In our previous SPARK Travel Retail Market Update, we estimated a two-year recovery period to reach 2019 passenger levels. The rebuilding blocks for travel retail on the supply side still rest on government support for airports and airlines, and airport accommodations for retailers, and retailer considerations for brands, the lifting of flight restrictions and the implementation of new health and safety standards. On the demand side, the rebound will depend on the economy and customer confidence. Like a drastic plot change, the commercial model is shifting overnight. We are on that first page of a new chapter. What an amazing opportunity that history would award this writing to the members of the industry today. It is a tremendous responsibility for this generation and the generations to come.
A presentation prepared by Bain & Co in support of the Trinity Initiative sketches the context and a roadmap for recommended next steps titled: COVID-19 A NEW WORLD FOR AIRPORTS
With the epidemic still ongoing and in the absence of containment or a vaccine, the industry will continue to reverberate with each aftershock among the immanent global recession. Maura Anastasi, of Bain and Company, recently suggested a three-stage recovery phase:
the current crisis phase of approximately six months
the interim recovery period of 12 – 24 months; and
the new normal.
The timeline for the recovery will differ by region, in broad strokes he suggests:
2021 will see passenger volume at ~75%
2022 will see passenger volume at ~90% and
2023 can be anticipated to reach 2019 levels.
The long-term prospect is strong and rewarding and I believe that we will continue to see the village effect on our world through globalization and therefore air travel and passenger volumes.
Additional passenger processes landside and airside such as health clearance
Masks for all staff and passengers
Social distancing of 1m – 2m
Hong Kong is testing full body disinfection devices
Emirates offers a rapid COVID-19 blood test at Dubai with results in 10minutes
More evenly passenger distribution throughout an airport
Korean Air is considering flight crew in full PPE including gown, gloves and visor
Aircraft not fully booked – leaving centre seats empty
We can anticipate a plethora of health and safety measures and experiments in the immediate term that will most certainly extend the time that a passenger spends in the terminal per-boarding. Industry Associations such as IATA and DFWC, for example, are collaborating around a planned approach as industry-wide efficiency and consistency are among the key ingredients for rebuilding confidence. The better that the macro-level mechanism can adapt, the shorter the rebound period from a consumer confidence standpoint.
From an economic standpoint, the industry will be deeply affected by the interruption in commerce, education, arts and tourism particularly for events and planning around long term projects. For example, International Student enrollment in post-secondary education is a substantial driver of GDP and contributor to international travel. This is just one example among many that will take years to rebound.
Heidi Van Roon M.B.A. CPHR SHRM-SCP
Founder & President for the SPARK Group of Companies
Heidi gives voice and leadership to Sales and HR excellence for Luxury Retail. Her no-nonsense approach has proven savvy, effective and genuine. Heidi combines an analytical, practical and caring approach that is focused on connecting customers with brands that they love and in a way that digital can’t. Heidi’s leadership style is founded on well-informed context, courageous and creative collaborations, bespoke promotional programs, and genuine heart. SPARK has been named North America’s most professional and highest performing sales team by some of the world’s most prominent luxury brands.
Great coverage by Mark Lane of the Moodie Davitt Report about our participation in a campaign for emerging UK no/lo spirit brand CleanCo in United Airlines Club lounges across four US airports. What an amazing team. It was an
We always enjoy recruiting through our network. Perhaps you or someone you know is interested in a temporary fragrance Beauty Advisor position at WDF YVR from April 3rd to June 7th. This opportunity is suited for someone with beauty/fragrance
Join SPARK at the 2022 Summit of the Americas. The Summit of the Americas is the International Association of Airport and Duty Free Stores annual show and will return as an in-person event! The International Association of Airport Duty
Last month, SPARK was featured in Duty Free News International discussing the current state of affairs of the travel retail industry and our goals to put ESG priorities first. Please check out the article
Great coverage by Mark Lane of the Moodie Davitt Report about our participation in a campaign for emerging UK no/lo spirit brand CleanCo in United Airlines Club lounges across four US airports. What an
We always enjoy recruiting through our network. Perhaps you or someone you know is interested in a temporary fragrance Beauty Advisor position at WDF YVR from April 3rd to June 7th. This opportunity is
New Opportunities in Travel Retail! Are you ready for a Sales & Marketing challenge in US airports? SPARK is pleased to promote these exciting positions in Travel Retail at the following locations: Sales Promoter
The Virtual Travel Retail Expo is a pioneering virtual trade show and symposium designed to both mirror and enhance a real conference and exhibition. Entering its second year, the expo has already established itself
Virtual Summit of the Americas Summary For a comprehensive recap of the Virtual Summit of the Americas, grab a coffee and a comfy chair and get ready to scroll in every direction. Here are some of our favourite sessions that
We are delighted to announce that SPARK has been shortlisted for the 2021 DFNI Americas Awards Team of the Year category. Jessie, Sabrina, Agnes, Candy, Maggie, Shannon, Holly, Fanni, Jenny and Anne have all been selected
Brand Partner Program We are pleased to introduce the Brand Partner Program which is quickly gaining attention on social media and in the Travel Retail publications serving North America. This program essentially morphs the typical Brand
How can the Travel Retail Industry begin to recover from the most complex crisis in history? These and many other questions will be covered at the upcoming Virtual Summit of the Americas from April 5-9, 2021.
Coverage from the Moodie Davitt Report: Stars of 2020: Heidi Van Roon’s retail heroines Spark hope amid the gloom of COVID-19: Continuing our Stars of 2020 series, we see how the brand ambassadors trained for airport retail by the SPARK Group of Companies and their leader have kept smiling behind the mask, in this most challenging of years.
The roles of all customer-facing staff have become more important than ever. Market shifts that once spanned a decade have happened in six short months. The retail industry, and particularly luxury travel retail is undergoing an unprecedented revolution and we are at the very beginning of it. It is a time for retailers and brands to adapt to every customer-facing function. With retailers restructuring, the onus will be on brands to ensure a people-positive experience for their customers.
Portland Design, together with the influential travel retail blog trunblocked.com are launching a webinar series – Future Airports: From Here to Where? – to be staged on the 16th September 2020. This event will bring together a remarkable
Airport Update – August 2020 Capital investments and airport infrastructure improvements provide vital context for the development of the Travel Retail industry. Airports have come to depend on non-aeronautical revenues and in many cases,
Among the silver linings throughout this industry crisis is the proliferation of excellent publications, it is encouraging to see information sharing from the experts. While aviation has dropped to historically low levels, the industry pulse among passionate leaders continues strong and healthy.
Here we are, amid an industry crisis that is encountering unprecedented headwinds. In a few short months, the industry has experienced a setback that could not have been anticipated in degree and in kind. Metaphorically speaking, the headwinds are so strong, we need to pedal downhill just to stay on the bike and in the game. Physically, emotionally, socially, and professionally seemingly unsurmountable challenges loom large. Exhaustion, hunger, pain and delays will take their toll.
Throughout the live 5-day Virtual Travel Retail Expo 2020, the Symposium Hall and Workshop Rooms will host industry dialogue around the theme ‘Road to Recovery’, exploring how the travel retail channel will (or should) look in the future. The powerful line-up of speakers includes our very own Heidi Van Roon.
Airport Update - June 2020 For an interactive Coronavirus Travel Restrictions Map – bookmark this amazing IATA link to see the country by country travel restrictions: In our March Market Update, we included a
The rebound of the travel retail industry will need to quickly embrace the increased customer expectation of a seamless, omnichannel experience where the customer determines how they interact with the brand.
Travel Retail offers diverse and dynamic career paths in the duty-free areas of airport terminals, cruise ships and international border shops where global retailers and global brands depend on aspiring professionals. SPARK is committed to
Moodie Davitt Virtual Travel Retail Expo We are happy to announce our participation at the inaugural Moodie Davitt Virtual Travel Retail Expo. The Expo – which takes the form of a ‘live’ 5-day event followed
Airport Update - May 2020 With substantial support from the government, most Canadians whose employment is affected by COVID-19 are supported through various initiatives for a lay-off period of up to 16 weeks. We are
A great example of bright minds and voices converging preparing for the post-COVID-19 recovery is the Trinity Initiative. This collaboration is an invitation for airports, retailers and brands to join in a conversation about the new commercial model.
On the demand side, the rebound will depend on the economy and customer confidence. Like a drastic plot change, the commercial model is shifting overnight. We are on that first page of a new chapter. What an amazing opportunity that history would award this writing to the members of the industry today.
May 2020 Travel Retail Market Update Amid the current COVID-19 crisis we are all the more committed to standing with our peers and advocating for our workplaces by sharing another collection of Market insights. With
In Crisis - Travel Retail Voices is a podcast series by The Moodie Davitt Report, one of the UK’s most successful multi-media business-to-business publishers and an indispensable source of reliable and real-time business intelligence on
In light of the current pandemic, I thought to sketch a basic overview of the Government of Canada initiatives for Employees and Employers that are in non-unionized settings. I have also calculated a basic comparison
March 2020 Travel Retail Market Update We stand with you as our industry is brought to its knees. Who could have anticipated the extent of our global crisis and the extenuating impact on travel retail?
There’s one thing you need to know about me: I love sales and I love people. What motivates me—what motivates everybody at SPARK —is discovering how an exceptional sales organization can create win-win-win outcomes for staff, retailers, brands and customers.