Dubai: Airport duty free shopping is not just about last-minute gifts or tax-free bargains.
Many UAE travellers on outgoing flights utilise duty free shops to load their bags without having to pay extra bucks for excess luggage — which is adding to the sales revenue of one of the world's top travel retailers — Dubai Duty Free.
Dubai Duty Free announced yesterday double digit sales growth for 2010 with turnover reaching a record Dh4.66 billion ($1.27 billion), a 14 per cent increase over 2009.
It caters to around 45 per cent of airport passengers who spend about $46 each.
Passenger spending at Dubai Duty Free rose last year on the back of growing traffic at Dubai International Airport.
Sharon Pereira from India indicated she knew the trick very well.
Every time she travels to India she said she made it a point to visit the Dubai Duty Free and fill her shopping cart with as much as she likes: perfumes, chocolates, beverages and other gifts.
"I usually walk away with three to four big bags that weigh about five kilos and I don't pay extra for the load," Pereira told Gulf News.
"It's indeed a great way to get around the weight allowance.
"The other reason I like to shop there is that they have some great offers like ‘buy two get one free'. Also, they have good pharmacies that offer all the essential medication.
"So if you forgot to pack some over-the-counter drugs, you can always get them at the airport at your convenience and without the need for a doctor's prescription," she added.
Retail experts said this kind of shopping experience is what made Dubai Duty Free attractive to travellers from around the world, and the recent sales figures were proof of that.
"Our sales have been consistently buoyant throughout the year and we are pleased to see that our penetration level continues to be high," said Colm McLoughlin, Managing Director.
Shaikh Ahmad Bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority and Chairman and Chief Executive of Emirates airline and group, said: "[The year] 2010 has been an excellent year for Dubai Duty Free which has retained its position as the largest single airport retailer in the world. The sales over the past 12 months are a positive indicator for the retail sector as a whole."
Looking ahead, McLoughlin said he expected 2011 would be another positive year for Dubai Duty Free.
"We expect our sales to grow around $1.35 billion in 2011 and hopefully, we will retain the position as being the largest single airport retailer in the world," McLoughlin told Gulf News.
December set a monthly sales record with turnover of Dh497 million ($135 million), 13 per cent higher than the monthly record set in December 2009.
One of the highlights for the month was the Dh66.7 million ($18.5 million) sales recorded during the retailer's 27th anniversary.
Total sales transactions also hit 20.5 million last year, an increase of 11 per cent over 2009.
The best-selling item for 2010 was perfumes which notched up sales of Dh658 million ($179.79 million), a 16 per cent increase over 2009.
Liquor and gold retained the second and third spots with increases of 13 per cent and 11 per cent respectively.
Other travellers' favourites were watches, which rose by 26 per cent; cosmetics, which were up by 23 per cent and cameras, which rose by 19 per cent.
- Dh4.66b: total sales in 2010
- 20.5m: number of transactions recorded last year
- $135m: highest monthly sales record in December 2010
- $46: average spending per passenger
