Global Travel Retail Market Size To Exceed USD 169.03 Billion by 2033: Industry Report

Global Travel Retail Market Size To Exceed USD 169.03 Billion by 2033 

According to a research report published by Spherical Insights & Consulting, The Global Travel Retail Market Size is expected to grow from USD 69.02 Billion in 2023 to USD 169.03 Billion by 2033, at a CAGR of 9.37% during the forecast period 2023-2033.                                        

Browse 210 market data Tables and 45 Figures spread through 190 Pages and in-depth TOC on The lobal Travel Retail Market Size, Share, and COVID-19 Impact Analysis, By Product Type (Perfume & Cosmetics, Wine & Spirit, Electronics, Luxury Goods, Food, Confectionery & Catering, Tobacco, and Others), By Sector (Duty-Free and Duty Paid), and By Region (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa), Analysis and Forecast 2023 – 2033.                    

The travel retail market refers to the global industry segment that encompasses the sale of goods to international travelers through duty-free and duty-paid stores located in airports, seaports, airlines, cruise ships, and border shops. These retail outlets offer a wide range of products such as cosmetics, perfumes, alcohol, tobacco, fashion accessories, and confectionery, often at tax-exempt prices. Moreover, key driving factors of the travel retail market include rising international tourism, expanding global air traffic, growing demand for luxury and premium goods, airport infrastructure development, and duty-free pricing that attracts travelers seeking exclusive deals and convenient shopping experiences during transit. However, restraints include fluctuating international travel, regulatory restrictions, high operational costs, and economic downturns affecting consumer spending on non-essential goods.

The perfume & cosmetics segment accounted for the largest share of the global travel retail market in 2023 and is anticipated to grow at a significant CAGR during the forecast period.   

Based on product type, the global travel retail market is divided into perfume & cosmetics, wine & spirit, electronics, luxury goods, food, confectionery & catering, tobacco, and others. Among these, the perfume and cosmetics segment accounted for the largest share of the worldwide travel retail market in 2023 and is anticipated to grow at a significant CAGR during the forecast period. This dominance is attributed to the growing demand for premium beauty products, particularly among female and millennial travelers. The allure of tax-free pricing, combined with the availability of exclusive travel retail offerings, enhances the appeal of this segment.

The duty-free segment accounted for a substantial share of the global travel retail market in 2023 and is anticipated to grow at a rapid pace during the projected period.   

On the basis of the sector, the global travel retail market is divided into duty-free and duty duty-paid. Among these, the duty-free segment accounted for a substantial share of the global travel retail market in 2023 and is anticipated to grow rapidly during the projected period. This prominence is driven by the appeal of tax-exempt shopping, offering travelers access to premium goods at reduced prices. Duty-free outlets, especially in airports, have become pivotal in enhancing passenger experiences, providing a range of luxury products from cosmetics to spirits.

North America is projected to hold the largest share of the global travel retail market over the projected period.    

North America is projected to hold the largest share of the global travel retail market over the projected period. This is driven by rising international tourism, increasing middle-class income, rapid airport development, and strong demand for luxury goods, especially in countries like China, South Korea, Japan, and Southeast Asian nations.

Europe is expected to grow at the fastest CAGR of the global travel retail market during the projected period. The region's rich cultural heritage and diverse destinations further enhance its appeal, contributing to sustained growth in travel retail sales. Additionally, Europe's strategic location facilitates high passenger traffic, bolstering its position in the global market.

Company Profiling

Major vendors in the global travel retail market are LVMH Moet Hennessy Louis Vuitton, Dufry AG, China Duty Free Group Co. Ltd., The Shilla Duty Free (Hotel Shilla Co. Ltd.), Lagardere S.A, Aer Rianta International, KING POWER International, Gebr. Heinemann SE & Co. KG, Duty Free Americas Inc., Lotte Hotels & Resorts (Lotte Corporation), and others.

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• In August 2023, Brand Concepts Ltd, a fashion retail company with expertise in travel accessories, handbags, and lifestyle accessories, partnered with United Colours of Benetton to launch an exclusive range of travel accessories and miniature leather goods in India.

Market Segment

This study forecasts revenue at the global, regional, and country levels from 2023 to 2033. Spherical Insights has segmented the global travel retail market based on the below-mentioned segments:

Global Travel Retail Market, By Product Type

• Perfume & Cosmetics
• Wine & Spirit
• Electronics
• Luxury Goods
• Food
• Confectionery & Catering
• Tobacco
• Others

Global Travel Retail Market, By Sector

• Duty-Free
• Duty Paid

Global Travel Retail Market, By Regional

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa