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Recommendations for Channel Differentiation On-land:
Use location identity to differentiate store designs and to make visiting the store an extention of holiday experience
Decorate stores to reflect local culture; potential to theme store design in line with local festivals or celebrations
Support with location based product offerings such as local specialities, brands and traditional items
Drive differentiation through competitive pricing
Ensure benefits of shopping in that particular location are
communicated through in-store and outside store signage,
digital displays, and pre-trip where possible
Benchmark ‘bestsellers’ prices against local stores to
provide shoppers with reassurance that they are getting the best prices; potential to support this with ‘price match’ guarantees
Support with traditional promotional mechanics, such as price discounts and multi-buy offers, as well as more bespoke acivity, such as ‘flash sales’
Provide a wide location based offer and drive gift purchasing through souvenir ranges
Offer local specialties, product ranges and brands; ensure product relevance and heritage is communicated through on-shelf or display communciation
Support gift purchasing through dedicated location based gift ranges across various price points; support further through additional services such as personalisation and gift wrapping; potential to drive combined self and gift purchasing through communicating multi-buy discounts as ‘one-for-me-one-for-you’ offers
International brands should look to supplement product ranges with location based packaging or location specific GWPs where possible to cater for those wishing to purchase a regular brand but also seeking a memento of their trip
Drive differentiation through competitive pricing and a location based offering
Industry Insider:
European Cruise Duty & Tax Free Retail 2016
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