Retail sales in Hong Kong fell by 4.2% year-on-year in November last year, and "cracked" after two consecutive months of growth.
Tse Qiu Anyi, chairman of the Hong Kong Retail Management Association, expects that retail sales performance in November and December last year will be flat or down year-on-year, and will be flat or slightly down for the whole of last year.
She pointed out that during Christmas last December and the coming Lunar New Year, most of the interviewed members reported that the Hong Kong government has greatly relaxed the epidemic prevention measures, which did not help business and people's consumption desire. The increase ranged from single digits to low double digits, but more than half of the companies remained flat or declined, describing the situation as "abnormal" in terms of the traditional peak seasons of Christmas and New Year's Day, but the overall performance was still higher than last November.
Xie Qiu Anyi pointed out that customs clearance does not mean that business will resume immediately, and appealed to the owners to be considerate.
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In terms of customs clearance with the mainland, members are generally cautious about customs clearance in the first half of the year to promote sales, mainly due to weak domestic consumption and outbreaks of epidemics in various places. It is believed that it will take a while for mainland tourists to come to Hong Kong for normal shopping.
She also pointed out that there are owners after the government announced customs clearance.
Immediately contact the tenants to renew the long-term contract and increase the rent. She pointed out that the industry is still very worried about the situation in the first half of this year. Customs clearance does not mean that the business will resume immediately, and she appeals to the owners for understanding.
As for the performance of the Lunar New Year and the first quarter, she expects that since the beginning of 2022 is the early stage of the fifth wave of the epidemic, many merchants are expected to record a low double-digit increase of 30% or 40% due to the extremely low base effect.
