Department stores in Hong Kong faced a challenging year in 2019. Trade tensions between the US and China continued to weigh on the business environment as well as slowing global economic growth.
Increasingly, customers want to have the flexibility of choosing when, where and how they buy products. They also want to be recognised by brands as individuals, especially millennials and Generation Z consumers.
In view of the increased competition and a deteriorating macroenvironment, retaining customer loyalty was a key focus for department stores in 2019. Leading department store Sogo continued to invest heavily in the marketing of its loyalty programme in 2019, with membership reaching 657,000 in June and sales to members reaching 55% of the total revenue at its Causeway Bay store, according to the company.
In 2019, Sogo (Lifestyle International Holdings Ltd) retained its leading position in department stores in Hong Kong, ahead of retailers such as Yata, Lane Crawford and AEON. Although followed by a challenging second half of year, Sogo’s performance in the first six months of 2019 was strong.
2019 was a challenging year for Wing On. The brand has been present in Hong Kong for over a century but is suffering from an outdated brand image among new-generation customers.
In 2019, AEON made a strategic technological investment by deciding to introduce new enterprise resource planning (ERP) in an effort to promote digitalisation. The new ERP is expected to improve the workflow of operations and offer a more attentive shopping experience to customers.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Department Stores industry in Hong Kong, China with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Department Stores industry in Hong Kong, China, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Department Stores research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page