German company Gebr Heinemann has expanded its presence in Russia by acquiring Kapo Duty-Free, the country’s leading border-shop duty-free retailer, TRBusiness reported.
Kapo operates 12 border shops as well as three smaller regional airport stores in Russia. It has been a Gebr Heinemann wholesale customer for over 20 years, Heinemann noted, referring to “a good, long-standing partnership between the two companies”.
Kapo’s main border shops are in Torfjanovka and Svetogorsk (on the Russian/ Finnish border) and in Zabaikalsk (on the Russian/Chinese border). In the future, Gebr Heinemann will be represented in Russia with around 12 border shops at eight borders involving five countries.
“We are very happy about the acquisition of Kapo,” said Gebr Heinemann sales director for Eastern Europe and Central Asia Oleg Zhytomyrsky. “Gebr Heinemann’s goal in the deal was the continuous and further expansion of our (East) European border-shop business, in which we see the great potential and want to position ourselves in the long term as well as expand and secure our market leadership in the Russian duty-free market. Extending our business in this area gives us the opportunity to serve all passengers along the borders, for example to Finland, Estonia or China and thus reach out to customers in a completely different way. In the future, we will have even more the opportunity to bring in our international experience, especially in terms of product range development and target group orientation.”
The shops are to be modernized and will be taken to an even higher European travel retail level, Gebr Heinemann noted.
The focus of the assortment will be on liquor, tobacco, confectionery and perfume and cosmetics plus local assortments, depending on the needs and requirements of the respective border.