Airports & Travel RetailersBlog
Peter Marshall Send an email October 18, 2022
4 minutes read

Tripidi Emerges Stronger, Smarter – And Bigger – Post COVID

It is always good to showcase companies who have actually emerged stronger from COVID. Smaller, specialist retailers in particular, and German retailer Tripidi is a great example of a business agile enough to actually grow in size and is now beginning to enjoy the fruits of a Travel Retail recovery. I caught up recently with Jennifer Noelle, Tripidi’s Founder and Managing Partner.

Peter Marshall (PM): Jennifer, the airport and travel retail business sector is still undergoing some post COVID blues. Happily recovery is coming back, and the recent TFWA exhibition in Cannes gave us all ample evidence of that. fast. One factor, of course, that has arguably slowed an even faster recovery is the current Russia Ukraine war.

Yet, as a smaller travel retail operator, you have managed to weather the storm. What did you need to do to sustain the viability of your business?

Jennifer Noelle (JN): Well, there were clear changes in the passenger structure due to COVID, and sadly now the war, which made it necessary for us to adapt and change the product range. In the peak of the pandemic, for example, we added products to help fight COVID for passengers to travel safely by introducing masks, sanitizers, gloves, disinfection kits and so on. We also enlarged our stationery and gifting assortment – both with current suppliers as well as some new ones. Because of the lack of Asian travellers we had to reduce our household assortment.

Besides, COVID and the war, another huge issue mankind has to deal with nowadays is climate change. Since the very beginning of Tripidi, we focused on high quality, long lasting products. Further, we have enlarged the articles that help reduce plastic waste and make everyone`s travel – and of course life in general – more plastic-free, which helps to reduce waste.

So we offer a wide range of all kinds of to-go cups and bottles, bento boxes for lunch, reusable wrapping paper for buttered bread, bamboo toothbrushes, solid shampoo, deo, toothpaste etc. And we are very happy to see that a growing number of our customers are very interested in this assortment.

Importantly, we created an adapted version of the Tripidi Concept that also works without the Chinese travellers and is also very suitable for Schengen marketplaces.

Besides adapting to the new situation within the bricks and mortar stores, we additionally set up new sales channels – like e-commerce for the German market as well as WeChat livestream sessions to stay tuned to our Chinese customers. I am very pleased to say that both channels are now running successfully.

PM: So what percentage of your business do these two elements now constitute and how do you see their further business growth?

JN: Our main business will always be Travel Retail within airports or other tourist hubs. This will always contribute the largest part of the business’s revenue. Nevertheless, I see all digital commerce as a growing sales channel. And it’s not only a sales channel, but also a very good communication tool to learn about the needs and demands of our customers and to communicate effectively with them.

PM: But it wasn’t all about keeping your head above water as a business, was it? You are one of the few operators I know that actually opened new stores in this period. How deep were your pockets to manage this?

JN: You know, Albert Einstein once said: ”In the midst of every crisis lies great opportunity”. All Tripidi shareholders strongly believe in Travel Retail, so when there were opportunities in Frankfurt and Munich, we evaluated them and then went for it. Of course Travel Retail – especially in the Non-Schengen marketplaces – is still not back to 2019 levels. But we see results that make us very happy that we took these opportunities because they will pay off in the years ahead.

PM: So do you envisage further expansion for Tripidi in the near future? What type of business model do you want to pursue, and where?

JN: I strongly believe in Travel Retail and that is why I want to expand the Tripidi presence in more airports – Europe is first in focus. As you would expect, we are currently evaluating different airports, current tenders and partnership models. Especially when it comes to opening a Tripidi store beyond the DACH region, here we would like to team up with a local operator.

PM: What about the type of suppliers you are looking to encourage to join you? In your own latest concession at Munich, you have both Victorinox and Lamy as key partners. Here, you have clearly married the right partners to the airport passenger profile. Who will you be seeking out when it comes to supplier partners outside the DACH region, and just how agile a business do you think you need to be in this case?

JN: As you mentioned, Victorinox and Lamy are key partners in our Munich store. This is true for all Tripidi stores, including Frankfurt and Vienna and they will surely be alongside for all future stores. But we are proud to say that we have a very good relationship with all our suppliers. As I mentioned before, we added some new ones during the pandemic. Of course we are always checking the market for brands that match the Tripidi concept and could enrich it further. If we expand to airports outside the DACH region, we will definitely also look for regional heroes and local sense of place brands to adapt to the market.

PM: So, drawing the threads together, what are the key learnings for you over the past 2+ years? 

JN: The past 2 and a half years have been very hard for everybody in the TR business. But, adapting to changes, keeping the faith, going for opportunities and having the support of a lot of different parties, you can overcome a crisis, learn a great deal, and evolve. We are keen to move on with our expansion plans and to see Travel Retail bounce back!

 

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Peter Marshall Send an email October 18, 2022
4 minutes read

Peter Marshall

Founder: trunblocked.com/Marshall Arts
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