SIGNY, Switzerland--(BUSINESS WIRE)--An accelerating worldwide recovery, compared to 2019 levels
Globally, May 2024 recovery is ahead of April 2024 recovery, reaching 172%1 in May vs. 153%1 in April and 140%1 in Q1, driven by a solid momentum across nationalities.
In terms of origin markets, Mainland Chinese shopper recovery continues to accelerate, reaching 132%1 in May versus 112%1 in April and 101%1 in Q1, yet with different dynamics across regions. Japan is currently the country benefiting the most from this acceleration, reaching a record recovery rate of 258%1 in May. This strong performance is attributed to a low Japanese Yen, making Japan today’s most attractive shopping destination around the world for Chinese shoppers, who are highly sensitive to FX rates (pricing elasticity estimated at 3.0x). As a result, 64% of worldwide Mainland Chinese shoppers’ Sales in Store in May is now allocated to Japan, compared to 33% in 2019.
Regarding other nationalities, the recovery is also accelerating, with rates of 210% in May, versus 187% in April and 177% in Q1.
In Continental Europe, May 2024 recovery is ahead of April 2024 recovery, reaching 145%1 in May vs. 137%1 in April, driven by a strong recovery in France (170%1), Spain (169%1) and Italy (164%1). This higher performance is due to a favorable basis of comparison in May, linked to the shift in the Ramadan calendar2. Excluding this effect, the Continental Europe recovery rate in May would have reached 138%. Regarding origin markets, US shopper recovery remains strong, reaching 307%1 in May vs. 336%1 in April. GCC shopper recovery2 stood at 633%1 vs. 198%1 in April, driven by the shift in the Ramadan calendar effect. The recovery from Mainland Chinese shoppers softened slightly in May, at 59%1 compared to 68%1 in April.
In Asia Pacific, the recovery rate reached a record level at 250%1 in May vs. 194%1 in April, fueled by strong performances in Japan (360%1) and South Korea (164%1). In terms of origin markets, travelers from Hong Kong and Taiwan continue to lead the recovery, reaching 705%1 in May vs. 517%1 in April. Following behind are North East Asia travelers, with a recovery rate of 378%1 in May vs. 323%1 in April. Regarding Mainland Chinese shoppers, the recovery continues to accelerate, reaching 221%1 in May, versus 156%1 in April.
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 +47%3 in May 2024 vs. +46%3 in April and +40%3 in Q1. The momentum remains solid across nationalities, with Mainland Chinese shoppers, in particular, growing by +164%3 in May 2024, vs. +148%3 in April and +214%3 in Q1 2024.
The issued Sales in Store in Continental Europe grew by +19%3 in May 2024 vs. last year, influenced by a positive dynamic across nationalities. Regarding origin markets, a positive momentum for issued Sales in Stores growth is visible across all nationalities, with Mainland Chinese shoppers leading the way with a +39%3 growth rate in May 2024. US shopper growth reached +21%3 and GCC shopper growth reached +20%3.
In Asia Pacific, the issued Sales in Stores growth rate continues to remain high, reaching +134%3 in May 2024 vs. last year. All nationalities contributed positively, with Mainland Chinese leading the way at +272%3 in May 2024 vs. 2023, North East shoppers at +163%3 and Hong Kong and Taiwan at +92%3.
APPENDIX
Worldwide recovery rate (versus 2019) rate
Issued SIS L/L recovery1 (in % of 2019) |
% Issued SIS 2019 |
May 2024 |
April 2024 |
March 2024 |
February 2024 |
CY Q1 2024 |
CY Q4 2023 |
France |
22% |
170% |
158% |
160% |
174% |
165% |
140% |
Italy |
24% |
164% |
145% |
135% |
131% |
123% |
123% |
Spain |
14% |
169% |
166% |
152% |
134% |
151% |
133% |
Germany |
13% |
73% |
73% |
69% |
71% |
65% |
74% |
Other countries |
27% |
127% |
129% |
121% |
127% |
126% |
111% |
Total Continental Europe |
100% |
145% |
137% |
130% |
132% |
128% |
118% |
Japan |
54% |
360% |
262% |
235% |
229% |
232% |
225% |
Singapore |
42% |
103% |
81% |
111% |
84% |
92% |
75% |
South Korea |
4% |
164% |
140% |
127% |
118% |
125% |
111% |
Total Asia Pacific |
100% |
250% |
192% |
181% |
159% |
166% |
150% |
Total worldwide |
100% |
172% |
153% |
145% |
141% |
140% |
127% |
Worldwide Year-on-Year Growth Rate (2024 vs. 2023)
Issued SIS L/L Year-on-Year Growth3 |
% Issued SIS 2023 |
May 2024 |
April 2024 |
March 2024 |
February 2024 |
January 2024 |
CY Q1 2024 |
France |
26% |
+14% |
+13% |
+3% |
+21% |
+11% |
+11% |
Italy |
25% |
+29% |
+30% |
+20% |
+44% |
+26% |
+29% |
Spain |
15% |
+33% |
+38% |
+18% |
+52% |
+31% |
+32% |
Germany |
8% |
-7% |
+15% |
-10% |
+9% |
+20% |
+6% |
Other countries |
26% |
+21% |
+24% |
+9% |
+30% |
+8% |
+16% |
Total Continental Europe |
100% |
+19% |
+25% |
+9% |
+32% |
+17% |
+19% |
Japan |
65% |
+222% |
+167% |
+146% |
+170% |
+100% |
+137% |
Singapore |
27% |
+2% |
-4% |
+24% |
+36% |
+15% |
25% |
South Korea |
8% |
+58% |
+63% |
+96% |
+138% |
+108% |
110% |
Total Asia Pacific |
100% |
+134% |
+103% |
+102% |
+120% |
+71% |
97% |
Total worldwide |
100% |
+47% |
+46% |
+33% |
57% |
+34% |
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
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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.
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For more information, please visit www.globalblue.com
Global Blue Monthly Intelligence Briefing, May 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 Ramadan took place from March 10 to April 9 in 2024; while it took place from May 5 to June 3 in 2019.
3 Growth rate variation year-on-year (2024 vs. the same period in 2023)
