Page 28 - European Cruise Traveller Duty & Tax Free Retail
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Overall, the European cruise traveller is generally content with the on-board Duty & Tax Free offering with over half being happy with the product offering available on their most recent service. This being said, potential does exist for product range expansion, particularly in the more luxury based categories, such as Fashion & Accessories and Jewellery & Watches. The Souvenir category is also an area where selective expansion could drive higher levels of interest and satisfaction with the overall on-board offering among European cruise travellers.
Industry Insider:
European Cruise Duty & Tax Free Retail 2016
2.3.1.1 PRODUCT RANGE DEVELOPMENT
Figure 6: On-board Product Range Perceptions: Product Range Expansion
Fashion & Accessories Jewellery & Watches Souvenirs Travel Accessories & Electronics Beauty Confectionery Alcohol Tobacco
12% 14%
14% 11%
15% 16% 16%
23% 21%
21% 20% 18%
14%
13% 10%
Expanded Reduced
32%
Fashion & Accessories is the category where European cruise travellers would be most interested in seeing product range expansions. Fashion & Accessory offerings should reflect the passenger profile, e.g. on luxury cruise services, a more extensive range of premium brands should be offered whilst a greater range of well-known, household brands should be provided on less premium cruises. This should be supported with promotional activity, particularly price based, to promote affordable luxury and drive perceptions of value among cruise travellers.
Operators could also take advantage of the high souvenir demand through the Fashion & Accessories range through offering location and cruise line based products.
Jewellery & Watches is another area where product range expansion is desired, with one fifth of travellers identifying this area as one where they would most like to see a greater range of products. Operators should look to provide products from local designers as well as international Watch or Jewellery houses, particularly if these originate in a country visited during a cruise, for example a wider range of Emporio Armani watches on services visiting Italy or SNÖ jewellery on services visiting Sweden.
In terms of the Souvenir offering, store operators should ensure a range of core souvenirs of both the cruise liner and locations visited, although additional souvenirs, such as local alcohol or confectionery could also be provided.
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