The need for rejuvenation of Norfolk Island's shopping sector

Shopping is an activity that is central to the tourism experience. It is also an important source of employment and often generates significant revenue for the public sector. For the retail to function effectively, retailers need to understand the needs of their customers and update their range of goods as demand changes. If the retail sector fails to recognise changing demand patterns, consumer gaps will emerge as has been the case on Norfolk Island. In this case, the consumer gap has emerged because the destination has failed to recognise that the generational membership of its seniors market has shifted from the Builders generation to the Baby boomer generation. The problem has been made in worse on Norfolk Island because the government derives a significant proportion of its tax revenue from a 10% tax on the sales of goods. This chapter examines the extent of the consumer gap in the retail sector and finds that it can only be redressed by a rejuvenation of the Island's shopping sector.