AMERICAS. The Duty Free World Council (DFWC) has published a report on the economic impact of the duty free & travel retail industry in the Americas. The study (which uses 2016 figures) outlines the contribution of the channel to the travel industry and the broader economy.
The key figures revealed in the study are:
- In 2016, US$12.9 billion was spent on duty free & travel retail in the Americas. The principal components were:
- Sales in the aviation sales channel (airports and airlines) estimated at nearly US$1.9 billion in the USA and Canada and US$4.8 billion in Latin America and the Caribbean, most of which was generated at airports.
- Land and maritime duty free and travel retail sales amounting to around US$6.2 billion.
- Duty free & travel retail spending in the Americas directly accounts for an estimated 61,400 jobs and US$8.2 billion in GDP.
- Together with the businesses that supply the goods and services (indirect impacts) and spending of employees in the wider economy (induced impacts), the industry in the Americas is estimated to support a total of 110,000 jobs and US$10.6 billion in GDP.
DFWC commissioned InterVISTAS Consulting Group to compile the independent report. InterVISTAS is a management consulting company with expertise in aviation, transportation and tourism.
This publication follows the release of a similar study on the industry in Europe published in 2016 and will be complemented by a study of the impact of the industry in Asia Pacific in 2019.
DFWC President Frank O’ Connell said: “Economic Impact Studies are critical tools for DFWC and our regional association members when outlining the importance of our industry and the contribution we make to airports, and other travel infrastructure, the tourism industry and the general economy.
“When engaging with regulators or other parties contemplating decisions which may impact on our industry, we must have independently verified data. Not just on the sales generated by duty free & travel retail, but which quantifies the employment impact and the positive contribution to airport revenues, to promote and defend our industry’s interests.”
The DFWC acknowledged and thanked the Americas regional associations, as well as industry research and trade organisations, which assisted in the compilation of the report.
A copy can be found on the DFWC website http://dfworldcouncil.com/data-resources/