Hong Kong still the world’s hottest retail market

City draws more new retail entrants.

The 2013 edition of “How Global is the Business of Retail?” by CBRE affirms that new retail businesses chose Hong Kong over other cities.

Hong Kong was by far the most sought after city with 51 new retailer entries from all sectors, and not just the high-end fashion brands that have traditionally targeted the city. These new entrants are principally from Europe, the U.S., Japan and Korea.

 “Hong Kong provides an opportunity for retailers to capitalize on the emerging middle class population and tourists from mainland China,” said Peter Gold, Managing Director-Retail, Cross-Border EMEA

“Hong Kong is often used as a launch pad for brands entering the region although increasingly retailers are entering Chinese cities directly. While luxury brands led the way in 2012, retailers from across the spectrum opened their first store in the city last year, including Pierre Cardin, Forever 21 and Cos.”

Mature markets dominated retailers’ expansion plans in 2012. Five emerging markets, however, made the top 20. Kiev was in second place with 39 new entrants, with Sao Paulo (25 new entrants), Iasi, Romania (19), Muscat (17) and Ho Chi Minh City (15) also important destinations.

U.S. retailers are by far the most aggressive when expanding store networks globally. U.S. retailers have traditionally focused on Asian and Western European markets. Italian, British and French retailers are also highly active, focusing mainly on their own region, although Asia is also a key destination.