GTR Mag exclusive: Shopping China expands, enhances & captivates a new generation
Paraguay-based Shopping China, a prominent retailer in the South American duty free market, is launching a series of strategic initiatives to boost its market presence and foster customer loyalty. CEO Felipe Cogorno states that the company is implementing both physical and digital strategies to fulfill an “unwavering commitment to delivering an exceptional shopping experience that drives us to continually adapt, innovate and transform, with customer satisfaction remaining the primary focus.”
The company has ambitious expansion plans for the future, as Cogorno explains, “Our strategy focuses on both geographic expansion and enhancing our current operations to better serve our customers.”
Shopping China is targeting key South American markets, with a specific emphasis on Brazilian and Argentinian customers. Cogorno elaborates, “We are actively exploring opportunities to expand our presence in key South American border markets, specially targeting Brazilian and Argentinian customers due to their large consumer bases and strong demand for duty free products.”
A significant development in Shopping China’s plans is the investment in a new cutting-edge facility in Ciudad del Este (pictured above). This project highlights the company’s dedication to providing an superior shopping experience and solidifies its position as a leader in travel retail. Cogorno states, “Spanning over 92,000 square meters, it is set to become the largest border store in South America.”
In addition to this major development, Shopping China is continuing to renovate and expand its existing stores. These improvements include upgrading store layouts, incorporating advanced technology for seamless shopping experiences, and enhancing the overall aesthetic appeal of their retail spaces.
Caring for the consumer
Customer experience remains at the core of Shopping China's strategy, with a strong focus on personalization and technology integration. Cogorno explains, “We are committed to enhancing the overall shopping experience through personalized services, loyalty programs, and innovative in-store and online experiences. By employing advanced data analytics, we can offer tailored recommendations, promotions, and shopping experiences that cater to individual customer preferences.”
Cogorno adds, “This customer-centric approach, coupled with our use of cutting-edge technologies and expanded digital presence, aims to strengthen our leadership in the retail industry, expand our footprint in new markets, and continuously meet the evolving needs of our customers.”
Tech forward
Shopping China is significantly enhancing its digital and technological capabilities to keep pace with market demands. The company is focused on creating seamless multi-channel experiences, characterized by intuitive interfaces, fast navigation and easy product access. It is also broadening its digital footprint with a focus on social media, aiming to deepen customer engagement through interactive campaigns, influencer partnerships, and real-time support.
Digital infrastructure investment is another critical area, including building a more robust online platform and expanding digital marketing efforts. These initiatives aim to improve customer engagement through tailored recommendations and promotions, supported by AI and data analytics.
Central to this strategy is the use of advanced technology. “Utilizing advanced technologies, such as artificial intelligence and data analytics, optimizes our operations, improving inventory management, personalizing customer interactions, and enhancing overall efficiency,” Cogorno notes. By employing AI for data collection and analysis, Shopping China can better understand and cater to its customers’ needs, facilitating personalized shopping experiences and optimizing inventory management.
A key aspect of Shopping China’s digital transformation is its collaboration with leading technology firms. “One significant partnership is with leading technology firms to advance our digital transformation. By integrating cutting-edge AI and data analytics solutions, we aim to elevate our customer experience through personalized shopping recommendations and streamlined operations,” Cogorno explains.
Gen Z
Shopping China is acutely aware of the shifting consumer landscape, especially when it comes to Gen Z. Cogorno emphasizes the key behaviors and preferences driving the company’s strategies, “Gen Z prioritizes speed, convenience and accessibility in their shopping journeys. They are environmentally and socially conscious, preferring brands committed to sustainability and ethical practices." He also notes that this generation values personalized experiences, authenticity, and transparency from brands.
Social media is central to Gen Z’s shopping decisions. “They engage with brands through social platforms, seeking interactive and immersive experiences,” Cogorno says. Reflecting this, Shopping China has amplified its presence on key social media platforms, creating engaging and interactive content, including influencer partnerships, live shopping events and customer interaction through various digital channels.
Additionally, the company is leveraging strategic partnerships to enhance its social media efforts. “We are also collaborating with key influencers and content creators across various social media platforms to boost our brand visibility and engage more effectively with our target audience,” notes Cogorno.
Brazilian border
Shopping China’s success on Brazil’s border comes from a multi-faceted strategy that shows a deep understanding of its customer. “The key factors behind Shopping China’s success in attracting and retaining its Brazilian customer base include our strategic location, competitive pricing, diverse product range and exceptional customer service,” he states. The company’s nine-decade history has also contributed to building a strong reputation that enhances its offerings.
Recent changes in Brazilian regulations have had noticeable impact on Shopping China’s business. “Since the increase in the Brazilian allowance, we have observed a surge in Brazilian customers, further driving demand for a variety of products,” Cogorno reports. He identifies the main products sought by Brazilian customers as “electronics, perfumes, cosmetics, fashion items and household goods.”
Sustainability and CSR
The company is firmly committed to sustainability and ethical practices, focusing on “sourcing eco-friendly products, reducing waste and implementing energy-efficient operations.” These efforts are effectively communicated to customers, ensuring alignment with their values and global environmental standards.
Sustainability is integral to the company’s regulatory and market strategy. “Our sustainability initiatives are a cornerstone of our business strategy, significantly enhancing our brand reputation and fostering deep customer loyalty,” Cogorno states. These initiatives not only ensure regulatory compliance but also meet the growing consumer demand for sustainable products.
Corporate Social Responsibility (CSR) is another key focus. Cogorno notes that Shopping China’s “CSR initiatives support local communities, promote ethical business practices and contribute to social causes.” Through community projects and partnerships, the company demonstrates its commitment to making a positive impact beyond business operations.
Partnerships play a crucial role in sustainability efforts. “We have forged alliances with renowned eco-friendly product suppliers to reinforce our commitment to sustainability,” says Cogorno. These collaborations expand Shopping China’s range of sustainable products, further aligning with environmental goals and consumer expectations.
Building on its commitment to Corporate Social Responsibility, Shopping China extends its ethical focus inward. Cogorno emphasizes that employee satisfaction is directly linked to exceptional customer service. “A crucial component of our success is the satisfaction and dedication of our employees. We prioritize fostering a positive work environment, which translates into exceptional service and a welcoming shopping experience for our customers,” he explains.
Employee training is a key component of Shopping China’s strategy. “We invest in comprehensive training programs for our employees to ensure they are well-versed in regulatory requirements and market trends, empowering them to make informed decisions,” Cogorno says.
Products and trends
Shopping China prioritizes staying ahead of market trends. “Our product development team continuously evaluates and updates offerings based on customer feedback and market research, ensuring relevance and demand,” Cogorno says. This approach allows the company to anticipate consumer preferences and adjust its product offerings and marketing strategies to remain competitive.
Product diversification is also a key focus. This includes expanding high-end products, increasing tech inventory, and growing the selection of eco-friendly and sustainable options.
The company’s approach goes beyond product offerings to emphasize quality and customized marketing strategies. “Our commitment to providing high-quality products, coupled with tailored marketing strategies and a seamless shopping experience, has significantly strengthened our appeal to this market,” Cogorno explains. These efforts ensure the company meets the evolving needs of its Brazilian clientele, fostering loyalty and satisfaction.
Regulations
Navigating the complex regulatory landscape and market dynamics of the South American duty free market is a critical aspect of Shopping China’s operations. Cogorno outlines the company’s multi-faceted approach to these challenges.
“We rigorously adhere to local, national, and international regulations, with our legal and compliance teams diligently working with authorities to ensure all operations comply with current laws,” Cogorno states. This commitment to compliance is complemented by strong relationships with key stakeholders. “Building and maintaining strong relationships with suppliers, government agencies and industry stakeholders allows us to stay informed and proactive in addressing regulatory changes,” he adds.
Holistic approach
Cogorno underlines the holistic nature of Shopping China’s approach integrating digitization, customer satisfaction, product innovation, sustainability and CSR. “This comprehensive strategy ensures we remain adaptable, competitive, and successful, continuously responding to and shaping an ever-evolving market landscape,” he says.
Looking to the future, Cogorno reveals an initiative that will aid Shopping China with its broader strategy to enhance customer satisfaction, and operational efficiency. “We are exploring partnerships with logistics companies to optimize our supply chain, improve delivery times, and reducing our carbon footprint in transportation,” he says.
Cogorno concludes by emphasizing the strategic importance of these partnerships and collaborations, “They are central to our growth strategy, enabling us to innovate, expand our product offerings, and better serve our customers. By leveraging these relationships, Shopping China is well-positioned to continue leading in the retail industry and meeting the evolving needs of our customers.”