business · SCMP

DFI Retail Group Vows to Keep Investing in Hong Kong Supermarket Network

SCMP · 1 SOURCESabout 3 hours ago2 MIN

Summary

DFI Retail Group, which operates Hong Kong's largest supermarket network including Wellcome and Market Place, has committed to continued investment in new stores despite cautious consumer sentiment. The company's managing director for food in Hong Kong and Macau, Darren Chan, outlined expansion plans targeting areas with clear customer demand and attractive long-term returns. DFI is responding to increased competition from Hong Kong residents shopping in Shenzhen by diversifying import sources and forming strategic partnerships, including a collaboration with South Korea's largest food company.

Key Points

DFI's Wellcome, Market Place, 3hreesixty and Oliver's chains operate over 325 stores serving more than 14 million customers monthly
First-half sales grew 1.4 percent to US$1.14 billion, though same-store sales declined 0.2 percent year-on-year
DFI partnered with South Korea's CJ Foods to enhance Korean food offerings, projecting more than US$22 million in sales from the collaboration
Market Place launched a "Taste of Australia" gourmet fair featuring over 70 Australian brands and more than 200 new products
The company imports from a broader range of countries to reduce prices amid heightened competition from Shenzhen shopping trips

Why It Matters

DFI's commitment to supermarket investment signals confidence in Hong Kong's retail sector despite economic headwinds. The company's strategies—expanding import sources and partnering with international food suppliers—reflect how Hong Kong's supermarket operators are adapting to changing consumer behaviour driven by cross-border shopping .