Global duty free customer satisfaction rises for fourth consecutive year

INTERNATIONAL. Global customer satisfaction in duty free rose for the fourth consecutive year in 2019, according to the Duty Free World Council (DFWC) KPI Monitor Report for the year.

The report, created in partnership with m1nd-set, says that 69% of global customers were satisfied with their duty free visit. Customer satisfaction was highest in Asia Pacific and lowest in the Americas.

Two of the main satisfaction drivers for the year, which are both on an upward trajectory, were the variety of products (identified by 46% of customers) and stores being a great place to try new brands (44%).

The number of customers buying a gift rose in 2019 to 43% bringing it close to self-purchase (44%) as the top purchase destination.

The Owner & CEO of m1nd-set, Peter Mohn, commented: “We see from our qualitative research and focus group studies that, due to the high concentration of low-cost carrier traffic in Europe, travellers in this region are more discerning when it comes to price. They tend to seek price advantage and more affordable products in duty free shops more than travellers in other regions where there is a higher concentration of legacy airline passengers.

The Owner & CEO of m1nd-set, Peter Mohn, says the high concentration of low-cost carriers in Europe makes customers in this region more discerning on price

“European travellers, therefore, tend to express less satisfaction with the price/value aspect of duty free shopping, as well as with the uniqueness of the product offering. This has an overall impact on the region’s performance in the KPI Monitor.”

“In addition to the lack of unique products, we consistently see the lack of motivating promotions being cited as barriers to purchase among travellers in Europe. They express and expect stronger differentiation in duty free shops with greater creativity and innovation compared to downtown shops.”

DFWC President Sarah Branquinho added: “Continuous monitoring of consumer perception is essential for all industry stakeholders to ensure shoppers’ needs and expectations are met consistently. The annual DFWC KPI Monitor, in addition to the quarterly reports, provides a valuable big-picture benchmark to compare the evolution of industry performance over time.”

Food & Beverage The Magazine eZine