In a move to expand its presence in Asia, running shoe brand Hoka is set to open two stores in Hong Kong. The first two locations will be in Causeway Bay and Mong Kok, with a third location still under consideration. This expansion is driven by the projected 10% growth in the sportswear market in Asia between 2023 and 2027, which is higher than the global growth rate. Hoka aims to provide consumers with a physical retail environment to experience its offerings. Currently, Hoka has over 120 points of sale in Hong Kong and is available in retail outlets and online channels. The brand's largest markets are currently North America and Europe. Hoka's push for its own brand-store strategy does not mean abandoning multibrand shops, as this allows consumers to compare its products with other brands. The investment in physical stores comes at a time when online sales are growing, but physical stores remain the most important avenue for retail sales. This expansion into Hong Kong is also a way for Hoka to engage with the community and build customer loyalty, as Hong Kong was one of the first markets the brand entered in the Asia-Pacific region 10 years ago [e788bc32].
This expansion into the Hong Kong market is part of Hoka's broader growth strategy in Asia. With the projected growth in the sportswear market in the region, Hoka sees an opportunity to establish a stronger presence and cater to the increasing demand for running shoes and related products. By opening physical stores, Hoka aims to provide a tangible experience for consumers and create a space where they can compare Hoka's offerings with other brands. Despite the rise of online sales, Hoka recognizes the importance of physical stores in driving retail sales. Additionally, this expansion allows Hoka to connect with the Hong Kong community and strengthen customer loyalty. Hong Kong holds a special significance for Hoka, as it was one of the brand's first markets in the Asia-Pacific region. With these new stores in Causeway Bay and Mong Kok, Hoka is well-positioned to tap into the growing sportswear market in Hong Kong and solidify its presence in the region [e788bc32].
MINISO, a retail brand, has also recently expanded its presence in Hong Kong. The company opened its largest flagship store in Hong Kong, covering over 4,300 square feet. The store features IP zones with partnerships such as Disney and Pokémon series, as well as collaborations with popular IPs like Naloong and LOOPY. MINISO plans to continue expanding its store network across Hong Kong throughout the year, with the goal of reaching 100 stores. As of the first quarter of 2024, MINISO operates 6,630 stores globally, with a net increase of 1,116 stores year over year. The company also has significant upcoming IP collaboration plans within the Hong Kong market [b8a94765].