Mondelēz World Travel Retail (WTR) has called on airports and retailers to collaborate on breakthrough initiatives to address the current challenges in DF&TR.

Speaking at the Trinity Forum in Bangkok last week, Mondelēz WTR Head of Category Planning Ivo Knuesel highlighted the need for ‘Trinity’ and technology companies to collaborate and ‘discover how emerging technologies can better connect shoppers with brands’.

Mondelēz International has already successfully run programmes that have brought together entrepreneurs and leading retailers to transform consumers’ retail experiences through technology in domestic markets such as the US, Canada or Germany, he said.

Knuesel says the firm wants to tap into the expertise of start-ups and the insights of retailers to bring digital solutions to the DF&TR environment.

He said this would address the challenges that both ‘active’ and ‘static’ connected travellers represent, and ‘unlock new opportunities for growth’.

ENGAGING ‘NEXT-GEN’ TRAVELLERS

According to Knuesel, the next generation of travellers either fall into the ‘Active Connected’ or ‘Static Connected’ category.

“Active Connected travellers switch seamlessly between the digital and physical worlds, sharing their real-world experiences across different social media platforms,” he said.

“These individuals can be drawn to duty free stores by a combination of digital and physical engagement – we just have to find the right triggers.”

“On the other hand, Static Connected travellers are those who will never enter the stores, no matter how much we try to engage with them, physically or digitally.

“They anchor themselves to a seat at the departure gate, in a lounge or at a café, passing the time using their mobile phone or tablet.”

Mondelēz has stopped using the term ‘Millennials’, he added.

“Instead, we refer to shoppers in travel retail as ‘Next-Gen’ – defined by their connectivity, habitual frequency of travel, and desire for shareable experiences – not their age.”

In his presentation, Knuesel revealed how collaborations with tech companies can work in travel retail.

For example, the launch of the travel retail exclusive Toblerone Messages range involved Mondelēz WTR working with a start-up to develop a photo box with an interactive digital screen, powered by artificial intelligence and augmented reality features.

INNOVATIVE TECH SOLUTIONS 

The introduction of this photo box delivered double-digit incremental revenue growth and generated record levels of shopper engagement, said Knuesel.

“The Toblerone Messages launch, supported by collaboration with a start-up, is a prime example of how Mondelēz WTR took proactive steps to deliver breakthrough innovation in travel retail,” he added.

“The key takeaway message is that digital engagement can trigger conversion and drive incremental growth with Active Connected travellers.”

Looking to the future of airport retail, he said it is crucial that the industry finds a way to capture spend from Static Connected travellers too.

“But getting them to enter the stores – among other industry challenges – requires more breakthrough innovation, and certainly a collaborative effort from all Trinity stakeholders,” he pointed out.

“Our expanding digital team is primed to help the travel retail industry take positive steps towards becoming future-ready.”