Sung R (Sean) Lee (left) will steer Lotte Duty Free’s Australia business for the time being following the departure of Stephen Timms (right).

[UPDATED] Sung R (Sean) Lee has been entrusted with overseeing Lotte Duty Free Oceania’s operations, TRBusiness can report.

As pre-empted by TRBusiness yesterday, Lee has taken charge of the South Korean travel retailer’s Australia division, which includes concessions in Melbourne, Brisbane, Darwin and Sydney.

Lotte Duty Free confirmed to this publication today (10 January) that Lee has been officially appointed as the successor to Lotte Oceania CEO, Director Stephen Timms, who departed the business last month.

Lee’s experience with Lotte Duty Free dates to 2019 when he became CCO of the Australian entity following Lotte’s acquisition of the former J/R Duty Free AUS/NZ business in 2018, a position he served through 2023.

In 2024, he became Head of Merchandising Strategy Division before moving to his most recent position as Head of Global Business Operations Team.

A Lotte Duty Free spokesperson told TRBusiness: “Sung R (Sean) Lee previously served as the Head of the Global Business Operations Team at headquarters and has worked closely with the Australian entity for about five years, starting from the acquisition of J/R Duty Free. We are excited to see his leadership moving forward.”

World Tower hosts high-level talks

As mentioned, the development comes as Stephen Timms leaves the helm at Lotte Duty Free Oceania.

In a LinkedIn post, the senior commercial executive who boasts decades of experience in travel retail having occupied roles with the likes of James Richardson Corporation and DFS paid tribute to his team and Lotte Duty Free Oceania’s airport and landlord partners.

Lotte’s Oceania division now focuses on Australia.

Having been the long-term duty free operator at Wellington Airport in New Zealand, Lotte Duty Free decided not to defend its position with Lagardère AWPL emerging victorious last month following an open tender.

The Paris-headquartered travel retailer will now run the duty free departures and arrivals shops in a phased opening this year.

Lotte will continue its operations at Wellington Airport until mid-February before the transition to the new operator.

The South Korean travel retailer’s decision not to bid owes to the implementation of management efficiency initiatives sparked by the move to enact emergency measures last year to streamline the organisation and improve its profitability amid dual challenges at home and abroad.

The group held a Value Creation Meeting (VCM) at Lotte World Tower (pictured left) in Seoul on 9 January that drew senior leadership executives, including Group Chairman Shin Dong-bin and new Lotte Duty Free CEO Kim Dong-ha, for discussions on internal structural reform, with Korean media reporting a solemn atmosphere among attendees to the meeting.

A Lotte Duty Free spokesperson added: “The travel retail industry is facing challenges due to high inflation, high exchange rates, and political instability. Rather than focusing on immediate sales growth, we aim to enhance product competitiveness to increase the share of individual travellers, improve the overall business structure, and strengthen the company’s foundation. We will prioritise profitability-driven management activities and establish a foundation for long-term growth.”

This is an updated version of an article first published on TRBusiness.com on 9 January.

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