LU study finds half of wet market vendors have not installed electronic payment tools for Consumption Voucher Scheme
A LU survey finds half of wet market merchants have not installed electronic payment systems required by the Consumption Voucher Scheme, although 20 per cent would consider accepting Octopus and 30 per cent Alipay or WeChat Pay, showing that the Scheme help popularise electronic payments.
The research team from LU’s Hong Kong Institute of Business Studies visited 20 wet markets in Hong Kong between April and June 2021 to survey market vendors’ acceptance of electronic payments and their understanding of the Scheme. 287 valid responses were collected, more than 80 per cent from individual businesses and some 10 per cent from chain businesses. Respondents included businesses selling fresh meat, seafood, fruit, groceries, pharmaceutical products and clothing.
Half of the market vendors (52%) accept electronic payments, and the most used platforms are: WeChat Pay (31.7%), Alipay (31%), Octopus (25.8%) and PayMe (7.7%).
About 65 per cent of respondents knew of the Scheme, but only 37 per cent were interest in participating. More than 60 per cent expressed that they have no intention to join (41%) or were still considering joining (22%). The main reasons were: complicated registration procedures (35.7%) and limited effects in boosting sales (29.7%). With regard to vendor satisfaction, 28 per cent of respondents were satisfied with the Scheme and believe it will encourage consumption, but 40 per cent were dissatisfied because their customers, mainly of a higher age group, have difficulty in using electronic payments. Some vendors also were concerned that the Scheme would benefit large enterprises rather than small businesses.
Survey results also indicated a correlation between market vendors’ understanding of the Scheme, their willingness to participate and level of satisfaction towards the Scheme and sales forecasting.
The research team suggests that the Government should promote the Scheme better and give market vendors who accept electronic payments preferential treatment.
Click here for the research details.