Only one in five Chinese travellers favours using airport departure duty free shops on their outbound trip, while business travellers have a stronger preference to use departure shops on both outbound, return and arrival – plus their preference to purchase when arriving back in China remains lower than average.

 

These are some of the top-line findings of the latest m1nd-set research amongst 2,000 Chinese travellers conducted in December 2016 with the proposed opening of 16 new arrivals duty free shops in 10 international airports and at six land crossing points [most probably being awarded and opening in the next three to six months. See note below-Ed].

 

WORK TO BE DONE ON IMAGE OF ARRIVALS SHOPS

When asking Chinese travellers where they would prefer to shop when the new arrivals shops open later this year, nearly half added that they would still favour purchasing at the departure airport duty free shop on the return journey, while only around one third indicating a preference for purchasing on arrival in China.

 

The leading industry research company also asked what would influence their decision to purchase at arrivals shops in China and why they would prefer to shop abroad.

 

The response was that convenience, quality and value for money are among their main reasons for deciding to buy on arrival back in China, while familiar language and ease of communication was another.

 

Having said that, there were also a sizeable number of Chinese travellers who believe products will be more affordable outside China.

 

This is one of the main reasons they prefer shopping at departure stores on the final journey leg home. Interestingly, the reassurance factor that the purchase will be authentic was also important to some.

 

OFFER DIFFERENTIATION MAY BE VITAL

Commenting on the findings, m1nd-set Owner & CEO Peter Mohn said: “While brands stand to gain from the increased sales outlets and the ease for Chinese travellers to purchase in their home country on arrival, retailers outside China will be showing concern for the potential lost business if Chinese travellers shift their purchasing decisions to the arrivals shops back home.

 

“We see that it will be increasingly vital for retailers to provide a different shopping experience to woo the Chinese traveller.

 

“This will mean brands and retailers will need to work closer than ever together on providing location specific travel retail exclusives and an improved, more unique shopping experience in order to retain the Chinese traveller spend in the duty free shops outside China.”

 

For more information on China arrivals shopper research, interested parties can contact Peter Mohn by email at [email protected] or by telephone at: +41 21 925 5025.

 

SUPPLEMENTARY NOTE: Four Chinese State-backed enterprises with existing duty free retail operations have qualified to bid for the 16 arrival shop licenses that are due to be awarded during the next six months.

 

They are: China Duty Free Group (CDFG), China National Service Corporation For Chinese Personnel Working Abroad (CNSC), Shenzhen Duty Free and Zhuhai Duty Free.

 

[For more information, click here: http://www.trbusiness.com/regional-news/asia-pacific/china-approves-16-duty-free-arrivals-shops/112091].