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Retailers News South Africa

Woolworths spread wings at OR Tambo

In response to passenger demand, Airports Company SA (Acsa) will early next year open a fully fledged Woolworths store at OR Tambo International Airport.

Passengers arriving on late flights will be able to do their shopping without leaving the airport building.

Woolworths said recently it was investigating the possibility of opening outlets at other airports.

Mahesh Govend, assistant GM of retail at Acsa, said Woolworths was likely to open stores at Cape Town International Airport late next year and the new La Mercy airport outside Durban in 2010, when the construction of the new airport was completed.

Govend said Woolworths stores at the smaller airports would not be viable as these did not have the passenger volumes to sustain the business.

Woolworths at OR Tambo will stock food and apparel. It will be one of the new central terminal building's retail mall's 20 stores. Partly opened to the public a month ago, the building will open fully next April with the new international departures hall.

Govend said the new mall, looking more like a shopping mall rather than an airport mall, had three banks, a Mugg & Bean restaurant, a Markhams clothing store and jewellery stores.

Acsa relies increasingly on non-aeronautical income from retail, advertising and property development as economic slowdown erodes its traditional aeronautical income. In the year to March, Acsa for the first time reported non-aeronautical revenue overtaking aeronautical income.

Source: Business Day

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