The government clearly recognises the value of the UK as a place for shoppers of luxury goods, so it’s vital we make it a hassle-free experience, says Fiona Jeffery OBE, former chairwoman of World Travel Market and founder of Just a Drop
It was interesting that a recent industry roundtable about the role of ‘shopping tourism’ as part of the holiday experience was seen as significant enough to be attended by tourism minister Helen Grant.
The event examined what retailers and Visit Britain can and should do to attract more high spending visitors from China, Malaysia, UAE and elsewhere.
Chaired by Sir Tony Baldwin MP, the event brought retailers, fashion bodies and associations, media and tourism experts to debate the opportunities and challenges facing this growing sector of the tourism experience.
As the home to some of the most sought-after fashion and lifestyle brands, Britain arguably has the opportunity to position itself as a “world-class shopping destination”.
The role of “Brand Britain” with the juxtaposition of heritage, the royal family, fashion icons and home-grown brands, established and new, is a huge driver for growth.
According to Global Blue experts in tax free shopping, the estimated average spend is £614 per visitor from the 20 top-spending inbound destinations, worth a not-insignificant £4.5 billion to the UK economy.
The strength on the one hand of top quality, desirable, luxury brands, however, is negatively affected by visitors’ attempts to capitalise on its tax free shopping in collecting VAT refunds through retailers or UK airports.
Compared to our French colleagues our systems are seen as antiquated, lacking technological speed, resulting in three hours queues at airports and the additional stress of possibly missing your flight.
Not exactly the sort of end to a holiday most of us would want, and certainly not a good memory to take away.
I’m advised by Global Blue that the technology is there to improve things. eTFS (Electronic Tax Free Sales) is a full end-to-end tax refund scheme.
The main benefit for the overseas visitor is increased speed and simplicity, for the retailer less time filling individual forms and improved security, for refund outlets and airports a more efficient and faster process for export validation and refund, and the opportunity with this extra free time to spend more money in airport services.
The roundtable concluded with the need for all sectors in the “shopping” tourism arena to cooperate more to capitalise on the growth potential. Sometimes the industry needs simple wins.
It strikes me this is one where retailers, Visit Britain and government can get behind creating a ‘win-win’ for all concerned which keeps the international traveller returning to our shores and adds value to Great Britain plc.