Distribution channels

Hong Kong

Evolution of the sector: Retail sale represented 31.8 billion USD in 2007.
Market shares: There are 2 distinct categories of consumers in Hong Kong : on one hand the local consumer, who are 6.5 million in number, and on the other hand tourists, lovers of luxury goods (tourism generates more than 10 billion USD of income each year).
It is to be noted that the tourists coming for`shopping` are mainly Chinese from the Mainland.
The Distribution network consists of several small and medium family type enterprises who tend to be grouped together. The large stores like Lane Crawford, Seibu or Sogo display an upscale image whereas the supermarkets and neighbourhood stores as Wing on, Sincere and Jusco are more suitable for bulk products. The latter market being dominated by the duopoly - Park'n shop and Wellcome. Discount stores are also present in Hong Kong and are suited for products with low shelf life.
Other neighbourhood stores present extensively on the territory are 7/11 and Circle K, small stores with less range, for convenience and small volume purchases. These stores are open 24/24 hours.
It is to be also noted that Manning`s and Watson are more sophisticated and positioned for hygiene, beauty, home care and baby products.
Organizations in the retail sector: Hong Kong Retail Management Association(HKRMA)

Most popular forms of direct marketing: Email, fax, telemarketing, teleshopping
Type of products: All type of products
Evolution of the sector: Consumers of Hong Kong prefer to buy in the store rather than by internet or by distance selling (tele-sales). However, since the 1998 crisis, direct selling has not stopped growing, particularly that pertaining to dietary supplements.
In Hong Kong, 90% of the population has access to Internet. The B2B e-commerce is highly developed. Consumers still remain hesitant for online purchases due to security reasons and a lack of confidence on the websites.
Other direct marketing companies: ADMA

Shop in HK	E-commerce	Books, CD, DVD, clothes, foodstuffs, gifts, toys, personal care
HKshop.com	E-commerce	DVD, clothes, souvenirs, flowers, video and PC games, magazines
CNTVS	Teleshopping, e-commerce	Mobiles, electrical goods, jewellery, watches, make-up, decorations

Main useful means of transport: HK is one of the most important logistics centre of Asia. It is the first ranked airport in terms of freight and third largest container port in the world.
Hong Kong port is probably the first ranked container port of the world for the year 2007 with 24 million of TEU (Twenty feet Equivalent Unit) handled. 245,433,000 tons of goods have transitted through Hong Kong in 2007. Its strategic position makes it the port of access to the Chinese market as well as an unavoidable transit point for international trade. Shipowners from Hong Kong control around 6% of the world's fleet.
Hong Kong airport has handled 3.7 millions tons of freight.
Ports: Hong Kong Port
Airports: Hong Kong Airport
Sea transport organizations: Marine Department
Air transport organizations: Hong Kong Airport Authority
Road transport organizations: Transport Department
Highways Department
Rail transport organizations: Transport Department

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