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Christmas Season Boosts Catering Business in Hong Kong

Amidst the festive cheer and twinkling lights of Christmas in Hong Kong, the catering industry is experiencing a significant boost in business this holiday season. According to Simon Wong, president of the Hong Kong Federation of Restaurants and Related Trades, the industry has seen an impressive 8 percent increase in business compared to last year, despite the usual exodus of residents from the city.

New Promotion Tactics and Festive Themes Attract Tourists

Wong attributes this surge in business to a variety of factors, including the reinstatement of the multi-entry visa for Shenzhen residents and the hosting of activities like the pyrotechnic show across the harbor. Additionally, the industry has embraced new promotion tactics to entice tourists, such as incorporating festive themes like pandas into their decor and menu offerings.

“We see a lot of hotels and different eateries rolling out new ideas, like using the panda theme, putting up panda decorations, and introducing new dishes. These attract mainland tourists to come to Hong Kong to spend Christmas apart from just seeing the show, as the city has a more festive atmosphere than the mainland,” Wong shared.

Extended Stays and Buffet Offerings Drive Sales

Interestingly, Wong noted that many mainland tourists chose to extend their stays in the city, opting to enjoy the holiday season a little longer rather than heading home immediately after a day trip. Hotels offering buffets were among the establishments that benefited the most from this trend, further driving up sales and foot traffic.

On the other hand, Lau Hak-bun, chief supervisor of The Kowloon Pearls, Precious Stones, Jade, Gold and Silver Ornament Merchants Association, revealed that while the people flow during Christmas saw a significant increase of over 10 percent compared to last year, the sales performance in his sector remained relatively stagnant.

Optimistic Outlook for the New Year

Despite the challenges faced this Christmas season, Lau remains hopeful for the future. With the continued influx of mainland customers following the reinstatement of the multi-entry visa, he anticipates a slight uptick in business leading up to New Year’s Eve. Furthermore, Lau expects gold sales to improve before the Lunar New Year, as customers traditionally purchase gold accessories in preparation for the festival, despite the recent 20 percent increase in gold prices.

As the holiday season continues to unfold in Hong Kong, the catering and retail sectors are navigating a landscape of shifting consumer behaviors and economic factors. With a mix of challenges and opportunities on the horizon, businesses are adapting and innovating to meet the demands of a dynamic market.