From The Straits Times    |

Duty-free shopping at Changi Airport is about to get even more exciting for visitors.

Double-storey shops at Terminals 2 and 3, and a standalone Samsung store – likely the first in any airport in the world – are just some of the new offerings that will be unveiled soon after Changi Airport Group (CAG) awarded two highly coveted retail contracts.

Changi Airport to unveil exciting new duty-free storesAn artist impression of the new beauty concessions, to be managed by Shilla Travel Retail. IMAGE: CHANGI AIRPORT GROUP

Raffles Hotel will also set up its legendary Long Bar – where the “Singapore Sling” cocktail was invented in the early 1900s – in the airport’s liquor and tobacco store.

The contracts cover all three main terminals and the future Terminal 4.

After a seven month evaluation, CAG has awarded the liquor and tobacco concession to incumbent DFS Venture Singapore, The Straits Times has learnt.

Nuance-Watson, which has been running Changi’s perfumes and cosmetics outlets for more than a decade, lost to South Korea’s Shilla Travel Retail. CAG spokesman Ivan Tan said both tenders were hotly contested, with six and seven bids received for the liquor and beauty contracts, respectively.

The six-year contracts will begin in April for the liquor concession, and in October for perfumes and cosmetics.

These stores will boast stunning facades and grand interiors, with offerings such as dedicated boutiques for different brands and wine libraries, Mr Tan said.

Travellers can also look forward to more personalised services such as wine-tasting opportunities, he said.

Passengers can be assured of “the most competitive prices” when shopping at Changi Airport, Mr Tan said.

Shilla Travel Retail has said it will absorb the 7 per cent goods and services tax for arriving passengers who buy perfumes and cosmetics. This is being done by incumbent Nuance-Watson.

Industry analysts said as competition intensifies, many airports are enhancing their retail and entertainment offerings.

Said Mr Sagar Shahane, an aviation analyst at consultancy firm Frost & Sullivan: “Passengers want restaurants, shops, entertainment zones and other such facilities to while away idle time. Airports understand this and are offering a plethora of options.”

According to industry estimates, the annual global airport retail business is worth more than US$40 billion (S$51 billion).

This article was first run in The Straits Times newspaper on January 20, 2014. For similar stories, go tosph.straitstimes.com/premium/singapore. You will not be able to access the Premium section of The Straits Times website unless you are already a subscriber.

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