Russia & Moscow
Providing their potencial
 

Mr. Michael Dzamashvili

Interview with
Mr. Michael Dzamashvili, Director General of Aerofirst
 AEROFIRST

Mr. Michael Dzamashvili
Director General
Moscow Duty Free
Aerofirst, JSC
Sheremetyevo Airport
103340 Moscow
Russia
Tel: +7 (095) 926 50 51 / 52
Fax: +7 (095) 956 46 64
Email: mickledz@mdf.aerofirst.ru
Web: www.dutyfree.ru
STRUCTURE

Aerofirst was formed as a joint venture in 1988 between Aeroflot and Aer Rianta of Ireland. A third partner, the Sheremetyevo Airport Authority, joined the group a few years later.
Today, Aerofirst is a joint stock company consisting of three shareholders: Aeroflot, Aer Rianta International and the Sheremetyevo Airport Authority. Each shareholder provides two representatives that form the Board of Directors. The Director General of Aerofirst also forms part of this group.

The Management Board, which is appointed by the shareholders, deals with the day to day running of Aerofirst. The Management Board includes the Director General, who is also the Chairman of the Management Board, the General Manager and four other directors.
Aerofirst employs over 500 people working in sales, warehouses, transport, procurement and purchasing, finance and accounting, customs clearance, marketing, personnel and administration. There is additionally a department dedicated to managing and supplying Aerofirst's in-flight duty free programme.

Aerofirst operates in both Sheremetyevo 1 and 2 and organises the supply of duty free goods to a number of Russian airlines.



FIRST STEPS

In the late 1970's, Aeroflot was searching for convenient routes for flights to the west. Shannon, in Ireland, proved to be just the place. Additionally, and more interestingly for Aerofirst, the 1947 Customs Free Airport Act in Ireland had allowed Shannon to establish the world's first airport duty free shop.

This gave transit and international departing passengers the opportunity to purchase an assortment of goods exempt from normal taxes and customs duties. Shannon's duty free shop opened in 1947 as a small kiosk manned by one girl.

Soon, Holland, Belgium, Great Britain and Germany followed Shannon's duty free shop idea and today, as every traveller knows, there are hundreds of duty free shops all over the world, not only in airports but also onboard aircraft, at land border crossings, on ships and at seaports.

Shannon airport grew and its duty-free shop along with it: today, there are around 35,000 square feet of retail space filled with thousands of different products.

In May 1988, following a decision by the Council of Ministers to create a duty free shop in Moscow's Sheremetyevo Airport, an agreement was signed between Aer Rianta International and Aeroflot which resulted in the birth of both Aerofirst Moscow Duty Free and the first duty free shop in the former Soviet Union to sell goods supplied directly from the leading manufacturers of the day. The Sheremetyevo Airport Authority joined the original members to become the third partner a few years later.

DUTY FREE SHOPPING IN MOSCOW

In Sheremetyevo 1, Aerofirst (Moscow Duty Free) operates both duty free shops and the "Irish Bar".
In Sheremetyevo 2, Aerofirst (Moscow Duty Free) operates two large duty and tax-free shops and perfumeries offering a wide range of goods.
The central mall of shops includes "Troika" (Russian crafts and souvenirs), "More Than Music" (compact discs, cassettes and video), "Versace Boutique" (selling the latest goods from Versace, Trussardi and other famous brands), "Central Duty Free Shop" and, last but not least, the "Irish Bar" - a place to relax before travelling and to enjoy famous beers, liquors, soft drinks, tea, coffee and snacks.

Then there is the sky-shop, a division for in-flight sales with Aeroflot as the major client
Another recent innovation is the fully IT-supported self-service order facility in the VIP lounge.

Aerofirst (Moscow Duty Free) offers their customers a comprehensive range of merchandise at advantageous prices from some of the world's leading manufacturers:
Liquor
Cigarettes, Tobacco & Cigars
Perfume & Cosmetics
Food, Delicatessen & Confectionery
Fashion Accessories & Furs
Watches & Jewellery
Pens & Lighters
Photographic & Electronics
Music & Video
Toys & Travel
Glass & China
Souvenirs
Major suppliers include Chanel, Christian Dior, Cartier, Hermes, and Frank Muller. Aerofirst wants every salesperson of to know about a camera or the best way of applying makeup and they are enjoying their suppliers' special support. With the sales mix exceeding 27,000 products, they are very satisfied with this cooperation.



AEROFIRST'S ACHIEVEMENTS AND SUPPORT TO THE COMMUNITY

The Aerofirst team is very proud of its achievements over the years:
*The Frontier Magazine's award for the world's best duty free retailer in Cannes in 1988, the industry's top accolade;
*Three awards over the years from the American magazine Onboard Services;
*Highly commended in Cannes 1997 in the Liquor Retailer of the year category.
Aerofirst is actively involved in various charities and cultural and sporting sponsorship. The company has made sizeable contributions to "The Children of Chernobyl Fund" and "The International UNESCO Project ", whose aim is to publish books for the blind. Each year, Aerofirst is actively involved in the St Patrick's Day Parade and Emerald Ball, which is presided by the Irish Ambassador to Russia, and whose proceeds go to various orphanages.
Sponsorship is also given to the Bennios De La Dance ballet group for their international competitions and the annual Moscow Ski Track competition, held under the patronage of Moscow Mayor, Yuri Luzhov, and which attracts over 10,000 competitors.
Many smaller donations are also given to worthy groups in and around the airport.
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