香港記憶 | Hong Kong Memory

The different brands’ char...

The sales distribution of T...

The China Paint Manufacturi...

The safety facility of the ...

Memories of Amoy’s stall a...

The decline of Hong Kong te...

How Hoe Hin leveraged uniqu...

In the old days, Gan Fock Wai’s father had good connection with many Cantonese opera artists and movie stars such as Sun Ma Sze Tsang, Chan Po Chu and Wu Fung. He even pledged brotherhood with top film directors who were happy to allow Pak Fah Yeow billboards to appear in their movies, as a way to promote the product brand. Back then, a lot of Cantonese opera artists and movie stars loved using Hoe Hin products. Those who are still alive today remain very supportive to Pak Fah Yeow. In the 1970s, Hoe Hin invited Teresa Teng to serve as Hoe Hin’s Charity Queen. Teresa was about 17 years old at that time and had just come to Hong Kong for further development not long after she started her career in entertainment. Gan Fock Wai knew Teresa well and the two young people had played table tennis together when Gan was in Primary Five and Six. Gan Fock Wai thought his father had a very good business mind and used a lot of progressive ideas to successfully transform a simple medicated oil into a best-selling brand.
In order to successfully market Hoe Hin products such as Pak Fah Yeow, Gan Fock Wai began trying out new ways of promotion. To this end, he put more emphasis on repositioning Pak Fah Yeow as a multi-purpose product whose usefulness went far beyond that of regular pharmaceuticals. In expanding its uses, Gan Fock Wai explained that if Pak Fah Yeow was marketed as a medicine, people would use it every time they felt unwell because of headaches, mosquito stings or insect bites. Going beyond a purely pharmaceutical positioning, Gan Fock Wai told people that Hoe Hin’s star product could be used to refresh the complexion, relieve emotional tension and even soothe heat stroke or dizziness while one waited for the bus or did the Christmas shopping! In Hong Kong, Hoe Hin had registered Pak Fah Yeow as a proprietary Chinese medicine. While it focused on the product’s extensive applications in its promotional efforts, the company never exaggerated its curative effects. Gan Fock Wai hoped to expand the uses of the brand so that consumers would pop a bottle in their purse or pocket to take with them for their own use or even help others while out and about. Examples of the latter type of usage could include giving some Pak Fah Yeow to a stranger in the street who was feeling discomfort or heat stroke. Emphasising such versatility was a sure way of helping to increase sales.
Gan Fock Wai describes that he had inherited his father's practice of never forgetting to convey a positive message in Hoe Hin’s promotional materials. About 10 years ago, Hoe Hin launched a series of TV commercials which were on show immediately before the news reports on two free-to-air local TV stations. Each day Hoe Hin sent a message featured a slightly different jingle such as “Letting Go Is Happiness”. The company also sponsored 13 episodes of Commercial Radio Hong Kong’s popular Spiritual Environmentalism programme. Occasionally, Gan Fock Wai hosted the show himself, inviting different guests to share uplifting spiritual stories and their wise advice about life.
Many years ago, Gan Fock Wai served as the lead singer on popular Hoe Hin commercials, such as “Go Fly”. Four years ago he returned to the recording studio to record “Love 80 Years More” to celebrate Hoe Hin’s 80th anniversary. Beginning in the 1980s, Gan Fock Wai had released several albums, initially singing for fun. He later learned to love music even more and began using it to convey positive messages. In last Lunar New Year Fair, Gan Fock Wai sold an album called “Music Recycle” to raise charity funds for Friends of the Earth. The album mainly featured him re-singing old songs aimed at reminding fans to recycle and reuse. The song “Go! Go! Go!” was intended to convey a message about the environment. Gan Fock Wai later planned to record a new album on behalf of the Society for Abandoned Animals to help call for the better protection of animals.

Pak Fah Yeow as a Family Fo...

Pak Fah Yeow participation ...

Innovations made by second-...

KL Sun explained how the second generation ran Kin Hip differently from their predecessor from two perspectives: product research and management culture.
(1) Product research: Sun Kin Chao relied on his own insights and judgments when introducing new products, which tended to be more profitable given the larger market and less competition in the early period. Sun Kin Chao often hung around in department stores, outlets and shopping malls to observe the different models of products available in the market. He then modified them in his own products. In 1970, with reference to two models of charcoal grill, Sun Kin Chao took advantage of their good ventilating and soot fending power and introduced a double-tray charcoal grill which sold well and remained popular till now. At the time of the handover to the second generation, the market differed from that of the 1950s and 60s. KL Sun put a great emphasis on market research and data analysis. He would never proceed to tooling and prototyping without adequate customer feedback. Recently Kin Hip introduced a cold drink cup equipped with an ice column, which could prevent lemonades from warming up again or the need for ice cubes. This product was a smash in the market. Since 1984, Sun Kin Chao had faded out of the operation of Kin Hip, yet he kept thinking about new products and occasionally inspected the factory to offer advice.
(2) Management culture: Sun Kin Chao adopted a paternalistic approach in management and made decisions with personal judgments. His subordinates, for the most part, were awed by his authoritativeness. His successor KL Sun decentralized management and involved senior staff members in the decision making process. He was revered rather than feared by his subordinates. When he first returned to Hong Kong for the succession, he spent most of his time in the workshop, urging the workers to work with enthusiasm. Now he had lessened his involvement in daily operation to facilitate the gradual participation by the third generation. KL Sun believed that he played a technical and managerial role, and was more devoted to the policy and strategy of the enterprise comparing with the first generation.

Creation and promotion of t...

Production of cans, preserv...

The iron used to make Amoy’s cans was ordered and imported from overseas with vessels divided into half-pound, one-pound and five-pound variants. The cut iron plates were fed into the machines to undergo processes known as flanging, lidding and pressure leak testing. Afterwards, empty cans were stored in warehouses. While half-pound and one-pound cans were manufactured by fully automated machines, the five-pound cans had to be processed manually. Amoy was the first company in Hong Kong to produce canned dace with salted black beans. Wong Wing Man thought that Amoy’s canned dace with salted black beans tasted delicious and gave off a mouthwatering aroma when deep-fried with lard and Amoy’s salted black beans.
After relocating its plant from Ngau Tau Kok to Tsuen Wan, Amoy began buying cans from Singapore rather than making the containers itself. As a result, the company eventually ceased production of cans for dace with salted black beans. From the 1950s to the 1960s, Amoy produced a wide variety of canned foods including pigs’ trotters with ginger, shark’s fin, minced fish, longans, lychees, pickled shallots, bamboo shoots, mixed vegetables, dace with salted black beans, salted black beans, miso and pickled cucumbers. The white cucumbers used to make this last delicacy were imported from China before being preserved by male and female casual staff working overtime shifts. Different kinds of food were either canned manually or by machines in the pickle room and then sent to another department for vacuum sterilisation and capping by machines. Female workers in the pickle room canned the food while their male colleagues transported the goods. Amoy’s canned food was not only sold locally but also exported overseas.
Amoy’s preserved gingers were very expensive and so tended to be exported. Preserved gingers were made of ginger cubes which were divided into wet and dry piles and graded according to size. All gingers used were imported from China. After the raw gingers were peeled manually by the female workers, they were preserved in a big pool with salt. Technicians had their own secret recipe for making preserved gingers, often testing the temperature of the sugar being heated with their bare hands before adding the ginger cubes.
Employees’ first step in making soy sauce was to soak soya beans in water during the day and then pick them up and leave them in the hall before clocking off and heading home. At around 5 to 6 a.m. the next morning, the beans would be steamed in an oven. The cooked beans were then placed on the floor to cool, ploughed loose, mixed with flour, fermented and then left to get mildewed. The male workers took charge of these steps while their female colleagues hard-pressed the remains of the beans to help them dehydrate. The technicians making soy sauce also had their secret techniques. To this end, they often sprayed the beans with fluid to reduce the temperature or turned up the oven to increase the heat according to the demands of the fermentation process.
Between the 1940s and the 1950s, Amoy’s boss was a native of Fujian. As a result most of the company’s male workforce was predominantly made up of Fujianese people mixed with a few locals or migrants from Chaozhou. Surprisingly, there were very few female workers from Fujian.

Changes of sales mode: stre...

Hong Kong was Chung Nam’s major market during its early years. In the 1950s, the company hired salesmen to carry out street marketing after training by Chong Ching Um. In those days, retail shops first had to buy watches on credit. While the retailers could not return the less popular models, they could negotiate price reductions with Chung Nam. When Chong Hok Hoi was at school during the 1960s, he often took summer jobs with the family business. Carrying a leather case weighing 20-30lbs, he accompanied company salesmen to shops all over Hong Kong. Offering him an excellent opportunity to observe and learn how to communicate with customers, the work gave Chong Hok Hoi a valuable lesson about sales work. All watches promoted through street marketing were Chung Nam-exclusive agency brands, mostly Octo and Tugaris watches. Roamer timepieces were not introduced until the 1990s. Following the U.S. moon landing in 1969, the demand for Octo Space Master watches was so impressive that the supplies were rationed to retail shops. Chong Hok Hoi recognized the importance of close wholesaler-retailer ties. He believed that customer relationships could be built up through social activities such as offering cigarettes, discussing horse racing tips, having tea together and even sponsoring travel trips for retail shop owners and their staff. By this time, Chung Nam had also begun placing advertisements on tram, magazine, cinema, radio and TV, and even hired artist George Lam to star in its TV commercials. Chong Hok Hoi still remembered the classic Octo advertising script: "No later, no sooner! With an Octo watch, time is just right!.
As Chong Ching Um was a director of the Chinese Manufacturers' Association of Hong Kong (CMA), Chung Nam had participated in the Hong Kong Products Expo. Chong Hok Hoi did not involve a lot in the preparation for the products expos but he thought that these activities were less important than the watch and clock fairs. Local watch and clock makers had not been allowed to exhibit at overseas exhibitions for many years. To address the issue, some 10 directors of the Hong Kong Watch Manufacturers Association (HKWMA) agreed to promote their products to overseas buyers by staging their own Hong Kong Watch and Clock Fair (HKWCF). The inaugural 1982 event took place in rented rooms at the Miramar Hotel which was paid by association directors from their own pockets. Chong Hok Hoi was involved in the preparation of this first HKWCF at which Chung Nam displayed a range of finished watches, watch bands and watch cases. So well received were these early HKWCF events by overseas buyers that the Hong Kong Trade Development Council joined forces with HKWMA and began to co-organize future exhibitions. There was a huge surge in global demand for low-priced watches from Hong Kong in the 1980s. Chung Nam’s major clients at this time included top U.S. department chain shops such as Kmart and Wal-Mart.

Engaging in sales business ...

Leung Wai Ho’s failure to make a mark with North American watch buyers. With the issue of the UK’s 1997 handover of Hong Kong to China still to be resolved, 1983 was a year of political instability for the Territory. Leung Wai Ho’s family emigrated to Montreal in Canada in 1984. As Montreal was close to New York, it was a convenient base from which to contact Dailywin’s US customers. The fact that the city was located in Canada’s French-speaking zone also helped Leung Wai Ho’s children learn French. Leung Wai Ho bought the SAGA brand in Canada and given it a Chinese name. From 1986, he focused on promoting the brand’s sales in Canada. As he could not oversee the business on the spot and North America’s vast population and landmass made advertising and marketing very expensive, the venture eventually came to an end. Leung Wai Ho retained his faith that Hong Kong was the ideal place for developing a retail business. Learning from his failure in North America, Dailywin began expanding its retail operations in mainland China with effect from 1992 onwards.

Developing China retailing on a consignment basis. In 1992, Leung Wai Ho accompanied a party from the Hong Kong Trade Development Council to the mainland to promote retailing. While there, he secured sales space in Guangzhou’s Nan Fang Building which had roughly the same status as Hong Kong’s Shui Hing and Sincere department stores. Leung Wai Ho subsequently rented a shop in Guangzhou’s Shangxiajiu Road, opening a flagship store to promote SAGA watches. Having many years of production and sales experience, believing there was a huge potential market in China, and serving as Vice President of the CHA, Leung Wai Ho had every confidence he would be successful in applying for his sales quotas. As a result, he worked hard to promote his mainland retailing activities.

Dailywin’s 1995 listing on the London stock market. Dailywin spent a full year trying to raise funds to develop its domestic sales in China and listed itself on the London Stock Exchange in 1995. It subsequently used all funds raised to expand the Dongguan factory operation. In those days, the UK market had a lower listing threshold, while the Hong Kong Stock Exchange did not welcome small companies capable of earning less than $50,000,000 within three years.

Dailywin began mainland retailing. Dailywin’s China domestic sales team began by focusing on consignments to shopping malls with all selling conducted through wholesalers. As Leung Wai Ho was not familiar with the mainland market and lacked experience in retailing, wholesalers often took the goods and defaulted on payment. This cost him considerably in terms of both goods and money. Between 1994 and the end of 1996, Leung Wai Ho lost a total of $50,000,000 in this way. After this failure, Dailywin was listed in Hong Kong in 1997 to raise funds for a comeback. From 1997 onwards, Leung Wai Ho directly managed the company’s mainland retail stores, using a “shop-in-shop” mode to open 25 shops in big cities across China. Leung Wai Ho was well aware that as a manufacturer he lacked retailing experience, and therefore hired full-time sales managers to run the shops. One of the managers he employed had previously worked in Giordano. Leung Wai Ho rented spaces of 20 to 40 square metres in each large shopping mall. He also co-operated with foreign brands such as Timex, Casio, Disney, Elle and Esprit to market lifestyle watch brands. Labelled Time Zones, these retail corners collected and analysed sales information on a daily basis. Leung Wai Ho admitted that the Guangzhou flagship store was not suitable for selling brand watches and that he had chosen the wrong location.

Quitting the retail market....

Manufacturing Industries