Page 8 - IAADFS Summit of the Americas 2025 Special Issue

INSIDER

in-store experiences have overtaken price In line with the insights on purchase websites, social media, and retailers’ own
as a purchase driver, with 45% of shoppers drivers, purchases for self increased websites.
citing the overall experience as a primary moderately between Q3 and Q4 2024, Another vital touch point – the instore
influence on their purchasing decisions.” rising from 53% to 55%, while gifting sales staff – also declined in importance
Despite this, higher prices are cited purchases declined from 24% to 22%. and impact between Q3 and Q4 2024. Only
by non-shoppers as the main reason not Purchases made to share, and on-request 45% of shoppers interacted with the sales
to purchase in Duty Free. Some 17% of purchases, saw minimal change between staff during their last visit to the Duty Free
travelers who did not purchase in Q4 2024 the two quarters, with sharing purchases shops in Q4, down from 49% in Q3. Of
blamed “higher prices than at home” as decreasing from 17% to 16%, and on- those who interacted, 72% said they were
deterring them from purchasing from Duty request purchases increasing from 6% to positively influenced by the advice they
Free shops, and 15% of respondents cited 7%. received, down 4% from Q3.
“higher prices than at their destination,” up The drop in shoppers planning their DFWC President, Sarah Branquinho,
from 14% in Q3, as a reason not to purchase. purchases, from 29% to 27% between emphasized that the quarterly KPI Monitor
Some 15% also said they “had no Q3 and Q4, can be attributed to reduced aims to highlight emerging trends, noting
intention of purchasing anything,” 14% exposure to key touchpoints. In Q4, that the latest findings indicate areas
cited the “lack of interesting promotions,” only 30% of shoppers reported noticing needing attention.
and the same percentage claimed they information about Duty Free offerings, “To stay competitive retailers
did not purchase because they were down from 34% in Q3. Online searches must prioritize enhancing the in-store
“unwilling to carry more items.” And 12% were the primary source of information, experience, as it’s now the key driver
of non-shoppers said it was because they with shoppers turning to general internet of purchasing decisions. This means
“purchased elsewhere.” searches, specific shopping sites, brand among other offering interactive displays,
personalized services, and exclusive,
premium products.
“Transparent pricing strategies and
stronger online engagement are also
essential,” Branquinho continued, “as
many shoppers research the duty free
offer before they arrive at the airport.
In-store staff training should also focus
on providing personalized service, as
customer interaction remains a key
factor in influencing purchases. Finally,
a stronger emphasis on tailored, time-
sensitive promotions and loyalty programs
will appeal to both value-driven and
experience-focused shoppers, ensuring
they feel rewarded for their purchases
and encouraged to return,” Branquinho
concluded.

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