Hong Kong Trade Development Council (HKTDC) yesterday (August 7) released the "Report on Hong Kong Businesses Navigating Mainland China E-commerce Retail Market - Consumer Survey Results". The results indicate that Hong Kong products are generally well-received by mainland online shoppers, with 78% of mainland respondents having purchased Hong Kong products online in the past year.
HKTDC Director of Research Irina Fan said, "Mainland consumers are highly accustomed to online shopping, averaging 9.4 online purchases per month, particularly in tier-one and Greater Bay Area (GBA) cities. When shopping online, they prioritize product authenticity over simply seeking low prices. This insight suggests Hong Kong businesses can leverage the superior quality of Hong Kong products and the strong reputation of Hong Kong brands in the mainland to expand in the e-commerce market. They should flexibly utilize comprehensive and 'interest-based' platforms, as well as livestreaming and short videos for promotion, employing precision marketing strategies to stand out in the highly competitive market."
The survey found that mainland online shoppers generally favor Hong Kong products, especially in regions with higher consumption levels: 78% of respondents had purchased Hong Kong products online in the past year, with younger consumers and high-consumption regions showing particular enthusiasm. Among them, the proportion was 85% in tier-one cities, 81% in the GBA, 78% in tier-two cities, and 74% in tier-three cities.
Hong Kong products are more popular among younger consumers: 83% of respondents aged 18-29 reported having purchased Hong Kong products online in the past year, followed by consumers aged 30-49 (82%), while the proportion was lower among those aged 50 and above (65%).
Electronics and luxury goods are most attractive
In high-consumption regions, female consumers showed a stronger preference for Hong Kong products. Overall, the gender distribution was similar, with 77% of male consumers and 79% of female consumers having made such purchases. However, in tier-one and tier-two cities and the GBA, significantly more female consumers had bought Hong Kong products online.
Mainland online shoppers hold favorable opinions and satisfaction toward Hong Kong goods, brands, or online stores from Hong Kong: On average, Hong Kong products scored 8.7 points, with third-tier cities rating them even higher at 9.2 points. Younger consumers particularly liked Hong Kong products, with the 18-29 age group giving the highest rating of 8.9 points.
In terms of product categories, mainland online shoppers purchased more Hong Kong electronics, luxury goods, and fashion products. Among Hong Kong's e-commerce offerings, consumer electronics and appliances were the most attractive, favored by 72% of respondents, followed by luxury goods (46%) and fashion products (41%).
From a regional perspective, GBA consumers had the highest proportion of online purchases for electronics and appliances (79%), with tier-one cities close behind (78%). For luxury goods, the proportions were similar among tier-one cities (53%), the GBA (52%), and tier-two cities (51%).
Additionally, the average order value for Hong Kong pet products, children's products, fresh food, and pharmaceuticals/health supplements was higher than the overall average: Consumers who purchased Hong Kong products spent more on children's products (24% higher than the overall average), pharmaceuticals and health supplements (16% higher), pet products (29% higher), and fresh food (18% higher).
This survey was commissioned by HKTDC Research and conducted by a market research agency in the second and third quarters of last year, interviewing 2,200 middle-class or above consumers from various mainland cities to understand their online shopping behavior and preferences for Hong Kong products. The findings aim to help Hong Kong businesses develop suitable strategies to capture opportunities in the mainland e-commerce retail market.
To assist Hong Kong SMEs in expanding into the mainland e-commerce market, HKTDC will host the second "Hong Kong Shopping Festival" on a mainland e-commerce platform from August 1 to 31. The second edition of the festival has attracted nearly 260 brands, covering seven major product categories and offering over 500 specialty products with month-long discounts.
Promotion needs caution
Hong Kong products have significant potential in the mainland e-commerce market. While many Hong Kong companies may initially collaborate with influencers/KOLs, according to HKTDC's economist(Greater China Research Team), Eric Chu's case studies on mainland e-commerce and service providers, "influencer marketing" may not necessarily deliver sustained sales results.
Chu suggested that Hong Kong businesses could consider adopting a multi-channel operational strategy, including leveraging both traditional shelf-based platforms and emerging "interest-based" platforms to reach different consumer groups and increase traffic. When collaborating with influencers/KOLs, companies should not solely consider the influencer's reach but also combine comprehensive market analysis to select the most suitable partners. Businesses could also actively explore partnerships with professional online marketing agencies, such as agents, who can recommend appropriate influencers and provide content creation and promotion services to maximize the effectiveness of online marketing and achieve cost efficiency in content marketing.
Moreover, mainland laws and regulations impose strict requirements on online operations. For example, standards for online hosts' behavior, including their marketing tactics and content review, are gradually being standardized. He recommended that companies strengthen cooperation with local service providers, leveraging their industry experience to avoid common legal and operational pitfalls and ensure healthy development in the mainland market.
Chu further noted that many platforms now offer services like "same-day delivery," allowing consumers to receive some goods even before a livestream ends. This means businesses need to consider how to enhance rapid delivery capabilities to avoid customer dissatisfaction or loss due to shipping delays. Therefore, companies should develop reasonable logistics and warehousing strategies and consider using third-party logistics providers.
(Source: Wen Wei Po; Journalist: Ivy Chong; English Editor: Darius)
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