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| Shopping Tourism Market |
Shopping tourism refers to travelling to destinations specifically for shopping purposes and gaining unique shopping experiences. Tourists' expenditure with the intention of buying goods across borders has significantly increased in the recent past. With the availability of large international retail brands and affordable prices of high quality and branded items, shopping has evolved as a key motivation for travelling. Factors such as trendy fashion, electronics goods, and duty-free luxury products available at discounted rates compared to domestic prices have boosted the cross-border shopping boom.
The Global
shopping tourism market is estimated to be valued at US$ 497.97 Bn in 2024 and is expected to exhibit a CAGR of 9.3% over the forecast period
2024 to 2031.
Key Takeaways
Key players operating in the shopping tourism market are Japan Deluxe Tours,
Trafalgar Tours, EF Educational Tours, The Shopping Sherpa, Luxury Escapes,
Costco Travel, AAA Vacations, Travel + Leisure, Context Travel, Intrepid Travel,
Tauck Tours, Backroads, Country Walkers, G Adventures, World Expeditions,
AdventureSmith Explorations, Esquire Travel, and Abercrombie & Kent. These
players offer specialized tours and packages facilitating hassle-free shopping
experiences in prominent global shopping destinations.
The Shopping
Tourism Market Trends availability
of a wide assortment of products at competitive prices presents significant
opportunities for tourists seeking unique shopping experiences abroad. Major
shopping destinations worldwide have witnessed substantial foreign spending
owing to their tax-free shopping policies and discounted luxury goods compared
to local markets. Countries such as Singapore, Dubai, London, New York,
Bangkok, and Seoul attract millions of international tourists annually through
their vibrant shopping districts, electronic markets, and luxury brand stores
spread across megamalls.
The growing global middle-class with increased disposable incomes and changing
consumption patterns has accelerated the growth of shopping tourism on a global
scale. Emerging economies in Asia Pacific and Middle East are realizing their
potential to become prominent shopping hubs by investing in state-of-the-art
retail infrastructure, promotional campaigns targeting foreign tourists, and
implementing policies favorable for cross-border shopping. Several destinations
have recognized shopping as a means to diversify their tourism product and
attract high spending foreign visitor segments.
Market drivers
One of the key drivers for the shopping tourism market is the growing
popularity of duty-free shopping. Tourists are able to avail attractive
discounts and save substantially on international luxury goods, premium
cosmetics, electronics and spirits by shopping at duty-free outlets located
within airports and cruise terminals. Many destinations have significantly
expanded their duty-free shopping space and product assortments to serve the
rising demand.
Market restraints
Restrictions imposed on tax and duty-free allowances by various governments for
travellers pose a key restraint to the growth of shopping tourism. Frequent
changes made to import rules particularly impact impromptu shopping trips.
Additionally, fluctuations in currency exchange rates can prove discouraging
for foreign shoppers at times leading to reduced expenditures.
Segment Analysis
The Shopping Tourism Market is dominated by the organized tourism segment, wherein shopping tourist destinations are included in planned tour itineraries by tourism companies. This segment accounts for over 50% revenue share as organizing transport, accommodation and destinations under one package is a convenient option for tourists. The unorganized segment, comprising individual travel to shop at various destinations, holds a smaller share due to lack of organization and logistical support for tourists. One of the fastest growing sub segment is the luxury goods shopping tours, mainly catering to high spending tourists visiting cities like Paris, Milan, London and New York. These tours focus on luxury fashion goods, designer accessories and premium cosmetic products stores located in these cities.
Global Analysis
Europe accounts for the largest share in the Shopping Tourism Market currently.Countries like France, Italy, UK and Germany attract the maximum number of
global shopping tourists due to the presence of prominent luxury fashion brands
and a wide variety of goods ranging from affordable to high-end products. North
America follows Europe with US and Canada witnessing substantial annual growth
in shopping visits. The Asia Pacific region is expected to showcase highest
growth during the forecast period with increasing spending power and middle
class population in countries like China, Thailand, Indonesia and India
contributing to the growth. Countries in West Asia like UAE and Qatar are also
emerging shopping destinations owing to development of international shopping
centers and malls.
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insights on - Shopping
Tourism Market
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