2026-01-03•6 min read
Airport Duty Free vs City Stores: Which is Cheaper for Luxury?
Many travelers assume duty-free means cheaper. The truth is more complicated. Here's what you need to know.
The Myth of Duty-Free Savings
"Duty-free" means you don't pay local taxes on purchases. But this doesn't automatically mean cheaper prices because:
- Higher base prices - Airports charge premium rents
- Limited selection - Smaller inventory than city stores
- No VAT refund comparison - City stores offer similar tax savings
Price Comparison: Airport vs City
| Location | Price | Notes |
|---|---|---|
| Paris CDG (Duty Free) | €5,500 | Tax already removed |
| Paris City Store | €5,500 | +12% VAT refund = €4,840 |
Result: City store with VAT refund is actually ~12% cheaper!
When Duty-Free IS Cheaper
There are specific cases where airport shopping makes sense:
- Countries without VAT refund (US, UK post-Brexit)
- Alcohol and tobacco - Genuinely tax-free
- Cosmetics and perfume - Often have exclusive sets
- Last-minute gifts - Convenience factor
When to Buy in City Stores Instead
- All European luxury brands - VAT refund beats duty-free
- Japan - Full 10% tax refund at store, same as duty-free
- When you want specific items - Better selection in city
- For large purchases - Better service and experience
Airport Shopping Tips (If You Must)
- Compare prices beforehand - Use WiseBuy to check city prices
- Ask about price matching - Some airports will match
- Check exchange rates - Airport rates are often worse
- Buy cosmetics/perfume - These are genuinely good deals
Bottom Line
City stores with VAT refund typically beat airport duty-free pricesfor luxury goods. The exception is countries without VAT refunds (US, UK). Always check WiseBuy before assuming duty-free is the best deal.
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