European TR remains resilient, shows ETRC Index

In the first half of 2022, the travel retail sector continued to be heavily impacted as a result of the pandemic with international passenger levels down -28% and value sales down by -25% compared to H1 2019.

However, following a static performance in the first quarter of this year, Q2 2022 has shown a significant rate of recovery, with the Q2 value sales deficit falling to -17% vs. Q2 2019, following a deficit of -35% in Q1 2022.

The recovery continues to be underpinned by several key dynamics including value sales recovering quicker than international passenger numbers. However, several trends such as the increased rates of spend per passenger are now softening.

"Value sales continue to recover quicker than international passenger numbers, although each metric is now following a similar trend. Each of the core categories shows strong rates of recovery with each sub-category also posting a positive contribution. Spend per PAX trend is now normalizing, although it remains at a higher level in H1 2022 than spend per PAX in H1 2019," comments Steve Hillam, Managing Director at Pi Insight.

"As anticipated, Q2 2022 delivered strong results for European travel retail thanks to increased international travel in the region. We are please to see travel retail remains relevant for travelers in Europe. We hope this will be further confirmed by the results for Q3 2022, which will be unveiled at the ETRC Business Forum organized in Amsterdam on January 26, 2023," adds Julie Lassaigne, ETRC Secretary General.

Developed as an exclusive service to ETRC members, the ETRC Index is compiled by Pi Insight thanks to data contributed by participating travel retailers of ETRC and the support of ForwardKeys for passenger data.