King Power recovering from airline ban on liquid

Duty-free operator the King Power International Group has lost about Bt150 million in sales of alcohol and perfume since airlines stopped allowing passengers to carry liquids on board.
Most airlines have been implementing the security measure since a plot to blow up US-bound aircraft departing from London was uncovered a month ago. But chairman and CEO Vichai Raksriaksorn said King Power's sales would return to normal soon, because airlines had agreed to collect all duty-free items and put them in the hold instead of being carried by passengers. The group, which used to earn revenues of Bt1 billion per month, yesterday revealed the scale of its investment in new outlets in Suvarnabhumi Airport and Bangkok. With an investment of Bt7.5 billion, King Power Suvarnabhumi will be billed as "the longest walk-through shopping street in the world" when the airport opens on September 28. A new format promises a second-to-none purchasing experience for travellers under the concept of "Mantra of the East". Thousands of world-famous products and state-of-the-art facilities will ensure King Power steps up to a new height as a global brand. It expects to earn Bt17.2 billion in revenues after one year of operation. The group will manage all duty-free space and commercial activities at the new airport. The operation will be run by King Power Suvarnabhumi Co (KPS), a new venture that is considered a historic step for the company to help build up the airport as an international-standard hub for Southeast Asia. "King Power's 20 years of experience in the local and international duty-free business and its extensive study of other leading airports and the behaviour of travellers will ensure that the new airport benefits from distinguished values," Vichai said. King Power deputy chairman Chulchit Boonyaketu said Bt3 billion had been spent on fitting and decorating KPS. "We strongly believe King Power Suvarnabhumi will attract more than 50 per cent of travellers and reach Bt17.2 billion in its first year of operation," Chulchit said. To build King Power as a global brand, the group has earmarked Bt180 million for both above-the-line and below-the-line activities via television, magazines, newspapers and billboards, along with promotional events and tie-ins. The group also opened a mega-duty-free shopping complex on Sri Ayutthaya Road on July 18. The Bt4.5-billion complex is on 31 rai of land and is aimed at becoming a one-stop shopping venue, offering office space, duty-free shops, restaurants, a theatre and a four-star hotel. Crown Atrium, a multipurpose space of 2,890 square metres, is available for visitors' registration and exhibitions. Two-floor shops cover more than 10,000 square metres, with a capacity to serve 20,000 visitors with high-quality products from Thailand and throughout the world. The third floor houses Ramayana, a 1,220-square-metre restaurant offering buffet service with 548 seats. The floor is shared by the King Power Theatre, for cultural shows. The complex also has a nine-storey office building for King Power's offices, which will be ready for operation on October 9. A four-star, 21-storey hotel, the Novotel King Power Bangkok, will have 400 rooms and opens next May. King Power managing director Sombat Dechapanichkul said the two new outlets were designed for visitors to experience truly sumptuous shopping in an authentic Thai atmosphere, ensuring that King Power becomes a new tourist destination.
Suchat Sritama The Nation
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