How this country manager launched a Series C startup in Hong Kong in 1 year

Memebox started in Korea as an online beauty retailer in 2012. The San Francisco-based company’s latest funding round in Series C serves to fuel its expansion in China and the US, which account for more than half the company’s revenue.

I spoke with Memebox Hong Kong’s former country manager and launcher, Louisa Zhang, to find out how she launched the company’s omnichannel strategy in the city in a year.

Former country manager of Memebox Hong Kong, Louisa Zhang. Photo credit: Christina Tang.

Tell us a bit about how you joined Memebox

“I joined Memebox in May 2016 […]. I was previously involved in tech banking (processing deals for Alibaba and JD.com) and saw the evolution of ecommerce companies in China. These companies have completely changed the way people shop and consume. I started my own online swimwear brand while in banking and had firsthand experience with building an ecommerce brand. Dino (Memebox’s founder and CEO) wanted to bring the business to Hong Kong, and this opportunity fit my experience.”

Why expand into Hong Kong?

“Hong Kong and Taiwan are relatively mature markets for cosmetics. In particular, Hong Kong captures the Chinese customer base because foreign cosmetics are taxed higher on the mainland. Customers in China also get more limited selection, so Hong Kong is the go-to destination for Chinese tourists and the daigou (a platform that acquires overseas goods on a user’s request) industry.”

Any takeaways from launching in Hong Kong?

“In Hong Kong, we have to balance two equally important groups of customers—locals and tourists. For brands, it’s important to test your products on these two very different customer bases first and, depending on the results, plan your distribution and marketing strategy accordingly.

“It takes longer to build a consumer brand in Hong Kong; brands need to engage them repeatedly before they become high-purchasing customers. At the same time, we have to balance it with tourist customers who have a higher purchasing desire. For them, we focus on short-term promotions that are targeted toward increasing basket size than repeat purchases.”

How does business differ in Hong Kong, Seoul, or the US?

“In Hong Kong, we have a more offline retail model compared to our core business in Seoul or the US, where digital business is more developed.

“In the US, we found that beauty bloggers and other key opinion leaders (KOLs) were a good strategy, but in Hong Kong, having more localized content and making funny, entertaining, and relatable videos worked better. So spend time to test out different marketing strategies and always use data to determine your branding and growth strategy.”

What kind of challenges did you face in communicating with the head office?

“When we launched in Hong Kong, many processes like communication, marketing, and product and inventory planning with the HQ were just getting set up. Essentially, there was no ‘This is how things are done.’ It is for the different regions and the HQ to learn and build that process together.

“Expect lots of trial and error, and don’t be afraid to take the lead on originating some of these conversations because, more likely than not, other regions are also experiencing the same issues. We’ve found being respectful and simply understanding the different challenges and limitations the other team or business unit faces is already the first step to building a better relationship and finding a solution.”

What was your top priority when you took on this role?

“Definitely hiring a good team first. It helps to think longer term. If you want to build a million-dollar business, what are the different elements you need to have in the company?

“Once you have a good team and you’ve achieved initial milestones, it is very important to set up processes. The role of the city launcher becomes one of project management more than business development. Once processes are set up, someone else in the team can take on the role, and there is continuity beyond you.”

What type of people were you looking for to join the team?

“We were looking for people who were comfortable and passionate about working in a small team, with a focus on getting things done. We also needed people who could align themselves with Memebox’s vision and could navigate themselves through ambiguity.

What would you do differently if you could start over?

How would you hire a city launcher now that you’ve been one?

Should there be one launcher per market or can one person launch multiple cities?

How has being a city launcher prepared you for your next role?