Hotel Shilla to run beverage duty-free space at Gimpo Airport
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The company said Tuesday that it beat out its archrival Lotte Duty Free in the final bid for beverage and tobacco concessions at Gimpo International Airport near Seoul. The license is valid for five years.
Although the Gimpo shops do not make much money with an annual revenue of 60.8 billion won ($54.9 million) at best, or 0.35 percent of Korea’s duty-free market worth 14 trillion won as of last year, they are less burdensome as rents are connected to sales.
Hotel Shilla gained a high score for running duty-free shops in Asia’s three major airports - Hong Kong, Singapore, and Incheon, Korea.
The license in beverage and tobacco concessions at Gimpo International Airport became available after mid-sized travel retailer City Plus that could not afford rent pulled out in April. The cosmetics and perfume concessions are currently run by Lotte Duty Free.
On Wednesday, Hotel Shilla shares gained 0.95 percent to close at 106,500 won in Seoul trading.
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