travel retail markets magazine feb15 trr_150223_mea_034

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MELVIN BROEKAART MANAGING DIRECTOR, AIRCOMMERCE A lot has changed in travel retail since the inception of Travel Retail magazine 25 years ago. But it bears no comparison to the changes that will be happening in this sector over the coming decade. The disruptive effect the internet has had on downtown retail will become inevitable for travel retail as well, from relatively innocent smartphone- driven price comparisons at the airport’s point of sale, to Western passengers — for whom availability and authenticity of (luxury) brands is no issue — conducting purchases with e-commerce giants during and after a visit to an airport. The unbeatable low price points of e-commerce, combined with cost-friendly global delivery options and the ease of not having to carry purchases on the journey, will shift most purchases of non-exclusive travel retail products to online giants. After all, why pre-order or pick up on arrival, when global e-commerce players can deliver right to your doorstep? Nevertheless, the future of travel retail is bright for those willing to embrace change. Thanks to Golden Hour — those 60 minutes between when passengers exit security to when they step on the plane — travel retail will become the most obvious engagement channel for time-scarce affluent consumers wanting to experience their future online purchases in real life, physically seeing, touching and trying before making a purchase decision. And with brand owners willing to generously sponsor these experiences, there will be no commercial challenge if shoppers decide to buy online instead of from travel retailers. The future of travel retail is not what it used to be… Why pre-order or pick up on arrival, when global e-commerce players can deliver right to your doorstep? CONNECTIONS 34 TRAVEL RETAIL

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MELVIN BROEKAARTMANAGING DIRECTOR, AIRCOMMERCE

A lot has changed in travel retail since the inception of Travel Retail magazine 25 years ago. But it bears no comparison to the changes that will be happening in this sector over the coming decade. The

disruptive effect the internet has had on downtown retail will become inevitable for travel retail as well, from relatively innocent smartphone-driven price comparisons at the airport’s point of sale, to Western passengers — for whom availability and authenticity of (luxury) brands is no issue — conducting purchases with e-commerce giants during and after a visit to an airport.

The unbeatable low price points of e-commerce, combined with cost-friendly global delivery options and the ease of not having to carry purchases on the journey, will shift most purchases of non-exclusive travel retail products to online giants. After all, why pre-order or pick up on arrival, when global e-commerce players can deliver right to your doorstep?

Nevertheless, the future of travel retail is bright for those willing to embrace change. Thanks to Golden Hour — those 60 minutes between when passengers exit security to when they step on the plane — travel retail will become the most obvious engagement channel for time-scarce affluent consumers wanting to experience their future online purchases in real life, physically seeing, touching and trying before making a purchase decision. And with brand owners willing to generously sponsor these experiences, there will be no commercial challenge if shoppers decide to buy online instead of from travel retailers. The future of travel retail is not what it used to be…

Why pre-order or pick up on arrival, when global e-commerce players can deliver right to your doorstep?

C O N N E C T I O N S

34 TRAVEL RETAIL