Canadian airport duty free sales soar in 2014

By Charlotte Turner |

Sales at Canadian airport stores climbed an impressive 18% in 2014 (up from C$273m) to reach C$322m. December sales were equally robust, up 17% to C$30.5m.

However, border stores did not fare nearly so well recording sales of C$11.2m in December, down by 0.75%, and for the year sales fell by 1.61% to C$143m. Total Canadian duty free sales (including both border and airport sales) reached C$465m in 2014 up from C$419m in 2013.

As previously reported on TRBusiness.com, border shops suffered a more marginal decline of -0.22% to $146m in 2013.

IGL duty free border shop in St-Bernard de Lacolle, Quebec.

 

Ranked as the top-selling category at airports, perfumes/cosmetics & skincare represented almost 34% of sales at Canada’s airports (C$105m). However, alcohol, the most popular product category at border shops (and overall) hauled in 37.5% of the sales at border stores and 20% of sales at airports.

Sales recorded for the Prairie region in 2014 fell slightly by 1.18% to C$10.5m in 2014, but increased in December by approximately 7.3% to C$774,000.

Sales dropped quite dramatically for the Pacific region in December; down 9% to C$1.8m and 5% in 2014 to C$23m.

Blue Water duty free shop in Ontario, Canada.

Sales were almost flat for Ontario, which recorded a total of C$6.7m (+1.27%) in December and C$79.5m in 2014 (+1.27%).

And finally, sales for the Atlantic/Quebec region hit C$29.7m in 2014, basically flat at +0.92%. In December 2014 the region recorded sales of C$1.8m +1.6%.

The main categories that dominate sales in land border duty free are as follows (in order of sales highest to lowest – based on December 2014 numbers):

Alcohol (liquor, liqueur, wine, coolers)
Tobacco, Cigars, Loose Tobacco
Perfume, Cosmetics, Skincare
Food
Beer (beer, malt-based coolers)
Jewellery, Watches, Clocks
Accessories (purses, wallets, sunglasses, etc.)
Clothing (including hats, fur, leather)
Souvenirs
Office and Travel Supplies
Glassware, crystal, china, figurines, porcelain
Other
Crafts/Arts
Electronics, Cameras, Binoculars, etc.

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