The duty-free retailing market in Europe to grow at a CAGR of 6.06% during the period 2017-2021.
The report covers the present scenario and the growth prospects of the duty-free retailing market in Europe for 2017-2021. To calculate the market size, the report considers the revenue generated from the retail sales of various consumer products to individual customers at duty-free retail stores in the region. The report also includes a discussion of the key vendors operating in this market.
The duty-free retailing market in Europe is expected to grow significantly during the forecast period, due to the expansion in international airports and increasing number of passengers.
According to the report, one of the major drivers for this market is Premium product offerings and exemption from excise duties. In Europe, duty-free retailing is mostly concentrated on the value sales of luxury brands of fashion goods, accessories, hard luxury items, cosmetics, fragrances, wines and other non-alcoholic beverages. Among these, fashion goods, accessories, hard luxury items, cosmetics, and fragrances accounted for more than two-thirds of the total revenue generated in the regional market in 2016. This data indicates that premium categories play a pivotal role in determining sales in the duty-free retailing space. International retailers of duty-free goods such as DFS from LVMH and Dufry are adding more luxury brands to their product portfolios to augment their sales.
The latest trend gaining momentum in the market is Entry of global brands in European market. Since duty-free retailing markets of different European countries are actively being promoted as shopping destinations, an emerging category of travelers consider shopping at these spots an integral part of their travel experience. LVMH, one of the leading retailers in the market and the largest luxury brand owner, is also one of the largest investors in duty-free retailing and the revenue growth from its duty-free business, recorded a significant increase in its revenue. Herms, one of the well-known luxury brands in France, is optimizing and expanding a network of boutiques in airports to showcase its retail design concept and service. Thus, the entry of global brands in the regional market is expected to have a positive impact on the growth of the market during the forecast period.
Further, the report states that one of the major factors hindering the growth of this market is Low consumer interest in shopping at travel points. Limited time for vacations and leisure for many tourists compels them to focus on traveling rather than spending time and money on related activities such as shopping. Analysis of the daily footprint data of travelers in any given busy international airport has shown that only 5%to 10% of the total number of travelers tend to visit duty-free retail stores in an airport.
DAA (Aer Rianta International)
Other prominent vendors
China Duty-free Group
JR/Group (James Richardson)
King Power International
THE SHILLA DUTY-FREE
Key Topics Covered:
Part 01: Executive Summary
Part 02: Scope Of The Report
Part 03: Research Methodology
Part 04: Introduction
Part 05: Market Landscape
Part 06: Five Forces Analysis
Part 07: Market Segmentation By Product
Part 08: Market Segmentation By Distribution Channel