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Excellent forum for business at TFWA Asia Pacific
Tuesday, June 06, 2006
The 2006 TFWA Asia Pacific conference and exhibition provided an excellent forum for key buyers from travel retail and duty free retail operators, airport authorities, agents and distributors from Asia Pacific and beyond to meet and do business with international suppliers of some of the most exciting and innovative products destined for luxury and travel retail outlets.

The annual event, which took place in the Singapore Suntec Centre from 16th to 19th May, attracted just under 2000 visitors, 84% of whom originated in Asia and 3% in Oceania with 9% from Europe, 2% from the Middle East and 2% from the Americas.

TFWA was pleased to note that, of the total number of visitors, 31% were ‘key’ buyers from travel retail and duty free outlets, 3% more than last year, with airport authorities accounting for 3%, agents and distributors 42%, and press 3% of the total. Many of these visitors had a hectic week with umpteen meetings which necessitated attendance at the show during most of the week.

Exhibitor numbers, including those from the Design Workshop, totalled 219 stands with exhibition space up by 6% versus last year.

The Design Workshop stand, new this year, brought together 26 fashion, accessory and lifestyle brands, but unlike the liquor giants, none of these brands are distributed currently in travel retail – they were chosen by the Workshop Fashion Agency on behalf of TFWA for their originality, cutting-edge style and potential appeal to travel retail consumers.

Fragrances and cosmetics brands occupied 25% of the stands with fashion/accessories/ leathergoods, wine & spirits, and jewellery each accounting for around 14% and tobacco goods at 10%.

TFWA Asia Pacific kicked off on Tuesday 16th May with the annual regional conference on the theme of ‘The Consumer-Driven World’, attended by some 540 delegates and sponsored by P&G Prestige Products, at which TFWA President Erik Juul-Mortensen outlined the current State of the Travel Retail Industry. He warned his colleagues that predicted growth in traffic in Asia was not a reason for complacency – it merely offered an opportunity - and he emphasised the importance of creativity, innovation and partnership in building the business.

Keynote speaker at the conference, the Rt Hon Mike Moore, former Director General of the World Trade Organisation and former Prime Minister of New Zealand, set the advance of economies like China and India into a global and historical context in a presentation entitled ‘When Asia Roars’. In a wide-ranging analysis of the globalisation of trade, political developments, the problems of corporate piracy, and the illegal trading of medicines, Mr Moore returned consistently to the message that international co-operation and openness are the only way forward.

After the plenary session three topical workshops led by experts in the field developed some of the main themes raised during the conference: ‘Targeting the Indian Travel Market’, ‘Branding in China’ and ‘Emerging Product Categories’. Over 380 delegates attended one of these workshops; the most popular proved to be the one focused on China, the engine of growth in Asia, which attracted 186 delegates.

For the first time this year TFWA and sponsor Diageo laid on a two-hour workshop aimed specifically at retailers which was very well received. Entitled ‘Travel Retail, Areas of Potential Improvement’ it took place on Thursday 18th before the show opened for the day so that no time was lost on the exhibition floor. The 100 delegates present listened to an analysis of customer behaviour based on research at airports and came away with the strong message that they must freshen the offer and start treating passengers like people and not statistics.

The social events at TFWA Asia Pacific certainly surpassed expectations with some innovations in place designed to keep the entertainments fresh for seasoned delegates. The regular Golf Tournament took place at the Raffles Country Club on Sunday 14th but other traditional sporting events were replaced this year by a new Evening Beach Party at Siloso Beach on Sentosa Island, sponsored by SSP and Heineken, which was so popular that the organisers were overwhelmed.

In addition to the ever-popular Welcome Cocktail for 630 guests staged for the first time at the Ritz Carlton and the glamorous Singapore Swing Party for 600 guests at the elegant and evocative Raffles Hotel, a new after-hours TFWA AP Bar was opened on the mezzanine level of the Suntec Centre on Tuesday and Wednesday which was thoroughly enjoyed by around 500 weary show participants. TFWA acknowledges the support of the bar’s sponsors: V&S Absolut Spirits, Bardinet SA, Heineken International, Inver House Distillers, Protege International, Rones De Guatemala, Tequilera Corralejo, Whyte and Mackay.

TFWA Asia Pacific 2007 will take place in Singapore from 15th to 18th May with Gate One on 14th and 17th May. Prior to that there will be TFWA World Exhibition in Cannes from 23rd to 27th October and the Middle East Duty Free Conference in Dubai on 23rd and 24th November.
Michael Verikios - Tuesday, June 06, 2006
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Poll
How do you expect luxury travel to perform in times of economic downturn?.

Providers of luxury travel products are going to witness shorter stays by their customers and an increase in seasonality.

People are going to become more value conscious and will opt for those luxury offers that represent a convincing value-for-money proposition. Providers of overpriced services are those to feel the pinch.

Both people paying for their personal trips and firms paying for their top executives' business trips will cut back on travel expenses, thus affecting all luxury travel providers.

It is going to be business as usual. Those people opting for high-end travel products are not going to be affected by the looming crisis.

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