In today's speed-driven, globally connected world, the airport is quickly emerging as a commercial hub led by a plethora of brands and products vying for the attention of consumers. Airport shopping now accounts for almost 60 percent of the travel retail market; this is great news for brands who are given the chance to reach a global market and target new categories of consumer from a single location.
Increasingly, companies large and small are recognising the value of the global shop window and entering the fierce competition for space on shelf within the duty-free marketplace. However, despite the contest between brands in saturated product categories, travel retail is still expanding as new brands continue to launch themselves onto the runway. For weary travellers, this means yet more homogenised and repetitive retail offerings struggling to make the drive to purchase. Travel retail provides brands with a sales environment with no boundaries. People cannot be connected to their domestic market so brands are operating in an entirely different world and have to look at individual traveller needs and desires.
We have identified 5 ways in which brands can improve their standout in the crowded travel retail industry.
1) EMBRACE NEW TECHNOLOGIES
Smartphones and wearable tech enable, inform and guide us constantly. Brands can capitalise on this trend by linking the tangible and the digital to enhance the consumer’s experience of products in store. And what better way to distract parents and their kids from a two-hour delay than to provide them with an opportunity to gamify the shopping experience. A great recent example is Absolut Vodka's celebration launch of their Absolut Andy Warhol edition, which used cutting-edge facial recognition technology to take travellers' faces and display them as a Warhol-style reflection. The finished pop-art style image could be emailed on and shared across social-media.
2) BE EXCLUSIVE
Unusual, unparalleled and limited edition products inspire new buying habits. Brands with offerings exclusive to travel retail provide travellers with a special brand experience that they will want to take home with them. Malibu Black is sold exclusively in travel retail within Europe. The brand created a beach party themed spacial experience within duty free where passengers could sample one of three summery cocktails: Lick of Sunshine, Simply Pink and Black Light.
3) PROVIDE EXPERIENCES
A richer experience builds loyalty. Unlike high-street shops, airport outlets know when their customers will show up according to flight schedules. Brands need to take full advantage of the “golden hour” and catch consumers when they least expect it and most desire it, surprising and delighting them with something they’ve never seen before. At Frankfurt's International Airport Mondelez, World Travel Retail promoted Oreos through its Dunk4Fun brand experience. Connect 4-style games, featuring Oreo playing discs, created pre-flight entertainment.
4) STAY RELEVANT
Know your target audience. Travel retail can be fundamental in building brand equity and value across the globe but there are many things to consider first before targeting the travelling consumer. In this environment, the three draws of travel retail are gifting, holiday delights to take away and mementos to bring home. Either by adapting their existing offering or inventing new ones, brands need to respond to the distinct needs of airline customers. Acclaimed pioneer of foldable footwear Butterfly Twists carved a niche in travel retail with their beautiful, comfortable, and above all effortlessly transferable shoe. Offering the all important USP of one size fits all, Butterfly Twists are able to stand out.
5) TELL STORIES
Not far from its glamourous “golden age” past, air travel still remains the best industry for storytelling with its inherently emotional, empowering and story-rich landscape. Brands have the opportunity to capitalise on the sheer amount of activity passing by their shelves each day and offer the all-important point of difference that will give customers a story to tell. Hendrick's Gin did exactly this with their Tea Time Gift Pack exclusive to travel retail. Travellers flying from Hamburg airport were able to take part in the weird and wacky experiment and enter the world of gin making. The activation served to promote the gift pack allowing consumers to enjoy gin cocktails in teacups.
With sales at airports expected to grow and airport environments becoming more imaginitive and retail-focused places to be, now is the time to bring your brand to life in the world of travel retail.