Businesses in both the start-up and E-commerce industry have grown during recent years however mentality and culture still keep them relatively limited in numbers.
It was just four years ago that the start-up environment in Hong Kong was static with almost no notable successes. Today, both start-ups and E-commerce seem to be advancing, but not to their full potential.
Shopline, a cloud based E-commerce “Do It Yourself” store is an example of an emerging start-up. According to Shopline’s co-founder, many companies being resistant to change, the biggest obstacle to further improving E-commerce in Hong Kong.
An obvious deterrent regarding change involves Hong Kong’s limited territory, as potential entrepreneurs consider it to be a barrier in the development of the local E-commerce model. On the inhabitants’ mentality, Shopline’s Co-founder remarks:
“Why would I order online when I can get something right downstairs or across the street? I think a part of that is culture and tradition. Technology is easy to introduce, but tradition is very difficult to break”.
– Raymond Yip, Shopline Co-founder.
Currently, the average spend per user on online purchases in Hong Kong is estimated at HK$535 (€63), however according to the same study, 49% of consumers are ready to spend more online in the next two years.