London Supply Group sees uptick in visitors year-round
Elaborating on its motto “To adapt and survive,” Lara Plaza at London Supply Group, acknowledges that Argentina is a rollercoaster as a place to conduct business
Elaborating on its motto “To adapt and survive,” Lara Plaza, Chief Operating Officer at London Supply Group, acknowledges that Argentina is a rollercoaster as a place to conduct business, so the family-owned company is used to the ups and downs that align with its constantly changing economy. “We survive on tourism, which means we need to have the right offer all of the time, and be quick on our feet,” she says. According to Plaza, Latin America is challenging in general, especially considering the current United States administration. “The decision-making [of the United States] affects everyone, the world. So, it’s a very uncertain world to do business and you have to make your own differentiation in order for people to keep choosing you.”
London Supply Group partners with suppliers to build strong, long-term relationships and relies on mutual trust and commitment to face all of the different challenges that come its way. Plaza comments, “When the economy is good, we both profit from it, and when the economy is bad, we both fight together.”
On trend and tight-lipped
On the move to stay ahead of industry trends, the group likes to provide the latest novelties whether that’s in terms of technology or category development. This summer, it teamed up with Lindt to bring Dubai-style chocolate exclusively to Latin America. The product offering is available at its Duty Free Puerto Iguazú store on the border of Brazil until stock lasts. Plaza says it is a challenging product to bring to the market because of its short shelf life. Since the lead time to travel to Latin America is long it’s difficult to coordinate the chocolate’s arrival and rollout.
“We’re always looking for new brands to join. For instance, we were the first [duty free company] to have Patrón in Latin America, and we built the brand together. Now, the brand belongs to Bacardi and we’re still partnering and developing the brand in the region. Right now, tequila is super-hot, but when we talk to the suppliers, they always recognize that we were the first ones to open our doors. That is the kind of model we follow,” she explains.
Speaking about its technological development, Plaza remains tight-lipped on London Supply Group’s plan for implementation. While she recognizes that there is plenty to be addressed across the board such as introducing updated technology in its stores and applying artificial intelligence to the group’s marketing and business management strategy, the only piece of information she could reveal: there is more to come.
Last month, Duty Free Shop Puerto Iguazú carried out interest-free instalment promotions over a one-week period to generate sales. The campaign allowed shoppers to pay in three, six or 12 interest-free instalments with Visa, Mastercard or American Express credit cards issued by any bank in Argentina or Brazil. Serving visitors to the Iguazú Falls, one of Latin America’s greatest tourist attractions, the border store covers around 10,000 square meters of commercial space and features leading international brands across electronics, fragrances & cosmetics, wines & spirits, fashion & accessories and groceries.
Hike in tourism
Reiterating the importance of the insight shared at the ASUTIL Conference in June, Plaza notes the next generations will purchase in a different way. “As part of this industry, one of the things I really like about the ASUTIL Conference is that there is a lot of information shared regarding the consumer and the new generations; what they like, what they want. There is a lot of time spent trying to understand exactly how these new consumers are going to be over the next decade,” she says.
When it comes to the greatest opportunities for growth in travel and tourism, Plaza points out that fortunately the retailer operates in destinations that hold significance among tourists. For instance, Iguazú Falls in Argentina has been ruled as one of the New Seven Wonders of Nature. There has been a steady uptick in visitors year-round. “We are lucky in the fact that people are wanting to visit,” she comments. With the exception of the pandemic, business for the retailer has not stopped growing over the last 10 years.
