Wendy Zhang/ Shanghai Daily news

SaSa International Holdings Ltd's first mainland outlet in Shanghai will operate on a trial basis this Saturday, with various promotions, the Oriental Morning Post reported today.
The local outlet of Hong Kong's largest cosmetics retailer is located at the B hall of the Women's Goods Shop at No.525 of the city's downtown Huaihai Road M, with a business space of around 420 square meters. Besides the Sasa specialty store, 70 percent of the other brands at the 4,500-square-meter five-storey hall are imported brands.
Sasa's local outlet will adopt the same business ideology as in Hong Kong, but, different from in Hong Kong, prices in Shanghai will not be so competitive, said Yao Xin from the Burson Marsteller, in charge of Sasa's mainland public relations business.
In Hong Kong, Sasa's product prices are generally only between 20 and 60 percent of those in shopping malls. In order to cut costs, domestic suppliers and agents, who charge higher prices, will provide Sasa's mainland products. Moreover, compared with Hong Kong's zero tariffs, Chinese Mainland's 30 percent in tariffs eliminates any price differences between Sasa and local shopping malls.
However, in order to be a hit in the local market, Sasa is betting on a series of promotions such as sending gifts, Yao said, adding that the ways of promotions and the commodity prices will not be unveiled until March 26.
If Sasa's outlet in Shanghai proves a success, five to seven outlets will be opened in Shanghai next year, with 30 chain stores planned nationwide within three years, said Simon Kwok, board director of the SaSa International Holdings Ltd, adding that if the number of outlets reaches 10 in two years, Sasa's international headquarter is likely to move to Shanghai.
The Shanghai-based Bailian Group, China's largest retailer, has become a strategic partner of Sasa early this year to jointly tap the Mainland business.