Mall owner: Physical retail can thrive, despite e-commerce, with innovation

Although brick-and-mortar retailers have felt the impact of robust online buying in recent years, the in-store shopping experience remains dominant in the retail sector, and online and offline retailing can coexist and cooperate, according to the managing director of HKR International Ltd.

"E-commerce indeed has made its strong impact towards physical retail, but brick-and-mortar stores are irreplaceable and continuing taking the lion's share of retail sector," said Victor Cha, who also serves as deputy chairman of HKR International.

According to data issued by the Ministry of Commerce, China's online retail sales of physical goods totaled 4.19 trillion yuan ($633.5 billion) in 2016, up 25.6 percent year-on-year but still accounting for only 12.6 percent of the retail value of all consumer goods purchased.