The Travel Markets Insider newsletter is attached to this post as a PDF file. To open the PDF file, please click on this link.
We hope that our readers around the world are well and staying safe as they deal with these unprecedented challenges to health and business from the threat of COVID-19.
The numbers keep pouring in, and they are not encouraging.
A report from the World Tourism Organization (UNTWO) shows that 100% of destinations now have COVID-19 restrictions in place, and so far no destination has lifted them. Page 1.
The International Air Transport Association (IATA) reports that global air passenger traffic in March nosedived by 52.9%, the largest decline in recent history, as governments take drastic actions to slow the spread of COVID-19.
See a region-by-region overview on page 2.
IATA-the main air carrier industry group — has joined with ACI- Airport Council International – the main airports group, to jointly call for urgent financial assistance to protect aviation jobs and operations. Page 3.
In other fallout from the Coronavirus pandemic, the World Health Organization has postponed some key meetings on illicit trade and tobacco control until November 2021, reports the Duty Free World Council. More details on page 1.
Mergers & Acquisitions are also falling prey to the virus: Most recently Hudson Group has pulled out of its deal with food & beverage specialist OHM Concessions Group, which was originally announced last October. See page 2.
South American Duty Free Association ASUTIL held a special online briefing to outline what the trade group is doing to petition for relief for its members, with a presentation from ASUTIL President Gustavo Fagundes (Dufry General Manager Brazil and Bolivia). The highlight of the special meeting was a guest appearance by cardiologist Dr. Roberto Canessa, one of the survivors of the Uruguayan plane crash in the Andes Mountains in 1972, who shared his experiences sourcing ventilators for his country in the face of the COVID-19 pandemic. See full report on page 3.
Border store reopening.
In a touch of positive news, Siñeriz, the largest duty free retailer in the Uruguayan border town of Rivera, has reopened its downtown store as a test case. The store will follow social distancing restrictions as authorities assess the situation, reports John Gallagher. More details on page 3.
RESEARCH
Swiss research agency m1nd-set has issued a special COVID-19 report that reveals a long road ahead after airports open and travel retail /duty free stores are opened. According to the research, some 60% of international passengers will take a flight within three months of travel bans being lifted. Read more on page 4.
SUPPLY SIDE NEWS: COVID-19 INITIATIVES
The Estée Lauder Companies cuts executive salaries and donate million in funds and products. Page 5.
Safilo launches a global #united4eyecare corporate initiative that covers the company’s response to the COVID-19 in all the countries where it operates, with particular attention in hard hit Italy, Spain and the United States. Page 6.
International – first steps to recovery: Global eyewear specialist Rodenstock is supporting the efforts of China Duty Free Group to revive the travel retail industry in China through e-commerce. Page 5.
Edgy fashion brand Spraygound has developed a collection of face masks based on its trend-setting designs that will be available in travel retail through Brand Strategy USA on May 25. See page 6 for details.
MORE SUPPLY SIDE NEWS
Duty Free Dynamics and Samsonite expand their Travel Retail partnership beyond core products and add more brands. Page 5
Burberry names Fran Summers as face of Burberry Beauty. Page 5.
Luxottica Group renews license agreements with Versace and Dolce&Gabbana. Page 6.
