DFI Retail Group says it will continue to invest in Hong Kong supermarkets

DFI Retail Group, a Hong Kong-based company, has announced its commitment to investing in new supermarkets despite ongoing consumer caution. Darren Chan, the company's managing director for food in Hong Kong and Macau, revealed that DFI, which operates supermarket chains such as Wellcome and Market Place, is actively seeking opportunities to enhance its network by locating stores in areas with "clear customer demand and attractive long-term returns."

The group, which oversees over 325 stores serving more than 14 million customers monthly, aims to both establish new stores and modernize existing ones to better cater to evolving customer needs and preferences.

In the first half of the year, DFI's food division reported a 1.4 percent growth in sales, reaching US$1.14 billion, although same-store sales experienced a slight decline of 0.2 percent. Recognizing that customers in Hong Kong are increasingly heading to Shenzhen for affordable shopping and dining, DFI has adopted new strategies to boost sales, such as expanding the range of imported products to reduce prices.

Chan emphasized that there is no universal approach to store development, as the optimal format depends on factors like customer demographics, shopping habits, and local market opportunities. For instance, DFI recently collaborated with South Korea's largest food company, CJ Foods, to improve their Korean food offerings, which is expected to generate over US$22 million in sales.

Additionally, Market Place recently organized the "Taste of Australia" gourmet food fair, showcasing more than 70 Australian brands and over 200 new products, including fresh produce, wines, and snacks.