Global travel retailer Lotte Duty Free has been awarded the duty-free license at Melbourne Airport’s international terminal after a highly competitive tender process.
Lotte will commence the contract in the middle of the year, delivering the duty-free experience across the international terminal’s 3,600m space.
Melbourne Airport chief of commercial property and retail Andrew Gardiner said this is the first time it has changed duty-free operators in 30 years.
“We were privileged to receive submissions from six of the largest and most well-respected duty-free retailers in the world,” Gardiner said. “The quality of submissions showed their exceptionally high standards, but, ultimately, there can only be one winner, with Lotte offering a new store which mirrors the look and feel of Melbourne, with a sense of place that placed their proposal on the ‘top shelf’.
Gardiner said that having been closed for almost two years during the pandemic, financials were an important attribute.
“But just as important is the ability to offer our customers a thrilling shopping experience, through exciting duty-free exclusives, competitive pricing and excellent customer service,” Gardiner said. “Lotte convinced us of their ability to deliver against all the major criteria that we set in the bid process.”
Gardiner thanked Pedro Castro, Philippe Boyer and the Dufry team for their partnership over the last 30 years, and said he looks forward to working with the Lotte Oceania team ahead.
“We are excited about the next 6 months, with the transition to Lotte to occur on 31 May 2023.
“With international travel back to above 70 per cent of pre-Covid levels, now is a great time to be in the international terminal at Melbourne Airport, exploring the incredible range of brands we have across multiple product categories.”
Lotte Duty Free CEO Ju Nam Kim said the new Melbourne Airport store will be a focal point for further overseas expansion and recovery.
“With successful operation of the store, Lotte Duty Free will step up to be a leading travel retailer in the Oceania region.”
Lotte Duty Free Oceania CEO Steve Timms welcomed the partnership.
“Together, we will bring a new level of excitement to the duty-free experience both in store and online by delivering the world's most unique and interactive retail experiences.”