CDFG reopens Xiamen downtown store under ‘dual mode’ business model

By Benedict Evans |

 – TRBusiness

In the future, CDFG noted it will continue to reshape the duty free commercial value of the city, promoting the construction of a new quality retail scene, and continuously enhancing the service experience.

Following a full renovation and trial opening on May 26, China Duty Free Group (CDFG) has opened its downtown store in Xiamen City under its ‘duty free + taxable’ business model, the opening of which coincides with the launch of the China Trend (Guochao) Zone.

The newly launched duty free shops in Xiamen bring together international brands in perfumes and cosmetics, luxury accessories, boutique bags, imported alcohol and other categories.

Passengers who come to the store will enjoy a limited-time discount on duty free goods, which will be as low as 50% off for the whole store, while member-exclusive perks include 10x loyalty points, as well as a RMB666 (US$93) gift package.

The (Guochao) Zone spotlights Chinese culture and brands across three core categories: fragrance and skincare, wine, and lifestyle products.

According to the Notice on Improving the Policy of Duty-free Shops in the City issued in August 2024, duty free shops may sell to passengers (both Chinese and foreign nationals) departing the country by air transport or international cruise ships within 60 days. of purchase; this business model allows passengers to to shop in-store, and have their purchase available for collection at their port of departure.

As a measure of deepening tax services, “Buy and Refund” optimises the tax refund process, allowing overseas tourists to apply for tax refunds on the spot after shopping, which CDFG said only improves the convenience of consumption experience, but also helps domestic brands enter the world stage.

In April this year, the State Administration of Taxation issued the ‘Announcement on Promoting the “Buy-and-Rebate” Service Measures for Overseas Tourists Shopping’, which pushed this facilitation policy nationwide.

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