Concept in Definition ABC

The word duty-free refers to a type of establishment whose main characteristic is exemption from paying taxes. This type of business is widespread throughout the world and, in particular, in airport areas intended exclusively for passengers who make international flights. For this reason, passengers who make their purchases in duty-free have the obligation to show your boarding pass that proves that your flight is international.

In these establishments, tobacco and liquor are usually bought, as they are products that normally have high taxes associated with them. However, in duty-free shops, the sale of perfumes, electronic devices and gifts is also typical.

Duty-free shops offer better prices at consumer because the products for sale have not been introduced into the country, but are located in a transit area of ​​the airports (these establishments do not pay taxes of import for the products they put on sale).

The use of this term in English is due to the fact that this language is the one that has

tax internationally in the communication airport in the vast majority of countries. Thus, a passenger at any airport in the world can see signs with English words (gate, exit, departures, arrivals, fly, luggage, etc). If we had to translate duty-free into Spanish it could be called in several ways: Commerce duty free or duty free sale. Remember that in English duty means tariff or duty and free has, among others senses, the meaning of free or exempt.

Savings in duty-free

These businesses belong to one sector, travel-retail (airport trade) and are part of a broader sector, retail trade. Some consumer associations have carried out various studies to see if the theoretical saving of duty-free is really real. The conclusions suggest that there is savings (in alcohol it can be 50%) but only in certain products and not all of them (for example, buying souvenirs is usually more expensive in these establishments in comparison with traditional local shops).

Duty-free companies extend their strategy commercial beyond the airport shops, since they also sell their products in flight and for this they inform passengers through specialized magazines at their disposal. Buying on board or even pre-ordering is one way to reach as many customers as possible.

Topics in Duty Free