Duty Free Retailing in Europe, 2015–2020; Market Dynamics, Retail Trends, and Competitive Landscape

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European duty free market declined during 2010-2015 affected by the Eurozone crisis but is expected grow at a faster pace during the next five years. The market has recorded consistent growth in terms of local currency driven by surge in international arrivals and duty free spending from emerging markets travelers, mainly Chinese, who splurge on duty free luxury goods shopping to take advantage of favorable exchange rates. These factors together with expansion of airport retail space, launch of innovative concepts, and integration of digital shopping will lead European duty free market to record 4.7% CAGR during 2015-2020. Duty free retailers are also optimistic towards the market and are expanding in busiest airports, such as Birmingham and Heathrow airports, with focus on enhancing in-store experience and convenience.

Scope

• The UK duty free retail market accounts for 24.8% of the total regional market, and is forecast to grow at a CAGR of 4.6% during 2015–2020, driven by growing tourism, spending from emerging market tourists and modernized duty free outlets

• Euro weakness affected the region’s performance in US Dollar, but offers an opportunity for Asian and emerging market duty free shoppers

• Increasing visits from Asian travelers, expansion of retail space in airports and opening of new duty free stores will lead Poland to produce the highest CAGR of 6.6% in the region

• Health and beauty is the fastest growing category group in the region at 6.4%. Entry of new brands, allocation of higher retail space, and integration of technology will contribute to the growth

• To boost Chinese spending, brands, duty free operators and airport authorities are stepping up their efforts, such as addition of their preferred payment system and new airline routes

Reasons to Buy

Get immediate access to:

Get reliable duty free retail sales data on 24 countries in Europe for 2015 with forecasts for 2020, and identify the largest and fastest-growing markets to inform market expansion and to manage risk

Explore an in-depth analysis of duty free retail sales data by country and categories to spot and target key categories in each country, and use to plan growth opportunities and develop strategies for each

Learn from duty free retail trends and market drivers to customize your entry/expansion approach depending on the duty free retail landscape

Make country level comparisons to effectively target new revenue streams and align marketing strategies with the crucial trends influencing duty free spending in the region

Choose partners , understand the competition, with data and analysis of major duty free operators in the region, including market shares, trading performance, locations, latest developments, and the outlook for each

Gebr. Heinemann
Dufry
Aelia (LS Travel Retail)
Aer Rianta Ireland
World Duty Free
The Nuance Group
Inflight Sales Group
Schiphol Airport Retail

Table of Contents

Highlights

Executive Summary

European duty free retailing – The market

Drivers and Inhibitors

Duty free sales by country

Duty free sales by category

Country Summary

European duty free retailing – Trends

Trends in Europe

Retail innovations in Europe

European duty free retailing – Market drivers

Inbound tourism

Consumer trends

European duty free retailing – Major operators in Europe

European duty free retailing – Category sales by country

Appendix

Table

N/A

Figures

Figure: 1 Duty free retail sales 2010, 2015, and 2020 in US$ bn

Figure: 2 Duty free retail sales by country in Europe (1/2)

Figure: 3 Duty free retail sales by country in Europe (2/2)

Figure: 4 Largest markets in Europe, 2015

Figure: 5 Largest markets in Europe, 2020

Figure: 6 Share of each country in Europe total duty free sales, 2015

Figure: 7 Share of each country in Europe total duty free sales, 2020

Figure: 8 Fastest-growing markets in Europe, CAGR 2015-2020 (%)

Figure: 9 Duty free category group sales in the region 2015 & 2020

Figure: 10 Duty free category group sales in the region, 2015

Figure: 11 Duty free category group sales in the region, 2020

Figure: 12 Duty free category sales in the region (1/2), 2015

Figure: 13 Duty free category sales in the region (1/2), 2020

Figure: 14 Duty free category sales in the region (2/2), 2015

Figure: 15 Duty free category sales in the region (2/2), 2020

Figure: 16 Airport Development in the region, 2015

Figure: 17 International arrivals to Europe (in million)

Figure: 18-40 International arrivals by country

Figure: 41 In the last year, how many times have you traveled by air?

Figure: 42 On average, how much time do you spend per visit to a duty free airport retail outlet?

Figure: 43-44 How much did you spend on each type of product per visit?

Figure: 45 Market share in Europe of leading players

Figure: 46 Dufry duty free sales in Europe 2011–2015 & Annual Growth

Figure: 47 Dufry market share, 2011–2015

Figure: 48 Dufry trading record (CHF m), 2011–15

Figure: 49 Dufry trading record (US$ m), 2011–15

Figure: 50 Dufry pro-forma (US$ m), 2011–15

Figure: 51 Dufry sales by category in 2015 (%) and change in share 2011 vs 2015

Figure: 52 Gebr. Heinemann duty free sales in 2011–2015 & Annual Growth

Figure: 53 Gebr. Heinemann market share, 2011–2015

Figure: 54 Gebr. Heinemann trading record (US$ m), 2011–15

Figure: 55 Gebr. Heinemann sales by channel and category in 2015 (%)

Figure: 56 Aelia Duty Free duty free sales 2011–2015 & Annual Growth

Figure: 57 Aelia Duty Free market share, 2011–2015

Figure: 58 Aelia Group (LS Travel Retail) trading record (EUR m), 2011–15

Figure: 59 Aelia Group (LS Travel Retail) trading record (US$ m), 2011–15

Figure: 60 LS Travel retail sales by category in 2015 (%) and change in share 2011 vs 2015

Figure: 61 Aer Rianta International duty free sales 2011–2015 & Annual Growth

Figure: 62 Aer Rianta International market share, 2011–2015

Figure: 63 Aer Rianta International trading record (EUR m), 2011–15

Figure: 64 Aer Rianta International trading record (US$ m), 2011–15

Figure: 65-158 Duty free category sales by country 2015 & 2020

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