Research reveals shifts in British duty free shopper behaviour

The British respondents to a survey by Pi Insight have indicated a greater propensity to spend across the core duty free categories compared to a similar piece of research conducted in 2019. The report also identifies other key shifts in duty free shopping behaviour. The British sample came from 7,000 quantitative interviews – which form the basis of Pi Insight’s Recovery Series datasets – carried out with Europeans who have travelled internationally between May and October 2021. All respondents are aged over 21 years and cover a range of key demographics. Some 45% of British duty free shoppers said they spent money in duty free stores across that timeline on alcohol (+5 percentage points compared to 2019); 40% spent on beauty (+6 percentage points); 37% on confectionery (+10 percentage points); and 29% on tobacco (+8 percentage points).

Pi Insight observed that these findings illustrate an increased cross-category dynamic and a renewed interest across the core travel retail offer among British consumers. The research company found that British shoppers are increasingly entering duty free stores with “a more mission-led mentality” compared to the findings from the 2019 survey. Self-treating and bargain hunting are the leading visiting drivers, with both areas, alongside gifting, increasing significantly compared to 2019.

Statistically, some 42% do so ‘to treat myself’ (+17 percentage points compared to 2019); 37% do so ‘to take advantage of airport prices’ (+4 percentage points); 34% do so ‘to look for any promotions/good deals’ (+8 percentage points); and 26% chose the option ‘I was looking for a gift’ (+9 percentage points). In contrast, Pi Insight noted that passive drivers such as habitual browsing (23%, a fall of -6 percentage points compared to 2019) and just to pass time in the airport (21%, a decline of -10 percentage points) have decreased, illustrating how passive behaviours have been increasingly replaced by more focused browsing styles.

Pi Insight’s survey also found that the British shopper has become more experimental, with a significant increase in non-regular brand purchasing compared to levels experienced before the COVID-19 pandemic (a rise to 59% of respondents this year from 40% in 2019). Of those that plan to make a purchase, just 55% are currently planning to a brand level compared to 80% of respondents in 2019, which Pi Insight said illustrates a much greater opportunity to shape shopper behaviours in-store, even among those planning to make a purchase. PI Insight also notes that though there have been fairly significant changes across various aspects of the British shopper’s decision-making process, the final purchase drivers have remained relatively consistent. British shoppers, Pi Insight observed, continue to be driven by product quality, continue to be price sensitive and continue to purchase for treating reasons. This, Pi Insight believes, illustrates a dynamic where shoppers may be approaching the duty free channel in a new manner (e.g. more focused, more experimental, less planned), but have maintained their core purchasing values.

The leading purchase drivers identified among British duty free shoppers by Pi Insight were ‘good quality’ (36% vs. 38% in 2019); ‘for a treat/reward’ (25% vs. 21% in 2019); ‘price was cheaper than elsewhere’ (23% vs. 21% in 2019); ‘usual brand’ (19% vs. 18% in 2019); and ‘attractive promotion’ (17% vs. 14% in 2019).