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A Hong Kong digital marketing start-up serving some of the city’s big clients has said it has gained traction and attracted several investors from the Middle East, attributing the opportunities to the connections made during its government-led trip last year. GoGoChart, founded nine years ago and part of the 110-member Hong Kong delegation to the Future Investment Initiative (FII) forum in Saudi Arabia last year, revealed that various investors in the region had offered it funding, with a memorandum of understanding (MOU) recently signed with an investment fund in the kingdom. “An incubator and investor showed significant interest in our company, more than in the other start-ups, and offered investment in a relatively short time frame, as our software product aligns with the emerging trend in Saudi [Arabia],” CEO and founder Daniel Lo said in an interview with the Post ahead of this year’s forum in Riyadh. The forum, which began on Monday, will end on Thursday. Promoting the city at the forum on Tuesday, Financial Secretary Paul Chan Mo-po said the city would remain competitive through public-private partnerships and the pursuit of pragmatic solutions amid China-US tensions. This year, Chan led a 40-member Hong Kong delegation to the summit, comprising representatives of financial institutions as well as founders and executives of enterprises in artificial intelligence and biomedical technology. GoGoChart’s software that secured the investment from Saudi investors mainly targeted small and medium enterprises and helped them set up and manage their social media accounts, according to Lo. It offered promotion strategies matched to clients’ brand personas while reducing the manpower needed to monitor various social media platforms, he added. The software has been well received amid the growing popularity of content creation, particularly among Saudi users of TikTok, Lo explained. GoGoChart, which is involved in promoting the city’s website for the National Games, has worked with leading local firms such as the MTR Corporation, HSBC and the Bank of China. The company originally focused on mobile game development before pivoting to marketing software. It also took part in the Hong Kong Science and Technology Park Corporation’s start-up booster programme. Lo declined to disclose details of the MOU due to business sensitivities, noting that he was still considering the investment offer as his firm had various options on the table. He said the initial injection of money was a “test run” investment, indicating that larger-scale funding could follow in the future. “Compared with European markets, Saudi Arabia’s investors are relatively prudent as they prefer getting to know you and having face-to-face discussions before committing to an investment,” Lo said, adding that people in the region are slower paced compared with Hong Kong. He explained that while he communicated with Saudi investors for over a year, his visit to the kingdom last year greatly boosted their confidence in him and showed his determination to enter the Middle East market. “From the Saudi perspective, you must visit to show sincerity; otherwise, it would be just talk,” he said, citing the local business ethos. Asked what advice he would offer to local entrepreneurs seeking to enter the Saudi market, he said companies must first understand and respect the local culture and be willing to learn from it. Lo noted that GoGoChart has been building relationships in Saudi Arabia and refining its business strategy for over two years. He expected his company’s business – currently derived mainly from traditional markets such as Hong Kong, mainland China and the United States – would grow in the Middle East and eventually contribute 5 to 10 per cent of its total revenue. Saudi Arabia is aggressively modernising and diversifying its economy to reduce its reliance on oil under the kingdom’s Vision 2030 plan. As part of that push, it is also strengthening ties with the mainland, paving the way for Hong Kong businesses to expand in the kingdom. Lo said that amid intense competition among tech firms on the mainland, new markets such as Saudi Arabia offered Hong Kong companies room for expansion.
