‘Premium beauty on the high spender’s agenda’ CiR reveal
28th September 2016
Based on studies conducted across 15 international airports in key global regions, as well as over 7,000 one-to-one interviews with beauty shoppers, the new research successfully identifies shopper profiles for the industry to focus on. It features the characteristics of travel retail’s ‘high spenders’; defined as a shopper that spends more than US$100 per visit.
CiR has launched a series of global beauty reports, which provide a unique insight into shopper motivations and purchase behaviours across the beauty category in travel retail. The reports have identified trends associated with the industry’s most desired shopper, plus present the best ways for travel retail to ensure its offering is commercially and creatively relevant.
These findings include:
40% of high spenders purchase female fragrance
The fragrance subcategory is perhaps one of the most popular areas in the travel retail store because shoppers are familiar with the brands available; plus, the products can also be tested before purchasing. High spenders generally have preferred brands that they use regularly, so take the opportunity to stock up on their favourite fragrances when travelling. This compares to only 31% of low spenders (
High spenders are significantly more interested in travel retail exclusives
When high spenders enter a travel retail store, they have psychologically prepared themselves to make purchases. As such, anything that is exclusive to the channel, or in any way more unusual or unique to what they could buy at home, is likely to entice them. High spenders view travel exclusives as a way of enhancing their overall shopping experience.
The beauty category’s high spenders are influenced by good quality, brand familiarity and duty free exclusivity
Many beauty purchases in travel retail are pre-planned because the travel retail shopper is familiar with the retail offering, so knows what to expect when entering the store. The high spenders not only know what to expect, but instantly know what denotes a good quality product based on their extensive experience of the beauty category. This, combined with brand loyalty and the appeal of the channel’s exclusivity, is a winning retail package for the high spender.
High spenders are more likely to purchase beauty items for someone else
The beauty category provides a great opportunity to buy gifts for family and friends back home, with well-presented, quality products from well-known brands. High spenders are already likely to know which beauty items to buy as they keep up-to-date with the category, so purchasing items for someone else is an enjoyable experience.
Low spenders are significantly more likely to purchase cosmetics than high spenders
Cosmetics generally have lower price points when compared to fragrances and skincare, which makes for an ideal gift or self-treat for low spenders. Perhaps ‘the lipstick effect’ also comes into play here; the theory that, due to previous economic downturns, shoppers are still inclined to buy less costly luxury goods to treat themselves, such as an expensive lipstick. The products have the same brand familiarity, quality and exclusive assurances as other items in the beauty category, so low spenders are clearly enticed by some of the same characteristics as high spenders.
Discover more about the high spenders, as well as the beauty category’s other leading shopper profiles, in CiR’s comprehensive global beauty reports. The research is available now in ready-to-buy versions for each of the study’s 15 key airports; featuring London Heathrow, Dubai, Hong Kong, Sydney and Rio de Janeiro. Regional reports are also obtainable, along with individual nationality reports for the Chinese, American, Indian, British, Brazilian, Australian, Argentinian and Danish beauty shopper.
For sample pages and further report content information please click here.
For more information, please visit:https://counterintelligenceretail.com/latest-news/global-beauty-reports-2016-available-now or email: firstname.lastname@example.org
Article based on CiR insight.