity to each country and shop. The concept maximizes product availability for customers and reduces overall inventory levels.
Dufry will be attending the conferences and exhibitions relating to the travel retail industry listed below. We look forward to seeing you there!
ARN Conference & Exhibition
ACI Europe Airport Trading Conference
IAADFS/ASUTIL Summit of the Americas
ACI Africa Regional Assembly, Conference and Exhibition
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