Key Travel Retail Statistics 2023: Unleash your full business potential through software product engineering
June 14, 2023
Vlad Teodorescu Bîrlă

At mindit.io, our primary industry of expertise lies in travel retail, where we assist our partners in establishing themselves as leaders in their respective sectors and geographic regions.

We have developed and implemented a suite of enterprise applications that provide comprehensive control over every aspect of the go-to-market process. This includes acquisition, dispatching, application of corporate pricing and promotional strategies, and sales management.

The travel retail industry encompasses duty-free shops in airports, cruise ships, and other travel hubs. It has long been a favored destination for shoppers seeking tax-free prices on a wide range of products, including luxury items like fragrances, cosmetics, and electronics. However, it is crucial for businesses in this industry to understand the preferences of non-shoppers as well.

In a recent survey, it was found that 70% of non-shoppers expressed that discounted prices would motivate them to make a purchase at a travel retail outlet. Additionally, 62% indicated that they would be enticed by special promotions and exclusive offers.

Apart from price considerations, the study also identified other influential factors affecting the purchase decisions of non-shoppers in travel retail. The convenience of the shopping experience, product availability, and the ability to sample products were all found to be significant factors.

Non-shoppers were more inclined to make a purchase if the shopping experience was hassle-free and convenient, if the products they were interested in were readily available, and if they had the opportunity to sample products before making a final decision.

Global travel retail market size in 2020, with a forecast from 2021 to 2030

(in billion U.S. dollars) - Statista


Key Travel Retail Statistics 2023:

  • Fragrances and cosmetics were the most appealing product categories for non-shoppers, with 51% expressing an interest in fragrances and 46% indicating an interest in cosmetics. Other popular product categories among non-shoppers included confectionery, spirits, and electronics.
  • Among individuals who do not engage in shopping, the largest age group is the middle-aged demographic, accounting for 51% of the total. They are followed by millennials at 22%, seniors at 16%, and Gen Zs at 11%.
  • Economy travelers constitute the majority of non-shoppers at 70% when considering travel class. Premium economy and business travelers each comprise 13%, while first-class travelers make up 4%.
  • Similar to non-visitors, there is a higher proportion of male travelers compared to females among non-shoppers, with males representing more than two-thirds (68%) of the total.

The study conducted by m1nd-set Research underscores the significance of comprehending the preferences of non-shoppers within the travel retail industry. By placing emphasis on aspects like value perception, convenience, product availability, and providing sampling opportunities, travel retail businesses can effectively entice non-shoppers to become customers.

Implementing discounted prices, special promotions, and exclusive offers can prove especially impactful in attracting non-shoppers and converting them into active buyers. Additionally, paying attention to specific product categories that are particularly appealing to non-shoppers, such as fragrances and cosmetics, can contribute to increased sales within the travel retail environment.

mindit.io's Travel Retail expertise - working with with one of the world's leading travel retailers from Swtizerland

Our esteemed partner, is a Switzerland-based travel retailer renowned for its extensive presence in the industry. With a remarkable portfolio of over 2,200 duty-free and duty-paid shops, as well as convenient stores, the global travel retailer operates in a diverse range of locations including airports, cruise lines, seaports, railway stations, and bustling tourist areas.

The company, headquartered in Basel, takes pride in its workforce of nearly 36,000 individuals and its global operations spanning across more than 65 countries.

What we did:

Read reviews about our work in the Travel Retail sector and other industries on Clutch.

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