Page 175 - North American & Caribbean Cruise Traveller

Industry Insider:
North American & Caribbean Cruise Duty & Tax Free Retail 2015
9.1.2 CHANNEL DIFFERENTIATION
As we stated earlier in this section, we assess the on-board and on- land Duty / Tax Free retail channels separately as they provide different shopper experiences and shopper missions, illustrated by:
 Medium to longer term cruises being the most prominent cruise duartion in the North American & Caribbean region, and the shopper having a much greater period of time available to browse the on-board offering compared to on-land stores
 Treating being a more prominent purchase driver on-board (24% vs. 19% on-land)
 Impulse purchasing being more prominent on-board than on- land (37% on-board vs 25% on-land)
 A higher incidence of non-regular brand purchasing being apparent on-board compared to on-land (44% on-board vs. 37% on-land)
Although priority should be placed on differentiating the on-board channel from the on-land channel, along with other travel retail opportunities, such as airport Duty Free stores experienced by those travelling internationally to get to departure ports, on-board retailers should also look to differentiate offerings on an audience basis.
There is a wide variety of cruise services available in the North American & Caribbean region, with certain cruises attracting different passenger types, depending on the locations visited, on-board facilities and service positioning. This is particularly the case with on- board highly defined services, such as age specific cruises (e.g. over
Differentiating the on- board service from other Duty & Tax Free retail offerings should be considered priority, although differentiation should also be considered based on the cruise services target market
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