7 Things To Do Under Recession
Opportunities Under Recession
No matter for what reasons, it is a fact that Hong Kong slips into recession in recent
years. While it doesn’t mean that we can do nothing and wait for the recovery, there
are still some opportunities we can capture to deal with the economic cycle.
- Increasing usage of internet
Covid-19 create a huge impact on retail industry. Because of the government policies, most citizens could not perform physical consumption. It increases their willingness to try out online shopping and fulfill their purchases desire.
From the graph, we can observe that the revenue in e-commerce market is projected to have a great boost in the coming years, with 6.5 million expected users and hit US$37.96 billion by 2025. While the revenue changes would slowly decline.
- Diversification of payment method
In the past 1-2 years, different payment methods have become more efficient and acceptable by the public, like Apple Pay, Alipay, FPS, PayMe, etc… According to VISA, among the Hong Kong people, 51% of them will likely open a virtual banking account, 85% of them use at least 1 mobile wallet for daily purchase, 62% of them prefer paying digital. Thus the payment options could be a great incentive for attracting the customers to make the payment.
- Business model evaluation
With the slowed down business growth, it could be a chance for you to evaluate your current business model, like your cost expenditures, operation efficiency, target customer, etc… And try to tackle those pain points, perhaps like digital transformation or prepare for a new market. It will be more effective if you have your own dataset.
- Gain new customer
Benefited by internet development, we can target the customers more widely not limited by the geographic location. We can set up an online store or just some social media pages easily. It could make a big help in both local and non-local marketing promotion, at least a starting point to gain the non-local customers. Cross-border sales is being more accessible in the future.
- Customer relationship
Instead of the new customer, how to maintain the current customers’ loyalty is also an important task. It is better to record your own customers’ behavior and knowing their wants. Using CRM, ERP or e-commerce platforms could be one of the efficient solutions.
- Avoid the fierce competition
So before starting the new business or expending the business, we should have a comprehensive market research and evaluate the business potential. Try to keep away from the competitive environment as the fact that low successful rate even without recession, except for those striving for dreams.
- Powerful logistics
Doing business in Hong Kong enjoys a huge logistics advantage. According to The World Bank, The Logistics Performance Index of Hong Kong is 3.92 out of 5 in 2018, ranked 12 worldwide. With such an advantage, we can process the local and international orders with superior delivery quality.