PRIMO JAPAN announces that a new I-PRIMO store will open in Tsuen Wan (Hong Kong) on Thursday, June 22. The I-PRIMO Hong Kong Tsuen Wan Citywalk Store will be located at Citywalk, a major destination for shoppers in New Territories Area.

 

◆Market Conditions in Hong Kong & Our Company’s Performance

 

Since our company entered the market in Hong Kong in 2011, we have steadily and successfully expanded our business through various sales exhibitions and events, including Wedding Expo, in addition to operating stores in Hong Kong’s central business districts (Causeway Bay, Tsim Sha Tsui, Mong Kok). Aggressive advertising and publicity campaigns in urban areas have played a role in this success, resulting in brand recognition approaching 50%. This, combined with double-digit revenue growth year on year for the fiscal year ending December 2016 from our Hong Kong operations, indicates a very strong performance.
However, the market in Hong Kong has been contracting slightly due to a decrease in the number of visitors from Mainland China, and the difficulties of retailers, including jewelers focusing mainly on tourist areas, have been reported for a long time. This, combined with factors such as an active scrap-and-build approach to constructing retail stores, results in a business environment that is constantly changing. Moreover, rather than going shopping in the bustling urban shopping centers, residents of Hong Kong tend to enjoy shopping closer to home at a more relaxed pace, even when purchasing expensive items, which indicates the establishment of a mature purchasing style among consumers in this market.
Against this backdrop, we decided to open the first store outside the central urban area in Tsuen Wan, which is in the central area of the New Territories in the northern part of Hong Kong, with the aim of expanding our business in Hong Kong further.

◆About the I-PRIMO Hong Kong Tsuen Wan Store

 

While many traditional aspects of Hong Kong survive in the Tsuen Wan district, located about 30 minutes by MTR to the northwest of central Hong Kong, large-scale development projects are in progress in the areas surrounding Tsuen Wan Station and Tsuen Wan West Station, including high-rise condominiums, shopping malls, public parks and civic centers, as well as entertainment facilities. The new I-PRIMO store will be opening in "Citywalk" (which itself opened in 2007) and is directly connected to Tsuen Wan Station and surrounding shopping centers by a pedestrian boardwalk. Also, since Citywalk features an open green space, making it the first "green shopping mall" in Hong Kong, it attracts bustling crowds of shoppers at weekends
Our new store is located on the upper ground floor section that connects directly with the pedestrian boardwalk and is a place where a good amount of footfall from shoppers passing by can be expected. Within the store, we encourage customers who stop in to enjoy our "Japan Quality" products and services in a relaxed atmosphere sitting in one of four sets of semi-private booths, which allow them to see our merchandise at their own leisurely pace.

 

 

◆Our Group Total Reaches 99 Stores: Overseas Store Network Expansion

 

The I-PRIMO Hong Kong Tsuen Wan Citywalk Store will open to become our group’s 99th store since our company was founded in 1999. In July, our 100th store is also scheduled to open in Shanghai, China. As specialists in bridal jewelry, our company is proud to offer one of the leading store networks in the Asian region. As of the end of July, the number of overseas stores is expected to reach 18 stores and we will continue to open new stores in the East Asia region centered on China. Our goal is to raise the proportion of consolidated sales revenue from overseas, currently at approximately 20%, to 30% in the medium term.