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Auckland Airport: Tax-free downtown shopping, on-airport fulfillment

About the Case Study

Auckland Airport is the second major airport to choose AOE's OM³ Suite after the successful implementation of the new platform at Frankfurt Airport. As part of the solution for Auckland International Airport, the Logistics Portal creates a true omnichannel connected customer experience for more than 19 million passengers, seamlessly interconnecting on- and off-airport shopping and services. Customers save New Zealand Goods and Services Tax (GST) on downtown shopping at participating retailers as well as duty fees on selected products – directly at the point of purchase and without having to queue at the airport for reimbursement of duty fees. Purchases are delivered directly to the airport where they can be conveniently picked up before departure or upon arrival.

Business Benefits

  • Convenient Omnichannel shopping experience
  • Passengers save time, effort, duty fess and GST
  • Integration of Off- and On-Airport Business
  • On-Airport Fulfillment at Collection Points
  • Additional customers and new revenue streams

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Tax-Free Downtown Shopping in Auckland City

Customers can buy tax-free products from Downtown Auckland retailers without filling out complicated tax forms.

Automated Single-Basket On-Airport Fulfillment

Products purchased from various retailers are delivered automatically in a single shopping basket to the airport for collection by the passenger.

Off-Airport product range increases revenues

Additional product offering through 200+ downtown retailers along with price advantages increase revenues of retailers and the airport.

Management Summary: New platform revolutionizes
tax-free shopping in the travel retail segment

Airports, airlines and travel retailers worldwide are facing the challenge of declining spend-per-passenger impacting their non-aviation revenues. To face this challenge, Auckland International Airport chose the innovative approach of providing customers with a true omnichannel experience by combining off-airport retail, E-Commerce and on-airport fulfillment into one convenient solution for retailers, customers and the airport alike. To achieve this, the Logistics Portal needed to be integrated with the numerous legacy retailer systems, sales channels and Auckland Airport’s Collection Points. The Logistics Portal, built on AOE's award-winning OM³ commerce platform, offers the best of both the online and offline worlds. Off-airport retailers can sell their products and have them delivered to the airport. Customers can buy their items from participating retailers and pick them up conveniently at a collection point at Auckland Airport.

The new solution meets three main criteria. Passengers can shop duty- and tax-free, both in downtown Auckland and online. The logistics portal is efficient and convenient, for retailers, customers and the airport. Finally, the solution creates new revenue streams through rapid onboarding of additional retailers and sales channels. The Logistics Portal at Auckland International Airport is just one of many use cases for AOE’s OM³ Suite. By providing a powerful, state-of-the-art platform, the airport increases its non-aviation revenue streams and makes its business model digital-ready. The airport’s customers benefit from a service that makes shopping quick, convenient and enjoyable, while creating significant savings at the same time. Customer reaction, first numbers and industry acceptance are all proof that the Logistics Portal will contribute significantly to the economic success of the airport in the future, while creating loyal customers.

Richard Barker

Richard Barker

General Manager Retail and Commercial / Auckland Airport
We are excited to partner with AOE and that Auckland Airport’s introduction of the technology will be a first for any airport in Australasia. It will ensure that we deliver one of the most advanced online airport retail experiences in the world and that we can significantly expand the range and type of products and services we offer to our customers."

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