November 24, 2025

Travel retail gains momentum through cross-category innovation

According to new m1nd-set research, cross-category shopping is driving marked increases in shopper spend and basket value

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Wendy Morley

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m1nd-set considers cross-category spending dynamics

Cross-category shopping is emerging as a powerful growth catalyst for global travel retail, driving marked increases in shopper spend and basket value, according to new research from m1nd-set.

The Swiss-based research agency’s latest findings reveal that strategic cross-category merchandising creates fresh opportunities to boost conversion, basket size and overall spend. The research focuses on the five most purchased categories: Perfumes, Confectionery, Alcohol, Tobacco and Skincare. Combinations of these products, as well as with categories such as Electronics, can drive conversion and lead to significant increased spend, according to m1nd-set.

The research reveals that travelers buy an average of 1.6 categories when shopping in Duty Free, with above average behavior among Gen Zs (1.8) and Millennials (1.7). Shoppers from South America, the Middle East and Africa also display a stronger tendency to purchase more categories. Perfumes is the leading footfall driver, attracting one in five travelers, while Tobacco boasts the highest conversion rate with nearly two thirds of browsers concluding their visit with a purchase, according to m1nd-set.

Among the key findings highlighted in the research is the growth in spend when shoppers purchase multiple categories. Those purchasing a single category spend around US$100 on average, but as categories are added, overall spend increases significantly. The tipping point appears at five categories, where both average spend per buyer (US$177), and spend per item (US$41), continue to climb.

Skincare cross-category purchases are highlighted

This momentum peaks at seven categories, where total basket value reaches US$209, m1nd-set reveals. However, the research also highlights the fact that 85% of shoppers still limit themselves to only one or two categories, and fewer than 2% purchase five or more, revealing a considerable untapped opportunity.

The research also reveals certain category pairings that deliver significant uplift in shopper spend.

According to m1nd-set, Perfumes show strong potential for cross-category merchandising when paired with Skincare, Alcohol, Confectionery and Tobacco. Just under a quarter of Perfumes buyers also purchase Confectionery, while Confectionery, in turn, pairs well with Alcohol, with 18% of shoppers purchasing this combination, as well as Tobacco (15%) and Souvenirs (10%).

The research highlights clear outlier segments that consistently buy certain category combinations more frequently than the norm. Gen Z travelers display particular interest in Alcohol and Confectionery combinations, while the appeal of Tobacco and Confectionery pairings is strongest among shoppers from Africa, the Middle East, South America, and, once again, the Gen Z shoppers, m1nd-set reveals.

m1nd-set’s cross-category research not only tracks cross-category purchasing trends but, more importantly, identifies specific pairings that act as powerful spend catalysts. According to the research agency, travelers who combine Alcohol and Electronics purchases boost their average spend on Alcohol by a significant 55%, escalating the figure from $87 to $135. Strategic pairings such as Perfumes & Tobacco also consistently deliver notable double-digit gains in average expenditure across both categories, the research reveals.

Spending impact is also detailed

Owner and CEO at m1nd-set, Dr. Peter Mohn underlines the significance of the insights: “The findings emphasize the enormous value of cross-category merchandising for brands and retailers alike.

“Perfumes and Alcohol in particular emerge as influential spend drivers when integrated into targeted partnerships, activations and in-store strategies.

“While the data demonstrates strong commercial potential, it also exposes a considerable behavioral gap” Mohn continued. “The fact that fewer than 2% of shoppers purchase five or more categories shows how much value remains unlocked. With the right cross-category initiatives, from promotional bundles to collaborative activations, travel retail stakeholders can drive significant incremental revenue.”

According to Mohn, cross-category merchandising in travel retail “has evolved far beyond simple product bundling”.

"Today, it's about creating immersive, experience-led activations that connect diverse luxury and core categories under a unifying theme. This could be anything from celebrating gifting occasions to highlighting cultural celebrations or shared lifestyle narratives, such as adventure, wellness or sophisticated luxury.

“We see that the strategy is maturing, however. Retailers are now leveraging digital marketing, data-driven placement, and omnichannel touchpoints to seamlessly guide travelers across different store environments, effectively driving footfall, dwell time, and ultimately higher spend per passenger.

“We've seen the concept expand from multi-category pop-ups to ambitious cross-industry partnerships that link travel, retail, and hospitality. We commend those stakeholders who are already investing into such integrated ecosystems, where shopping is positioned as part of a holistic journey. These experiences significantly amplify shopper engagement and deliver a truly differentiated, multisensory consumer experience" Mohn concluded.

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