The global travel retail market: Identifying white space with unified data

Key takeaways

• Market growth: The global travel retail market is projected to reach $145.46 billion by 2032, growing at a CAGR of 10.46%, according to Fortune Business Insights.

• White space defined: In travel retail, "white space" refers to untapped geographic locations, underserved traveler segments, or unfilled product needs in high-traffic transit zones.

• Data challenges: Fragmented data from siloed systems—like duty-free shops, airlines, and cruise lines—prevents brands from achieving a 360-degree view of the traveler journey.

• Unified intelligence: Adopting a unified data approach via TELUS Revenue Growth Management (RGM) Analytics allows brands to harmonize disparate data sets into a single source of truth for faster, more profitable decision-making.

• Actionable insights: Real-time reporting and AI-driven analytics help retailers optimize inventory, align regional strategies, and capitalize on impulse buying behaviors at key transit points.

Executive summary

The global travel retail (GTR) market is undergoing a rapid transformation. Valued at approximately $69 billion in 2024, the sector is on a trajectory to hit $132 billion by 2032. This unique retail channel—encompassing airports, cruise lines, and border shops—offers brands a captive audience with significant dwell time. However, capturing this growth requires more than just premium placement; it requires deep visibility into traveler behavior.

For many CPG brands, the primary obstacle is fragmented data. Disconnected systems between duty-free operators and regional markets lead to missed opportunities and inconsistent pricing. TELUS Agriculture & Consumer Goods provides the technology needed to bridge these gaps. By leveraging TELUS Revenue Growth Management (RGM) Analytics, brands can unify market data, improve demand planning, and identify lucrative white space opportunities that were previously hidden in data silos.

What is global travel retail?

Global travel retail, often referred to as the sixth continent, is a unique sales channel that caters to international travelers. It primarily operates in duty-free and duty-paid environments located beyond security or immigration controls at airports, seaports, and border crossings.

The duty-free market advantage

A cornerstone of this industry is the duty-free market. These retail outlets allow travelers to purchase premium goods—such as cosmetics, perfumes, and spirits—without the inclusion of local government taxes or duties. This price advantage, combined with the appeal of travel-exclusive or limited-edition products, makes it a highly attractive channel for luxury and premium brands looking to expand their global visibility.

Why travel retail matters

This market is critical because it captures high-value, on-the-go shoppers at a moment when they have high purchase intent and time to browse. It serves as a strategic touchpoint for brands to introduce new products to an international audience. For airport operators, travel retail is a vital revenue stream, often accounting for 50% of an international airport’s total income, reported by Straits Research.

Understanding the concept of white space

In the context of the travel retail market, white space represents unfilled potential, the blank slate where a business can innovate or expand. Identifying white space is not just about finding an empty shelf; it is a systematic evaluation of current offerings against traveler needs.

Types of white space opportunities:

• Geographic gaps: Identifying high-traffic transit hubs or emerging travel corridors where a brand currently has no presence.

• Assortment voids: Recognizing specific product categories or price points that travelers are searching for but cannot find in current duty-free configurations.

• Segment needs: Targeting underserved traveler demographics, such as the rising youth segment, which is projected to be the fastest-growing demographic in travel retail due to their preference for experience-oriented purchases.

By conducting a white space analysis, brands can move away from saturated domestic markets and establish leadership in high-growth transit zones.

The global travel retail market

The travel retail landscape is characterized by its resilience and its reliance on specific high-performing categories and channels.

Market size and growth trends

The market is currently seeing robust momentum, driven by the near-complete recovery of international air traffic. The North American duty free market was valued at $28.97 billion as of 2024, according to Industry Research.

Key channels

• Airports & airlines: The dominant channel, accounting for over 61% of the market in 2025, according to Mordor Intelligence.

• Cruises & seaports: A recovering sector that offers unique experiential retail opportunities for luxury brands.

• Border shops & downtown duty-free: High-growth formats, particularly in South Korea, where travelers can shop at any point during their journey rather than just before departure.

Top product categories

• Beauty: This segment held the leading market share in 2024, acting as a bellwether for the industry's health.

• BevAlc: The second-largest segment, driven by international liquor brands launching travel-exclusive editions.

• Fashion: A key driver for the duty-free sector, where tax-exempt luxury goods remain highly sought after.

The challenge of fragmented data in travel retail

Despite the massive growth potential, many brands struggle to maximize their ROI because their data is scattered. In travel retail, data fragmentation occurs when information from different retailers, airlines, and regional distributors is stored in separate, disconnected systems.

The consequences of disconnected insights:

• Delayed reporting: It can take weeks to compile a single analytics report from disparate POS systems and syndicated data partners, slowing down critical decision-making.

• Inventory inefficiencies: Without a unified view, brands often face overstocking in some locations and stockouts in others, both of which erode the bottom line.

• Inconsistent pricing: Fragmented data makes it difficult to track promotional compliance across different duty-free operators, leading to margin erosion.

What is unified data and why does it matter?

Unified data, also known as data harmonization, is the process of integrating information from multiple sources—including POS data, shipment data, and syndicated data—into a single, clean dataset. This creates a single source of truth that allows everyone in the organization to work with the same accurate information.

The strategic value of unified intelligence:

• Faster trend detection: Brands can spot emerging traveler behaviors and market shifts in real-time rather than waiting for month-end reports.

• Accurate forecasting: By harmonizing travel patterns with sales trends, brands can balance inventory with demand more effectively.

• Improved collaboration: A unified platform enables seamless communication between regional teams and duty-free operators, ensuring that promotional strategies are aligned worldwide.

Using unified data to drive strategic decisions

When data is unified, it transforms from a headache into a powerful tool for growth. Brands can use these insights to move beyond data collection and begin contextualizing intelligence for different departments.

Identifying new growth opportunities

By analyzing harmonized data sets, brands can uncover white space accounts and product voids. For example, a brand might discover that a specific cosmetic line is trending among long-haul travelers in EMEA but is currently unrepresented in key APAC transit hubs.

Technology and tools for enabling unified data

To compete in the 2026 travel retail market, brands need tools designed specifically for the complexities of the CPG industry.

How TELUS RGM Analytics transforms data to growth

TELUS Revenue Growth Management (RGM) Analytics is built to harmonize, visualize, and realize growth. The platform integrates diverse data into an intuitive decision-support tool, allowing stakeholders to see a 360-degree view of their business.

Key features include:

• Data harmonization: Automatically unifies multiple sources, eliminating manual formatting and reducing integration time from weeks to minutes.

• Custom reporting dashboards: Provides up-to-date data through dynamic portals, empowering teams to act on opportunities as they happen.

• AI-powered insights: Uses advanced algorithms to analyze price elasticity and promotional impact, helping brands boost ROI with every move.

FAQ

What is the global travel retail market?

The global travel retail market is a specialized retail channel that serves international travelers at high-traffic transit points such as airports, cruise ships, and border crossings, often operating in tax-exempt duty-free zones.

What does white space mean in travel retail?

White space in travel retail refers to untapped business opportunities, such as unserved geographic hub locations, unaddressed traveler needs, or specific product categories that competitors have not yet capitalized on.

Why is unified data important in travel retail?

Unified data is important in travel retail because it consolidates fragmented information from multiple systems into a single source of truth, enabling brands to make accurate inventory, pricing, and promotional decisions across different global regions.

How is AI used in travel retail data analytics?

AI is used in travel retail data analytics to provide automated sales recommendations, analyze price elasticity, and detect patterns in traveler behavior to identify growth opportunities exponentially faster than manual analysis.

What is the future of the global travel retail market?

The future of the global travel retail market is one of rapid expansion, with the industry projected to reach a value of $145.46 billion by 2032, driven by digital transformation and a rising middle-class population in regions like Asia-Pacific.