What is Retail Tourism? And Why Retailers Should Care?
What is Retail Tourism
Retail tourism or shopping tourism refers to the important link between the tourist industry and retailing. Shopping, buying local products and trying out local cuisines are integral aspects of the tourist experience. Thus if a tourist industry of any country prospers, it provides ample opportunities for the retailers to benefit from the influx of tourists both local and foreigners.
Retail Tourism in Pakistan
Retail tourism in Pakistan has a vast scope. Many cities in Pakistan have a rich history with monuments and sites commemorating various historical eras, events and personalities. The September 2019 report ‘The Cultural Heritage and Museums Visits’ by Gallup Pakistan indicates a 317% increase in tourist traffic to cultural sites in Pakistan during the last five years. And Punjab contributes approximately 95% of this traffic. The report data also shows a two folds increase in total foreign visits to both cultural and museum sites over the past five years. These figures are promising for the retail industrt.
Not just museums and cultural sites, but many old bazaars and markets can also become popular tourist spots. These bazaars have a vintage feel and the buildings and monuments that exist there have witnessed history. Consider one of the most famous and historical bazaars of Lahore, the Anarkali Bazaar. It is not just a hub of apparel and shoe retail but also has a great attraction for tourists owing to the many historical landmarks strewn in the bazaar.
Similarly, there are many old markets in and around the walled city. Azam cloth market is one such market with a rich history. Then we have Nisbat Road Camera Market, Moti Bazar, Brandreth road market, to name just a few. Moreover, Religious tourism also forms an integral part of the Pakistan tourist industry, and many cities, especially in Punjab and Sindh are the eternal abodes of famous Sufi saints. Shrine retail is thus an important sector, and the tourists visiting these shrines inevitably indulge in some sort of retail therapy either by buying things as mementos or other local stuff and trying out famous traditional food.
Now the newly opened Kartarpur corridor is another opportunity for the retailers to showcase their products and provide goods and services to the tourists visiting the site.
Why Retailers Should Care
As the tourist trade expands in Pakistan, the retail industry can benefit from it not just by ensuring their presence near the famous tourist attractions but also by forming partnership with the tour companies, travel agents, tour operators and tour guides. Such partnerships are based on mutually agreed terms and conditions. The terms concerning the retailing part involve commission percentages for the tour operators or tour-guides who bring visitors to the retail outlets. Retail outlets need a system in place whereby they can keep track of all such logistics.
Retail Tourism and Candela Retail Software
Retailers need to leverage the burgeoning retail tourism in Pakistan. As we have discussed above, retail tourism is not just about handicrafts and souvenir shops. The tourists are interested in getting a feel of the place and have an authentic cultural experience. Local markets and local food joints thus work hand in hand with retail tourist industry. Retailers can form partnerships with local tour companies and travel guides to create a win-win situation for all parties.
As you know, Candela retail software is all about catering to the retail industry in the best possible ways. Keeping in view the importance of this new trend, there is now a new retail tourism module in Candela. Candela users can use this module to configure tour details, register tours, calculate commission, scan tourists’ codes, and generate reports to analyze how every tour benefits them.
Here’s the link to the tutorials of retail tourism module. We will also share details of the module in the next article.
How do you think the tourist retail can impact the retaail industry in Pakistan? Do let us know in the comments section below.