Connect with us

Shopping

Global Blue Releases the Monthly Tax Free Shopping Business Update for June 2024 | GB Stock News

Published

3 days ago

on





Global Blue reported an accelerating recovery in Tax Free Shopping across Continental Europe and Asia Pacific in June 2024.

Globally, the issued Sales in Store (SIS) like-for-like recovery reached 168% compared to the same period in 2019, up from 163% in April/May 2024 and 140% in Q1 2024. Continental Europe saw a slight improvement, with a recovery rate of 147% in June 2024, driven by strong performances in France (164%), Spain (160%), and Italy (163%).

GCC shoppers had a significant impact, achieving a recovery rate of 335%, while US shoppers reached 317%. In Asia Pacific, the recovery rate was 236%, led by travelers from Hong Kong and Taiwan at 764%. Mainland Chinese shoppers showed a recovery rate of 122%, stable from April/May.

Year-on-year growth in Tax Free Shopping was also impressive, with global SIS growth at 32% in June 2024. Continental Europe showed a 14% increase, while Asia Pacific recorded a 92% rise, driven by Mainland Chinese (161%), North East Asia (122%), and Hong Kong and Taiwan (66%).

Positive


  • Global SIS like-for-like recovery at 168% in June 2024, up from 163% in April/May.


  • Continental Europe recovery rate at 147%, with strong performances in France (164%), Spain (160%), and Italy (163%).


  • GCC shoppers achieved a 335% recovery rate.


  • US shoppers’ recovery rate stood at 317%.


  • Asia Pacific’s recovery rate at 236%, led by Hong Kong and Taiwan travelers (764%).


  • Year-on-year SIS growth at 32% globally, with 14% in Continental Europe and 92% in Asia Pacific.


Negative


  • Mainland Chinese shopper recovery in Continental Europe slightly decreased from 63% in April/May to 58% in June.


The recent data from Global Blue signals a significant recovery in the Tax Free Shopping sector, with a noteworthy acceleration trend observed globally. The recovery rates compared to 2019 levels are impressive, particularly in June 2024 where the recovery stood at 168%, an increase from 163% in April/May and 140% in Q1 2024. This indicates a robust resurgence in consumer confidence and spending, vital metrics for the retail and tourism sectors.

Continental Europe and Asia Pacific have shown strong recovery figures, driven by a surge in tourist spending, especially from GCC countries and the US. A 335% recovery rate from GCC shoppers is particularly remarkable, largely influenced by Eid Al Adha, underscoring the impact of seasonal and cultural events on consumer behavior. Furthermore, the US shopper recovery at 317% is a positive indicator of cross-continental travel and spending rebounding.

The data suggests that the retail sector, particularly luxury and high-end goods typically purchased tax-free by tourists, is benefiting significantly from this recovery. Investors should consider the potential for continued growth in these areas, particularly in economies with strong tourist inflows. However, it’s important to remain cautious about potential headwinds such as geopolitical instability or economic downturns that could dampen this recovery.

The positive trends in the Tax Free Shopping data reflect a broader recovery in the tourism and retail sectors. The year-on-year growth rates, especially in regions like Asia Pacific with a 92% increase, highlight the pent-up demand for international travel and shopping. The surge from Mainland Chinese shoppers, with a 161% year-on-year increase in Asia Pacific, is particularly significant, indicating a strong rebound in outbound tourism from China, a critical market for global retail.

Continental Europe’s steady growth, albeit slower than Asia Pacific, points to a recovery that is more gradual but steady, influenced by diverse nationalities contributing positively. This diversified growth is a healthy sign, reducing dependency on a single market and spreading the risk across various regions.

For retail investors, these trends suggest a sustained recovery in sectors dependent on international tourism and shopping. Retail stocks, particularly those with significant exposure to tourist-heavy markets, may see continued benefits as these trends persist. However, it’s important to monitor ongoing economic conditions and travel restrictions, which could impact future growth.









  • Fresh data from Global Blue reveals that the global dynamic recovery for Tax Free Shopping accelerated across Continental Europe and Asia Pacific.

  • Globally, issued Sales in Store like-for-like recovery reached 168%1 in June 2024 compared to the same period in 2019, vs. 163%1 in April/May 2024 and 140%1 in Q1 2024.

SIGNY, Switzerland–(BUSINESS WIRE)–
An accelerating worldwide recovery, compared to 2019 levels

Globally, June 2024 recovery is ahead of April/May 2024 recovery, reaching 168%1 vs. 163%1 in April/May and 140%1 in Q1. This is driven by a solid momentum across destinations.

In Continental Europe, June 2024 recovery has slightly accelerated compared to April/May 2024, reaching 147%1 in June vs. 141%1 in April/May and 128%1 in Q1, propelled by strong recoveries in France (164%1), Spain (160%1) and Italy (163%1). In terms of origin markets, GCC shopper recovery significantly influenced the positive impact of the recovery in June, reaching 335%1 vs. 302%1 in April/May. This seasonal boost is linked to the shift in the Eid Al Adha calendar2. US shopper recovery also remains strong, reaching 317%1 in June vs. 308%1 in April/May.

In Asia Pacific, the recovery rate remained strong at 236%1 in June vs. 223%1 in April/May. Regarding origin markets, travelers from Hong Kong and Taiwan continue to lead the recovery, reaching 764%1 in June vs. 601%1 in April/May. North East Asia travelers follow closely, with a recovery rate of 386%1 in June vs. 352%1 in April/May.

For Mainland Chinese shoppers, the worldwide issued Sales in Store like-for-like recovery reached 122%1 in June, in line with April/May and 101%1 in Q1 ‘24. Within Continental Europe, Mainland Chinese shopper recovery reached 58%1 in June vs. 63%1 in April/May. In Asia Pacific, Mainland Chinese shopper recovery continues to accelerate, reaching 214%1 in June and 190%1 in April/May.

A strong year-on-year performance for international shopping

When analyzing the year-on-year variation in Tax Free Shopping growth, the worldwide issued Sales in Store like-for-like year-on-year performance reached +32%3 in June 2024 vs. +47%3 in April/May and +40%3 in Q1.

In Continental Europe, the issued Sales in Store growth rate grew by +14%3 in June 2024 vs. last year, influenced by a positive dynamic across nationalities. Regarding origin markets, the positive momentum for issued Sales in Store growth is visible across all nationalities, with GCC shoppers leading the way, with the US at +39%3 and Mainland Chinese at a +13%3 growth rate in June 2024.

In Asia Pacific, the issued Sales in Store growth rate continues to remain high, reaching +92%3 in June 2024 vs. last year. All nationalities contributed positively, with Mainland Chinese leading the way at +161%3 in June 2024 vs. 2023, North East shoppers at +122%3 and Hong Kong and Taiwan at +66%3.

APPENDIX

Worldwide recovery rate (versus 2019) rate

Issued SIS L/L recovery1

(in % of 2019)

% Issued SIS 2019

 June

2024

 May

2024

 April

2024

March

2024

 CY Q1

2024

CY Q4

2023

France

22%

164%

170%

158%

160%

165%

140%

Italy

24%

163%

164%

145%

135%

123%

123%

Spain

14%

160%

169%

166%

152%

151%

133%

Germany

13%

90%

73%

73%

69%

65%

74%

Other countries

27%

137%

127%

129%

121%

126%

111%

Total Continental Europe

100%

147%

145%

137%

130%

128%

118%

Japan

54%

359%

360%

262%

235%

232%

225%

Singapore

42%

85%

103%

81%

111%

92%

75%

South Korea

4%

170%

164%

140%

127%

125%

111%

Total Asia Pacific

100%

236%

250%

192%

181%

166%

150%

Total worldwide

100%

168%

172%

153%

145%

140%

127%

Worldwide Year-on-Year Growth Rate (2024 vs. 2023)

Issued SIS L/L

Year-on-Year

Growth3

% Issued SIS 2023

 June

2024

 May

2024

 April

2024

March

2024

February

2024

 CY

Q1 2024

France

26%

+5%

+14%

+13%

+3%

+21%

+11%

Italy

25%

+15%

+29%

+30%

+20%

+44%

+29%

Spain

15%

+29%

+33%

+38%

+18%

+52%

+32%

Germany

8%

–1%

–7%

+15%

–10%

+9%

+6%

Other countries

26%

+16%

+21%

+24%

+9%

+30%

+16%

Total Continental Europe

100%

+14%

+19%

+25%

+9%

+32%

+19%

Japan

65%

+135%

+222%

+167%

+146%

+170%

+137%

Singapore

27%

–2%

+2%

–4%

+24%

+36%

25%

South Korea

8%

+61%

+58%

+63%

+96%

+138%

110%

Total Asia Pacific

100%

+92%

+134%

+103%

+102%

+120%

97%

Total worldwide

100%

+32%

+47%

+46%

+33%

57%

40%

GLOSSARY

– Gulf Cooperation Council countries include: Kuwait, Qatar, Saudi Arabia, United Arab Emirates, Bahrain, Oman

– South East Asia includes: Indonesia, Thailand, Cambodia, Philippines, Vietnam, Malaysia, Singapore

– North East Asia includes: Japan, South Korea

ABOUT GLOBAL BLUE

Global Blue is the business partner for the shopping journey, providing technology and services to enhance the experience and drive performance.

With over 40 years of expertise, today we connect thousands of retailers, acquirers, and hotels with nearly 80 million consumers across 53 countries, in three industries: Tax Free Shopping, Payments and Post-Purchase solutions.

With over 2,000 employees, Global Blue generated €28bn Sales in Store and €422M revenue in FY 2023/24. Global Blue is listed on the New York Stock Exchange.

For more information, please visit www.globalblue.com

Global Blue Monthly Intelligence Briefing, June 2024, Source: Global Blue

1 Recovery rate is equal to 2024 Issued Sales in Store divided by 2019 Issued Sales in Store, like-for-like (i.e.: at constant merchant scope and exchange rates).

2 Eid Al Adha took place from June 15, 2024, to June 20, 2024, while it took place from August 10, 2019 to August 14, 2019.

3 Growth rate variation year-on-year (2024 vs. the same period in 2023)

MEDIA

Virginie Alem – SVP Marketing & Communications

Mail: valem@globalblue.com

INVESTOR RELATIONS

Frances Gibbons – Head of Investor Relations

Mob: +44 (0)7815 034 212

Mail: fgibbons@globalblue.com

Source: Global Blue








FAQ



What is the recovery rate of Global Blue’s Tax Free Shopping in June 2024?


The global recovery rate for Global Blue’s Tax Free Shopping was 168% in June 2024 compared to the same period in 2019.


How did Continental Europe perform in Global Blue’s June 2024 update?


Continental Europe saw a recovery rate of 147% in June 2024, with strong performances in France (164%), Spain (160%), and Italy (163%).


What was the recovery rate for US shoppers in June 2024 according to Global Blue?


The recovery rate for US shoppers was 317% in June 2024.


How did Asia Pacific perform in Global Blue’s June 2024 Tax Free Shopping update?


Asia Pacific had a recovery rate of 236% in June 2024, led by travelers from Hong Kong and Taiwan at 764%.


What was the year-on-year growth in Tax Free Shopping for June 2024?


The year-on-year growth in Tax Free Shopping for June 2024 was 32% globally.





Related Topics:
Continue Reading