Generation Research has today released the very final Global Duty Free & Travel Retail Sales 2010, confirming earlier preliminary numbers that came in at the equivalent of $39bn (+13.0%), with airports accounting for $23,304.1m (59.8% market share); Other Shops $10,803.7m (27.7%); Airlines $2,629.1m; (6.7%); and Ferries $2,263.0m (5.8%).
Top line highlights which come as no surprise included Luxury Goods leading the product categories and the excellent sales performance of the Asia region.
Downtown shops also rebounded in Asia in Macau and Hong Kong in particular and no country added as much US dollar sales as South Korea – plus $994m (+33.0%) as compared to 2009. China came in second adding $431m (+32.8%) and Hong Kong added $405m (+35.8%).
The biggest percentage increase in sales was seen in Macau with +43.1%, followed by Taiwan +41.3% and Paraguay +37.6%. Interestingly, sales in the Asia Pacific region are only $1.1bn behind Europe, with Asia expected to overtake its European counterpart as the world’s biggest DF&TR market in 2014.
Other highlights saw Dubai International Airport leading all other airports, but Seoul Incheon Airport closing in fast, while Scotch Whisky (+18.2% in USD) advanced one whole place to 6th position in 2010 from 7th in 2009 in the Top 25 Product Categories.
Actual sales advances in the various channels in 2010 versus 2009 saw Other Shops (downtown, military, border etc) advance by 16.5%, Airports up 12.7%; Airlines plus 10.2%; and Ferries ahead of 2009 by 4.6%.
PRODUCT CATEGORY SALES
In terms of product groups, the Luxury Goods category led the marketplace with sales of $14,047.9m (36% market share), followed by Fragrances & Cosmetics with $12,009.7m (30.8%), Wines & Spirits with $6,492.1m (16.6%), Confectionery & Fine Food $3,565.1m (9.1%), and Tobacco Goods $2,885.2m (7.4%).
Looking at sales by region, Europe led the field with sales up 3.6% to $13,801.0 in US dollar terms in 2010 and a market share of 35.4%. Asia & Oceania followed – and is fast catching up – with sales up 23.7% to $12,765.2m and a market share of 32.7%.
Meanwhile, The Americas generated a sales increase of 14.4% to $8,957.2m and a market share of 23.0%, while the Middle East clocked sales up 16.2% to $2,878.4m, registering a market share of 7.4%. Africa completed the regional sales round up with sales up 8.2% to 598.2m, representing a market share of 1.5% in 2010.
GLOBAL AIRPORT SALES BREAKDOWN
Breaking this down still further, European Airports led the global airport sales league with sales of $9,955.3m and a market share of 42.7%, followed by airports located in the Asia & Oceania region with $7,244.5m (31.1% market share).
Airports in The Americas followed with sales of $3,235.3m and a market share of 13.9%, with airports in the Middle East generating $2,400.7m and a 10.3% market share. African airports came in with sales of $468.4m, representing a 2.0% market share.
By contrast, The Americas led the Other Shops table with sales of $5,184.9m and a market share of 48.0%, closely followed by Other Shops in the Asia & Oceania region with sales of $4,778.1m and a market share of 44.2%. Europe came next with sales of $510.6m and a market share of 4.7%, followed by the Middle East with sales of $308.4m (market share 2.9%) and Africa with $21.7m (0.2%).
THE TOP 18 GLOBAL TR SALES POINTS:
According to Generation, the top four DF&TR locations above US$1 billion in sales in 2010 were (in order) Dubai International Airport; Seoul Incheon International Airport; London Heathrow and Singapore Changi.
Next came Hong Kong International Airport with sales above US$600m, while the US$500m to US$600m category included Paris Charles de Gaulle Airport, Frankfurt Airport, Tallink/Silja Line and Bangkok Suvarnabhumi Airport.
Meanwhile, Amsterdam Schiphol Airport, Sao Paulo Guarulhos and Oslo Gardermoen occupied the $400m to $500m bracket and those in the $300m to $400m segment included Taipei, Beijing, London Gatwick, Tel Aviv Ben Gurion, Shanghai and Istanbul.
THE LEADING SUB-PRODUCT CATEGORIES:
Turning to the world’s top 25 product categories and breaking category sales down still further, Women’s Cosmetics led the global league table with sales up 18.2% to $5,090m in 2010, accounting for a 13.1% market share. Women’s Fragrances came second with sales up 9.8% to $4,558m and a market share of 11.76%.
Third-placed Confectionery generated sales up 11.2% to $2,784m taking a 7.1% market share, while Cigarette sales advanced by 7.7% to $2,419m accounting for a 6.2% total market share. Men’s Products (fragrances, skincare etc) generated sales up 8.8% to $2,362m representing a 6.1% market share.
Interestingly, all of the aforementioned top five sub categories maintained their rankings – as listed from one to five between 2010 and 2009.
The next five biggest sub categories were led by Scotch Whisky with sales up 18.2% to $2,011m, representing a market share (MS) of 5.2%, followed by Accessories up 24.7% to $1,998m (MS: 5.1%); Jewellery up 14.6% to $1,950m (MS: 5.0%); Leather Goods up 22.2% to $1,826m (MS: 4.7%); and Watches – up 12.2% to $1,421m (MS: 3.6%).
OTHER FAST-MOVING CATEGORIES
Other big movers in the top 25 product categories in 2010 were Sunglasses with sales up 28.5% to $1,004m (MS: 2.6%); Cognac with sales up 25.8% to $911m (MS: 2.3%); Fashion & Clothing plus 21.1% to $899m (MS: 2.3%); Cameras up 10.6% to $597m (MS: 1.5%) and Vodka – with sales up 10% to $398m (MS: 1.0%).
Much more detailed and fuller analysis can be obtained by visiting the Generation research website at: www.generation.se
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