Category: General

Retail News Asia is committed to providing both local and global retailers with the latest General Retail news throughout the Asian market. This on a daily base.

  • Hema now delivering 24 hours a day

    Hema now delivering 24 hours a day

    Alibaba’s Hema supermarkets have launched 24-hour delivery services in a move to bolster the brand’s “New Retail” services.

    Initially the round-the-clock service is limited to the 25 Hema stores in Beijing and Shanghai. Consumers who live within 3km of a Hema store will be able to shop via the mobile app and order items for delivery between 10pm and 7am, when the bricks-and-mortar store is closed.

    Most items in store can be delivered with the exception of some fresh produce. Cooked meals will be available for delivery until 1am.

    “We found that New Retail doesn’t only merge online with offline, but also connects day and night,” says Hema chief executive Hou Yi. “There are definitely consumer demands that are specific to night time.”

    More than 80 million Taobao and T-mall users visit the sites between midnight and 4am, says Alibaba.

    Meanwhile, Alibaba has taken full ownership of the Ele.me online delivery service.

  • AirAsia to expand services from Kolkata

    AirAsia to expand services from Kolkata

    AirAsia is rolling out tickets for a price of Rs 1,699. This offer comes as AirAsia India introduces new routes from Kolkata to Guwahati, Imphal, Pune and Visakhapatnam. The offer is available till April 15, 2018 and the travel period that starts on May 11, 2018 ends on May 30, 2018. Advance bookings are required to avail this offer.

    While the fares for rest of the routes begin from Rs 1,699, the ticket price to and from Kolkata and Pune is a little steep at Rs 3,499.

    The offer can be availed only through online bookings. The website also mentioned that seats are limited and might not be available for all the flights. Payments through credit, debit or charge cards would be subjected to a non-refundable processing fee.

    AirAsia India recently expanded its fleet to 18 planes with the induction of a new Airbus A320. This has been instrumental in adding the new routes for the airline and enhancing the frequency between Kolkata and Bagdogra.

    The 18th A320 aircraft has been stationed in Kolkata, the third base for the airline, as mentioned by AirAsia India in a release. The other two bases are Bengaluru and New Delhi.

    “We are happy to be expanding our presence in Kolkata with these new routes connecting tier-II/III cities. This year continues to be exciting for us and we look forward to enabling many more people to experience affordable air travel,” AirAsia India managing director and chief executive Amar Abrol said.

    The Bengaluru-based airline, which will be completing four years of operations in June this year, flies to 19 destinations covering Kochi, Goa, Jaipur, Chandigarh, Pune, Guwahati, Imphal, Visakhapatnam, Hyderabad, Srinagar, Bagdogra, Ranchi, Bhubaneswar, Nagpur, Indore and Chennai from three bases.

  • SookSiam centrepiece for IconSiam Thailand

    SookSiam centrepiece for IconSiam Thailand

    IconSiam will showcase the best products, services and artistic creations from Thailand’s 77 provinces in a single exciting destination when the massive THB 54 billion (US$1.7 billion) riverside landmark development opens later this year.

    Called SookSiam, the retail space will take up 15,000sqm of the ground floor of the massive shopping destination being built on the banks of the Chao Phraya River.

    The THB 700 million (US$22.4 million) SookSiam is expected to attract 21.9 million visitors, annually, and introduce a new retail concept to Thailand which IconSiam calls “co-creation”.

    Chadatip Chutrakul, IconSiam director and Siam Piwat CEO, promises SookSiam will be “an immersive, emotional and entertaining” drawcard to the mall.

    “It is a part of IconSiam’s commitment to bring all that makes Thailand great to the world’s attention. It will help small enterprise owners, artisans, artists, and performers who are local heroes from around the country access a globally visible, omni-channel platform on which to showcase their creations and become integrated into a greater commercial ecosystem. This will help local heroes become national heroes and global heroes,” she says.

    “SookSiam is conceived as a place that will present the cultural heritage of the four main geographic regions of Thailand, capturing their arts, handicrafts, performing arts, and local wisdom. Within SookSiam are outlets of varying types that are built in the style of their respective regions, and which offer regional specialties, whether they be crafts, foods, beverages, or services that are unique to that region.

    “We have layered on top of this a completely new, emotional dimension by letting visitors experience the stories behind everything they see, and we let them know about the people involved with each place, product, and service at SookSiam. It makes the offerings at SookSiam exciting and meaningful, and the destination very much more engaging because of the deeper knowledge that visitors will have about all that is around them,” says Chutrakul.

    Local builders drawn from each region will construct SookSiam and more than 200 artists have been commissioned to decorate it.

    “Their involvement in the creation of the regional zones has been the key to making the entire destination impeccably faithful to the artistic heritage of the localities and in a way that could only be done by a truly local person,” she says.

    Authenticity key

    “What’s never been done before and what makes SookSiam truly unique is its authenticity.

    The outlets at SookSiam are real stores that all also exist in towns and villages around Thailand and which have been transposed into SookSiam. They are small mom-and-pop operations that are famous in their localities but which have never had a chance to present themselves to a wider national or global audience. They are stores with real, extraordinary stories and real, multi-generational legacies that are rooted in their respective local communities,” says Chutrakul.

    “SookSiam is like a window into every province and into every corner of Thailand. People can see, feel, and experience with their every sense the true heart and soul of each locality.”

    She believes the destination will help every Thai and foreign visitor connect with and admire products, recipes and artistic creations that are the result of dedication and accumulated knowledge built up through generations.

    “Because of this, the destination has an emotional dimension that comes from the lives and life stories behind everything present at SookSiam. It is a very moving experience because it honours the heritage of so many great people who have been a living part of our culture and of Thainess, but who have been hidden from view. Nothing like this has ever been done in Thailand before,” she says.

    SookSiam is being produced and curated by Luckana Naviroj, who is known for her expertise in sourcing authentic products and foodstuffs from around Thailand.

    Naviroj said the outlets in SookSiam all have a real counterpart in small towns in Thailand, and that many of them are enterprises that have been operated by several generations of the same family.

    “We travelled the entire country to find these unique shops, artisans, and artists, and invited them into SookSiam, which will serve as an extraordinary platform onto which people – the “local heroes” from around the country – can place their talents and products, and draw global attention as well as expanded sales opportunities, 365 days a year.

    “Thai and foreign visitors to SookSiam will have the opportunity to experience or purchase some genuinely exciting and special offerings which have been hidden away in towns and villages around Thailand,” she says.

    Preserving the nation’s heritage

    Naviroj says helping these small operators will help preserve Thailand’s cultural heritage and the rapidly disappearing Thai way of life.

    “SookSiam offers a platform that will help the next generation turn their legacies into bigger enterprises that can challenge and reward them enough for them to continue in their families’ proud traditions while preserving Thailand’s priceless cultural heritage at the same time.  Without an opportunity to expand their businesses and become part of a greater commercial ecosystem, or for artists and artisans to attract more sponsors, the next generation will, almost certainly, abandon their occupations and turn to new sources of employment leading to the loss, forever, of our cultural heritage and the way of life that has defined what it means to be Thai.”

    Co-creation initiative

    Meanwhile, Chutrakul says SookSiam is the first example of a new retail approach called “co-creation” around which the entire IconSiam development is designed.

    “Everyone involved with IconSiam, whether they be outlets selling products, or designers and artists showcasing their creations, are an inseparable part of our business model and our design and development process. IconSiam is being created in collaboration with thousands of tenants and other partners. SookSiam represents that co-creation concept perfectly because everything special being presented at SookSiam is actually created by someone somewhere else in Thailand. We ‘co-create’ with them by adding our knowledge of consumer preferences and supporting them with innovation as well as retailing and marketing techniques based on our insights into the needs of Thai and foreign visitors. We also assist them in ‘curating’ the selection and presentation of their offerings at SookSiam, all in a way that is consistent with the government’s Thailand 4.0 program to help people add value to their intellectual property and proprietary skills,” she concludes.

    IconSiam will open in the last quarter of this year.

  • AirAsia to change flight schedule due to Boracay closure

    AirAsia to change flight schedule due to Boracay closure

    AirAsia will change its flight schedule in line with the Philippines’ government order to close Boracay island for rehabilitation from April 26 to Oct 26, 2018.

    During the six-month period, AirAsia will make the following changes to its scheduled Caticlan (MPH) and Kalibo (KLO) flights.

    To not disrupt their guests’ holiday plans, AirAsia will mount additional flights to popular leisure destinations Palawan, Bohol, Cebu, and Davao in the Philippines.

    Guests who are affected by the changes and hold flight bookings from 26 April to 26 Oct, 2018 will be notified via email and SMS.

    “AirAsia strongly urges all guests to keep their email address and mobile number (with country code prefix) updated in their AirAsia member profile to ensure we can reach them for timely assistance,” said the low-cost airline in a statement on Thursday.

    For immediate assistance and additional information, customers can reach AirAsia via their contact channels listed on support.airasia.com.

    Listed below are the guides provided to assist customers.

    Affected guests will be able to choose one from the following service recovery options:

    a.     Change destination: Option to be accommodated on any domestic flights operated by AirAsia Philippines (carrier code Z2) within 30 days of the original travel date at no extra cost, subject to seat availability and government mandated taxes. Fare difference shall apply for international flights and changes to travel date beyond 30 calendar days; or

    b.     Move flight date: Change to a new travel date on the same route without additional cost, subject to seat availability; or

    c.     Credit account: Retain the value of fare in your AirAsia BIG Loyalty account for future travel with AirAsia. The online credit  account is valid for booking within 180 calendar days from the date of issue; or

    d.     Full refund: Obtain a full refund to your original payment method for the amount equivalent to your booking.

    Guests who wish to opt for move flight date, change destination or credit account are urged to fill in an e-Form available on support.airasia.com:

    1.     Click on the Email Us tab on the right panel

    2.     Select Enquiry/Request under Type of Feedback

    3.     Select Booking under Sub Category 1

    4.     Select Boracay Closure for Sub Category 2

    5.     Type in your option under Subject: “Boracay – Move Flight” OR ”Boracay – Change Destination” OR “Boracay – Credit Account”

    6.     Complete the remaining form fields and click Submit to proceed

    a.     For move flight, please provide new flight details (date and time) and passenger name(s)

    b.     For change of destination, please provide new destination, flight details (date and time) and passenger(s)

    c.     For credit account, please provide your AirAsia BIG Loyalty member ID

    Guests wanting a full refund must fill in an e-Form available on support.airasia.com:

    1.     Click on the Email Us tab on the right panel

    2.     Select Refund under Type of Feedback

    3.     Select Flight Cancellation under Sub Category 1

    4.     Type in Subject field: “Boracay – Refund”

    5.     Complete the remaining form fields and click Submit to proceed

  • Lotte unveils El Cube Game in Korea

    Lotte unveils El Cube Game in Korea

    South Korean retail giant Lotte opens a dedicated game products store in Seoul tomorrow amid a rapid growth of the country’s computer game industry.

    Lotte Shopping Co said it has remodelled its el Cube store in Hongdae, western Seoul, into a shop exclusively for games, to be called el Cube Game.

    El Cube is Lotte Department Store’s “mini” version, targeting consumers in their 20s and 30s. There are currently five el Cube outlets throughout the country.

    Lotte said the first offline store of Netmarble Games, South Korea’s top mobile game maker, will open at its outlet in Hongdae, one of South Korea’s most popular hangout places.

    The El Cube game store will also sell toys targeting “kidults,” referring to adults with a keen interest in toys that many regard as for children, it said.

    The market size of South Korea’s game industry was valued at around 11.5 trillion won (US$10.84 billion) as of last year, up 18.5 per cent from 9.7 trillion won in 2013, Lotte said, citing the Korea Creative Content Agency.

  • FamilyMart Taiwan launches digital prototype, including VR

    FamilyMart Taiwan launches digital prototype, including VR

    FamilyMart Taiwan has launched a pilot convenience store concept that incorporates a range of digital technology including robots, VR interfaces, interactive projection screens, smart shelves and blockchain applications.

    A Fujitsu Robopin communication robot is stationed at the entrance to highlight offers and in-store events, while video content about products is projected on to the doors of freezer units.

    Electronic price tags interact with POS registers to update automatically, and product information is available through QR codes and NFC(5) technology built into the price tags.

    FamilyMart says it will study the results of the prototype store with a view to rolling out the technology to other stores.

    FamilyMart Taiwan chairman Yeh Jung-ting says convenience stores need to be modernised according to the world around them, as well in preparation for workforce shortages.

    He says Family Mart still wants locations to be personable, and while there will be fewer staff, the new stores will not be devoid of staff like some 7-Eleven outlets. The idea is to add efficiency to shopping for both customers and staff.

    One of the greatest advantages will be eliminating the time spent ordering stock. Previously ordering goods took around two hours, whereas smart shelves whittle down that time to seconds.

    Ultimately, there will be 17 technological upgrades made by possible by 15 new partnerships.

  • AirAsia extends it’s network from Penang

    AirAsia extends it’s network from Penang

    AirAsia confirmed Wednesday it will fly a direct service from Penang to Hanoi, Vietnam and Phuket, Thailand, effective 1 July.

    Operated exclusively by AirAsia Berhad (AK), the direct flights to Hanoi and Phuket mark the airline’s ninth and 10 route from Penang Island in northern Malaysia.

    Flights from Penang to Hanoi will operate four times weekly, while flights to Phuket will operate daily.

    At present only Flirefly, Malaysia Airlines’ subsidiary, flies the Penang-Phuket route offering four weekly services using a 70-seat ATR-72 aircraft.

    AirAsia Malaysia head of commercial, Spencer Lee said: “Penang is undoubtedly one of Malaysia’s pride with its World Heritage status, internationally acclaimed cuisines, vibrant cultures and beautiful architecture. More importantly, its strategic location at the crossroads in the region has helped boost the growing inbound and outbound travel demand that saw 7 million tourist arrivals via air travel last year.

    To celebrate the two new direct routes, all-in-fares from RM99* from Penang to Hanoi and RM79* one-way from Penang to Phuket are available for booking effective yesterday to 15 April for the travel between 1 July and 28 October.

    Passengers can also save more when they book with BigPay, Asia’s money app. It offers money savings of up to RM32** on airasia.com. Moreover, guests get to pay the real exchange rate with no fees when they spend abroad, and earn BIG points along the way.

    Aside from the latest Asean routes, AirAsia also flies directl from Penang to Kuala Lumpur (102 times weekly each way), Johor Bahru (31 times weekly), Kota Kinabalu (11 times weekly), Kuching, (10 times weekly one way), Langkawi (21 times weekly), Ho Chi Minh City (daily), Singapore (28 times weekly), Medan (28 times weekly), Surabaya (five times weekly) and Jakarta (14 times weekly) via AirAsia Indonesia (flight code QZ) and Bangkok (14 times weekly) via AirAsia Thailand (flight code FD).

  • Massive rebound in Hong Kong retail sales

    Massive rebound in Hong Kong retail sales

    Hong Kong retail sales for the first two months of this year soared 15.7 per cent against the same period of last year, the first double-digit increase in years.

    Census and Statistics Department figures just released showed a 29.8 per cent increase in February, which reflects the shifting of Lunar New year from January last year to February this year. That followed a revised figure of 4.2 per cent growth for January, a month when a decline might well have been expected given New Year’s timing.

    But while many retailers were providing anecdotal reports of improved fortunes for the start of this year, no one predicted an increase of more than 15 per cent for the two month period.

    The value of retail sales in February was provisionally estimated at $45.2 billion. After netting out the effect of price changes over the same period, the provisionally estimated increase of the volume of retail sales for the first two months of this year was 13.9 per cent.

    A government spokesperson said retail sales have strengthened visibly this year, thanks to favourable job and income conditions and a further pick-up in visitor arrivals.

    Luxury leads

    Predictably, sales of jewellery, watches and valuable gifts drove the first two months sales growth, rising 21 per cent.

    Apparel sales rose 19.5 per cent, medicines and cosmetics by 17.4 per cent, electrical goods by 27.9 per cent and accessories by 18.2 per cent. Food, alcoholic drinks and tobacco sales were up 10.5 per cent, department store sales up 10.9 per cent and footwear and accessories by 18.2 per cent.

    The only category showing a decline in the first two months was books, newspaper and stationery, down 1.3 per cent.

    The government spokesperson said the outlook for retail sales should remain positive in the near term, underpinned by upbeat local consumer sentiment amid a full employment situation and by continued improvement in inbound tourism.

  • HKTV Mall enables reward payments to consumers

    HKTV Mall enables reward payments to consumers

    Citibank has launched Citi Pay with Points on HKTV Mall, the online shopping portal of Hong Kong Television Network.

    Holders of Citi points-bearing credit cards shopping on the mall or using its mobile app can now seamlessly use their reward points for payment. This is possible with the Citi Pay Points Application Program Interface (API) being fully integrated on the HKTV Mall platform.

    It is the bank’s first API partnership in Hong Kong, says Citibank Hong Kong head of cards and unsecured lending Lum Choong Yu.

    “Citi’s approach to open API architecture underscores our commitment to fostering closer collaboration with digital ecosystems to accelerate the offering of our banking services in all areas of our customers’ digital lives.”

    Nearly half of reward points redemptions are done via the Pay with Points platform, says Choong Yu.

  • South Korean department stores chase men from now onwards

    South Korean department stores chase men from now onwards

    South Korean department stores are ramping up efforts to attract male customers, whose growing numbers are changing the retail landscape.

    According to data from Shinsegae Department Store, male customers, which accounted for 28.1 per cent of customers in 2010, now represent just over 34 per cent of the major department store’s customer base.

    Sales at male-oriented shops at the main branch of Shinsegae Department Stores in Myeongdong and the Gangnam branch also jumped from 8.2 per cent to 10 per cent over the same period.

    Against this backdrop, South Korean department stores are continuing efforts to revamp their men’s departments, as well as introducing various products catering to family in an attempt to attract male customers of all age groups.

    Shinsegae Centum City opened a renovated men’s department on the fifth floor last month, featuring experience stores that appeal to not only men, but also women and family members.

    Street 5 is a select shop modeled after a European-style city-center plaza, packed with local brands from Busan and Daegu, differentiating itself from other stores.

    Apart from a wide selection of men’s clothing stores, a photography studio specializing in black and white photography and a premium select pet shop will also welcome visitors with various interests.

  • Lovisa shares tank as CEO exits the brand

    Lovisa shares tank as CEO exits the brand

    Lovisa has lost its second senior executive in just over six months, announcing on Tuesday evening that chief executive Steve Doyle has resigned to pursue other interests, effective 20 April.

    Shares in Lovisa fell 8 per cent in early Wednesday trading to $9.20 as the news set in.

    Doyle’s departure comes after the resignation of former chief financial officer Graeme Fallet last September after just one and a half years with the business.

    The accessories retailer broke the news to the market alongside a trading update, which shows that the business has booked year to date comparable store sales of 7.6 per cent to the end of the third quarter and a 20.3 per cent increase in top line revenue.

    Lovisa booked a 7.4 per cent increase in comparable store sales for the first half of FY18 and top line sales growth of 18.8 per cent compared to the prior corresponding period.

    At the time Doyle said Lovisa had experienced a “pleasing start to the year”.

    “It’s pleasing that the business has been able to maintain the solid start to the year as we continue our global rollout, helping to deliver both sales growth and gross margin expansion,” Doyle said in January.

    No information was provided on whether a search for a new CEO had been completed or begun, but founder and managing director Shane Fallscheer will continue to lead the company.

    “On behalf of the board, I thank Steve for his tireless work and commitment during the past two and a half years in driving the continued success of the business, including playing a key role in its international expansion to date,” Fallscheer said in a statement.

    “Steve has been a great asset to the company and leaves the business in excellent shape.”

    Doyle had been at the helm of Lovisa since October 2016 after joining to oversee the company’s increasingly international ambitions.

    Lovisa also said on Tuesday that it had opened 5 new stores during the half and closed 4 – with 320 stores now trading.

  • Flight Centre recently slapped with $12.5 million fine

    Flight Centre recently slapped with $12.5 million fine

    Flight Centre has been slapped with a $12.5 million dollar fine for attempting to fix pricing with international airlines between 2005 and 2009.

    The Full Federal Court of Australia handed down the penalty on Wednesday morning, following a successful high court appeal by the ACCC against an earlier court decision in 2016.

    The decision is the latest turning point in a six-year between the competition watchdog and Flight Centre, which has the travel agent lose an initial court case before winning an appeal and then subsequently losing another ACCC appeal to the High Court.

    The ACCC alleged that Flight Centre sought to enter into price fixing arrangements with three airlines where they would agree not to offer airfares on their own website that were cheaper than those offered by Flight Centre.

    Flight Centre is now considering whether there are legal grounds to seek leave for another appeal against today’s judgement.

    “This was a complex test case as evidenced by the contrasting judgements during the past six years,” Flight Centre managing director Graham Turner said in an ASX release on Wednesday.

    “Flight Centre at all relevant times believed that it was acting lawfully and that its conduct did not contravene the Trade Practices Act, given that its interactions took place within the context of commercial negotiations as to agency arrangements with its principals.”

    Flight Centre said the fine would not impact its FY18 market guidance of an underlying profit before tax of between $360 million and $385 million.

    Flight Centre was initially fined $11 million but after it won its initial appeal a refund was issued.

    Today’s $12.5 million fine was higher than the original penalty, which ACCC chairman Rod Sims said reflected the size of Flight Centre.

    “The ACCC appealed from the initial $11m penalty orders because it considered that this level of penalty was inadequate to achieve a strong deterrence message for Flight Centre and other businesses,” Rod Sims said in a statement on Wednesday.

    “We will continue to argue for stronger penalties which we consider better reflect the size of the company, as well as the economic impact and seriousness of the conduct. Significant, large penalties act also as a general deterrent to other businesses that may be considering such conduct themselves.”

  • AEON together with Robinson make this summer cool ! The “Robinson Summer Holiday” campaign

    AEON together with Robinson make this summer cool ! The “Robinson Summer Holiday” campaign

    Mr. Praphan Rangsiyopas (2nd from left), Executive Vice President of AEON Thana Sinsap (Thailand) Public Co., Ltd. together with Mr. Anawat Sangkhasap (Left), Senior Vice President – Customer Strategy, Robinson Public Co., Ltd. welcome summer by launched a special promotion campaign “ROBINSON SUMMER HOLIDAY”. Exclusive for AEON credit cardholders, get up to 8,000 Baht cash back when spend through AEON credit cards at Robinson department store, and get 10 exclusive chances to win 1 Baht gold necklace 45 prizes, with a total value of 1 million Baht. The campaign start from now on until 23rd May, 2018 at 46 Robinson department store locations across the country.

  • Delivering your business ideas to China

    Delivering your business ideas to China

    In 2018, the estimated global spend for online shopping will reach almost $2.5 trillion.  That number may seem enormous but it’s actually proportionate to a growing global population which has an increased access to the internet and smartphones. Of the 1.4 billion people living in China, 52.2 per cent of the population have internet access and 83 per cent have smart phones.

    Australia Post recently released our latest e-commerce market update, where we revealed the opportunity value for cross-border trade with China is almost $500 billion USD. From health supplements to formulas, skincare and cosmetics, fashion and wine, there is a significant demand for Australian made products. These categories have seen demand from Chinese consumers skyrocket, because of their premium quality, natural ingredients, safe and strict manufacturing standards, and critically, the ecosystem they are delivered in.

    The success of that ecosystem comes from the major partnerships Australia Post has built with leading Chinese companies and government agencies like China Post, Alibaba and JD to support the growing strength of cross-border trade for Australian businesses.

    Our e-commerce journey with China started many years ago, when Australia Post formed a joint venture with China Post, Sai Cheng Logistics International. Sai Cheng has 13 bonded and non-bonded warehouses spread across China, and offers a range of domestic and cross-border supply chain solutions including third party logistics, warehousing, commercial freight and last mile delivery. Our online and physical footprint is also growing every day, where we deliver thousands of Australian-made products to China and other international markets each year, thanks to our committed team and strong support from our partners and customers.

    Whilst Australia products are trusted and reliable, the challenge for businesses lies in navigating through new markets. Understanding local consumer expectations, finding the right supply chain partners, delivery expectations and knowing the customs and cultural processes, as these often differ from the market in Australia.

  • Hong Kong retail rents set for ‘early lift’

    Hong Kong retail rents set for ‘early lift’

    Hong Kong retail rents are expected to move into an “early upswing cycle” this year according to a regional real estate market briefing prepared by Savills.

    The report details commercial and residential property leasing trends across major Asian markets and as the accompanying tables show, compares occupancy costs of space as well.

    It groups major cities by upswing and downswing, late and early, showing that Hong Kong is at the end of its downswing in retail rental rates. Cities currently in early upswing are Manila, Guangzhou, Jakarta and Singapore. Hong Kong is grouped with Taipei, Hanoi, Ho Chi Minh City and Seoul, suggesting all those markets are about to turn.

    Savills says regional prime retail rents moved by between a decline of 1.8 per cent in Beijing and an increase of 5.9 per cent in Guangzhou last year.

    “Strong local retail consumption growth of 9.5 per cent year on year in the second half of the year following 10.5 per cent in the first half of the year supported the Guangzhou leasing market, while prime shopping malls began to re-position and upgrade, focusing more on entertainment and food & beverage,” said Savills in a brief commentary.

    “Again, Hong Kong’s prime shopping mall rents are considerably ahead of all other Asia-Pacific markets and are expected to move into an ‘early upswing’ cycle this year.”

    Savills says economic growth across Asia-Pacific continued to picked-up moderately in the second half of last year and the International Monetary Fund estimates that the “Emerging and Developing Asia” economies grew by 6.5 per cent over the year as a whole while China grew by 6.8 per cent and Japan’s economy grew by 1.8 per cent last year, from 0.9 per cent in 2016.

    “The improving global economic outlook and an accommodative monetary policy created momentum for business expansion,” said Savills.