Impact of consumer touchpoints in travel retail assessed in new m1nd-set study

INTERNATIONAL. Online touchpoints are the most impactful on consumers prior to entering the airport duty free shop, according to a new m1nd-set study.

The Swiss research agency’s Business 1ntelligence Service (B1S) report examined the impact of touchpoints on the decision making process, including the likelihood to visit the shops, on consumers’ decision to purchase, how many categories they purchase and on the amount spent in the duty free shops.

Source (all charts): m1nd-set

The report incorporates data from interviews with about 70,000 international travellers from around the world, according to m1nd-set.

The touchpoints covered in the survey include online, which includes both duty free and downtown shop websites as well as online travel agency sites and social media, billboards both downtown as well as at the airport, traditional media and inflight media, such as the catalogue brochure and inflight entertainment system.

The study found that online touchpoints increased the likelihood to visit duty free shops by +39%. Downtown shop websites had the highest impact (+41%) among all online media.

The impact of online media is even greater on the decision to purchase, with a +106% increase compared to +84% for billboards, +83% for traditional media and +73% for inflight media.

The impact of online media on the increase in conversion rate from visitors to buyers is +47%, seven points ahead of the second category, billboards. Billboards in the home country however scored well, according to m1nd-set, with an above average impact of +48%.

The report also assessed the impact of touchpoints on the average number of categories visited and purchased. Billboards and posters have the most impact globally, increasing the likelihood of increasing the number of categories visited by 54%. Jewellery & watches, make-up and skincare all benefited significantly more than the average from all four touchpoints and their impact on the number of categories visited. Clothing & accessories also rated above average for traditional media touchpoints.

When looking at the impact of touchpoints on the number of categories purchased, the report showed that traditional media had the highest impact, increasing the likelihood to purchase more categories in duty free shops by +129%.

Jewellery & watches is the category most impacted by touchpoints, m1nd-set said. Online touchpoints have almost three times more impact on purchasing this category than the global average.

In terms of amount spent, online media as a touchpoint has the highest impact on international travellers globally, followed by billboards, traditional media and inflight. Touchpoints in Asia Pacific have a higher impact than in other world regions, followed by the Middle East and Africa.

“From the first encounter with a brand until the moment of purchase, it’s estimated that consumers come into contact with or ‘touch’ a brand around 60 times,” said m1nd-set owner and CEO Peter Mohn.

“The speed at which these various touchpoints are developed and are evolving means it is increasingly challenging to remain present across them all and relevant in the eyes of the consumer, Millennial consumers in particular, who are typically the early adopters. It’s vital for retailers and brands to determine which touchpoints are most important for them.

“Our research shows that the more frequent and more positive the touchpoints, the higher the propensity to engage with and convert the consumer into a shopper.”

Mohn noted that the report includes recommendations about how the industry can optimise certain touchpoints. “Instore communications are highly influential, often more so than traditional media adverts. There are increasing means to optimise each consumer touchpoint and personalise the instore experience to influence the customer’s shopper behaviour while they are in the airport shop.”

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