Cutting the ribbon: Lotte Holdings Future Growth Office Director Shin Yoo-yeol; Lotte Duty Free CEO Ju-Nam Kim; and Lotte Holdings CEO Genichi Tamatsuka.

Korean travel retailer Lotte Duty Free has reopened its renovated Tokyo Ginza store, bringing a ‘hybrid’ strategy to the fore which sees a tax free store on the eighth floor and a duty free store on the ninth floor.

The opening ceremony took place on 16 October, with Lotte Duty Free CEO Ju-Nam Kim hailing it a “new driving force in the global market” and a “sustainable platform” for the company.

The store shines a light on Korean fashion, actively targeting the local MZ generation (millennials and Gen Z).

Lotte Duty Free Tokyo Ginza opened in 2016 as the first downtown duty free store in Tokyo, Japan.

Stretching 4,396 sqm, it is Tokyo’s largest comprehensive downtown duty free store, located on the eighth and ninth floors of Tokyo Plaza Ginza near Ginza Station, which benefits from high foot traffic.

This latest reopening marks the store’s first refurbishment since it was established.

The grand reopening ceremony was attended by more than 150 people, including Ju-Nam Kim; Lotte Holdings Future Growth Office Director Shin Yoo-yeol; and Lotte Holdings CEO Genichi Tamatsuka.

The store is located on the eighth and ninth floors of Tokyo Plaza Ginza near Ginza Station.

Popular South Korean boy band Riize lent a dash of star quality to proceedings.

The ceremony began with the announcement of the business strategy of Lotte Duty Free Tokyo Ginza, followed by a ribbon-cutting ceremony to announce the reopening, commemorative photos, and finally a tour of the store.

At the business strategy presentation held for Japanese media on the same day, CEO Ju-Nam Kim announced the retailer’s strategy for the duty free business in Japan.

The eighth floor is a ‘post-duty-free’ space for character goods, fashion and miscellaneous goods.

“The Tokyo Ginza store, which has been renovated after eight years, will take a leap forward again through a hybrid strategy that satisfies both Japanese and foreign tourists,” he said.

“Lotte Duty Free will secure new momentum in the global market and move forward as a sustainable platform.”

The ninth floor is devoted to cosmetics, perfumes and alcoholic beverages.

The eighth floor is a ‘post-duty-free’ space for character goods, fashion and miscellaneous goods, while the ninth floor is a ‘pre-duty-free’ store specialising in cosmetics, perfumes and alcoholic beverages.

Here, Japanese locals can take advantage of post-tax exemption by getting an on the spot tax refund after purchasing an item.

The store shines a light on Korean fashion, actively targeting the local MZ generation.

The eighth floor, which is a tax free space, is divided into ‘Ginza Road’ and ‘Ginza Friends’.

The Ginza Road store features a wide range of categories, from health and wellbeing items to K-fashion and K-pop.

A highlight it s opening of K-fashion brand Musinsa, which showcases labels favoured by the local MZ generation in Japan, such as Covernot, Stand Oil, Gloni and Grove.

In addition, Musinsa has prepared a premium K-pop goods shop titled ‘K-Town For You (KTOWN4U)’.

The opening ceremony was attended by popular South Korean music group Riize.

The Ginza Friends character speciality store sells more than 3,000 popular character goods such as belly bears, Zanmang Loopy and dresses.

On the ninth floor, House of Suntory marks the premium spirits giant’s first such store in Japan’s Kanto region, offering single malt whiskies such as Yamazaki, Hibiki and Hakushu.

Furthermore, there is a strengthened lineup of Japan’s leading cosmetics brands, including IPSA, NARS and POLA.

Various promotions are running to commemorate the opening. Firstly, all items on the tax free floor are being sold at a discount of up to 10% until 31 October.

Lotte Duty Free CEO Ju-Nam Kim announced the retailer’s strategy for the duty free business in Japan.

Plus, customers who purchase over a certain amount will receive various free gifts such as Riize Photo Booth photo tickets and Riize photo cards.

There’s also a prize draw to win an album signed by Riize, which is open to all those who purchase products at the store – with the result due at the end of the year.

Meanwhile, Lotte Duty Free has announced that it is striving to discover new growth engines centred on the non-duty-free business in order to secure future competitiveness.

In August, Lotte Duty Free officially opened ‘KATZ’, a B2B platform that connects K-fashion brands with global buyers, and opened an offline showroom in Ginza.

In addition, its own online direct purchase mall, Ginza Nippon Direct Purchase, has helped to ‘increase price competitiveness and customer trust’ by directly sourcing all products. It offers a wide range of products at an average price of about 30% lower than those that can be found on the donestic market.

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