Only 3 in 10 Hong Kongers were willing to shell out $5,000 during holiday

Amid expectations of sluggish retail industry sales.

Although Hong Kong’s retail industry is in general not so optimistic about sales over the upcoming Christmas season, it seems that consumers are still willing to spend in preparing for the holidays.

According to a release from TransUnion, around one-third (35%) of Hongkongers intend to spend HK$5,000 or more during Christmas and New Year’s, a survey by TransUnion has found.

An online survey of 500 adults conducted by Zogby Analytics and commissioned by TransUnion revealed that 19% of respondents plan to spend HK$5,000-10,000, and 13% will spend HK$10,000-30,000. 3% of those surveyed say they will spend over HK$30,000 during the holiday period.

Here's more from TransUnion:

While the majority of respondents (68%) said they will use their savings to fund their Christmas and New Year spending, the survey reveals that one-third of Hongkongers (32%) prefer to spend first and pay later: 27% of respondents will use their credit cards, 4% will use a personal loan or part of their tax loan and 1% will borrow from parents or friends.

Among those who will pay for their holiday expenses using credit cards, 17% will make partial or minimum payment while 77% said they will pay off their credit card debt incurred during the holiday season in full.

Commenting on the results of the survey, Lawrence Tsong, Asia Pacific President at TransUnion, said, “We are glad to see that most Hongkongers are prudent when it comes to their holiday spending. Consumers intending to spend using credit cards need to remember to re-pay their bills on time, which will reduce interest payment. Clearing debts effectively will help consumers build a solid credit history in the long run, which will increase their chances of securing lower-interest credit.”