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INSIDER



              DFWC 2023 KPI Monitor unveils shifts in shopping information sources




                  The Duty Free World Council has
              released a full-year comparison between
              2023 and 2022, revealing marked changes
              in where global shoppers source their
              information about duty free shopping.
                  The full-year comparison details the
              traffic evolution across world regions as
              well as some of the main shopper behavior
              themes such as drivers and barriers
              to purchase, planning and purpose of
              purchase, touch points and staff interaction
              and impact. The KPI Monitor is produced
              by leading industry research agency m1nd-
              set and published on a quarterly basis.
                  Notable changes in shopper behavior,
              according to the DFWC Monitor, are
              seen across all the touch points where
              consumers source their information about
              the duty- and tax-free shopping offer, as
              well as how shoppers engage with retail
              staff inside the stores.
                  DFWC President, Sarah Branquinho
              explained: “The quarterly DFWC KPI
              Monitor is an excellent tool to gauge
              how shopper behavior is evolving from   touch points saw a decline in the percentage   The full-year DFWC KPI Monitor
              one season to the next. The full-year   of shoppers noticing information about the   also reviews the changes in global air
              analysis enables us to take a step back,   offer between 2022 and 2023. Billboard   traffic, as well as the rankings for top
              assess longer-term trends, and identify   advertising saw a decline from 24% to   airports and nationalities for international
              opportunities for the industry to adapt to   15% in 2023, brands’ website fell from   departures. The Asia Pacific region saw the
              shopper behavior and consider different   19% to 12%, duty free retailers’ websites   most significant increase in international
              approaches to consumer marketing   plummeted from 21% to 11% and online   departures in 2023 compared to a year
              strategies.”                       advertising fell from 18% to 10%.   earlier. Border re-openings and the lifting
                  In 2023, less than half of global   Peter Mohn, CEO and owner at m1nd-  of international travel restrictions across
              shoppers engaged with the sales staff inside   set added: “The decline in engagement   the region were implemented later in Asia
              duty- and tax-free stores according to the   with touch points can be explained by   Pacific compared to other world regions
              DFWC KPI Monitor, while in 2022, almost   the fact that the pandemic effect has now   which had already seen significant traffic
              two-thirds of shoppers (65%) engaged   ended, and that people tend to go back to   recovery in 2022. In 2023, traffic in Asia
              with staff. The impact of staff engagement   their pre-Covid behavior; this means they   Pacific air traffic grew by 244% on 2022
              has also declined year on year, albeit less   are doing less online research about the   figures, compared to the global average of
              dramatically. 71% of shoppers said that   travel retail shopping offer. It may also be   137%.
              staff interaction had positively influenced   interpreted by the fact that the shoppers   There was moderate change among
              their decision to purchase in 2023,   are less excited about traveling compared   the top ten airport rankings between 2022
              compared to 78% the previous year.   to immediately after the pandemic. There   and 2023. Dubai, London Heathrow,
                  Branquinho continues, “Only one third   seems to be a trend towards normalization   Paris Charles De Gaulle, and Amsterdam
              of shoppers say they were exposed to touch   again.”                 retained the top four positions. Singapore
              points in 2023 compared to just less than   The overall purchase planning trend   ascended from tenth to fifth position and
              half of shoppers the previous year which   also declined between 2022 and 2023   Seoul Incheon Airport climbed into the top
              suggests the industry should reassess how   according to the DFWC KPI monitor.   ten in seventh place, while Doha’s Hamad
              we are communicating with travelers and   In 2022, 79% of shoppers planned their   International fell out of the top ten ranking.
              seek to improve on generating awareness   purchases either specifically or with no   Frankfurt, Istanbul, Madrid, and JFK
              about the duty- and tax-free retail offer.”   particular brand or product in mind, with   comprised the other top ten rankings with a
                  The full-year DFWC Monitor also   just over one in five purchasing on impulse.   slight change in order year to year. The top
              reveals that internet search, at 16%, was the   In 2023, just less than three-quarters of   ten nationalities for international departures
              most popular means of seeking information   shoppers say they planned their duty free   remained unchanged except for tenth
              about the duty- and tax-free offer in 2023,   shopping purchases generally with 26% of   placed Canada in 2022 yielding its position
              up from 11% a year earlier. All other top   shoppers purchasing on impulse.   to South Korea in 2023.



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