Monday 16 August 2010

How did British Duty Free retailers and airports manage to get it so wrong?

This weekend has seen a hammering for British duty free retailers and airports, two major UK national sunday newspapers have battered the British airports and the retailers for their prices.


The News of the World printed a price check calling UK airport retail "Duty Fleece" highlighting prices compared to normal high street shops, whilst the more conservative Guardian printed a story related to airline baggage charges. "Airlines hit passengers with extra baggage charges".

Within this story, it warns passengers not to buy goods in airports in case they are confiscated or charged extra as part of their carry-on baggage restriction.

Then, just when the dust was settling, Kelkoo the online price comparison site released a widely circulated a story related to their pricing survey in airports. This story is a scathing report on prices and competitive value compared to other locations around Europe and highlights Heathrow airport within their headline. Blogs as far afield as Malaysia have churned the headline, whilst CNN, NY Times, MSN and AOL news have published it too.

How can it be that the UK airport retail market has received such a battering and when will the industry defend itself and explain why prices are so high, due perhaps to excessive airport retail rents and operating costs?

Such media coverage does nothing to enhance the confidence to generate consumer spending in "Travel Retail" and perhaps now is the time for a different approach to the market? In the meantime high street retailers must be rubbing their hands with glee!


http://www.dutyfreeonarrival.com/

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