What: Heinemann, a duty-free operator, tries to create a new approach to travel retail by redesigning its stores in a more compelling way.

Why it is important: new categories and new products are being introduced, such as Pet care, which in the end might force department stores to follow suit to remain on the same page with travellers.

Heinemann Australia has launched the first domestic airport terminal department store concept at Sydney Airport's Terminals 2 and 3, a development first mentioned in December 2022. This 2,270 square meter retail space offers the largest beauty selection in any Australian domestic airport, along with fashion, accessories, watches, jewelry, chocolates, sweets, gifts, wines, and spirits.

The store features a significant focus on Australian fashion, incorporating local brands such as PE Nation, Rebecca Vallance, Nobody Denim, Status Anxiety, and Alemais. Luxury resortwear brand Camilla is also available, following its earlier launch with Heinemann at Sydney Airport.

Heinemann's beauty section boasts over 65 brands, including health and well-being-focused products like Vida Glow and Kissed Earth, and a range of clean beauty products. The fragrance line-up includes new and exclusive brands like Creed and Juliette Has a Gun.

A unique addition is a category for pet lovers, featuring brands like Frank Green and Pet Friendly Co. Pet Friendly & Co also offers a personalization service for dog harnesses, a first in a physical store.

The store's design, inspired by Sydney's coastlines, features organic lines and ceiling designs mimicking waves, intended to guide customers and enhance their shopping experience. Terminal 2 includes a prominent engagement zone for pop-ups.

George Tsoukalas, Heinemann Australia's Managing Director, expressed excitement about showcasing national and international brands to the high volume of travelers at Sydney Airport. Sydney Airport's Executive General Manager Commercial, Mark Zaouk, echoed this sentiment, highlighting the partnership's role in enhancing passenger experience.

This opening coincides with a strong recovery in domestic travel, with Sydney Airport's domestic passenger numbers in October reaching 86% of pre-pandemic levels. The timing is also opportune for the gifting season.

Heinemann plans to introduce more brands and retail concepts, with a grand opening for these stores scheduled for the first quarter of 2024.

Heinemann opens a “department store” concept in Sydney airport