The new Satellite Terminal at Shanghai Pudong Airport is due to open in September.

Lagardère Travel Retail has extended its already enviable Chinese airport portfolio with the capture of the multi-category retail and food and beverage contract in the new satellite terminal at Shanghai Pudong International Airport.

The 620,000sq m facility, known as S1 and S2 is due to open in September and will handle an initial 38m pax annually, raising total capacity at the airport to around 80m.

A tender for duty and tax paid retail concessions at the new facility was issued last September/October. It is understood the tender attracted the likes of Shanghai Orient King Power Travel Retail Co Ltd, which operates many branded shops across domestic terminal one and two.

MIXED FLOOR

This commercial space will be distributed across a mixed floor of domestic departures and arrivals, international departures and an international mezzanine area.

Eudes Fabre, CEO North Asia, Lagardère Travel Retail told TRBusiness: “The contract is five to seven years and covers more than 30 locations across more than 3,000sq m. We will operate a mix of luxury and speciality concepts including fashion, beauty, travel essentials, toys and food.”

Present in China since 2003, when it entered the market as a distributor, Lagardère Travel Retail claims to be the largest international travel retailer in the country. It now has 250 shops and restaurants and is present in 15 airports (as of December 2018) and 30 railway stations.

The opening of the new facility will raise capacity at Shanghai Pudong to around 80m.

The aim is to increase its Chinese airport portfolio to 20 by the end of 2019, so the importance of this tender triumph must not be underestimated. Fabre commented: “This is an important development for Lagardère as Shanghai Pudong is the second-busiest airport in mainland China with significant spare capacity for growth.

“The capture of this contract also demonstrates the strength of our multi-category capabilities across both retail and food and beverage, enabling us to provide our airport partners with strong concepts that answer the full spectrum of traveller needs.”

Re-invigorating the commercial offer and enhancing the passenger experience at Shanghai Pudong are the main objectives for the first year of trading in the new facility. “We will bring a selection of world-famous brands, attractive retail concepts and introduce successful high-street brands for the first time in the airport environment,” Fabre concluded.