Page 88 - North American & Caribbean Cruise Traveller

Industry Insider:
North American & Caribbean Cruise Duty & Tax Free Retail 2015
6.2.1.3.2 PRICE CHEAPER THAN ELSEWHERE
The price being cheaper than elsewhere is the second leading on-board purchase driver for North American & Caribbean cruise travellers.
Cheaper pricing is the primary driver of Tobacco sales; therefore, future pricing strategies should ensure that the positive price perception of this category is maintained.
Cheaper prices are also cited as a driver by over a third of those purchasing from the Alcohol and Jewellery & Watches categories. To ensure that all travellers are aware of the benefits of shopping in Duty / Tax Free stores, communications should focus on the price savings to be made on- board vs. domestic prices. As a quarter of all purchase decisions are based on price, it is also important to ensure that a range of price points is available in all categories. Exclusive products present an opportunity to combine quality and price, representing added value to the Duty & Tax Free offer.
Table 17: Price Cheaper Than Elsewhere: Proposed Actions
Proposed Actions
 Monitor prices to ensure that Duty / Tax Free stores are offering a competitive price advantage in key categories such as Alcohol, Beauty and Tobacco
 Communicate the price savings that can be made in stores on-board vs. domestic retail through on-board advertising, announcements, newsletters and magazines
 Offer cruise exclusive products across a range of price points to create a sense of added value
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