While it’s difficult to find consistent metrics across studies, one trend stands out: Travel Retail is projected to grow by 8-10% annually through 2035. This rapid growth comes with intensified competition that is increasingly global and better equipped. From Asia and the Middle East to the US and Europe, brands are refining their Travel Retail strategies, introducing innovative concepts designed to enhance the performance of physical spaces that operate under unique rules and constraints.
Airports, train stations, subways, service stations—Travel Retail is defined by its transient nature, where customers shop in transitory spaces. This reality creates time pressure, pushes quick decisions, and encourages impulse purchases.
Brands and retailers have three primary performance levers to capitalize on:
Digital tools play a pivotal role in Travel Retail. Travelers increasingly rely on digital platforms to explore offerings and plan purchases, enabling retailers to target personalized promotions. E-commerce models like click-and-collect streamline transactions, while mobile apps provide updates on promotions and product information, enriching the customer experience. Advanced technologies like augmented reality further elevate interactions with products, transforming the shopping journey into a dynamic, engaging experience.
New safety and hygiene standards, heightened by the COVID-19 pandemic, require the reorganization of retail spaces to ensure social distancing and implement strict measures like enhanced cleaning protocols and contactless payments.
Beyond these logistical changes, these standards significantly influence shopping behaviors, often making purchasing decisions more deliberate. Transparent communication about these measures is critical to building customer trust and loyalty in a shopping journey where even a hint of insecurity can be detrimental.
