Select Country Report
Retail in 2024: The big picture
In 2024, retail in Hong Kong recorded a 9% value sales decline due to shifting consumption patterns, northbound consumption towards Shenzhen and mainland China, currency impacts due to trade issues, as well as lower-than-expected spending from tourism. The uncertain global geopolitical and socioeconomic situation also contributed to a decline in retail sales, leading to increased prices of goods and shops closing, alongside a decrease in rented real estate, further exacerbating the decline of the industry in Hong Kong.
Changing consumer behaviour influences spending patterns
Traditionally, Chinese tourists flocked to Hong Kong to buy luxury goods, and mainland Chinese tourists had a significant influence on the direction of Hong Kong’s retail industry. However, towards the end of the review period, the rapid depreciation of the renminbi made prices in Hong Kong more expensive, while the city’s exchange rate approached its highest ever levels.
E-commerce adoption increases as digital literacy and popularity of channel grows
Despite recording a value sales decline in 2024, e-commerce adoption rates are increasing in Hong Kong as both local and mainland Chinese residents are increasing the overall usage and adoption rate. Rising digital literacy rates, especially among younger consumers, are helping to drive the performance of e-commerce in the local market, with half of Hong Kong’s residents now preferring online shopping over in-person experiences as the technology is becoming easier to use and understand. This includes for older consumers aged 60 years of age and above, which is an important factor given the city’s ageing population.
What next for retail?
Retail in Hong Kong is predicted to experience a challenging few years ahead, with the traditional trend of mainland Chinese consumers visiting the city to buy numerous luxury goods likely to lose momentum, as they look to spend on experiences instead. Meanwhile, northbound travel among local residents is also likely to remain a popular activity, as many Hong Kong consumers are extremely pragmatic and enjoy crossing to the mainland to source more affordable items.
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Overview:
Understand the latest market trends and future growth opportunities for the Retail industry in Hong Kong, China with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:
- Convenience Stores
- Discounters
- Hypermarkets
- Supermarkets
- Traditional Grocery Retailers
- Apparel and Footwear Specialist Retailers
- Electronics and Appliance Specialist Retailers
- Health and Beauty Specialist Retailers
- Home and Garden Specialist Retailers
- Department Stores
- Variety Stores
- Warehouse Clubs
- Direct Selling
- Homeshopping
- Vending
If you're in the Retail industry in Hong Kong, China, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
The Retail in Hong Kong, China report includes:
- Analysis of key retail trends
- Detailed segmentation of offline and online retail sales
- Historic channel sizes (retail value sales, outlet counts, and selling space)
- Company and brand market shares (retail value sales and outlet counts)
- Five year forecasts of market trends and market growth
- Robust and transparent research methodology, conducted in-country
This report answers:
- What is the market size of Retail in Hong Kong, China?
- Which are the leading retailers in Retail in Hong Kong, China?
- How are products distributed in Retail in Hong Kong, China?
- How is the rise of e-commerce and the expansion of modern grocery retail impacting traditional retail?
- How significant are discounters and private label in Hong Kong, China?
- To what extent are sales shifting towards digital channels?
- What is the long-term outlook for bricks-and-mortar?
- How is macroeconomic and political uncertainty affecting the retail industry?
- What types of retailers are seeing the fastest growth in digital sales?
- What is the future of retail?
Retail in Hong Kong, China
Retail in 2024: The big picture
Changing consumer behaviour influences spending patterns
E-commerce adoption increases as digital literacy and popularity of channel grows
What next for retail?
Informal retail
Opening hours for physical retail
Summary 1 Standard Opening Hours by Channel Type 2024
Seasonality
China National Day (also known as Golden Week)
Chinese New Year (Spring Festival)
Christmas and New Year
Table 1 Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2019-2024
Table 2 Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2019-2024
Table 3 Sales in Retail Offline by Channel: Value 2019-2024
Table 4 Sales in Retail Offline by Channel: % Value Growth 2019-2024
Table 5 Retail Offline Outlets by Channel: Units 2019-2024
Table 6 Retail Offline Outlets by Channel: % Unit Growth 2019-2024
Table 7 Sales in Retail E-Commerce by Product: Value 2019-2024
Table 8 Sales in Retail E-Commerce by Product: % Value Growth 2019-2024
Table 9 Grocery Retailers: Value Sales, Outlets and Selling Space 2019-2024
Table 10 Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 11 Sales in Grocery Retailers by Channel: Value 2019-2024
Table 12 Sales in Grocery Retailers by Channel: % Value Growth 2019-2024
Table 13 Grocery Retailers Outlets by Channel: Units 2019-2024
Table 14 Grocery Retailers Outlets by Channel: % Unit Growth 2019-2024
Table 15 Non-Grocery Retailers: Value Sales, Outlets and Selling Space 2019-2024
Table 16 Non-Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 17 Sales in Non-Grocery Retailers by Channel: Value 2019-2024
Table 18 Sales in Non-Grocery Retailers by Channel: % Value Growth 2019-2024
Table 19 Non-Grocery Retailers Outlets by Channel: Units 2019-2024
Table 20 Non-Grocery Retailers Outlets by Channel: % Unit Growth 2019-2024
Table 21 Retail GBO Company Shares: % Value 2020-2024
Table 22 Retail GBN Brand Shares: % Value 2021-2024
Table 23 Retail Offline GBO Company Shares: % Value 2020-2024
Table 24 Retail Offline GBN Brand Shares: % Value 2021-2024
Table 25 Retail Offline LBN Brand Shares: Outlets 2021-2024
Table 26 Retail E-Commerce GBO Company Shares: % Value 2020-2024
Table 27 Retail E-Commerce GBN Brand Shares: % Value 2021-2024
Table 28 Grocery Retailers GBO Company Shares: % Value 2020-2024
Table 29 Grocery Retailers GBN Brand Shares: % Value 2021-2024
Table 30 Grocery Retailers LBN Brand Shares: Outlets 2021-2024
Table 31 Non-Grocery Retailers GBO Company Shares: % Value 2020-2024
Table 32 Non-Grocery Retailers GBN Brand Shares: % Value 2021-2024
Table 33 Non-Grocery Retailers LBN Brand Shares: Outlets 2021-2024
Table 34 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2024-2029
Table 35 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2024-2029
Table 36 Forecast Sales in Retail Offline by Channel: Value 2024-2029
Table 37 Forecast Sales in Retail Offline by Channel: % Value Growth 2024-2029
Table 38 Forecast Retail Offline Outlets by Channel: Units 2024-2029
Table 39 Forecast Retail Offline Outlets by Channel: % Unit Growth 2024-2029
Table 40 Forecast Sales in Retail E-Commerce by Product: Value 2024-2029
Table 41 Forecast Sales in Retail E-Commerce by Product: % Value Growth 2024-2029
Table 42 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 43 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 44 Forecast Sales in Grocery Retailers by Channel: Value 2024-2029
Table 45 Forecast Sales in Grocery Retailers by Channel: % Value Growth 2024-2029
Table 46 Forecast Grocery Retailers Outlets by Channel: Units 2024-2029
Table 47 Forecast Grocery Retailers Outlets by Channel: % Unit Growth 2024-2029
Table 48 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 49 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 50 Forecast Sales in Non-Grocery Retailers by Channel: Value 2024-2029
Table 51 Forecast Sales in Non-Grocery Retailers by Channel: % Value Growth 2024-2029
Table 52 Forecast Non-Grocery Retailers Outlets by Channel: Units 2024-2029
Table 53 Forecast Non-Grocery Retailers Outlets by Channel: % Unit Growth 2024-2029
DISCLAIMER
Summary 2 Research Sources
Convenience Retailers in Hong Kong, China
KEY DATA FINDINGS
Despite marginal decline amid significant pressures, value sales remain above pre-pandemic levels
7-Eleven and Circle-K maintain overall dominance due to strength in convenience stores
New players enter the market in lieu of other brands exiting
Future challenges due to rising labour costs and increase in outbound tourism
Change in payment methods and expanding product ranges to help drive growth
Shifting consumer spending patterns will be a boon for convenience retailers
Table 54 Convenience Retailers: Value Sales, Outlets and Selling Space 2019-2024
Table 55 Convenience Retailers: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 56 Sales in Convenience Retailers by Channel: Value 2019-2024
Table 57 Sales in Convenience Retailers by Channel: % Value Growth 2019-2024
Table 58 Convenience Retailers GBO Company Shares: % Value 2020-2024
Table 59 Convenience Retailers GBN Brand Shares: % Value 2021-2024
Table 60 Convenience Retailers LBN Brand Shares: Outlets 2021-2024
Table 61 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 62 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 63 Forecast Sales in Convenience Retailers by Channel: Value 2024-2029
Table 64 Forecast Sales in Convenience Retailers by Channel: % Value Growth 2024-2029
Supermarkets in Hong Kong, China
KEY DATA FINDINGS
Falling sales for supermarkets despite increasing demand for convenience food
Stability among the leaders, but new players from mainland China threaten the status quo
Rising number of Asian discount supermarkets enter Hong Kong
Ageing population and northbound spending may present challenges
E-commerce may offer some hope for growth in otherwise uncertain market
Sustainability continues to gain importance among local consumers
Table 65 Supermarkets: Value Sales, Outlets and Selling Space 2019-2024
Table 66 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 67 Supermarkets GBO Company Shares: % Value 2020-2024
Table 68 Supermarkets GBN Brand Shares: % Value 2021-2024
Table 69 Supermarkets LBN Brand Shares: Outlets 2021-2024
Table 70 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 71 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Small Local Grocers in Hong Kong, China
KEY DATA FINDINGS
Despite falling sales, small local grocers retains importance in neighbourhoods
Best Mart 360 strengthens leadership of fragmented competitive landscape
Specialist stores attract consumers with unique offerings
Ageing population may prove key to future growth of small local grocers
Locally sourced, sustainable products increasingly important
More frequent return to office work sets foundation for future growth
Table 72 Small Local Grocers: Value Sales, Outlets and Selling Space 2019-2024
Table 73 Small Local Grocers: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 74 Small Local Grocers GBO Company Shares: % Value 2020-2024
Table 75 Small Local Grocers GBN Brand Shares: % Value 2021-2024
Table 76 Small Local Grocers LBN Brand Shares: Outlets 2021-2024
Table 77 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 78 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
General Merchandise Stores in Hong Kong, China
KEY DATA FINDINGS
Department stores continues to see declines as consumers restrict their spending
Variety stores also sees declines despite marginal improvement in tourist numbers
Some major names struggle with store closures
Department stores unlikely to see significant growth over forecast period
Northbound tourism and other channels will remain challenges for variety stores
Greater variety of Asian snacks and exclusive products to be in stocked in local market
Table 79 General Merchandise Stores: Value Sales, Outlets and Selling Space 2019-2024
Table 80 General Merchandise Stores: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 81 Sales in General Merchandise Stores by Channel: Value 2019-2024
Table 82 Sales in General Merchandise Stores by Channel: % Value Growth 2019-2024
Table 83 General Merchandise Stores GBO Company Shares: % Value 2020-2024
Table 84 General Merchandise Stores GBN Brand Shares: % Value 2021-2024
Table 85 General Merchandise Stores LBN Brand Shares: Outlets 2021-2024
Table 86 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 87 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 88 Forecast Sales in General Merchandise Stores by Channel: Value 2024-2029
Table 89 Forecast Sales in General Merchandise Stores by Channel: % Value Growth 2024-2029
Apparel and Footwear Specialists in Hong Kong, China
KEY DATA FINDINGS
Apparel demand falls as challenging retail landscape hampers sales
Store closures from major players impact channel’s overall network size
Chinese brand Li-Ning sees strong performance as mainland consumers drive growth
Price-sensitive consumers and northbound tourism a roadblock to recovery
Ethical/sustainable fashion may prove fruitful for future demand
Rising costs and e-commerce further challenge channel’s recovery
Table 90 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space 2019-2024
Table 91 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 92 Apparel and Footwear Specialists GBO Company Shares: % Value 2020-2024
Table 93 Apparel and Footwear Specialists GBN Brand Shares: % Value 2021-2024
Table 94 Apparel and Footwear Specialists LBN Brand Shares: Outlets 2021-2024
Table 95 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 96 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Appliances and Electronics Specialists in Hong Kong, China
KEY DATA FINDINGS
Challenging year for sales due to price-sensitive consumers and outbound travel
Major brands close stores due to challenging landscape
E-commerce one of the few growth drivers as online infrastructure continues to develop
Price-sensitive consumers and northbound tourism a roadblock to recovery
Rising costs and further shift online to further challenge recovery
Leveraging cross-border e-commerce sales
Table 97 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space 2019-2024
Table 98 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 99 Appliances and Electronics Specialists GBO Company Shares: % Value 2020-2024
Table 100 Appliances and Electronics Specialists GBN Brand Shares: % Value 2021-2024
Table 101 Appliances and Electronics Specialists LBN Brand Shares: Outlets 2021-2024
Table 102 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 103 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Home Products Specialists in Hong Kong, China
KEY DATA FINDINGS
Sales through homewares and home furnishing stores plateau as price-sensitive consumers limit spending
Solid performance by pet shops and superstores as consumers remain sensitive to pets’ needs and welfare
DFI Retail Group retains leadership of highly fragmented competitive landscape
Subdued performance for home products specialists over forecast period
Pet stops and superstores will continue to see growth as pet care demands increase
Unique store experiences could support Ikea’s leadership
Table 104 Home Products Specialists: Value Sales, Outlets and Selling Space 2019-2024
Table 105 Home Products Specialists: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 106 Sales in Home Products Specialists by Channel: Value 2019-2024
Table 107 Sales in Home Products Specialists by Channel: % Value Growth 2019-2024
Table 108 Home Products Specialists GBO Company Shares: % Value 2020-2024
Table 109 Home Products Specialists GBN Brand Shares: % Value 2021-2024
Table 110 Home Products Specialists LBN Brand Shares: Outlets 2021-2024
Table 111 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 112 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 113 Forecast Sales in Home Products Specialists by Channel: Value 2024-2029
Table 114 Forecast Sales in Home Products Specialists by Channel: % Value Growth 2024-2029
Health and Beauty Specialists in Hong Kong, China
KEY DATA FINDINGS
Sales decline for health and beauty specialists amid challenging retail landscape
Solid growth for essential pharmaceuticals as consumers continue to prioritise health
AS Watson gains share, supported by various strategies
Shift in tourism and local consumption a barrier to future recovery
Demand for essential pharmaceutical goods to continue growing over forecast period
Integrating technology and sustainability concepts to drive interest in beauty products
Table 115 Health and Beauty Specialists: Value Sales, Outlets and Selling Space 2019-2024
Table 116 Health and Beauty Specialists: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 117 Sales in Health and Beauty Specialists by Channel: Value 2019-2024
Table 118 Sales in Health and Beauty Specialists by Channel: % Value Growth 2019-2024
Table 119 Health and Beauty Specialists GBO Company Shares: % Value 2020-2024
Table 120 Health and Beauty Specialists GBN Brand Shares: % Value 2021-2024
Table 121 Health and Beauty Specialists LBN Brand Shares: Outlets 2021-2024
Table 122 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space 2024-2029
Table 123 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2024-2029
Table 124 Forecast Sales in Health and Beauty Specialists by Channel: Value 2024-2029
Table 125 Forecast Sales in Health and Beauty Specialists by Channel: % Value Growth 2024-2029
Vending in Hong Kong, China
KEY DATA FINDINGS
Vending in Hong Kong records modest growth, driven by soft drinks
Leaders remains unchanged but smaller players continue to thrive
Reusable lunchbox vending machines at universities set to expand concept
Future growth of vending to be supported by technological advancements
Vending set to further expand product offerings
Sustainability efforts can be a key growth driver for vending
Table 126 Vending by Product: Value 2019-2024
Table 127 Vending by Product: % Value Growth 2019-2024
Table 128 Vending GBO Company Shares: % Value 2020-2024
Table 129 Vending GBN Brand Shares: % Value 2021-2024
Table 130 Vending Forecasts by Product: Value 2024-2029
Table 131 Vending Forecasts by Product: % Value Growth 2024-2029
Direct Selling in Hong Kong, China
KEY DATA FINDINGS
Direct selling sales decline as consumers look to save money but health and beauty sales continue to recover
Amway strengthens lead of direct selling in Hong Kong
Strong growth for Herbalife as its weight management products remain popular
Stable outlook as health and beauty will continue to drive direct selling
Social commerce to remain popular communication method over the forecast period
E-commerce offers direct competition to direct selling
Table 132 Direct Selling by Product: Value 2019-2024
Table 133 Direct Selling by Product: % Value Growth 2019-2024
Table 134 Direct Selling GBO Company Shares: % Value 2020-2024
Table 135 Direct Selling GBN Brand Shares: % Value 2021-2024
Table 136 Direct Selling Forecasts by Product: Value 2024-2029
Table 137 Direct Selling Forecasts by Product: % Value Growth 2024-2029
Retail E-Commerce in Hong Kong, China
KEY DATA FINDINGS
Overall channel sees decline, but online adoption rates increase
Taobao retains lead, while HKTVmall gains further share
Preference for online shopping as e-commerce gains share from physical outlets
E-commerce set to resume growth as Hong Kong gradually shifts towards a digital-centric economy
Ongoing development of northbound cross-border logistics to further drive e-commerce growth
Hong Kong’s shift towards a digital, cashless economy is strong growth driver for online sales
Table 138 Retail E-Commerce by Channel: Value 2019-2024
Table 139 Retail E-Commerce by Channel: % Value Growth 2019-2024
Table 140 Retail E-Commerce by Product: Value 2019-2024
Table 141 Retail E-Commerce by Product: % Value Growth 2019-2024
Table 142 Retail E-Commerce GBO Company Shares: % Value 2020-2024
Table 143 Retail E-Commerce GBN Brand Shares: % Value 2021-2024
Table 144 Forecast Retail E-Commerce by Channel: Value 2024-2029
Table 145 Forecast Retail E-Commerce by Channel: % Value Growth 2024-2029
Table 146 Forecast Retail E-Commerce by Product: Value 2024-2029
Table 147 Forecast Retail E-Commerce by Product: % Value Growth 2024-2029
The following categories and subcategories are included:
Retail
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- Convenience Stores
- Forecourt Retailers
- Supermarkets
- Hypermarkets
- Discounters
- Warehouse Clubs
- Food/Drink/Tobacco Specialists
- Small Local Grocers
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- Department Stores
- Variety Stores
- Apparel and Footwear Specialists
- Appliances and Electronics Specialists
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- Home Improvement and Gardening Stores
- Homewares and Home Furnishing Stores
- Pet Shops and Superstores
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- Beauty Specialists
- Pharmacies
- Optical Goods Stores
- Health and Personal Care Stores
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- Bags and Luggage Specialists
- Jewellery and Watch Specialists
- Sports Goods Stores
- Traditional Toys and Games Stores
- Other Non-Grocery Retailers
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- Fashion Vending
- Health and Beauty Vending
- Appliances and Electronics Vending
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- Alcoholic Drinks Vending
- Hot Drinks Vending
- Soft Drinks Vending
- Tobacco Products Vending
- Foods Vending
- Home Products Vending
- Other Products Vending
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- Apparel and Footwear Direct Selling
- Personal Accessories Direct Selling
- Eyewear Direct Selling
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- Beauty and Personal Care Direct Selling
- Consumer Health Direct Selling
- Tissue and Hygiene Direct Selling
- Appliances and Electronics Direct Selling
- Drinks and Tobacco Direct Selling
- Foods Direct Selling
- Home Products Direct Selling
- Other Products Direct Selling
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- Apparel and Footwear E-Commerce
- Personal Accessories E-Commerce
- Eyewear E-Commerce
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- Beauty and Personal Care E-Commerce
- Consumer Health E-Commerce
- Tissue and Hygiene E-Commerce
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- Consumer Appliances E-Commerce
- Consumer Electronics E-Commerce
- Toys and Games E-Commerce
- Drinks and Tobacco E-Commerce
- Foods E-Commerce
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- Home Care E-Commerce
- Home and Garden E-Commerce
- Pet Care E-Commerce
- Other Products E-Commerce
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- First-Party (1P) Marketplace E-Commerce
- Third-Party (3P) Marketplace E-Commerce
- Grocery E-Commerce
- General Merchandiser E-Commerce
- Apparel and Footwear Specialist E-Commerce
- Appliances and Electronics Specialist E-Commerce
- Home Products Specialist E-Commerce
- Health and Beauty Specialist E-Commerce
- Leisure and Personal Goods Specialist E-Commerce
- Other E-Commerce Retailers
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Retail
Retail is the sale of new and used goods to consumers from a business for personal or household consumption from retail outlets, kiosks, market stalls, vending, direct selling and e-commerce. Retail is the aggregation of Retail Offline and Retail E-Commerce. Excludes specialist retailers of motor vehicles, motorcycles, vehicle parts. Also excludes fuel sales, foodservice sales, rental transactions, and wholesale sales (e.g. Cash and Carry). Sales value excluding or including VAT/Sales Tax. Retail also excludes the informal retail sector. Informal retailing is retail trade which is not declared to the tax authorities. Informal retailing encompasses (a) sales generated by unregistered and unlicensed retailers, i.e. retailers operating illegally, and (b) any proportion of sales generated by a registered and licensed retailer that is not declared to the tax authorities. Unregistered and unlicensed retailers operate predominantly (although not exclusively) as street hawkers or operate open market stalls, as these channels are harder for the authorities to monitor than permanent outlets. Activities in the illegal market, which is usually understood to refer to trade in illegal, counterfeit or stolen merchandise, are included within our definition of informal retailing. Activities in the “grey market”, which is usually understood to refer to trade in legal merchandise that is sold through unauthorized channels – for example cigarettes bought legally in another country, legally imported, but sold at lower prices than in authorized channels – will be included as informal retailing if no tax is paid on sale by the retailer. However if the retailer pays tax – for example on cigarettes bought legally in another country but sold at a lower price than standard – the sale is included within formal retail.
See all of our definitions
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