Duty-free retailing is expected to prosper over the five years through 2012-13, with industry sales rising by an annualised 4.9%. Trading conditions for duty-free retailers have benefited from solid growth in the volume of international arrivals and departures into and out of Australia (with the exception of 2008-09). Demand for duty-free was also aided by growth in the trade-weighted index, which made international travel more affordable for Australian tourists. Consumer demand for duty-free merchandise over this five-year period was also influenced by trends in disposable income and the consumer sentiment index.
Duty-free stores sell a range of goods to inbound and outbound international travellers. Duty-free stores are essentially warehouses that are licensed and controlled by Federal Government customs and excise legislation. These warehouses are permitted to operate as retail outlets to sell customable and excisable goods to international sea and airline travellers.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.