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“Purpose isn’t a label; it’s a lived experience,” Jones added. Innovation and technology are, of course, critical in helping brands align with consumer values more effectively, but only when paired with purpose. “Artificial intelligence (AI) and data personalisation can make travellers feel seen and valued,” Jones highlighted. “AR and immersive activations can transform retail from a transaction into discovery. Even a simple QR code can extend a one-time purchase into a long-term customer relationship. Technology enables scale, but values create trust. You need both.” It is also vital for travel retail stakeholders to adapt to shifting demographics, regional trends, and competitive pressures – and Jones recommended some key strategies for navigating these changes successfully. “The Chinese traveller segment, once dominant, remains under pressure as governments encourage domestic shopping,” he said. “Kearney calls North Asia a ‘burning platform’ and that means overreliance on one group is risky. The strategy is clear: diversify your approach. Curate for place and culture. Design discovery-led experiences that engage Millennials and Gen Z. And continue delivering premium experiences for Boomers, who remain affluent but are shifting spend from goods to experiences. Most importantly, avoid copy-paste retail. If a traveller sees the Bobby Jones, Author and Consumer Expert, Co-founder, Good is the New Cool and Conspiracy of Love: “The biggest takeaway I want to leave is that purpose, belonging, and meaning are no longer ‘nice-to-haves’, they’re business drivers, particularly for Gen Z.” same stores, shelves, and layouts in Paris, Dubai, and Singapore, why would they stop? Differentiation is the new competitive advantage.” “Travel retail is at a crossroads, and this audience has the power to shape its future” Amid global realignment and uncertainty, there are opportunities for the travel retail sector to thrive – not just survive. With travel numbers rising, the big opportunity is to capture more spend per traveller by creating experiences that matter. “The growth potential is real,” Jones shared. “A 2025 ‘Research and Markets’ report projects the global travel retail market, valued at nearly $100 billion in 2025, will reach $166 billion by 2029, growing at a 13.6% CAGR. UN Tourism data confirms the surge: international tourist arrivals were up 11% in the first seven months of 2024, with spending in some regions already surpassing 2019 levels.” But the bigger shift is in what drives that spend. For the first time, research fromm1nd- set shows that the desire to ‘browse and discover new products’ (32%) has surpassed ‘price advantage’ (17%) as the main reason travellers visit duty free. Nearly half of shoppers now say the in-store experience is a key purchase driver. “This means the future isn’t about discounting more, but about delivering experiences, storytelling, and personalisation that travellers can’t get anywhere else,” Jones explained. “Digital tools like omnichannel pre-order, AI-driven personalisation, and AR/VR activations will help create seamless, engaging journeys that keep travellers connected to retail. So yes, amid uncertainty, travel retail can absolutely thrive. The winning strategy is purposeful progress: turning the airport from a place of transit into a destination in its own right.” This year is a turning point, according to Jones, who emphasised that consumer behaviour has fundamentally shifted, digital-first habits are permanent, and younger travellers are demanding purpose and authenticity. “At the same time, despite traffic recovery, spend is lagging – the industry must act now to close the gap,” he said. The ‘Explore New Horizons’ theme of yesterday’s TFWA World Conference, therefore, couldn’t be more relevant and Jones’ engaging address left delegates with three key takeaways: a deeper understanding of how consumer values are changing, fresh case studies that prove what works, and practical strategies to evolve from transaction-driven to purpose-driven retail. “Travel retail is at a crossroads, and this audience has the power to shape its future. Don’t settle for being a stop along the way – be part of the story.” Tuesday 30 September 2025 14 T F W A D A I L Y