PUBLISHER: Allied Market Research | PRODUCT CODE: 1344538
PUBLISHER: Allied Market Research | PRODUCT CODE: 1344538
According to a new report published by Allied Market Research, titled, "Travel Retail Market," The travel retail market was valued at $52.7 billion in 2021, and is estimated to reach $187.1 billion by 2031, growing at a CAGR of 9.6% from 2022 to 2031.
The travel retail market in Asia-Pacific is majorly driven by the tourism industry, as many foreign investors visit countries such as Hong Kong and Malaysia for tax-free shopping. Various market players are keen to expand their market presence by establishing themselves in the Asian markets. Another factor is rise in disposable income and increase in middle class population in countries such as China and India, which has led to increase in demand for luxury & premium goods. This resulted in increase in the number of high-end brands entering the market and opening stores in airport retail spaces. In addition, many Asian countries have relaxed their duty-free regulations in recent years, making it more attractive for retailers to set up shop in airports and other travel hubs. This has helped to drive growth in the travel retail market in the region.
There is increase in the standards of living of the people & their lifestyle owing to high disposable incomes and increase in corporate culture. Rise in proliferation of corporate entities in the developing nations has popularized the 'carrying expensive & luxurious products' culture among consumers, while additionally becoming a status symbol. Thus, the luxury goods segment in the travel retail industry is expected to grow at the fastest rate by 2031.
Besides, railway stations have witnessed considerable growth over the years. For instance, the London's King's Cross station established an airy-bar restaurant with wooden floors & vintage leather sofas, with an aim to provide comfort to travelers. Moreover, the station has various branded stores with different product categories such as clothing & accessories for both men & women, sportswear, and music stores with products such as audio equipment, CD & vinyl and accessories. These factors boost the growth of the travel retail market at railway stations.
The travel retail market is segmented on the basis of product type, sales channel, and region. By product type, the market is divided into perfume & cosmetics; electronics; wine & spirits; food, confectionery, & catering; tobacco; luxury goods; and others. As per distribution channel, the market is divided into airports; cruise liners; railway stations; and border, downtown, & hotel shops. Depending on region, the market is divided into North America, Europe, Asia-Pacific, and LAMEA.
The report offers a comprehensive analysis of the key players such as DFS Group, Dufry, LS travel retail, Lotte Duty Free, King Power International Group, The Shilla Duty Free, Gebr, Heinemann, China Duty Free Group (CDFG), Aer Rianta International (ARI), and The Naunace Group.