Consumer Products

The following areas currently offer an abundance of opportunities in the world of consumer products:

• Retail – Hong Kong experienced a strong recovery of retail sales in 2023 amounted to over HK$406 billion with a 16.2% year-on-year growth, becoming the world’s highest per capita spender in luxury retail in 2023. The many shopping malls, high street locations and other retail formats  gives brands the regional exposure to launch and grow in Asia. 
• Cosmetics & Personal Care – Hong Kong’s open regulatory environment for cosmetics has ensured significant market space for both cosmetics and personal care. Sales of cosmetics and personal care items amounted to nearly HK$31 billion in 2023 with a growth pace of 39% year-on-year. Sales channels include stand-alone boutiques, multi-brand retailers, online platforms and beauty salons. Hong Kong has 5,483 establishments of retail sale of pharmaceutical, medical and health goods, cosmetics and personal care in 2023. Cosmetics and personal care items are a favorite purchase category for both local consumers and international and Mainland visitors for its attractive prices with no sales tax nor import duties (except 4 types of goods) and a wide global selection available in the city. 
• Sports Products – With Hong Kong’s upcoming development blueprint for sports and recreation facilities, providing about 30 diversified facilities by phases, such as sports centres, swimming pools, sports grounds and parks. Among which, the nearly completed Kai Tak Sports Park offers a state of art venue for sports and entertainment events with 700,000+ sq ft retail space for sportswear, equipment and wellness services. The sales of sportswear alone amounted to around HK$15.5 billion in 2022. There is staunch supporting including government matching fund for mega sports events such as Rugby Sevens, Cyclothon (with around 5,000 participants annually), Hong Kong Marathon (with over 50,000 participants annually), LIV Golf etc creating a lasting traction for local sports development. 
• Jewellery – Hong Kong is an essential trade and retail hub for jewellery, gemstones and timepieces. There is a flourishing trade of diamond trading companies who manage international sales from a base in the city. The total trade in diamonds, precious stones and jewellery exceeded HK$523 billion in 2023. Jewellery exports alone scaled HK$85 billion last year. Hong Kong is one of the premier hubs for the luxury watch segment, with an established retail network and a growing ecosystem of second hand and vintage sellers. Retail sales of the segment saw a 54.9% year-on-year growth scaled HK$60 billion in 2023.
• Pet Products – The pet population in Hong Kong had jumped from 50,000 to 1.19 million between 2018 and 2023, making the demand for high quality pet supplies on the constant rise with 4.2% year-on-year expansion last year even after 2021’s spike of growth that was almost 20%. This trend is projected to continue in the coming years, opening up new retail opportunities for providers of pet supplies, particularly in the fast-growing eCommerce channel. 
• eCommerce – Domestic online retail scales HK$32.5 billion in 2023. According to the largest local Ecommerce platform, the top 3 sales contributors in 2023 were groceries, beauty and health, digital and electronics. Hong Kong has a complete supply chain for e-commerce players from online-to-offline (O2O) stores to fulfilment centres. It is also a hub for cross border enabled by its world-class financial and logistics infrastructure. For instance, Hong Kong International Airport is the world’s busiest cargo airport with export air cargo clearance can be done as fast as 15 minutes.
• Sourcing – Many of the world’s biggest retailers have set up their regional or global sourcing operations in Hong Kong to leverage the city’s strategic business advantages, sourcing and digital infrastructure as well as an established pool of talent. The ecosystem is supported by world class trade shows, show rooms and suppliers.  Hong Kong is also a popular place to set up a corporate treasury centre to manage capital flows and trade finance.