Editor’s Note: In September, Duty Free Holdings appointed James Mullaney to the role of president. A former fashion industry executive, Mullaney is charged with expanding Duty Free Holdings’ footprint in key international markets, particularly in South and Central America. The company is also focused on growth in fixed-base operator (FBO) locations and overall enhancement of the customer experience. AXN’s Carol Ward spoke with Mullaney about his plans to expand and evolve.
Ward: As you take on this new role in the duty free sector, can you outline your broad-based goals?
Mullaney: The goal is basically to become the premier duty free provider in the industry, actively expanding the airport business, particularly with the FBOs, which is the private airports, and also Central and South America. In a nutshell, that’s the goal, that’s the objective.
Ward: What’s your current position in the United States, particularly with regards to commercial airports, and what are your aspirations?
Mullaney: We’re in John Wayne Airport (SNA) and in Cleveland International Airport (CLE) with our La Boutique store. Right now, we’re really focusing our attention on the smaller private airports. We see a very big opportunity there. We are in [Miami] Opa Locka and we’re expanding into Fort Lauderdale. We are also looking at the airports around the San Diego area, as well as in Aspen, Colorado. Naturally, we are focusing on the lifestyle, the high-net-worth individuals. We’re consistently trying to upgrade our assortment to be able to service these high-net-worth individuals. And that is, I’d say, one of the first and biggest initiatives here in the U.S. In the commercial airports, we’re seeing that customer wanting better product. We’re actively pursuing – and we do have – the big names like the Christian Diors, the Chanels, the better liquors…. In the private airports, we’re putting it on their jet for them. In the commercial airports they’re getting the white glove service and we’re handing it to them at the door of the aircraft.
Ward: What opportunities are you seeing as you look to expand?
Mullaney: In the airports it’s a process, especially in a commercial airport. We’re being opportunistic – we want to go where we can give that better service and with the bigger commercial airports, it gets a little more difficult logistically. We’re really being picky on our side. The big opportunity, we feel, is the FBOs, because we’re getting everybody from high-net-worth individuals that own their own planes to the people that are chartering smaller private jets, going to the Caribbean, Central and South America…. They’re going online shopping, whether it be for spirits or for gifts and or for fragrances, then getting on the airplane and going to their international destination.
We have an aggressive growth plan. We’re looking at $200 million this year, $300 million next year, and about $500 million in 2027. We’re actively expanding in the Caribbean, Central and South America, which is going to help enormously.
