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News / Hong Kong

Spark Deep Dive: Hong Kong restaurants try to win back diners

Business models are being overhauled as food and drink sector tackles ‘irreversible’ trend of Hongkongers heading to Shenzhen to spend money
bySCMP
Published: 10:30pm, 01 Feb 2026
Length: 1130 words
Spark Deep Dive: Hong Kong restaurants try to win back diners

Food-theme collectibles are one way Tam Jai is trying to attract customers. Photo: Instagram/@tamjai-hk

Deep Dive delves into hot issues in Hong Kong and mainland China. Our easy-to-read articles provide context to grasp what’s happening, while our questions help you craft informed responses. Check sample answers at the end of the page.

News: Hongkongers are choosing restaurants in mainland China

  • Diners continue to cross the border in droves for leisure and dining

  • Hong Kong’s restaurants, such as Tam Jai, are feeling the effects

Hong Kong’s restaurant industry is confronting an “irreversible” shift. Diners are flocking to neighbouring Shenzhen for better value and more exciting experiences. This is forcing local restaurants to think outside the box.

One example is Hong Kong restaurant group Tam Jai International. Scroll through its mobile apps, and you will encounter a wave of perks, menu offerings and other choices laid out to tempt you to its staple offering, noodles.

The apps are among several strategies that the chain has recently introduced. It has also added new items to its breakfast, lunch, tea and dinner menus.

Ronald Wong Kin-pong is the firm’s chief marketing officer. He said such measures were needed to tackle the “tough trend” of Hongkongers heading north to mainland China to spend their money.

“Locals ... are spending more time across the border in the Greater Bay Area cities. That is why we’ve been seeing ... weak weekend sales, weak holiday sales,” he said.

“And secondly, the tourists are not coming back as much as we expected. So that gives us extra pressure. And then add the competition from across the border.”

But Tam Jai’s efforts were paying off, Wong said.

Its dinner business had jumped 10 per cent over the past few months compared to before its programme revamp. Half of its revenue now comes from known customers, an increase from the previous “20-something per cent”.

But industry leaders warn that only establishments offering superior quality and service will survive in a market that has structurally shrunk.

Samme Cheng Pak-man is the vice-chairman of the catering trade body the Institute of Dining Professionals. He offered a sobering prediction for 2026, explaining that consumer trends had already changed the industry.

“It is totally irreversible. Going to Shenzhen at weekends has already become a part of Hong Kong people’s routine,” he said. “We simply cannot compete with the price Shenzhen offers.”

Official data highlights this shift. Hong Kong’s outbound travel via land ports to the mainland surged from 53.6 million trips in 2023 to 87.1 million in 2025, with total resident departures hitting 114.6 million last year.

Cheng noted that the industry’s rigid cost structure, including wages and raw materials, was unchangeable. Even if rents fell, providing some relief, the impact would ultimately be limited.

Staff writers

Question prompts

1. Which of the following is false, according to the information in the news?

(1) Tam Jai’s dinner business has jumped 10 per cent over the past few months compared to before the group implemented new digital strategies.
(2) The percentage of Tam Jai’s revenue that comes from known customers has significantly decreased.
(3) Hongkongers made 87.1 million trips via land ports to the mainland in 2023.
(4) In total, Hong Kong residents made 114.6 million outbound departures last year.

A. (1), (2) only
B. (1), (4) only
C. (2), (3) only
D. (3), (4) only

2. What is the “tough trend” that Ronald Wong Kin-pong describes, and how does it relate to the news?

3. To what extent do Hongkongers’ travels to Shenzhen affect Hong Kong’s restaurant industry? Explain using the news and your own knowledge.

Illustration

Illustration: Henry Wong
Illustration: Henry Wong

Question prompts

1. Describe what you see in the illustration and how it relates to the news.

2. Based on the information in the news, what “outside the box” measures have Hong Kong restaurants taken to counter the food and beverage sector’s decline?

Glossary

think outside the box: to think in an original or creative way. In this story, the phrase is used to describe how Hong Kong restaurants must find new and interesting ways to attract and keep customers.

revenue: the money that an organisation or business earns, usually from selling goods or services to customers

known customers: returning customers, sometimes called repeat diners or regulars

sobering: serious, thoughtful and often depressing

Sample answers

News

  1. C

  2. Ronald Wong Kin-pong described a “tough trend” of Hongkongers heading north to mainland China to spend their money. He said locals spend more time across the border in the Greater Bay Area cities, especially on weekends and holidays. This relates to News as this money includes dining, with Hong Kong residents choosing to eat on the mainland rather than in the city.

  3. Hongkongers’ travelling to Shenzhen greatly affects Hong Kong’s restaurant industry. As Ronald Wong puts it, Hong Kong locals are spending time on the mainland, and there are also not enough tourists coming to Hong Kong. This creates competition from across the border, adding pressure to Hong Kong’s restaurant industry. Samme Cheng Pak-man said consumer trends have fundamentally altered the industry’s landscape, adding that this one in particular is “totally irreversible” as going to Shenzhen on weekends has become part of Hong Kong people’s routines. Due to Hong Kong restaurant industry’s rigid cost structure, including wages and raw materials, as well as high rents and living costs, it simply cannot compete with Shenzhen’s lower, more affordable prices.

Illustration

  1. The illustration depicts a restaurant as a box with a staff member inside, popping out of the box. The staff member, who might be a chef since he is holding cooking utensils, is holding a graph showing that the food and beverage (F&B) sector is declining or incurring losses. The restaurant staff member appears to be contemplating potential ideas, indicated by the yellow bulb lights around his head. This relates to News, as Hong Kong restaurants must think “outside the box” to survive the trend of diners heading north to spend money there rather than in the city.

  2. Hong Kong restaurant group Tam Jai International has updated its digital mobile apps, adding a wave of perks, menu offerings and other choices to tempt you. The group has also filled all dining segments, including breakfast, lunch, tea and dinner, with new menu items. Dinner business has jumped by 10 per cent, and half of the revenue now comes from known customers, an increase from 20 to 50 per cent. These customers dine at the restaurant regularly, which means they are not just satisfied with their initial service but are happy to return and spend money again.

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