Download Sample, Increased Globalization & International Travel Accelerate the Airport Retailing Consumer Electronics Market
According to the International Air Transport Association, it is anticipated that there will be 4 billion travelers globally in 2024, i.e. 103% of the 2019 total. Factors such as changes in lifestyle, enhanced tourism promotion, and increased accessibility to transportation alternatives will all encourage the travel and tourism industry to prosper, promoting the expansion of the airport retailing market. The ease with which hotels and transportation can now be reserved online has fuelled the rise of the tourism sector. The construction of trade hubs, ports, and airports, among other things, is being funded by infrastructure investments made by some of the world's most powerful economies, like the United States and China.
Additionally, due to the continued growth of significant industry players like Durfy AG, Inmotion, Dubai Duty-Free, etc., the market for consumer electronics promoted in airports is anticipated to stay highly consolidated throughout the forecast period. The exemption from national taxes, tariffs, and any special municipal taxes on commodities that can be purchased at airports promotes market expansion. New opportunities for consumer branding and brand loyalty are constantly developing as a result of increased globalization and growth in international travel.
Additionally, due to the continued growth of significant industry players like Durfy AG, Inmotion, Dubai Duty-Free, etc., the market for consumer electronics promoted in airports is anticipated to stay highly consolidated throughout the forecast period. The exemption from national taxes, tariffs, and any special municipal taxes on commodities that can be purchased at airports promotes market expansion. New opportunities for consumer branding and brand loyalty are constantly developing as a result of increased globalization and growth in international travel.
Increasing Tourism & Rising Spending Habits of Customers Encourage the Expansion of the Market
During the forecast period, growth in the airport retailing market is predicted to be fuelled by the constantly growing travel and tourism sector. Travel and tourism encompass a variety of activities such as business, pleasure, health care, and others. Airport retailing trends are developing, and it is becoming easier to access shopping centers. These characteristics are thought to draw more travelers to airports, hence fostering the growth of the global airport shopping industry. The growth of the travel and tourism industry internationally is attributed to both the steadily rising travel and tourism business and the integration of multiple sectors, such as hospitality, with government initiatives to attract more tourists. During the forecast period, this would benefit the airport retailing business even more.
The market is growing as a result of factors such as customer preference for exclusive and exotic vacation experiences, rising disposable income from developed and emerging countries, and consumers' higher spending habits. The sector is also being driven by the rising interest in spending money on leisure and retail among the general public. Market participants in this sector are always trying to identify the appealing characteristics that encourage customers to shop while traveling. Two further significant factors that influence consumer decisions to shop at airport retail establishments are convenience and passing time while waiting for flights. More opportunities are anticipated to arise in the near future as both new and existing airports continue to flourish.
The market is growing as a result of factors such as customer preference for exclusive and exotic vacation experiences, rising disposable income from developed and emerging countries, and consumers' higher spending habits. The sector is also being driven by the rising interest in spending money on leisure and retail among the general public. Market participants in this sector are always trying to identify the appealing characteristics that encourage customers to shop while traveling. Two further significant factors that influence consumer decisions to shop at airport retail establishments are convenience and passing time while waiting for flights. More opportunities are anticipated to arise in the near future as both new and existing airports continue to flourish.
Recent trends in the Airport Retailing Consumer Electronics Industry
- Contactless payment integration for faster transactions and a safer experience.
- Implementation of IoT technology for inventory management and customer engagement.
- Integration of virtual reality for immersive product exploration and interactive marketing.
- Adoption of biometric authentication for streamlined security and convenience.
- Increased sustainability with eco-friendly product lines and practices.
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Enforcement of Stringent Government Regulations and Travel Restrictions are Anticipated to Restrain the Market Expansion
The growth of the airport retail business is anticipated to be restrained by stringent government regulations and procedures regulating the maximum amount of duty-free goods that can be sold to air travelers. Different governments have different air travel policies in effect for their air travelers. For instance, in 2020, the Indian Ministry of Commerce and Industry advocated restricting the quantity of alcohol bottles that travelers can buy at duty-free shops upon their return from a trip overseas. It is suggested that you buy half as many duty-free alcohol bottles as you normally would. The US government, however, allows visitors to bring up to one liter of alcohol into the nation for consumption.
Additionally, several nations have restrictions on the number of smokes per passenger. The market of the airport retail sector is mainly influenced by alcoholic beverages and tobacco items. As a result, strict government regulations and bans on buying particular goods from airport retail stores have severely restricted industry growth. It is anticipated that certain countries' travel limitations could impede market expansion. In addition, obstacles such as high labor expenses, high construction costs, high security, high logistics and handling costs, and high rent for airport outlets could limit market growth.
Additionally, several nations have restrictions on the number of smokes per passenger. The market of the airport retail sector is mainly influenced by alcoholic beverages and tobacco items. As a result, strict government regulations and bans on buying particular goods from airport retail stores have severely restricted industry growth. It is anticipated that certain countries' travel limitations could impede market expansion. In addition, obstacles such as high labor expenses, high construction costs, high security, high logistics and handling costs, and high rent for airport outlets could limit market growth.
Collaborations & New Emerging Concepts in the Urban Development Present Lucrative Potential for the Airport Retailing Consumer Electronics Market
Aero Cities is anticipated to provide the highest market opportunity among the major store locations associated with the airport retailing consumer electronics industry during the forecast period. The idea behind developing non-aeronautical services such as commercial, entertainment, healthcare and hospitality centres around the airport is to make use of the speed of transportation and connectivity that is offered by airports. Additionally, it is anticipated that the development of aero cities will lead to the creation of employment opportunities in the area of commerce, healthcare, and hospitality as well as encourage enterprises to invest in the area and expand their business. Besides, modern infrastructure will expand as a result of the development of aero cities. These advanced and cutting-edge locations will draw a lot of companies and investors looking to make profits from this intriguing project. Metropolitan initiatives such as Aero City will improve the city's economy on a global level.
For instance, the Aero City in Delhi, India is an economically active and environmentally friendly urban city within a city, with the Indira Gandhi International Airport at its centre. This urban area is home to various luxury hotels, restaurants, bars, and shopping centres. In addition, collaborations and acquisitions are some of the innovative growth techniques used by the market participants to expand the market globally. For example, The New Shop, a retail tech start-up, signed a partnership agreement with Adani Airports in January 2022, making it India's smartest 24-hour convenience store network. It is also the brand's first-ever airport flagship store. Moreover, in July 2022, a global travel experience player was created by the union of Dufry, a major participant in the travel retail industry, and Autogrill, a pioneer in the travel food and beverage (F&B) market. Nearly 5500 outlets spread across 1200 airports and other sites were anticipated to serve 2.3 billion travellers in over 75 countries as a result of the cooperation.
For instance, the Aero City in Delhi, India is an economically active and environmentally friendly urban city within a city, with the Indira Gandhi International Airport at its centre. This urban area is home to various luxury hotels, restaurants, bars, and shopping centres. In addition, collaborations and acquisitions are some of the innovative growth techniques used by the market participants to expand the market globally. For example, The New Shop, a retail tech start-up, signed a partnership agreement with Adani Airports in January 2022, making it India's smartest 24-hour convenience store network. It is also the brand's first-ever airport flagship store. Moreover, in July 2022, a global travel experience player was created by the union of Dufry, a major participant in the travel retail industry, and Autogrill, a pioneer in the travel food and beverage (F&B) market. Nearly 5500 outlets spread across 1200 airports and other sites were anticipated to serve 2.3 billion travellers in over 75 countries as a result of the cooperation.
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Rise in Standard of Living & Disposable Incomes Contribute to the Expansion of Airport Retailing Consumer Electronics Market
During the forecast period, Asia-Pacific made a significant contribution towards the market due to increased living standards and disposable income as well as the growth of the tourism sector. Additionally, the emergence of the affordable luxury segment in Asia-Pacific's Tier 2 cities boosts market expansion. The airport retailing sector is expected to grow with an increase in travelers due to sports events like FIFA 2022 in Qatar and the ICC T20 World Cup in India in 2021, which would be beneficial for the expansion of the airport retailing business. Additionally, the United Kingdom and Russia have the largest travel and tourism industries in Europe and attract the most air travelers. Besides, visitors from other nations, such as China and the Middle East, support the European airport retail industry. As a result, the market is primarily driven by the growth of the travel and tourism sector as well as changes in consumer lifestyle driven by an increase in disposable income.
Furthermore, due to increased international air traffic to and from the United States and more airport footfall, the airport retailing business in North America is booming. Additionally, airports in North America are making significant investments in measuring revenue per visitor by enhancing the shopping experience by offering amenities like boarding, lodging, catering, parking, and advertising. They are also concentrating on promotional activities like campaigns, digital advertising, events, and press activities, which encourage duty-free shopping and increase product visibility. Additionally, the sector is benefiting from a rise in the number of luxury stores opened in airports by some of the biggest companies in the world, including Louis Vuitton SA and LVMH Mot Hennessy.
Furthermore, due to increased international air traffic to and from the United States and more airport footfall, the airport retailing business in North America is booming. Additionally, airports in North America are making significant investments in measuring revenue per visitor by enhancing the shopping experience by offering amenities like boarding, lodging, catering, parking, and advertising. They are also concentrating on promotional activities like campaigns, digital advertising, events, and press activities, which encourage duty-free shopping and increase product visibility. Additionally, the sector is benefiting from a rise in the number of luxury stores opened in airports by some of the biggest companies in the world, including Louis Vuitton SA and LVMH Mot Hennessy.
The report provides a detailed overview of the airport retailing consumer electronics market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for the airport retailing consumer electronics market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the airport retailing consumer electronics market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the airport retailing consumer electronics market. Some key countries and regions included in the airport retailing consumer electronics market report are as follows:
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Central America Countries, Caribbean Countries, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Switzerland, Belgium, Sweden, Austria, Norway, Denmark, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Singapore, Malaysia, Philippines, Vietnam, Thailand, Bangladesh, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Nigeria, Egypt, Turkey, Morocco, Ethiopia, Algeria, Israel, Iran, Iraq, Kenya, Rest of MEA |
Airport Retailing Consumer Electronics Market Research Report Covers In-depth Analysis on:
- Airport retailing consumer electronics market detailed segments and segment-wise market breakdown
- Airport retailing consumer electronics market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in air retailing consumer electronics industry)
- Current, historical, and forthcoming 10 years market valuation in terms of airport retailing consumer electronics market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Airport retailing consumer electronics market demand analysis
- Airport retailing consumer electronics market pricing analysis over the forecast period (by key segment and by region)
- Airport retailing consumer electronics market regional insights with the region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in airport retailing consumer electronics market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in airport retailing consumer electronics market
- Airport retailing consumer electronics market sales and distribution strategies
- A comprehensive overview of the parent market
- A detailed viewpoint on airport retailing consumer electronics market forecast by countries
- Mergers and acquisitions in the airport retailing consumer electronics market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
What factors are driving the growth of the airport retailing consumer electronics market?
The market is growing due to increasing air passenger traffic, rising demand for travel-friendly gadgets, duty-free shopping benefits, and strategic partnerships between retailers and airports to enhance consumer experience.
Which regions are leading in airport retailing consumer electronics sales?
Regions with major international transit hubs, high tourist inflow, and strong spending capacity, such as North America, Europe, and Asia-Pacific, dominate the market due to extensive duty-free retail networks and premium brand presence.
What is the future outlook for the airport retailing consumer electronics market?
The market is expected to evolve with an increasing focus on smart retail technologies, strategic brand collaborations, immersive in-store experiences, and digital transformation to cater to tech-savvy global travelers.
