Here’s why Super Group is banking on a surge in China to lift its struggling sales

20% of consumers in China buy from e-commerce vendors abroad.

While the retail firm’s growth momentum in China isn’t exactly cheery due to new product launches and a general market slowdown, analysts still believe China may be a bright spot for the company.

According to a report by UOB Kay Hian, Singapore brands an hold a premium in China amid increasing affluence of Chinese consumers and food safety concerns.

“A survey by McKinsey highlights nearly 20% of digital consumers in China buy from e-commerce vendors outside of China, where cross border shoppers prefer items that are either too expensive or too scarce domestically,” the report said.

Meanwhile, UOB Kay Hian added that Super has also been gaining momentum on the ecommerce sales front and has expanded out of Jiangsu region to Chengdu as well as Wuhan.