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government-trade

Hong Kong’s Beauty Avenue Thinks Big

Owned by the Dickson Group and located at Langham Place in Mongkok, the store is the first in an ambitious rollout planned for Hong Kong and mainland China.

A view of Beauty Avenue in Hong Kong.
Appeared In
Special Issue
Beauty Inc issue 06/20/2014

Hong Kong’s newest luxe beauty destination is a 20,000-square-foot megastore called Beauty Avenue. Owned by the Dickson Group and located at Langham Place in Mongkok, the store is the first in an ambitious rollout planned for Hong Kong and mainland China. “We see growth shifting from traditional [shopping] areas like Causeway Bay and Central to the New Territories and emerging areas of Kowloon,” says chief executive officer Sarah O’Donnell. The two-floor store features more than 50 brands, including Estée Lauder, Chanel, Dior, MAC and SK-II on the ground level, and an assortment geared towards younger shoppers upstairs, such as Shu Uemura, L’Oréal and CK One Color. Both floors feature full-service counters—there is no open sell. “We see the opportunity for a concept that offers luxury and a high service level,” says O’Donnell, who adds that more than 1.5 million shoppers visited the store during its first four months. Thus far, the consumer base consists of about 55 percent locals and 45 percent tourists from mainland China; skin care comprises 65 percent of sales, makeup, 30 percent, and fragrance the remainder. While Dickson has high hopes for the concept, O’Donnell notes that securing high-performing real estate is an increasingly tough proposition in China. “Finding the right location is tricky,” she says. “There are a lot of underperforming doors in China—there’s big hype, but the reality is often different.”