Roberta Aguirre
Airports are a hub of commercial activity, with various shops and vendors offering a range of products to travellers. From luggage and clothing to snacks and skincare, airports cater to a diverse range of consumer needs and preferences. While some travellers may find convenience in airport purchases, others question the pricing and practicality of certain items. This raises the question: what are the motivations and behaviours of consumers when it comes to buying goods at airports, and how do these locations become commercial hotspots?
| Characteristics | Values |
|---|---|
| Can people sell stuff in airports? | Yes |
| What do people sell in airports? | Luggage, food, snacks, reading material, souvenirs, clothes, tech items, skincare products, alcohol, etc. |
| Why do people sell stuff in airports? | Airports are a unique market where 100% of people who walk past are people that travel by air and are in the market for travel-related products. |
| What are the advantages of selling in airports? | Airports provide a large volume of people and foot traffic, which can increase the chances of sales. |
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What You'll Learn
Airports sell luggage
Many airports have luggage shops located behind security. These stores generally sell high-end luggage, although some also offer carry-on styles. The target demographic for these shops is high-wealth travellers who may be less price-sensitive and more susceptible to impulse purchases.
One reason why people might buy luggage at an airport is that their original luggage was damaged in transit to the airport or between transfers. However, this explanation has been questioned, as travellers typically only realise their luggage has been damaged after checking it in, at which point it is too late to buy a new one at the airport.
Another possibility is that travellers who did not bring any luggage may purchase a new bag at the airport. This could include those who carried only a few items with them, such as a laptop or paperbacks, and decide to buy a carry-on bag at the airport.
Additionally, some travellers may choose to purchase a new piece of luggage at the airport to accommodate all the shopping they did while travelling. Airport luggage shops may also serve as a form of brand-building for specific luggage companies, allowing travellers to see and try the products in person before purchasing them online or from another store.
Overall, the presence of luggage shops in airports can be attributed to a combination of factors, including supply and demand, impulse purchases, brand exposure, and the convenience of accommodating last-minute needs.
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High-end retail
The airport retail sector, particularly the high-end market, is experiencing significant growth and success. Airports are increasingly becoming a hub for luxury retail, with high-end brands capitalising on their long-standing association with air travellers and the wider interest in luxury goods. This shift has been attributed to the unique, transitory environment of airports, where travellers are more likely to make impulse purchases and indulge in luxury shopping.
International airports provide an ideal opportunity for luxury brands to capture the attention of affluent buyers. Travellers often arrive at the airport with ample time before their flight, and with limited activities to engage in, shopping becomes an attractive option. Additionally, the "tourist gaze" mindset takes over, where buyers are less influenced by their everyday spending constraints. As a result, luxury purchases are more easily justified, especially for travellers who view international trips as a splurge.
Luxury brands are recognising the potential of airport retail and expanding their presence in airports worldwide. For instance, Schiphol Airport in Amsterdam has welcomed renowned brands such as Bulgari and Louis Vuitton to its Lounge 2 terminal, while San Francisco's SFO airport boasts luxury stores like Gucci, Hermes, and Saint Laurent. Heathrow's Louis Vuitton café blends fashion and "art de vivre", offering an immersive experience for travellers.
The success of luxury retail in airports stands in contrast to the decline of high-end department stores in city centres. As consumers increasingly opt for online shopping, airports may soon become the most accessible places for travellers to explore multiple luxury brands in one location. This shift underscores a global appetite for luxury retail experiences that resonate with travellers of all generations.
To enhance the customer experience, airports are also providing unique services such as bottle engraving and custom gift wrapping, further enriching the luxury shopping ambiance. As the airport retail market continues to evolve and expand, it may even become a tourist destination in its own right, with travellers specifically seeking out the high-end shopping corridors of renowned airports.
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Snacks and skincare
The beauty industry (cosmetics, skincare, and fragrance) is a dominant player in the travel retail duty-free space. Beauty is estimated to account for about one-third of the total duty-free market and is among the top performers in terms of growth.
Airport stores can serve as data labs for international luxury brands. Beauty brands are ahead of the curve in developing new ways of doing business, with many companies establishing separate divisions with a strategic focus on travel retail. For example, Guerlain Parfumeur, a personalized fragrance retail concept, first showed up as a pop-up at Paris Charles de Gaulle Airport. After deeming the concept a success, permanent Guerlain Parfumeur shops were set up in other locations.
The idea of using multi-sensory pop-ups, featuring elements of personalization, is becoming popular among beauty brands. Salespeople can offer customers makeovers and personalized beauty advice. Brands are also creating travel exclusives, products or collections only available through airport retail.
Gamification is another strategy beauty brands are using to increase foot traffic in stores. For example, Guerlain employed a WeChat mobile game to promote its KissKiss Matte lipstick. It could only be played at the Beijing Capital International Airport. If players scored 5,000 points, they could come into the duty-free shop for a free tube of lipstick.
Snacks are also a popular product category in airport retail. While there is limited information specific to snack sales in airports, it is worth noting that airport retailers generally look for unique items and emphasize sourcing from local artists and vendors while also carrying products from around the world.
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Alcohol and cigarettes
When purchasing alcohol at an airport, it's essential to be aware of any restrictions or limitations that may apply. Some airports may have rules regarding the consumption of alcohol within the airport premises or during the flight. It is advisable to familiarise yourself with these regulations to ensure compliance.
Similarly, the sale of cigarettes and tobacco products in airports is subject to the prevailing laws and regulations of the specific country or jurisdiction. Airports typically adhere to the tobacco-related laws of the region in which they are located. This may include restrictions on the amount of tobacco that can be purchased duty-free, age restrictions, and designated smoking areas within the airport.
It is worth noting that local laws and regulations may restrict the consumption of duty-free alcohol and cigarettes immediately after purchase. In some cases, passengers may need to seal their purchases in tamper-evident bags and declare them upon arrival at their destination. It is always advisable to check the regulations of your departure and arrival airports, as well as your destination country, to ensure compliance with any specific rules regarding the purchase and consumption of alcohol and cigarettes.
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Local art and souvenirs
Airports are a great place to sell local art and souvenirs. Airports are open almost all day and night, and millions of passengers pass through them daily, providing a great opportunity for local artists to showcase their work. Airports want to reflect the culture of the area, so they will often feature local artists and their work as cultural ambassadors.
Salt Lake City International Airport, for example, uses signage and QR codes to guide visitors to seven exhibits showcasing the works of local artists and their significance to the city's arts community. Phoenix Sky Harbor International Airport also has an art tour in its Rental Care Center, showcasing 72 pieces of art from the airport's Public Art Collection. Airports often devote a percentage of expansion costs to permanent art installations. For instance, Memphis International Airport is currently building two new concourses, using art to help activate the spaces.
Some airports have their own museums. The SFO Museum (SFOM) in San Francisco Airport, for instance, became the first museum in an airport to receive accreditation from the American Alliance of Museums in 1999. It features more than twenty galleries throughout the airport terminals. Many airports partner with local art museums to purchase works for their collections or manage the collection.
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Frequently asked questions
Yes, people can sell stuff in airports. Airports have various shops and vendors that sell items ranging from food and snacks to luxury goods and souvenirs.
People can sell a variety of items in airports, including clothing, accessories, books, electronics, skincare products, and souvenirs.
Yes, airports typically have guidelines and restrictions on what can be sold. For example, some airports may prohibit the sale of certain items for safety or legal reasons. It is important for vendors to check with the specific airport and its regulations.
To become a vendor and sell products in an airport, individuals or businesses typically need to contact the airport's retail management or a company that represents airport retailers. They may have specific requirements, such as emphasizing unique items or sourcing from local artists and vendors.
