Hong Kong shoppers lukewarm to July 1 discount on grocery app, cite cheaper prices at wet markets, fresher choices
- Many point to more choices and cheaper options already available at wet markets, while elderly shoppers say they are put off by needing to rely on app for discount
- Wholesalers’ group argues week-long discount to mark handover anniversary will hurt business
While many retailers were confident their products would remain competitive during the week, a wholesalers’ group said the discount would hurt business.
Retiree Ng, 65, who was shopping at a wet market on Bowrington Road in Causeway Bay, said: “I like to buy at markets because I can feel and touch the products. I know about the discount but I do not want to visit the website or mobile application because it would be too complicated for me.”
To mark the 26th anniversary of the city’s return to Chinese rule on July 1, the government earlier announced residents could enjoy a 29 per cent discount, “paying 71 per cent of the price” for designated products from the Fish Marketing Organisation (FMO) and the Vegetable Marketing Organisation (VMO) on the Local Fresh mobile app from July 1 to 7.
Housewife Ma Sau-yin, 59, also said she had no intention of learning how to shop online despite the discounts, and that she preferred fresh fish at the wet market for making soup.
“You have to use fresh fish to boil soup because frozen ones tend to smell fishy. And I love the fact that I can compare prices from different stalls before I make decisions,” the grandmother of two said.
Another wet market shopper, retiree Wong Kin-shing, 73, said he did not plan to buy via Local Fresh even with the discount, despite being a regular customer of online food retail platforms.
“The discount is nothing attractive. I simply do not like the products they offer,” he said.
Cheung Ka-wing, 43, a mother of two, said she tried using online platforms to buy fresh food during the coronavirus pandemic but doing so limited her options.
“When you shop for one type of fish at the wet market, you have several to choose from at one stall. But if you buy it from an app, all you can do is type in the quantity you want. I hate that I can’t choose when I spend my money,” she said.
The Local Fresh app co-developed by the FMO and the VMO provides a variety of frozen fish, organic seafood and fresh organic vegetables, as well as hydroponic vegetable seedlings, with free delivery on a minimum HK$400 (US$51) purchase or self-pickup at designated retailers.
A check by the Post showed that prices of vegetables sold on Local Fresh were higher than those at wet markets.
Sweet yam shoots, a common ingredient in Hong Kong recipes, sell for HK$36 per 500 grams (17 ounces) on the app but can be found for HK$12 per 500 grams at a stall at the Bowrington Road wet market.
A 40-year-old vegetable stall operator, surnamed Ng, said she was not worried about the discount, adding: “The prices are still much higher after the discount, and I don’t think it will affect my business.”
Another stall owner selling fresh fish on Bowrington Road also said she was not worried about competition from Local Fresh.
“The site sells frozen fishery products but my customers prefer fresh fish,” said the 40-year-old seller, who only gave her name as Chan.
Thomas Ng Wing-yan, chairman of the Hong Kong Food Council, agreed the discount would not hurt the business of vegetable distributors and retailers.
“The online sales network of the VMO has always been available to residents. Customers who shop at wet markets and online are very different. I don’t see that all ordinary consumers will go online just because of the discount offered for only a week,” Ng said.
But Lee Choi-wah, chairman of the Hong Kong Chamber of Seafood Merchants, argued the initiative was not fair to wet market merchants.
“Offering discounts is a happy thing for residents, but it will definitely hurt our businesses as distributors and individual merchants. I estimate a 10 per cent business drop for them during the first week of July when the FMO app offers the discount,” Lee said.
Francis Fong Po-kiu, honorary president of the Hong Kong Information Technology Federation, said not everyone would opt to shop online for fresh produce.
“Ordering fresh produce and meat [online] is very convenient for the working class because wet markets will be closed after people finish work. That said, you really need to look at a piece of fresh meat or some oranges in person before buying them,” Fong said.
Gary Ng Cheuk-yan, a senior economist at Natixis Corporate and Investment Bank, also said the discount might not necessarily boost sales, as factors such as quality and delivery time also counted.
“I don’t see it as a huge difference compared with normal stores providing perks for consumers,” he said.
Online fresh food delivery platforms such as HKTVmall, Oisix and CookEasy gained popularity during the coronavirus pandemic due to social-distancing rules.
The HKTVmall app has offered fresh food and delivery services since October, with items matching wet market prices, and a delivery fee of HK$25 for a HK$80 purchase.
The company’s spokeswoman said its buyers had extensive experience in purchasing fresh food from wet markets and were knowledgeable about product quality.
