DFS Group has revealed to TRBusiness that the redesign and construction of its duty free and luxury stores at San Francisco International Airport will commence this Summer with the majority to be completed by the Summer of 2019.

As reported, DFS secured the 14-year contract covering 46,000sq ft of retail space (11 Duty Free and Luxury Store locations) last December following a competitive tender.

The retailer has been working with the SFO Airport Authority since 1972 and says its bid was based on how it saw the passenger profile evolving.

Combining cutting-edge technology with a strong sense of place was also a focus.

DFS Group Managing Director Mark Sullivan told TRBusiness: “Broadly, our approach in San Francisco is based on a strong commercial vision for our customers and the airport authority: outstanding shops reflecting the unique flavor and offerings of the Bay Area and an authentic sense of place; a carefully balanced mix of local flavor and international brands; DFS’ award-winning customer service; and clever use of next-generation technologies that support our omnichannel, 360-degree marketing approach.”

Looking ahead to the next 14 years, Sullivan is relishing the opportunity to provide international visitors and Bay Area residents alike with even more reasons to shop at San Francisco International Airport.

He added: “The region is such a rich cornucopia of great food and wine, as well as niche artisanal products and some more well-known brands too – we are excited to be able to showcase them, particularly to international visitors. We’re also thrilled to be able to take our stores to another level in SFO.”

OTHER US BUSINESS

Elsewhere in North America, DFS says that travel retail continues to grow in New York JFK and Terminal Four in particular which is operated by JFK International Air Terminal LLC.

The addition of new airlines such as Hainan Airlines and Xiamen Airlines in the second half of 2017 meant a significant growth in departing passengers.

Sullivan remarked: “In addition to introducing a number of pop-ups such as Chanel, Tiffany, FAO Schwartz and Marc Tetro, we completed a refresh of our beauty store to add new and exciting brands. Renovating stores to diversify our assortment and add new, fresh brands will be our focus in 2018.”

In Los Angeles, where DFS secured a 10-year contract to develop and operate duty free and duty paid merchandise in all terminals in 2012, DFS completed a beauty refresh and renovation in the Tom Bradley International Terminal (TBIT) last year.

New brands were added including Fresh, Tom Ford Cosmetics, Giorgio Armani and YSL.

He added: “During the year we also completed a refresh of the TBIT Consumables store. This year, we are focusing on the renovation of the TBIT fashion boutiques and addition of new fashion, sunglasses and fashion jewellery brands to TBIT’s already exciting line-up.”