India Travel Retail Market Size (2024 - 2029)

The market size of India's Travel Retail sector is seeing a significant surge due to a variety of factors. The growth of the travel retail market is driven by increasing incomes, improved air connectivity, and India's growing reputation as a tourist hotspot. Travel retail, which involves the sale of goods and services to travelers in locations such as airports, cruise ships, and border crossings, is benefiting from the rising number of both domestic and international travelers. Changing consumer preferences towards unique and high-quality products have also contributed to the market expansion, with travel retail outlets offering a wide range of goods.

Home Market Analysis Hospitality and Tourism Research Travel and Tourism Research India Travel Retail Market Market Size

Market Size of India Travel Retail Industry

India Travel Retail Market Summary
Study Period 2020-2029
Base Year For Estimation 2023
Market Size (2024) USD 2.03 Billion
Market Size (2029) USD 5.40 Billion
CAGR (2024 - 2029) 21.59 %
Market Concentration Medium

Major Players

India Travel Retail Market Major Players

*Disclaimer: Major Players sorted in no particular order
setting-icon

Need a report that reflects how COVID-19 has impacted this market and its growth?

India Travel Retail Market Analysis

The India Travel Retail Market size is estimated at USD 2.03 billion in 2024, and is expected to reach USD 5.40 billion by 2029, growing at a CAGR of 21.59% during the forecast period (2024-2029).

The Indian travel retail sector is growing rapidly due to increased domestic and international travelers. Travel retail involves the sale of goods and services to travelers, commonly found in locations like airports, cruise ships, and border crossings. These outlets provide cosmetics, perfumes, alcohol, tobacco, and luxury items. Notably, travel retail offers duty-free shopping, allowing customers to buy items without paying certain local taxes or duties.

Several factors drive the growth of the Indian travel retail market. The increasing incomes in India enable more people to afford travel, resulting in higher spending in travel retail. Moreover, improved air connectivity, both domestically and internationally, has made traveling more convenient, thereby boosting the travel retail sector. India's growing reputation as a tourist hotspot has attracted more international visitors, further contributing to the growth of the travel retail market. Furthermore, changing consumer preferences, focusing on unique and high-quality products, have led to increased purchases from travel retail outlets offering a wide range of goods.

India Travel Retail Industry Segmentation

Travel retail is essentially shoppers' business while travel passengers are in transit. The India travel retail market forecast is segmented by product type distribution channel. By product type, the market is segmented into fashion and accessories, wine and spirits, tobacco, food and confectionery, fragrances and cosmetics, and other product types. By distribution channel, the market is segmented into airports, cruise liners, railway stations, and other distribution channels. The reports offer the market sizing and forecasts for the travel retail market in value (USD) for all the above segments.

By Product Type
Fashion and Accessories
Wine and Spirits
Tobacco
Food and Confectionary
Fragrances and Cosmetics
Other Product Types (Stationery, Electronics, Watches, Jewelry, etc.)
By Distribution Channel
Airports
Cruise Liners
Railway Stations
Other Distribution Channels

India Travel Retail Market Size Summary

The Indian travel retail market, which includes sales of goods and services to travelers in locations such as airports, cruise ships, and border crossings, is experiencing substantial growth. This expansion is driven by factors such as increased domestic and international travel, rising incomes, improved air connectivity, and India's growing reputation as a tourist destination. The market offers a wide range of products, including cosmetics, perfumes, alcohol, tobacco, and luxury items, often through duty-free shopping. Changes in consumer preferences towards unique and high-quality products have also contributed to the growth of this sector. The growth of tourism in India is significantly impacting the travel retail market, with increased demand for products and services at travel retail outlets. This has led to the creation of new retail spaces and expansion of existing ones. Additionally, the growing trend towards premiumization, driven by increased disposable income and easing of pandemic restrictions, is particularly noticeable in the wine and spirits sector of the travel retail market. The market is fragmented with many players, and vendors are focusing on offering a diverse range of products and innovative promotional campaigns to attract consumers and gain market share.

Explore More

India Travel Retail Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION

    1. 1.1 By Product Type

      1. 1.1.1 Fashion and Accessories

      2. 1.1.2 Wine and Spirits

      3. 1.1.3 Tobacco

      4. 1.1.4 Food and Confectionary

      5. 1.1.5 Fragrances and Cosmetics

      6. 1.1.6 Other Product Types (Stationery, Electronics, Watches, Jewelry, etc.)

    2. 1.2 By Distribution Channel

      1. 1.2.1 Airports

      2. 1.2.2 Cruise Liners

      3. 1.2.3 Railway Stations

      4. 1.2.4 Other Distribution Channels

India Travel Retail Market Size FAQs

The India Travel Retail Market size is expected to reach USD 2.03 billion in 2024 and grow at a CAGR of 21.59% to reach USD 5.40 billion by 2029.

In 2024, the India Travel Retail Market size is expected to reach USD 2.03 billion.

India Travel Retail Market Report Snapshots

India Travel Retail Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)