Those marketers will emerge in a stronger competitive position when the economy recovers and travel ramps back up, he says.
"As business travelers are traveling less for the short term, marketers can really focus on these customers and focus on the retention of these fliers," Ferguson tells Marketing Daily.
COMPANY SUMMARY Dufry AG is the world’s largest travel retail operator, with 24% market share (3x the size of its nearest competitor) in the airport channel following its recent acquisition of competitor World Duty Free (WDF).
BUSINESS AND OPERATING MODELS Dufry is effectively a high end consumables business that markets premium products to international tourists."It requires smart analysis of their customer data base to know which customers are worth spending the extra effort to try to retain." Airlines need to look not just at miles logged but travel patterns and the types of fares bought."That´s really going to help them decide," he says.For example, airport operators will work with retailers to design airport floorpans so that passengers quite literally have to walk through shops in order to get to their gates.Importantly, Dufry has numerous exclusive arrangements with key brands, preventing smaller peers from presenting a competitive retail offering.