The beauty industry is in a constant state of flux, and the pandemic has only encouraged the need for change. For travel retailers, this raises a pressing question: how can they elevate the beauty category and convert passengers into shoppers? In this column with The Moodie Davitt Report, ARI Global Head of Beauty Deirdre Devaney shares insights on the changing face of beauty in travel retail and delivering new experiences within the channel.

The only constant in beauty is change and never more so than now. Over the past few years, as an industry we have been forced by the pandemic to re-evaluate everything we do. During this time technology has accelerated the industry, both online and offline, at an unprecedented pace. Connectivity and convenience are key, with many retailers and brands tapping into on-demand apps as well as social commerce.

What is our role as travel retailers and how can we enhance the travel journey? How can we compel passengers to become shoppers? Are we equipped to do so?

Customers want to shop on their terms – they have new needs and expectations, and there have been both positive and negative fluctuations in spending power. The mid-market price point also remains a challenge and overall, we know that the category is still performing behind 2019 levels (based on the European Travel Retail Confederation Index, 2022 review).

We’ve seen how the domestic (downtown) markets have adapted, but how has this translated into travel retail? How do we partner with our suppliers to ensure that the customer experience in travel retail keeps pace with that of the best-in-class on the domestic market?

If we look at the domestic market, two models have emerged as the frontrunners in terms of providing customers with the new retail experiences they crave. Firstly, we’ve seen a rise of luxury and independent boutiques offering an immersive and premium brand experience. Secondly, we can see the success of the multi-retailer experience where customers can shop an extensive range of brands and products under one roof. Let’s not forget the tailored and personalised experiences facilitated by retail loyalty schemes and online shopping.

To find out more about ARI’s plans for the future of the beauty category in travel retail and to read the full article, please click here!