Airports are great sites for retail outlets as they provide constant and motivated buyers who are not price driven.
According to the International Air Transport Association, 4.4 billion people traveled by air in 2018. This figure is expected to be 8.2 billion by 2037. This makes airports great locations for retail outlets and it’s only going to get better.
A properly designed and executed airport retail strategy can result in huge success. This is mainly because foot traffic is never going to be a problem. In fact, many brands (including top luxury brands) are realizing greater success in their airport stores than in traditional stand-alone shops.
Very few sales channels have guaranteed traffic and certainly not ones that are growing at the rate of airports. Anyone looking to open a store, shop, or food establishment of any sort must include airports on their list of where to locate. Airports are a unique opportunity to take advantage of a captive customer sales strategy. Airport outlets are great places for impulse purchasing and provide excellent cross-selling and up-selling opportunities.
Duty Free Shopping just another add-on
Retail shopping at airports can be duty free. That means shops that sell products for which duty (aka local import/sales taxes and fees) are not included in the price. Duty free items are very popular but don’t leave out the large variety of other products available.
Airports are becoming larger and more sophisticated. They need to accommodate larger planes with more passengers, like the Airbus A380 and the Boeing 787 Dreamliner, Governments, across the world, are pouring massive amounts into tourism which further exacerbates the problem.
People like to shop in-route to their destination and on return. Airport shopping has now become a part of the travel experience enhancing the journey. From laptop to lipstick, caviar to wine tastings it’s all there. Airports are truly great sites for retail outlets.