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FROM THE EDITOR
Augmented reality (AR) is fundamentally transforming the retail landscape, offering customers immersive ways to experience products before making a purchase.
At ION Orchard in Singapore, the mall becomes an AR quest map where shoppers can earn rewards by visiting participating stores, adding a fun twist to their shopping experience. We chat with Yeo Mui Hong, CEO of Orchard Turn Developments, about gamifying retail and the future of shopping. Find more of her insights on page 18.
Over in the Philippines, Ayala Malls is gearing up to introduce AR features like digital changing rooms and interactive displays as part of its plans to revamp its 30-year-old malls, enhancing the way shoppers interact with products and brands. Read our interview with Chief Operating Officer Paul Birkett on page 12 for more details.
Meanwhile, L’Oréal is embracing AR with virtual try-on tools, helping customers visualise beauty products before they buy. Chief Marketing and Digital Officer Lex Bradshaw-Zanger shares the brand's tech vision on page 7.
This issue also highlights the top innovators transforming retail in Asia. From adopting cutting-edge tech like AR to setting new standards in sustainability, these companies are leading the way in a fiercely competitive market. The Retail Asia Awards celebrates these trailblazers, honoring excellence in customer engagement, operational efficiency, and forward-thinking strategies. Discover more on pages 24 to 29.
Read on and enjoy.
Tim Charlton
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MOST READ
The fast-rising presence of smallformat stores in Southeast Asia’s retail scene is a trend to watch. For instance, the local convenience store chain 99 Speedmart in Malaysia took 10 years to open its 1,000th store in 2017, but then doubled this number in just four years, reaching its 2,000th outlet in 2021.
In an effort to be close to their target market — upper middle-class families, PT AEON Mall Indonesia continues its expansion to select potential locations, all situated in suburban areas, rather than in city centres. The move positions AEON Mall as an integral part of the economic structure of its tucked-away environment.
Revenge tourism can spell negative outcomes for online commerce platforms, like ZALORA, which relies on native population customers rather than tourists. However, with the increase in travel-related searches, ZALORA found that tourist demand for travel preparation increased with luggage and winterwear.
Retailers urged to view returns management as loyalty drivers
Indian consumers are now placing a high priority on brands that they consider ethical and sustainable. As such, they prefer to purchase more from local brands than imported ones as they are deemed to be more aligned with their expectations, says Saptarshi Banerjee, senior analyst at Mintel.
People used to travel to big shopping centres with long shopping lists. But today, consumers prefer, buying only what they need at the moment. This shift in consumer behaviour drives the mini market sector and Family Mart Indonesia keeps their customers engaged by boosting its ready-to-eat food and drinks.
Daigou restrictions and overseas shopping temper China's luxury
The daigou sector, once a loosely organised network of personal shoppers who bridged the gap between overseas luxury markets and mainland Chinese consumers, is shifting towards a, platform-based approach. Experts believe that these restrictions are tempering the growth of China’s luxury market.
Rise of minimarts compels largeformat stores to rethink growth
AEON Mall Indonesia emphasises community integration in expansion
ZALORA eyes opportunity in revenge tourists’ purchasing power
F&B success seen in Family Mart Indonesia stores
PROUD WINNER OF MALAYSIA
WHAT IS LIMITING THE GROWTH OF INDIA'S LUXURY MARKET?
Several cities in India remain relatively underserved by luxury brands despite promising economic indicators and future market potential, according to Savills.
“These cities lag behind similar counterparts such as Sao Paulo and Mexico City, which rank well in terms of luxury provision relative to market size and wealth, highlighting the potential scope for significant expansion in India going forward,” the report noted.
Luxury openings
Despite remaining underserved, recent years have seen a gradual increase in luxury brand openings in India. In 2024, IWC Schaffhausen (LVMH) opened in Mumbai, following Brioni (Kering)'s debut in Delhi late last year.
Economic forecasts indicate strong growth in retail sales across major Indian cities, with Hyderabad expected to lead with an annual growth rate of 8.4% from 2024 to 2029, followed by Delhi at 7% and Mumbai at 6.8%.
Moreover, the launch of Chanakya and Emporio Malls in Delhi in 2017 triggered a wave of luxury openings, though growth slowed temporarily afterward.
The recent opening of Jio World Plaza in 2023 has also reignited competition for retail space, whilst developments like DLF's luxury mall in Gurugram have attracted significant interest from international brands.
However, barriers such as foreign direct investment restrictions and a high Goods and Services Tax (GST) of 18% present challenges for luxury brands seeking to establish independent operations in India.
Many brands are opting for franchise partnerships to navigate these hurdles, leveraging local expertise and distribution networks.
Despite the interest in India's expanding luxury market, limited availability of suitable real estate remains a critical constraint.
Can brands survive China’s 'luxury shame'?
Luxury brands are facing difficulties in China, partly due to 'luxury shame,' where consumers are increasingly hesitant to splurge on high-end items. Their target consumers are now opting for more subtle purchases, as a result, people are increasingly avoiding outward displays of wealth.
The country’s market is under strain from two key factors, including the revival in outbound tourism that’s pulling consumers away from domestic spending, and economic uncertainties that are weakening local demand, according to Bain & Company’s Luxury Goods Worldwide Market Study, which was conducted in collaboration with Altagamma.
‘Luxury shame’
The middle class, once a robust driver of luxury consumption in China, is now facing financial strain, leading to more cautious spending behaviours. This shift is similar to the "luxury shame" seen during the 2008-09 financial crisis in the Americas.
In 2023, the market grew by 12% year-on-year (YoY), rebounding from a pandemic-induced slump. This
growth was driven by a strong first half of the year, though it slowed later due to mixed consumer sentiment and a high base from 2022, according to Bruno Lannes and Weiwei Xing, principal authors of the Bain-Altagamma report.
Economic uncertainty
Despite a significant rebound, the market has not yet reached its 2021 levels. The economic climate and increased overseas shopping have tempered recovery. Additionally, uncertainties remain about the pace of consumer confidence recovery and the evolution of international luxury shopping trends or patterns.
China has a high luxury marketto-GDP ratio of 2.4% with a relatively low GDP per capita of around $13,000, driven by rapid income growth and a status-conscious culture, according to Natixis China Luxury Consumption Index.
However, challenges are growing, including slower disposable income growth and higher savings due to weaker income expectations. A weaker yuan and low inflation could increase luxury item costs, potentially deterring middle-class buyers, and changes in tax incentives might also impact luxury spending.
“As such, boosting luxury spending in China will be an uphill battle but the market will remain large,” it noted.
A report from Savills’ Global Luxury Retail 2024 Outlook said that most brands saw significant sales declines in China in the first quarter of the year due to a slowing economy, falling residential prices, rising unemployment, and stock market fluctuations. Because of this, people are saving rather than spending.
“Only the super-rich have the appetite to keep spending on luxury,” the Savills report stated.
Domestic sales during Chinese New Year were also disappointing, leading brands to adopt a cautious expansion approach.
In 2023, luxury brand store openings in China decreased by 12% but it still accounted for 41% of all new global openings.
“Weakening consumer confidence in China is likely to dampen confidence in store expansion this year and into early 2025,” the report noted.
Take, for example, Burberry's sales in mainland China fell 21% YoY, with the company citing "deteriorating consumer confidence" as the cause.
Many shoppers face financial strain, leading to more cautious spending behaviours
Only the superrich have the appetite to keep spending on luxury
Bruno Lannes
Weiwei Xing
FASHION
L’Oréal’s virtual try-on tools bring Gen Z’s beauty game online
Trying on makeup without opening a single product?
That is the new reality L’Oréal is bringing to beauty enthusiasts as it aims to become a "beauty life companion" for consumers.
One of the most exciting developments is L’Oréal's use of virtual try-on (VTO) technologies. Tools like BeautyCam have become a sensation, especially amongst Gen Z users, accumulating over 100 million uses across Southeast Asia. These technologies allow consumers to experiment with different beauty products virtually—lipsticks, eyeshadows, hairstyles—all without physically applying anything.
Companies not integrating advanced technologies like generative AI and digital twin simulations into their products or services may soon face obsolescence. Experts warn that even half of leading consumer goods companies globally are struggling to meet 80% of their digital transformation goals.
In the first two waves of digitisation, technology drove companies ahead by automating processes and digitising channels and supply chains. The third wave, focusing on differentiation, risks further widening the gap between leaders and laggards.
“In many ways, this wave of tech, which is aimed at delivering a competitive advantage in critical digital capabilities such as sales, marketing, and innovation, is the trickiest but the most important in predicting a consumer
Innovating for Gen Z
L’Oréal invests heavily in digital innovations that transform consumer experiences especially for the Gen Z consumer base, said Lex BradshawZanger, chief marketing and digital officer for L’Oréal in South Asia Pacific, Middle East, and North Africa (SAPMENA). Tools like the BeautyCam and livestreaming options for real-time product recommendations, are central to engaging this audience.
For example, YSL Beauty assists users in building personalised iconic looks with its Virtual Try-On, offering a step-by-step guide to selecting the perfect brows, lips, eyes, and base
makeup. This interactive tool allows users to explore and customize different beauty products, creating a tailored look before making a purchase, and blending technology and luxury beauty.
Garnier’s "Try Before You Dye" feature allows consumers to test different hair colors virtually, helping them visualize results and potentially avoid hair damage or failed color experiments. The tool offers a riskfree way to explore bold or natural shades from the comfort of home.
L’Oréal also launched the Big Bang Beauty Tech Innovation Program, an open competition seeking startups with cutting-edge solutions in augmented tech and digital services, culminating in a grand finale in Singapore this October.
The tech vision
L’Oréal’s digital strategy leverages over a decade of experience to enhance brand visibility and consumer engagement. The company focuses on offering unique brand experiences on its direct-to-consumer websites like La Roche-Posay’s AI-based Spotscan for personalised acne solutions.
Additionally, data is a critical asset for L’Oréal. In a cookie-less environment, their digital services provide high-quality data that helps drive traffic and conversions.
“We leverage on data for traffic and conversion and use these insights to be more responsive and compete better,” he said.
product company’s fate,” said Rajesh Narayan, a partner in Bain & Company’s Consumer Products and Enterprise Technology practices.
Advanced tech adoption
AI-driven design modeling and data-driven sales optimisation strategies are being actively adopted amongst consumer goods firms, with approximately 25% experimenting with AI and 50% testing data-driven strategies. Top-quartile consumer goods companies also allocate 60% more of their revenue towards consumer, customer, and innovation capabilities than those in the bottom quartile. Offline retailers are also increasingly adopting customer-centric designs such as experiential stores and in-store dining to counteract the influence of e-commerce.
Virtual try-on tools are particularly appealing to Gen Z customers (Photos from L'Oreal)
Source: Bain & Company
Lex Bradshaw-Zanger
TECHNOLOGY
SCAN FOR FULL STORY
Advantech showcases IoT and AI systems designed for smart retailing across Asia
Retailers must integrate IoT devices with intelligent AI systems to optimise and enhance store operations.
Connecting in-store sensors with AI engines is the new approach retailers in Asia should consider for optimising their operations, according to Matrix Choong, Advantech ASEAN Service-IoT head. Choong shared this perspective during an interview with Retail Asia at Advantech’s stand at the inaugural NRF Retail Show in Singapore in June 2024.
“Advantech excels in integrating AI and IoT, ensuring that both technologies work seamlessly together. We don’t focus solely on AI or IoT but leverage their combined potential to create smarter, more intelligent retail environments,” Mr Choong said.
Retail stores are increasingly adopting AI, and Advantech’s standout innovation is a generative AI assistant designed specifically for retail environments. This tool manages marketing promotions, answers customer queries, and facilitates payments, offering informative content both in-store and remotely. It’s user-friendly—no technical expertise is needed. Customers simply interact with it as they would with a person, engaging in conversation to get the information they need. Advantech also provides all-in-one terminal computers that handle multiple functions, including kiosk operations and inventory management.
According to Choong, sustainability
is driving retailers to focus more on environmental monitoring. Grocery stores, in particular, must maintain optimal conditions to preserve food freshness. To assist with this, Advantech has developed an advanced environmental sensor that tracks temperature, humidity, CO2 levels, air quality, vibrations, door access, and more. The data collected by these sensors is sent via wireless gateways for analysis and cloud storage.
Even camera sensors, traditionally used only for security, now serve multiple functions. With AI analytics, these sensors can analyse video footage and images to assess carbon footprints and energy consumption. This expanded role not only enhances security but also supports sustainability goals and meets the growing consumer demand for environmentally responsible practices.
When supplemented with additional imaging, the system can generate detailed insights and separate datasets for people and objects through AI analytics. It features capabilities such as analysing the foot traffic of individuals entering stores, monitoring stock-keeping units (SKUs), and issuing alerts if quality or environmental controls are compromised.
These features are provided through various applications that can be installed individually on retailers’ local servers. This approach reduces labour and associated costs by streamlining the installation and management process.
Delivering long-term value for retailers
Advantech designed its tools with two key factors in mind: cost and reliability. The company’s sensors are built to perform consistently across multiple locations without needing frequent replacement. “Once we deploy the sensors, they are designed to serve effectively in hundreds or even thousands of stores, minimising the need for redeployment within six or ten months,” Choong explained.
Advantech participated in the National Retail Federation’s NRF 2024 Retail’s Big Show Asia Pacific, where it showcased its AIenhanced self-service technology.
The company highlighted the increasing interest in self-checkout and self-ordering systems, which integrate seamlessly
with existing infrastructure to support omnichannel retail operations. Additionally, the AI capabilities enable the tool to generate predictive analyses based on daily scanning and payment data.
Theft prevention
Theft continues to be a significant concern for retailers, particularly with the rise of self-service checkouts and less staff monitoring the store. Choong explained that Advantech addresses "shrinkage" by using AI to match objects with payment data. “If our sensors and AI detect ten items but only nine are paid for, the system will flag the discrepancy and send an alert,” he said. Although theft prevention is not Advantech's primary focus, the company emphasises its collaboration with regional partners who specialise in this area. Advantech remains optimistic about advancements and improvements in theft prevention technologies.
Advantech emphasised that even established stores with existing IoT systems can benefit from ongoing improvements. The company highlighted that its strong partnerships and collaborations with technology innovators are key reasons why retailers prefer its solutions.
Inventory management
Sensors are also alleviating the burden of inventory counting, according to Choong. “Previously, staff had to record stock manually on paper. Then, handheld scanners were used to scan and compare inventory with the ERP system. Now, RFID and camera technology handle the analytics continuously,” he explained.
A crucial aspect for retailers is the checkout process, where mismatches between the number of queuing customers and the available checkout staff can impact efficiency and customer satisfaction. Choong noted that Advantech's technology can track the number of employees attending to customers, providing valuable insights for store operators. “Our system can also perform loss prevention using AI, offering multiple crosschecks and data validation. This capability adds significant value for retailers,” he added.
We don’t focus solely on AI or IoT but leverage their combined potential to create smarter, more intelligent retail environments
Matrix Choong, Advantech ASEAN Service-IoT head
RETAIL WATCH: BACHA COFFEE
Bacha Coffee masters sensory-rich retailing in its Jakarta debut
Blending heritage and luxury, Bacha Coffee Plaza Senayan immerses Indonesian coffee lovers into a unique experience.
Morocco's legendary coffee brand Bacha Coffee recently made its debut in Indonesia at the iconic Plaza Senayan in Jakarta. This opening at its premiere location blends heritage and innovation, providing an authentic Bacha Coffee experience to Indonesian coffee aficionados.
“Bacha Coffee is known for its unparalleled concept and diverse selection of original Arabica coffees, which convinced us to bring this legendary Moroccan coffee brand to Jakarta,” said Gabrielle Halim, CEO of Erajaya Food & Nourishment, which operates the coffee chain in Indonesia. . “At Erajaya Food & Nourishment, we are dedicated to delivering the best quality through unique and innovative brands that transform the lives of many Indonesians.”
Spanning over 400 square meters, Bacha Coffee Plaza Senayan offers
The distinctive gift offerings of Bacha Coffee are also very compatible with Indonesia’s rich tradition of giftgiving
a comprehensive coffee experience, including a boutique, a takeaway counter, and a coffee room.
The venue can accommodate up to 50 guests, offering an exclusive and luxurious setting for coffee enthusiasts and exciting gift offerings.
“The distinctive gift offerings of Bacha Coffee are also very compatible with Indonesia’s rich tradition of gift-giving,” stressed Halim.
Sensory-rich environment
The Erajaya CEO explained how Bacha Coffee’s retail strategy is centred on creating a sensoryrich environment that transports customers into the heart of the famed Marrakesh coffee culture
“The Bacha Coffee Boutique, for instance, is designed to captivate visitors with its visually stunning environment featuring ochrecoloured tubes lining the walls,” Halim said.
“The Bacha Coffee Room further enhances the customer experience with intricate and unique boutique decor. Visitors are transported to the magical world of Dar el Bacha, surrounded by hand-painted latticework, authentic Moroccan kaftans, black-and-white marble floors, and meticulously arranged tables. This setting recalls an era when coffee from around the world was served to visitors with the highest standards,” she added.
To complement its luxurious setting, Bacha Coffee Plaza Senayan features a takeaway counter that offers a wide range of coffee types prepared in the traditional Bacha Coffee style. In offering over 200 varieties of 100% Arabica coffee, sourced globally from Africa, the Arabian Peninsula, Central and South America, the Caribbean, and Asia, the Bacha boutique aims to provide an immersive coffee experience of pure aroma and taste.
INDONESIA
Gabrielle Halim
Watsons Singapore celebrates double victory as Health and Beauty Retailer & Retail App of the Year
It stands out as a beacon of innovation and customer-centricity.
In the dynamic and ever-evolving world of health and beauty retail, one brand consistently rises above the rest: Watsons. This year, Watsons proudly stands at the summit of success, having clinched two prestigious awards. The company was named Health & Beauty Retailer of the YearSingapore for the fourth consecutive year, and its app, Watsons SG, was awarded Retail App of the Year - Singapore for the first time.
A Legacy of Leadership: For three consecutive years, Watsons was named Health and Beauty Retailer of the Year, a distinction that speaks volumes about the brand's commitment to innovation, quality, and customer satisfaction. With a rich heritage that spans decades, Watsons has continually set the standard for excellence, surpassing expectations and setting new benchmarks in service and selection across the fiercely competitive retail landscape.
A Digital Frontier: This year marks a significant milestone as the brand secures the title of Retail App of the Year for the very first time, underscoring the transformative impact of its cutting-edge mobile platform. With millions of downloads and a loyal user base, the Watsons app has redefined the shopping experience, offering unparalleled convenience and accessibility, all at the touch of a button.
A Vision for the Future: The brand remains steadfast in its commitment to innovation, sustainability, and community engagement. With a focus on delivering exceptional products, services, and experiences, Watsons is poised to lead the charge into a future brimming with possibility and promise.
A Commitment to Sustainability: From implementing eco-friendly practices in its stores to championing sustainability initiatives throughout its supply chain,
positive impact on the environment and create a better world for future generations.
Empowering Communities: Through partnerships with charitable organisations and grassroots initiatives, Watsons is actively working to create a brighter, healthier future for all. Whether it's supporting local communities, promoting health and wellness initiatives, or empowering individuals to live their best lives, Watsons is dedicated to making a difference in the world.
Watsons Mobile App
The success of Watsons Singapore is partly attributed to its Mobile App, which drives shoppers to stores by seamlessly integrating online and offline experiences. The app is designed to meet customers' changing needs and quickly adapt to market trends.
With Watsons’ regular Home Delivery service, customers can choose their preferred delivery date and gain access to over 10,000 items, including exclusive categories such as prestige skincare, perfumes, and household goods that are not usually available in-store. For urgent needs, the 3-hour express shopping option offers a selection comparable to what is available at their nearest Watsons store.
Furthermore, Watsons Mobile App has merged augmented reality technology with beauty retail, which allows customers to virtually try on various makeup and view skin analytics, as well as provide them with a highly immersive and personalised shopping experience. The app’s brand new skin analysis AI tool, “Skinfie Lab,” provides customers with highly personalised skincare product recommendations based on their selfies.
Members can also earn and redeem points through the app’s QR feature, ensuring that
they never miss out on exclusive deals. They can also view their exclusive coupons, vouchers, and promo codes within the tool.
Watsons Mobile App provides a smooth and intuitive online shopping experience with features like personalised recommendations and easy checkout. Customers can also track orders and view their purchase history effortlessly. The search function within the app can be via keyword, product photo, or product barcode.
Customers can easily identify products that are sustainable through the app, especially those categorised under Clean Beauty, Refill, Better Ingredients and Better Packaging. Since its launch, the Watsons Mobile App has witnessed significant adoption, with over 1.6 million downloads. Its rating in both IOS and AOS stores has improved significantly, from 1.8 in 2021 to 4.7 in 2024. In February 2024, it also recorded a sales contribution of 75% and a sales growth of 618%.
Other data recorded by the app includes its cart abandonment rate, which declined to 27% in 2024 from 90% in 2019. It also includes its conversion rate, which improved by 247% this year. The app has had a profound impact on Watsons' sales performance, with 75% of its own platform sales transacted via mobile, demonstrating its effectiveness in driving revenue growth. The app's ability to provide personalised recommendations and promotions based on customer preferences has led to improved customer satisfaction and loyalty.
Looking ahead
Watsons Singapore Managing Director & Watsons International Regional Brand Marketing Director, Ms Irene Lau, expressed her gratitude and pride for the recognition and achievements of the company and its app. She said, "We are honoured and delighted to receive these two awards, which reflect our dedication and passion for serving our customers and enhancing their health and beauty journey. We are constantly innovating and improving our products, services, and solutions, to provide the best value and convenience for our customers.”
As Watsons charts a course for the future, it remains committed to innovation, adaptation, and evolution. With continued support and trust, Watsons is poised to continue leading the way in the health and beauty retail landscape, setting new standards of excellence and redefining the shopping experience for generations to come.
Watsons is steadfast in its mission to make a
Watsons Singapore
Ayala Malls tries on digital changing rooms
Interactive displays will allow customers to visualise products in real-world settings.
Imagine effortlessly seeing how an outfit suits you without stepping into a fitting room. At Ayala Malls in the Philippines, shoppers will soon be able to visualise whether an outfit is a perfect fit without the hassle of physically trying on garments. All they need to do is step inside a digital changing room equipped with screens for virtual try-ons.
Ayala Malls is integrating interactive technology, such as augmented reality (AR), to create immersive shopping experiences in its extensive redevelopment of flagship properties. The properties set for redevelopment include Glorietta, Greenbelt, TriNoma, and Ayala Center Cebu.
"Some of the aspects of those malls are over 30 years old, and the impacts of recent changes have made us look at a call to action. Customer habits and preferences have evolved, and we feel it’s a perfect opportunity to usher in a new era for Ayala Malls and a new experience for our customers," Paul Birkett, chief operating officer of Ayala Malls, said in an interview with Retail Asia magazine.
Central to this redevelopment are experiential stores that merge shopping with the latest technological innovations. Aside from the digital changing rooms, these new retail concepts will feature a variety of interactive elements, such as AR, allowing customers to enivsion products in real-world settings.
There will also be interactive displays will provide real-time product information and personalised recommendations, creating a dynamic and engaging retail environment.
"We’re working on spaces with major brands to create multi-level retail stores in spaces that have previously not been considered," Birkett added. "We want these to be one of a kind and first in the Philippines."
He mentioned that their team is actively exploring both physically and digitally around the world to ensure they surpass the highest standards. "We’re gathering insights, meeting retail concepts and mall developers. We want to see what the rest of the world is doing and what has relevance back here in the Philippines," he said.
Redefining ‘third spaces’
Birkett said Ayala Malls plans to redefine “third spaces”— areas beyond home, work, or school — aiming to set a new standard in retail. The goal is to create exciting and memorable environments for Filipinos where they can interact with each other and their favorite brands.
Currently, the retail industry faces a paradox of space where retailers struggle with having too much space that does not meet their needs and not enough of the right-sized space.
“The development of experiential retail, the advent of just in time logistics, AI based sales projections mean that
retailers need more focus on shop floor spaces, selling space, and less space driven to inventory storage,” he noted.
The redevelopment will include updated mall interiors and exteriors, with modern aesthetics and improved navigation. Lush greenery and open spaces will be incorporated to enhance the mall environment.
New designs will feature pop-up areas for temporary shops and unique experiences, as well as multifunctional spaces that showcase emerging brands and local artisans. The introduction of themed environments, amusement parks, and cultural exhibitions will further enrich the mall experience, making it a destination for both leisure and discovery.
Aside from attracting shoppers, Birkett emphasised the aim to create dynamic mall environments that inspire and challenge merchants to innovate continuously.
We have transitioned our online platform to be a bit more personalised in terms of shopping services and experience
Ayala Malls experienced strong double-digit growth in 2023, with footfall rebounding significantly post-pandemic.
“It continues to be a strong period, and I guess that's where the caution is needed during these refurbishments that we can’t damage as people’s businesses are growing so strongly after so many years of difficulty during the pandemic,” said Birkett.
He said the positive trend continues in 2024, with many new international brands signing up.
Paul Birkett, chief operating officer of Ayala Malls
PHILIPPINES
Henderson Land Development leads the way in retail innovation, redefining industry excellence
MCP's strategic upgrades boosts footfall and sets a new benchmark in Tseung Kwan O.
Amidst the competitive landscape of shopping malls in Tseung Kwan O, MCP CENTRAL & MCP DISCOVERY ("MCP") takes centre stage as a premier retail destination. In an area where multiple large shopping centres have recently sprung up and e-commerce has surged, MCP has brilliantly maintained its competitive edge. The success is largely due to its unwavering commitment to being customer-centric, consistently meeting and exceeding the demands of modern consumers.
Boasting a strategic location at a key transport hub and spanning an impressive 1 million square feet, MCP offers unparalleled convenience and accessibility. With over 400 popular stores under one roof, MCP has curated a diverse and vibrant shopping experience that caters to a wide array of tastes and preferences. This unique combination solidifies MCP's status as the ultimate shopping hotspot for locals, making it an indispensable part of the community and a beacon of retail excellence.
A hub of innovation: Enhancing the shopping experience
Despite the current challenges in Hong Kong's retail market — including a gradual post-pandemic recovery, ongoing population decline, and a sluggish global economy — MCP has undertaken a comprehensive transformation over the past two years. This transformation includes a complete overhaul of mall design, tenant mix, and marketing activities, all executed with a keen focus on customer satisfaction. By enhancing its appeal to consumers, MCP has positioned
itself as a trailblazer in the retail industry, ensuring sustainable growth for the future. The revamp of MCP DISCOVERY (Phase III) features a comprehensive upgrade and redesign of the mall’s interiors, optimising the layout to enhance the shopping experience. MCP has also enriched its tenant mix by
By enhancing its appeal to consumers, MCP has positioned itself as a trailblazer in the retail industry
introducing several new dining and dessert establishments making their debut in Hong Kong, catering to the area's high demand for diverse culinary options. The mall now hosts the first concept store of a globally
renowned toy retailer, significantly increasing its appeal to families.
Championing sustainability: MCP's commitment to ESG principles
MCP is proud to champion ESG principles, seamlessly integrating sustainability into its marketing campaigns to create engaging and impactful experiences. Last summer, MCP partnered with Taiwan’s beloved indoor playground, “The Wooderful Land,” renowned for its wood-themed activities. This captivating collaboration showcased a grand treehouse installation, a themed woodcraft exhibition, interactive displays on forest and wood conservation, and immersive hands-on workshops. These thoughtfully designed activities aim to instil a deep love for nature and a strong sense of environmental stewardship in the younger generation.
Driven by its relentless efforts in enhancement and innovation, MCP's performance has soared beyond prepandemic levels, earning the prestigious Mall of the Year - Hong Kong award from the Retail Asia Awards 2024. As a flagship property of Henderson Land Development in Hong Kong, MCP proudly upholds the company’s vision for sustainable development. Guided by the core principles of the 2030 Sustainable Development Vision — Green for Planet, Innovation for Future, Value for People, and Endeavor for Community (G.I.V.E) — MCP is dedicated to fostering a sustainable and prosperous future for all.
Comprehensive makeover on the Phase III of MCP
Summer in The Wooderful Land
Way to go for GOPIZZA: Convenience store ovens automate pizza baking in minutes
CEO Jay Lim aims to make it the most accessible pizza brand from Southeast Asia with GOVENs.
From a humble food truck in 2016, GOPIZZA has risen to prominence in the fast-food industry with a bold goal: to become the McDonald's of pizza parlors. CEO Jay Lim said that, like the iconic fast-food chain, he wants his pizzas to be made quickly, personalised, and affordable. Working towards this vision, GOPIZZA has expanded to 250 units, including locations within convenience store chains.
“The reason why I started this business in 2016 is because I felt that pizza is too expensive and always slow, because you have to deliver it, and also you get leftovers, so it’s too big,” Lim Retail Asia.
Accessibility and innovation
GOPIZZA’s vision is to become the most accessible pizza brand globally. In working towards this goal, Lim emphasised ongoing efforts to enhance operational efficiency and product quality whilst maintaining competitive pricing.
This led the company to developing an exclusive range of cutting-edge kitchen technologies, including the Parbake Dough and “GOVENS” or the automated ovens capable of baking pizzas in just three minutes.
Lim proudly told Retail Asia how these technologies and product innovations are now being showcased by GOPIZZA at GS 25, Korea’s largest convenience store chain.
All these made it possible to increase the accessibility of pizza, and eventually it became so accessible that it went into convenience store chains
'“All these technologies basically made it possible to increase the accessibility of pizza, and eventually it became so accessible that it went into convenience store chains,” he said. “We aim to reach customers through diverse retail chains, ensuring pizzas are available anytime, anywhere, within minutes."
Doubling global presence
With a tested formula for success, what GOPIZZA is now working on is to double its global sales this year. This explains the brand’s aggressive expansion initiatives across seven countries.
Since May, GOPIZZA has successfully launched 250 units within GS 25 locations, said Lim.
And his pizza train is still moving full steam ahead with an additional 350 outlets set to open by mid-July.
By the end of the year, Lim expects to reach a total of 2,000 GOPIZZA stores.
Singapore, India, Thailand, and Indonesia have been identified as key markets for this growth. Lim is also building around these countries for their strategic importance in his company’s vision.
He highlighted India’s rapid economic growth and Singapore’s strategic importance in Southeast Asia, whilst pointing out recent investments and expansion plans in Thailand and forthcoming focus on Indonesia due to its vast market potential.
1 Pizzas are baked and ready in three minutes.
4 Lim expects to reach a total of 2,000 stores by the end of 2024.
2 GOVENS are available at GS25, Korea's largest convenience store chain.
3 CEO Jay Lim showcases the GOVEN.
SOUTH KOREA
Strategic entry: Middle East companies tapping into SEA's retail growth
By Mohammad A Baker, Deputy Chairman and CEO of GMG
The retail market in Southeast Asia (SEA) presents a wealth of opportunities for expansion and growth. With a rapidly expanding consumer base, increasing digital adoption, and significant growth prospects, the region is increasingly attractive to companies seeking to broaden their presence. With a population nearing 700 million people and rising disposable incomes, SEA is poised to become the world's 4th largest economy by 2030, boasting a combined GDP of approximately $ 4.5t.
This promising landscape has piqued the interest of companies from the Middle East, leading to strategic initiatives aimed at tapping into the region's remarkable growth potential. Data from the Middle East and Southeast Asia shows that trade between the UAE and ASEAN countries amounted to $15.3b in the first half of 2023, marking a 2 percent increase from the same period in 2022. This trade represented 5.2 percent of the UAE's total non-oil foreign trade in 2022, reaching $32.2b, highlighting the strengthening of economic ties between the Middle East and ASEAN and creating new opportunities for collaboration and expansion.
Dominating the SEA retail landscape
In support of their expansion endeavours, Middle Eastern companies are embracing innovative strategies to enter the SEA market. GMG, a global well-being company operating leading brands across sports, everyday goods, health and beauty, properties, and logistics sectors, has marked a significant milestone in its SEA expansion strategy with the opening of its first office in Malaysia in January 2023 and another in Singapore in the same year. Since entering the SEA market in 2020, GMG has expanded rapidly. It operates over 120 stores in Indonesia, Singapore and Malaysia and plans to open more stores in the coming year.
GMG's strategic expansion in the region began with the acquisition of Royal Sporting House in December 2020, followed by the acquisition of Nike-only stores from SUTL Corporation in Singapore and Malaysia in April 2022. GMG has continued its growth efforts by announcing the global expansion of one of its most successful homegrown concepts, Sun & Sand Sports (SSS), through its first store in Singapore and upcoming locations in Malaysia. The company plans to open 11 more SSS stores across the SEA market by 2026.
and CEO of GMG
In line with its ambitious growth plans, GMG aims to open 100 new stores by 2025. The company's expanded presence in SEA is further reinforced by its appointment as Columbia’s exclusive distributor partner across Singapore and Malaysia, extending its two-decade-long partnership.
Furthermore, in partnership with Nike, GMG opened Singapore’s newest sports hub, Nike Orchard Road, in January 2024. This 28,000-square-foot store is the largest monobrand Nike store in Asia, outside of China, featuring Nike’s online-to-offline services and unique, Nike-only digital experiences. In April 2024, GMG announced the expanded presence of VF's brands in the region, manifesting through a growing network of new mono-brand partner stores across the Middle East and North Africa and SEA markets.
In line with its ambitious growth plans, GMG aims to open 100 new stores by 2025
Market challenges
However, the market is not without its challenges. The modern trade is expected to grow at a CAGR of 4.29% from 2024 to 2029. This shift signals a change in consumer preferences and necessitates adjusting retail strategies. To meet the evolving demands of consumers, supply chains are undergoing significant transformations, with investments in digital infrastructure
projected to surge in the next few years. Retailers are also grappling with heightened competition in e-commerce, compelling them to invest in digital capabilities. Moreover, AI is progressing rapidly and is expected to disrupt the retail industry significantly. Forward-looking retailers need to invest in developing AI roadmaps, identifying relevant use cases, and mobilising their organisations for change. Strengthening data capabilities and transforming them into data-empowered organisations is also crucial.
As Middle Eastern companies navigate their entry into the SEA retail market, they are presented with myriad opportunities amidst challenges. Traditional retailers have the potential to leverage e-commerce and develop integrated omnichannel approaches, providing seamless and personalised experiences to consumers. Embracing noncash payment methods, which are expected to account for 76% of transactions by 2025 in SEA, and offering tailored experiences for individual consumers can further fortify retailers' positions in the market.
Retailers can harness technologies such as facial recognition, augmented reality, and realtime customer insights to enhance in-store experiences and gain a competitive edge. The combination of market fundamentals, shifting consumer behaviours, and technological advancements presents a compelling opportunity for these companies to establish a strong foothold in this region by leveraging their unique capabilities and embracing digital innovation, contributing to the vibrant retail landscape of SEA.
Mohammad A Baker, Deputy Chairman
RETAIL INSIGHTS: FOOD & BEVERAGE
How will the rise of 'hermit consumers' impact the future of the F&B industry?
'Hermit consumers' are a new type of consumer who prefers staying home to dining out.
The global food service industry is experiencing difficulties, with several channels not showing signs of recovery. One of the contributing factors to the stalled growth of the food service sector is the emergence of a new type of consumer: the hermit consumer.
'Hermit consumers' are a new type of consumer who prefers staying home to dining out. 46% of consumers globally said they intend to eat out less frequently in the next three months, whilst 11% said they will stop altogether.
Post-pandemic changes
According to a GlobalData report, the food service industry did not return to pre-pandemic normalcy in 2023, with the value of sales in the food service sector having just increased by 3% since 2019 with overall transactions declining by 3% over the same period. Dine-in sales revenue also dropped by 12% compared to 2019.
“The idea of a post-pandemic recovery for the food service industry assumes that 2020-2021 was a blip – an exogenous, once-in-a-lifetime event which would halt progress for a year or two before normal trends and consumer behaviour resumed,” said Fred Diamond, senior food consultant, consumer custom solutions at GlobalData.
“However, during that period something changed. We have changed. People are still spending, and still consuming, but in a radically different way. This new type of consumer has been termed the ‘hermit consumer’ giving rise to the ‘hermit economy’,” he added.
The ‘hermit consumers’
The idea of a hermit economy is linked to concepts such as “cocooning” which is described as the phenomenon of people preferring to stay at home more over spending time outdoors. Diamond said that from 2020 to 2021, people stayed in more due to the pandemic. But from
People are still spending, and still consuming, but in a radically different way
2022 to 2023, inflation was cited as the main driver for staying indoors.
“This is four years of behavioural change on a global scale. The idea things could snap back to the way people saw the future from the vantage point of 2019 has to be abandoned, and the new landscape embraced,” he said.
Per region, Western Europe saw a 9% decline in the transactions for dine-in meals, whilst takeaways rose 23% in 2023 compared to 2019, but overall transactions were down 3%. GlobalData added that similar spending trends were observed in Asia and North America.
“In a way, this is no surprise. The major beneficiaries of lockdowns, such as delivery platforms, have of course aimed to maintain their newfound dominance. The rise in “ghost kitchens”, which are delivery-only food service outlets, has also served to cement this new landscape,” Diamond said. In a survey by food delivery platform Deliveroo, it found
that 68% of Singaporeans use food delivery daily, with 87% saying that delivery service allows them to make more of their spare time.
The lack of time to prepare meals and not wanting to cook are also amongst the reasons for using food delivery services.
Deliveroo also noted that the average spending of Singaporeans on food delivery rose to $88.80 (S$118) monthly from $81.28 (S$108) in the survey in 2022.
Generational trends
According to the Euromonitor Voice of the Industry Survey 2023, about 57% of global foodservice professionals predict that evolving consumption patterns, influenced by Gen Z and Millennials, will affect sales over the next five years.
The report noted that younger generations are spending more time online, a trend accelerated by the pandemic. Factors such as remote or hybrid work, increased online social
Hermit consumers prefer staying home to dining out
RETAIL INSIGHTS: FOOD & BEVERAGE
How important are each of the following features when deciding to make a purchase?
Source: GlobalData Consumer Survey Q4 2023
interaction, and decision-making through digital tools are shaping these consumers' preferences.
With a global inflation rate of 4.9% expected in 2024, consumers are also becoming more cautious with their spending, seeking better value when dining out.
Online ordering and off-premises consumption are on the rise, often accompanied by discount coupons, savings on commuting costs, and competitive prices from virtual restaurants or dark kitchens with streamlined operations.
Despite the rise of these alternative channels, eat-in dining is projected to remain the dominant foodservice option, accounting for around 55% of total industry sales by 2028. The shifting work patterns, balancing between office and home, are also influencing restaurant consumption habits.
Takeaway and delivery currently hold the second spot as preferred channels. Delivery, however, is anticipated to outpace all other channels with a compound annual growth rate of approximately 10% from 2024 to 2028.
Bringing them out
To appeal to the hermit consumers, GlobalData noted that product innovation was amongst the key solutions, especially in the face of falling footfall and reduced spending.
Limiting the availability of new menu items or offers may push consumers to spend on the product as this might catch their interest. This can also help in building customer loyalty.
GlobalData added that ensuring authenticity and aligning with heritage can “resonate strongly” as consumers are cautious of products that seem” mass-produced, unoriginal.
Promoting the restaurant as an in-person experience can also lure out the hermits from their hideyholes. For example, Bacha Coffee in Indonesia offers a unique quickservice dining concept that creates a sensory-rich environment for locals to get a feel of the best in Moroccan coffee culture.
Food service operators with no takeaway or delivery option should be flexible and adopt one as having no online presence can take a toll on their businesses.
The industry can also take advantage of the recent wave of return-to-office mandates. Deliveroo recorded a 33% surge in average order value in the last 10 months of 2023, stimulated by companies across Hong Kong who are reengaging staff back in the office through group meal orders.
As offices fill up again, more and more companies are turning to food delivery services for convenient and diverse catering solutions, from large in-office festive celebrations to everyday lunches with teammates.
Diamond also reminded operators that they should remember that consumers can choose cheaper food options, before deciding to lower their prices.
As such, they should instead focus on having good portion sizes and highlight the best they can offer, “contrasting them with what consumers might find in cheaper alternatives.”
Communal experiences lure hermit consumers to cafes
Adifferent case is happening in Indonesia, where community factors can be key in encouraging hermit consumers to enjoy dining out, said Juan Pisente Widjaja, managing partner at Gideon Consulting Group.
“What F&B business players in Indonesia can do is offer experiences that do not rely solely on food or beverage services in their restaurants or cafes,” Juan told Retail Asia, noting how the communal culture is still strong in Indonesia. Psychologically, Indonesians prefer to engage in activities together with friends or family rather than doing them alone.
Research conducted by Gideon Consulting Group in 2023 shows that the consumers who most frequently visit cafes or restaurants are those from the upper-middle class.
These consumers exhibit such characteristics as the desire to try culturally exotic products, particularly food from other countries. This drives them to expect customer engagement when visiting a restaurant or cafe.
Attracting hermit consumers
Juan said there are several strategies for F&B business operators to attract customers to dine at their cafes or restaurants. The first step is to offer entertainment experiences at the dining venue.
Some restaurants or cafes that have successfully combined entertainment with F&B services include game board concept cafes, Haidilao, Holy Wings, among others.
“For instance, at Haidilao, there is a noodle-making attraction performed by the staff. This is then shared on social media by the visitors, creating FOMO (Fear of Missing Out). This makes others want to try it, not necessarily for the taste of the food, but because of the fun experience. This caused Haidilao to achieve what most business wanted which is free public recommendation from the customers,” he said.
Juan noted that besides being an attraction, the entertainment experience provided at the restaurant or cafe adds value, making visitors want to return to enjoy the experience beyond just eating.
The second step is to provide a networking-friendly space at the establishment. Juan said there is a trend to use private spaces, especially in Jakarta. Restaurants and cafes can provide comfortable and secure rooms for networking events, attracting communities to hold their meetings there.
Juan Pisente Widjaja, Senior Partner, Gideon Consulting Group
EXPERT OPINION
ION Orchard gamifies retail by blending augmented reality with in-store rewards
The mall’s in-app augmented reality game offers more than 30 rewards.
Mall goarers at ION Orchard can now embark on a real-world adventure reminiscent of Pokémon Go, transforming their retail experience into an augmented reality (AR) treasure hunt.
The luxury mall has introduced an in-app AR game called World of Rewards, allowing customers to win over 30 prizes whilst roaming the mall and visiting participating retailers like Marimekko Cafe, Nespresso, Jo Malone London, and TWG Tea. This approach gamifies shopping, deepening customer engagement by blending the digital and physical worlds in a way that brings excitement and interactivity to every visit.
“The gameplay experience was designed to be simple and easy for shoppers to earn rewards, which encourages recurring behaviour and long-term engagement,” Orchard Turn Developments Chief Executive Officer Yeo Mui Hong said in an interview with Retail Asia.
Yeo noted that the game gives customers more avenues to get rewards apart from just shopping.
Gamification strategies
In addition to World of Rewards, ION Orchard has introduced in-app game boards, allowing shoppers to earn rewards by completing actions and missions within the ION Orchard mobile app.
“Shopping is a multi-sensory experience, and it is important for ION Orchard to seek new ways to maintain shoppers’ interest at all touch points from offline to online. One such way is gamification,” Yeo said.
“Gamification increases the enjoyment of shopping due to the entertainment that it provides, all from the convenience of one’s fingertips. The future of retail is consistently being redefined and we are seeing more brands move towards gamification to increase engagement and create a seamless experience for customers with the aim of boosting retention,” she added.
Yeo believes that embracing gamification as a strategy ultimately builds brand loyalty.
“Customer loyalty and brand engagement are intricately linked, forming a symbiotic relationship that is fundamental for business success,” she said. “We are consistently looking at our engagement strategy to retain top-of-mind recall amongst our shoppers so that we continue to attract them back to our mall.”
Yeo emphasised that for brands looking to integrate gamification into their strategies, it is crucial to keep the games fresh and updated. She added that the game mechanics should also align with the interests of the target audience or shoppers.
Gamification, however, is only one facet of ION Orchard’s loyalty ecosystem. Within its app, the mall also integrated digital payments, rewards, and deals.
“For example, our Easy Earn programme eliminated the hassle of scanning receipts, enabling shoppers to instantly earn and redeem points with every purchase. With the rollout of the new app, we were able to streamline our
Gamification increases the enjoyment of shopping due to the entertainment that it provides, all from the convenience of one’s fingertips
ION+ Rewards implementation on both the earning and redemption front,” Yeo explained.
Interactive offerings
To help achieve its goal of redefining the future of loyalty and engagement in the current digital age, ION Orchard will also introduce more interactive offerings, revealed Yeo.
One of the interactive offerings which the mall introduced is a new Instagram filter on ION Orchard’s Instagram channel, @ion_orchard, celebrating the mall’s 15th anniversary. Recently, the mall also housed Australian artist Amanda Parer’s “Lost in Enchantment” installation as part of its Spring-Summer campaign.
“The immersive experience is an interplay of garden and inflatable elements that create an enchanting mix of light and colour, conveying themes stemming from the interconnectedness of human relationships and the natural world into larger-than-life art pieces,” Yeo mused.
She said ION Orchard will continue to roll out a series of hyperreality and augmented reality video experiences “that blurs the line between the real and virtual worlds.”
Another approach ION Orchard is using to attract consumers is creating experiential spaces that foster community building and deepen connections with shoppers.
“We have achieved considerable success in enhancing the shopping experience at ION Orchard by hosting art events and exhibitions at ION Art gallery. The ION Sky on level 56 also offers visitors panoramic views of Singapore’s skyline as this observation deck is the tallest point at Orchard Road,” Yeo said.
Yeo Mui Hong, CEO of Orchard Turn Developments
SINGAPORE
EVENT: RETAIL ASIA FORUM - BANGKOK
Three key trends redefining the retail landscape in Southeast Asia
Retailers are urged to prioritise digitalisation, experiential initiatives, and sustainability to remain competitive.
New digital interfaces, experiential retail, and responsible retail are now the main drivers reshaping the future of retail in Southeast Asia. That’s according to Quan Yao Peh, senior analyst of channels practice at Euromonitor International.
At the Retail Asia forum held in Shangri-La, Bangkok, Quan Yao provided an overview of the current state of retail in Southeast Asia, emphasising the enduring impact of cost-of-living challenges on consumer sentiment.
“What is the current state of retail in the region? Here at Euromonitor, we believe that retail is now firmly in the post-pandemic era,” he said. “The cost of living challenges continue to remain top of mind for many consumers in this region.”
“This is really due to the impact of rising prices and the muted macroeconomic climate impacting
Consumers
a
consumers' spending decisions and their spending sentiment,” the expert added.
Indonesia and Vietnam emerged as pivotal retail markets, collectively commanding over 50% of retail value sales in the region.
Digitalisation drive
Based on Euromonitor’s latest research, Quan outlined key findings across various retail categories. The surge in modern grocery formats, propelled by convenience and product variety, was underscored, alongside the imperative for retailers to bolster digital capabilities to meet evolving consumer preferences.
Quan also noted the burgeoning landscape of e-commerce, accentuating the role of innovative technologies like artificial intelligence and social commerce in enhancing the shopping experience and driving consumer engagement. The
senior analyst also pointed out how retailers are leveraging AI, immersive technologies, and collaborative initiatives to create personalised and engaging shopping experiences.
“Consumers now expect the store[s] to move beyond just a transactional destination but to become a place where they can engage in experiences, where they can engage with the brand and its community,” said Quan.
Integrating sustainability
Quan also underscored the importance for responsible retail practices in driving positive environmental and social impact. This includes various elements such as the environment, ethical sourcing, transparency, amongst others.
“Based on our industry survey on sustainability, we believe that at this point, the environment still continues to be the top area that's influencing the sustainability priorities of businesses in this region,” he noted.
Quan said retailers in Southeast Asia are embedding sustainability into their core business strategies, ranging from ethical sourcing to community empowerment initiatives. Examples included Central Retail’s SeaVerse platform, showcasing retail innovation, alongside Watson’s initiatives in the Philippines and Toko Padai in Indonesia, underscoring the rising significance of sustainability.
Looking ahead, Quan predicted continued growth in Southeast Asia's retail sector, fueled by economic expansion and e-commerce.
“Digitalisation, experiences, and sustainability will continue to remain the key priorities that are driving the future of retail in this region,” Quan said. “We believe that it's important that you act on these priorities to ensure that your business remains relevant… it remains the preferred shopping experience of consumers in an increasingly competitive online landscape.”
Quan Yao Peh, senior analyst for channels practice at Euromonitor International, discusses the effect cost-of-living expenses on retail behaviour
SOUTHEAST ASIA
EVENT: RETAIL ASIA FORUM - JAKARTA
Why hyperlocal strategies are crucial for Indonesia’s retail
Locally sourcing ingredients and engaging in community ingredients are some of the strategies used to build a loyal customer base in the country.
For a consumer market as diverse as Indonesia, a nation of over 275 million, hyperlocal retailing requires significant focus going into the future. That is exactly what some retail industry leaders came together to discuss at the Retail Asia Forum 2024 held on 16 May at Shangri La Jakarta.
The panel was composed of Anthony McEvoy, CEO of PT Sari Coffee Indonesia (Starbucks Indonesia); Andy Sumual, president director and CEO of FreshMart; and Fernando Repi, vice chairman of the Indonesia Retail Merchants Association (APRINDO).
Moderated by Juan Pisente Widjaja, senior partner at Gideon Consulting Group, the spritely exchanges focused on hyperlocal retail strategies, the challenges of expanding in Indonesia, and the impact of digital technology on the retail sector.
For all of them, certain commonalities they face around these topics are local sourcing, community engagement, and
Our approach involves sourcing most of our products locally while maintaining our universal brand values centred around community and connection
adaptation to diverse regional cultures. They also addressed competition, digital infrastructure hurdles, and the potential for Indonesian brands to go global.
Starbucks’ McEvoy spoke from the heart of his brand’s long-standing relationship with Indonesia. “We’ve been in retail in Indonesia for 22 years and have grown to become an integral part of the community here,” he asserted.
One key point of this relationship, according to McEvoy, is that Starbucks sources 70% of all Arabica coffee produced in Indonesia, from regions like Sumatra, Central Java, Toraja, and Papua. This exemplifies the brand’s deep-rooted connection with the country.
“Our approach to hyperlocal retail involves sourcing most of our products locally, from store fixtures to food ingredients, while maintaining our universal brand values centred around community and connection,” McEvoy added.
In this approach, he underscored the importance of creating a “third
place” — a space for socialising and building community, which is a universal value that transcends geographical boundaries.
Diverse degions
On his turn, merchants association leader Repi addressed the complexities of implementing hyperlocal retail strategies in a country as diverse as Indonesia.
“APRINDO operates in 28 cities across Indonesia, each with unique cultural and logistical challenges,” he said. Because of this, there is the necessity for offline retailers to adapt to local content and create community-focused initiatives.
Repi shared as an example the approach during his tenure at Hypermart, where stores sourced fresh, local products and engaged in community activities such as educational visits for school children. “These efforts help build a loyal customer base and integrate the store into the local culture,” he said.
He also stressed the importance of supporting local festivities and incorporating regional languages and customs into marketing strategies to enhance local relevance.
Approach to localisation
FreshMart’s journey and their commitment to localising their operations is another interesting story. “We’ve been in business for 22 years, just like Starbucks, but our approach has been deeply rooted in our local community from the start,” Sumual said.
FreshMart’s tagline is in the local Menado language, and Sumual said they prioritise hiring and training local staff, many of whom have risen through the ranks from entry-level positions.
He said this is all part of FreshMart’s customer-centric approach, which includes campaigns like its loyalty programme where customers receive a cake on their birthday — another gesture that fosters strong community ties.
From workers, to customers, Freshmart ties up its entire ecosystem by tapping local suppliers, too. “Our suppliers are also integral to our business model. We work closely with them to ensure mutual growth and success,” Sumual said.
(From left to right): Andy Sumual, president director and CEO of FreshMart, Fernando Repi, vice chairman of APRINDO, Anthony McEvoy, CEO of PT Sari Coffee Indonesia (Starbucks Indonesia), and Juan Pisente Widjaja, senior partner at Gideon Consulting Group
Retail Asia Awards 2024 crowns the region's top retail innovators
The glitz and glamour of the retail industry shone brightly on Tuesday, 11 June 2024, as the Retail Asia Awards 2024 ceremony unfolded at the Marina Bay Sands Expo & Convention Centre. The prestigious event, now in its 19th year, celebrated and recognised the most outstanding achievements in Asian retail.
The awards programme acknowledges the groundbreaking initiatives, exceptional customer experiences, and innovative strategies shaping the future of Asian retail.
This year's panel of judges consisted of industry experts, namely David Eu, Partner, F&B, Retail and Consumer Products, RSM Singapore; Anson Bailey, Head of Consumer & Retail, Asia
RETAILASIAAWARDS 2024WINNERS
7-Eleven Hong Kong
Convenience Store of the Year - Hong Kong
Sustainability Initiative of the Year - Hong Kong
7-Eleven Singapore
Convenience Store of the Year - Singapore
7-Eleven South China
In-store Customer Experience of the Year - China
ACE Hardware Philippines
Hardware Retailer of the Year - Philippines
Customer Service Initiative of the Year - Philippines
AEON Co (Malaysia) Bhd
Digital Initiative of the Year - Malaysia
Apex Footwear Limited
Footwear Retailer of the Year - Bangladesh
Sustainability Initiative of the Year - Bangladesh
Ayala Malls
Digital Initiative of the Year - Philippines
ESG Initiative of the Year - Philippines
Babyshop (Landmark Group)
Brand Store of the Year - Malaysia
BENCH/
Specialty Store of the Year - Philippines
BIRKENSTOCK
Store Design of the Year (Small) - Singapore
CapitaLand Investment
Digital Initiative of the Year - Singapore
CASETiFY
Brand Store of the Year - Taiwan
Central Food Retail Co., Ltd.
Supermarket of the Year - Thailand
Central Retail Corporation
Department Store of the Year - Thailand
Central World Mall of the Year - Thailand
Marketing Initiative of the Year - Thailand
Pacific, KPMG China; Michael Cheng, Asia Pacific, Mainland China and Hong Kong Consumer Markets Leader, PwC; Olivier Gergele, Asia Pacific EY-Parthenon Consumer Leader, EY; and Hiromi Yamaguchi, Research Manager, Euromonitor International.
After a rigorous judging process, the awards programme culminated in the announcement of the winners across a diverse range of categories. The ceremony brought together industry leaders and retail visionaries to celebrate excellence. It was a night of recognition, inspiration, and building connections.
Congratulations to this year’s winners! See the full list of award recipients below:
CHARLES & KEITH
Store Design of the Year (Large) - South Korea
Chemist Warehouse
International E-Tailer of the Year - China
Cold Storage
Supermarket of the Year - Singapore
CP AXTRA Public Company Limited
Customer Service Initiative of the Year - Thailand
Crocs Singapore Pte Ltd
Footwear Retailer of the Year - Singapore
Visual Merchandising of the Year - Singapore
DFI Retail Group
Retail App of the Year - Hong Kong
DOJI GOLD & GEMS GROUP
Brand Store of the Year - Vietnam
EVEANDBOY COMPANY LIMITED
Cosmetics Retailer of the Year - Thailand
FairPrice Group
Domestic Retailer of the Year - Singapore
Retail Product of the Year - Singapore
Omnichannel Strategy of the Year - Singapore
Far East Organization
New Mall of the Year - Singapore
Gateway Mall 2, Araneta City
New Mall of the Year - Philippines
Giant
Hypermarket of the Year - Singapore
GMG
Brand Store of the Year - Singapore
Store Retail Initiative of the Year - Singapore
Guardian Health and Beauty Indonesia
In-store Customer Experience of the Year - Indonesia
Guardian Health and Beauty Malaysia
Health & Wellness Initiative of the Year - Malaysia
Store Design of the Year (Large) - Malaysia
Guardian Health and Beauty Singapore
Health & Wellness Initiative of the Year - Singapore
Henderson Land Development
Mall of the Year - Hong Kong
IKEA Hong Kong
Marketing Initiative of the Year - Hong Kong
Store Design of the Year (Small) - Hong Kong
IKEA Taiwan
O2O Customer Experience of the Year - Taiwan
Store Retail Initiative of the Year - Taiwan
JASPAL GROUP
Apparel Retailer of the Year - Thailand
JIM THOMPSON
Brand Transformation of the Year - Thailand
Koala Sleep Japan KK
Retail Product of the Year - Japan
Kopitiam
Food & Beverage Retailer of the Year - Singapore
L'Oreal Travel Retail Asia Pacific
Cosmetics Retailer of the Year - Singapore
LOJEL HK LIMITED
Brand Store of the Year - Hong Kong
Lotus's Domestic Retailer of the Year - Thailand
Hypermarket of the Year - Thailand
LUXASIA
Luxury Beauty Retailer of the Year - Malaysia
Luxury Beauty Retailer of the Year - Thailand
Luxury Beauty Retailer of the Year - Vietnam
Luxury Ventures Pte Ltd - Valiram Group
Apparel Retailer of the Year - Singapore
mannings Hong Kong
ESG Initiative of the Year - Hong Kong
Health & Wellness Initiative of the Year - Hong Kong
MAP Active
Footwear Retailer of the Year - Indonesia
Megaworld Lifestyle Malls
Mall of the Year - Philippines
Marketing Initiative of the Year - Philippines
Visual Merchandising of the Year - Philippines
Metro (Private) Limited
Department Store of the Year - Singapore
MINISO
Store Design of the Year (Small) - China
Store Design of the Year (Small) - Indonesia
MR. D.I.Y. Holding (Thailand) Public Company Limited
Specialty Store of the Year - Thailand
Nahdi Medical Company
Store Retail Initiative of the Year - Saudi Arabia
Nature's Basket
Brand Store of the Year - India
Orchard Turn Developments (ION Orchard)
Mall of the Year - Singapore
Marketing Initiative of the Year - Singapore
OUTFORM
Pop-up Retail Project of the Year - Japan
Store Retail Initiative of the Year - South Korea
Panda Retail Company
Hypermarket of the Year - Saudi Arabia
Phoenix - Mall of Asia
Mall of the Year - India
Phu Nhuan Jewelry Joint Stock Company - PNJ
Marketing Initiative of the Year - Vietnam
PT. HARTADINATA ABADI, TBK.
Jewellery Retailer of the Year - Indonesia
PT. Kurnia Ciptamoda Gemilang
Apparel Retailer of the Year - Indonesia
PT. SINAR EKA SELARAS TBK
Electronics & Appliances Retailer of the Year - Indonesia
Puma South East Asia Pte Ltd
In-store Customer Experience of the Year - Singapore
TOBY'S SPORTS
Sporting Goods Retailer of the Year - Philippines
Sacoor Brothers
Apparel Retailer of the Year - Malaysia
Brand Transformation of the Year - Malaysia
Shin Kong Mitsukoshi Department Store Co., Ltd.
Digital Initiative of the Year - Taiwan
Pop-up Retail Project of the Year - Taiwan
Singtel
Sustainability Initiative of the Year - Singapore
SKECHERS HONG KONG LIMITED
Footwear Retailer of the Year - Hong Kong
Swarovski Singapore Trading Pte Ltd
Marketing Initiative of the Year - India
Pop-up Retail Project of the Year - Singapore
Taikoo Li Qiantan Mall of the Year - China
Toys'R'Us (Singapore) Pte Ltd
Specialty Store of the Year - Singapore
Watson's Personal Care Stores Sdn Bhd
Health & Beauty Retailer of the Year - Malaysia
Watsons
Brand Transformation of the Year - Hong Kong
Watsons Hong Kong
Health & Beauty Retailer of the Year - Hong Kong
Watsons Personal Care Stores Inc.
Health & Beauty Retailer of the Year - Philippines
Sustainability Initiative of the Year - Philippines
Watsons Singapore
Health & Beauty Retailer of the Year - Singapore
Retail App of the Year - Singapore
WCT Malls Management Sdn Bhd Retail App of the Year - Malaysia
Wellcome Hong Kong
Supermarket of the Year - Hong Kong
Whale
Digital Initiative of the Year - Indonesia
ZALORA
Marketing Initiative of the Year - Malaysia
Wallaya Chirathivat, Central Pattana CEO of the Year
EVENT: RETAIL ASIA AWARDS
Wallaya Chirathivat, CEO of the Year, Central Pattana
7-Eleven Hong Kong & 7-Eleven Singapore
7-Eleven South China
ACE Hardware Philippines
AEON Co (Malaysia) Bhd
Apex Footwear Limited
Ayala Malls
Babyshop (Landmark Group)
Central World Cold Storage
Central Food Retail Co., Ltd. DFI Retail Group
Crocs Singapore Pte Ltd
FairPrice Group
EVEANDBOY COMPANY LIMITED
Far East Organization
IKEA Hong Kong & IKEA Taiwan
Guardian Health and Beauty Singapore
Guardian Health and Beauty Malaysia
Guardian Health and Beauty Indonesia
GMG
Giant Gateway Mall 2, Araneta City
JASPAL GROUP
JIM THOMPSON Kopitiam
EVENT: RETAIL ASIA AWARDS
Megaworld Lifestyle Malls
Nahdi Medical Company
Nature's Basket
MAP Active mannings Hong Kong
LUXASIA
LOJEL HK LIMITED
Lotus's
L'Oreal Travel Retail Asia Pacific
Orchard Turn Developments (ION Orchard)
PT. HARTADINATA ABADI, TBK.
Phu Nhuan Jewelry Joint Stock Company - PNJ
MR. D.I.Y. Holding (Thailand) Public Company Limited
MINISO
Metro (Private) Limited
Sacoor Brothers
SKECHERS HONG KONG LIMITED
Singtel
Shin Kong Mitsukoshi Department Store Co., Ltd.
Puma South East Asia Pte Ltd
PT. Kurnia Ciptamoda Gemilang
Swarovski Singapore Trading Pte Ltd
Wellcome Hong Kong
ZALORA
Watsons Singapore
Toys'R'Us (Singapore) Pte Ltd
FairPrice Group exemplifies 50 years of purpose with ‘Always, FairPrice’ campaign
Three
in four Singaporeans viewed the FairPrice Group brand more positively after the campaign rollout.
Recent years of stubborn inflation have put a spotlight on how businesses— especially retailers of daily essentials— have been serving the most vulnerable parts of the community. Over the last 50 years, FairPrice Group (FPG) grew from a single cooperative supermarket to become the nation’s largest retailer, but it realised an emerging problem – the bigger it grew, the more people felt it was growing apart from them.
To remedy this widening emotional divide and remind its customers that it was still the same social enterprise with the mission to keep daily essentials within reach, FPG leveraged its 50th anniversary to launch the ‘Always, FairPrice’ campaign.
Always, FairPrice
The campaign was targeted at seeding a message of reassurance with younger, more digitally savvy audiences – where it knew the greatest perception shift needed to happen. The ‘Always, FairPrice’ campaign comprised several initiatives, primarily focussed on showcasing the history, people, and heart behind the business.
To celebrate its people, FPG produced ‘Meet the Fairmily’, a docu-tainment series showcasing the lives, personalities, challenges and triumphs of its frontline staff, and their commitment to serving customers daily. It also released the ‘Frontline CEO’ video series, which featured FairPrice Group CEO Vipul Chawla taking on frontline roles like cashiering, packing, and quality assurance. The series showcased Vipul getting schooled by seasoned frontline staff across a variety of
roles, and highlighted FPG’s commitment to care and humility, from the top down.
Celebrating five decades of excellence
To commemorate its five-decade anniversary, FPG published “The Price of Being Fair,” the first business book in Singapore from a homegrown brand that gave readers a tell-all, behind-the-scenes view of its struggles and successes whilst keeping daily essentials
Our creative platform ‘Always, FairPrice’ served as a promise to safeguard the Singaporean way of life
within reach throughout the organisation’s history. It also launched ‘It Takes a Great Deal’, a collection of 50 stories showcasing FPG’s biggest milestones, and a content series in partnership with Singapore Press Holdings that featured its ongoing commitment to ensuring supply resilience and supporting the nation’s food security.
To celebrate its customers and partners, FPG launched the community block party initiative, aimed at building closer community ties and deepening its engagement with those in need by bringing together heartland residents in celebration of festive occasions. Since its launch, the initiative has brought thousands of residents together and provided 100 lower-income residents at each party with essentials-filled goodie bags. FPG’s cost-saving rebate, discount, and donation programmes throughout the year have also returned more than $100m to consumers.
Exceeding targets
These initiatives were amplified through an omnichannel media takeover, including out-of-home, digital, earned, and owned media channels. Throughout the one-year campaign period, FPG shifted the needle on Singaporeans’ familiarity with the brand and perception of its efforts to keep daily essentials within reach.
The outputs also resulted in 53 million impressions and 1.73 million engagements across platforms, exceeding initial targets by a wide margin. The 'Meet the Fairmily' series garnered 5.1 million views and a total of 77,000 responses, more than three times its target. Moreover, the campaign secured 65% of Share of Voice in earned media for the campaign period, 40% higher than its nearest competitor.
“Our creative platform ‘Always, FairPrice’ served as a promise to safeguard the Singaporean way of life. This punctuated every message and gesture across the campaign’s omnichannel rollout,” the company said. The success of the campaign earned FPG the win in the Domestic Retailer of the Year - Singapore category at the Retail Asia Awards 2024.
The prestigious event honours companies that have recently launched innovative retail projects or initiatives, as well as industry leaders that have propelled their respective brands to maintain a competitive edge.
FPG marked its 50th anniversary in 2023
Mr Alvin Neo (right), Chief Customer and Marketing Officer, FairPrice Group, at Retail Asia Awards 2024
Footwear Retailer of the Year Sustainability Initiative of the Year
Apex won two retail asia awards for retail excellence and sustainability
Apex Footwear Ltd. has made its mark in the national retail landscape by catering to the long overdue demand for home-grown footwear for the people of Bangladesh. In recognition of its services, Apex is humbled to have been acknowledged at the Retail Asia Awards 2024, held on June 11 at Marina Bay Sands Expo & Convention Centre in Singapore. Apex won awards in two categories: “Footwear Retailer of the Year - Bangladesh” for its tremendous business performance over the past three years and the “Sustainability Initiative of the Year - Bangladesh” for its green initiatives and sustainability goals by the United Nations Sustainable Development Goals since 2015.
The Retail Asia Awards, now in its 19th year, brings together leaders and rising stars to honor outstanding achievements and celebrate significant initiatives, exceptional customer experiences, and innovative strategies in the retail sector. Apex Footwear Ltd. was evaluated through a rigorous judging process by a panel of esteemed industry experts. At the event, Apex shared the stage with several well-known global retail brands such as 7-Eleven, Birkenstock, Central Group Thailand, Charles & Keith, Crocs Singapore Pte Ltd, Bench, Jim Thompson, Puma South East
Apex is continuously serving over 4 million loyal customers (2.3% of the national population) through
490 stores
in Bangladesh, achieving an average growth of 14% in the retail segment over the past three years and recording US$72 million in overall retail revenue in 2023.
It has developed its own trend with nine footwear brands: Apex, Venturini, Nino Rossi, Moochie, Sprint, Maverick, School Smart, Twinkler, and Dr. Mauch. Collaborations with international brands like Nike, Adidas, Clarks, Asics, and many more have further solidified its position as a prominent footwear retailer. Apex acknowledges the crucial role that designs play in the footwear business and, therefore, introduced over 2500 designs in the recent eve of Eid alone - all developed and manufactured at their own factories.
Meanwhile, in the publication of its sustainability report, the company has highlighted its initiatives focusing on three major areas: product, environment, and community. Its efforts are marked by innovations that add to the footwear manufacturing industry in Bangladesh. Apex sources its raw materials with a full traceability record. Its PET to Product initiative utilizes recycled materials in the manufacturing process. In the past year, it has reused expired shoe lasts, co-processed 298 tons of hazardous waste, and recycled 452 tons of materials to make 74,000 pairs of shoes and other shoe components.
The company has also produced over 700 MWh of green power, aiming for over 800 MWh in the coming years. Additionally, Apex has installed solar panels, expecting to generate 2.84 MWh by the end of 2023 and set a target to harvest 4.2 million liters of rainwater by year-end. Its efficient strategies have led to impressive savings: 1299 MWh of electricity, 1594 cubic meters of water, and a reduction in carbon emissions by 6% overall and 9% per pair produced. Apex is committed to further cutting CO2 emissions by 65% by 2027 through ongoing measures and infrastructure improvements.
Apex Footwear Ltd. is grateful for the opportunity to serve the people of Bangladesh through its commitment to sustainability and thoughtful design.
Its journey in the footwear industry has been guided by a desire to create
HIGH-QUALITY, STYLISH FOOTWEAR
that respects our planet.
Apex is deeply honored to be recognized at the Retail Asia Awards 2024. The company extends its heartfelt gratitude to the wonderful customers in Bangladesh for their support and trust, to the Retail Asia Awards, and to the esteemed panel of judges for acknowledging its efforts. Apex remains dedicated to providing the best possible customer experience as it moves forward.
Managing Director Syed Nasim Manzur, Chief Operating Officer Firoze Mohammad, and Financial Controller Md. Main Uddin received the awards on 11th June 2024.
Hartadinata Abadi leading the way with the most complete and innovative gold jewellery
Renowned for its exceptional craftsmanship and innovation, Hartadinata Abadi offers a dazzling array of jewellery for every taste.
From the heart to true beauty, PT.
Hartadinata Abadi, Tbk embodies excellence in every piece, transforming aspirations into reality with exceptional craftsmanship and innovation. Crowned Jewellery Retailer of the Year - Indonesia at Retail Asia Awards 2024, the company symbolises brilliance, innovation, and trust in the jewellery industry.
With a robust presence of 86 branches across Indonesia in March 2024, Hartadinata Abadi stands as the largest and most comprehensive jewellery retailer in the country. This expansive network ensures that the sparkle of their exquisite jewellery reaches every corner of the archipelago.
Hartadinata Abadi offers an extensive collection of jewellery with 8K to 24K gold content. Whether you seek a delicate piece for daily wear or a statement piece for special occasions, Hartadinata Abadi has something to offer.
The company excels in providing a variety of precious metals, from micro gold (0.1 gr - 0.25 gr) suitable for everyday adornment to large gram gold bars (up to 1 kg) ideal for investment. This versatility underscores Hartadinata Abadi's commitment to enhancing personal beauty and offering reliable investment options.
Innovation and quality at its finest Staying ahead in the jewellery industry requires relentless innovation, and Hartadinata Abadi embraces this by introducing collections that are tailored to
meet the evolving needs and preferences of its customers. These designs reflect the latest trends and timeless classics, ensuring customers have access to the newest and most captivating pieces. Other than that, to ensure the security and authenticity of its gold products, Hartadinata Abadi incorporates BullionProtect from SICPA Swiss. This extra layer of protection gives customers peace of mind, reinforcing their trust in the brand.
Hartadinata Abadi’s commitment to quality is further reinforced by its own production facilities. These state-of-the-art facilities enable the company to maintain strict quality control, ensuring that every piece of jewellery meets the highest standards. By overseeing the entire production process, from design to final product, Hartadinata Abadi guarantees unparalleled craftsmanship and consistency.
Service excellence and complete ecosystem
Central to Hartadinata Abadi's success is its unwavering commitment to service excellence and customer care. The company places a strong emphasis on delivering a superior shopping experience. This dedication to customer satisfaction ensures that every customer feels valued and appreciated. Additionally, Hartadinata Abadi offers a complete ecosystem with 86 stores, over 1,000 partners, and robust online platforms.
Complementing its jewellery retail business, Hartadinata Abadi offers financial solutions through pawning services via its subsidiary, PT. Gemilang Hartadinata Abadi. Established in 2018, this subsidiary manages 95 pawn service outlets across six provinces in Indonesia under the brands Gadai Hartadinata Abadi and Gadaiku. These services provide customers with the option to pawn their gold and jewellery, offering a reliable and secure way to access financial assistance. Known for transparent processes and fair valuation, Gemilang Hartadinata Abadi is a preferred choice for those in need of quick and trustworthy financial solutions.
Supporting national and global growth
As the most integrated player in Indonesia's gold industry, Hartadinata Abadi supports the government's gold downstreaming programme, enhancing the value of domestically produced gold before it reaches the market. This initiative is vital for the growth of Indonesia's gold industry and the country's economic development. Hartadinata Abadi's reach extends beyond Indonesia's borders, actively exporting gold to international markets, including India and the United Arab Emirates. This global presence showcases the quality of Indonesian gold and strengthens the country's position in the global gold market.
A glittering future ahead
As PT. Hartadinata Abadi, Tbk continues to shine brightly in the jewellery industry, their recognition as the Jewellery Retailer of the Year - Indonesia at the Retail Asia Awards 2024 is a well-deserved accolade. This honour reflects the company's dedication to quality, innovation, and customer satisfaction, setting a high standard for others in the industry. With an unwavering commitment to excellence and a vision embracing innovation, Hartadinata Abadi is poised to continue its legacy of brilliance, making the world a more beautiful place, one piece of jewellery at a time.
to Hartadinata Abadi's success is its unwavering commitment to service excellence and customer care
Hartadinata Abadi, Indonesia’s largest and most comprehensive jewellery retailer
Evolution and growth: PT Kurnia Ciptamoda Gemilang's journey with smart fitting room
The company has significantly enhanced the customer experience with its smart fitting room equipped with tablets that can provide information on items in the store.
PT Kurnia Ciptamoda Gemilang (KCG), a leading Indonesian retail powerhouse established in 1998, continues to redefine the shopping experience through its unwavering commitment to innovation and customer-centricity. KCG has transformed from a single brand to a diverse portfolio encompassing Charles & Keith, Pedro, EA7 Emporio Armani, and Pomelo.
This year, KCG is thrilled to announce the arrival of the Armani Exchange in Indonesia, which will further diversify its portfolio and is set to introduce a new level of fashion to its customers. KCG operates a total of 91 stores across 20 cities and 14 provinces in Indonesia.
Culture of innovation and employee empowerment
KCG's success is rooted in its steadfast dedication to innovation. The company fosters a culture of growth through its retail academy and employee well-being programmes, ensuring a motivated and empowered workforce.
KCG has shown exceptional resilience and growth despite global challenges, with remarkable increases in sales over the past five years and exceptional success for brands like Charles & Keith, Pedro, and EA7 Emporio Armani. The company's outstanding performance highlights its ability to thrive and excel in a competitive retail landscape.
KCG's smart fitting room
Beyond impressive sales figures, KCG is revolutionising the shopping experience with its innovative smart fitting room. Gone are the days of stepping out repeatedly to find different sizes or styles. KCG's fitting rooms are now equipped with tablets, serving as a personal shopping assistant at your fingertips. Customers can browse a vast selection of clothing options from the comfort of the fitting room. The
tablets provide detailed information on sizes, colours, and even complementary pieces available in the store. With a few taps, customers can request additional items to be delivered directly to the fitting room, eliminating unnecessary interruptions and wait times.
Dedicated staff are readily available to assist with requests, ensuring a personalised touch throughout the shopping journey. KCG's smart fitting rooms are a testament to the company's commitment to merging convenience with exceptional customer service.
KCG remains steadfast in its commitment to enhancing customer satisfaction. This dedication fuels KCG's passion to innovate and push the boundaries of the retail fashion experience. KCG deeply values its cherished customers, who have been integral to its journey.
KCG's fitting rooms are now equipped with tablets, serving as a personal shopping assistant at your fingertips
PT Kurnia Ciptamoda Gemilang (KCG) at the Retail Asia Awards 2024
Singtel Flagship Store at 313@somerset wins Sustainability Initiative of the Year - Singapore
The initiative is part of Singtel’s stewardship measures to build a more sustainable future for all.
Singtel has redefined sustainable retail with its flagship store, Singtel Shop 313@Somerset. For its innovative approach to integrating state-of-the-art retail solutions with robust environmental stewardship, Singtel clinched Sustainability Initiative of the Year - Singapore at the Retail Asia Awards 2024.
Located in the bustling shopping district of Somerset, the new Singtel flagship store marks a significant evolution from its 22-year predecessor at the Comcentre. Singtel has transformed the retail experience not just through advanced technology but also through conscientious sustainability practices in line with its net-zero 2045 targets. The store's design incorporates upcycled materials and energy-efficient fittings, which underscores Singtel’s commitment to sustainability.
Ms Anna Yip, Deputy CEO, Singtel Singapore said, “We’re honoured to receive this recognition, which spurs us on to continue to provide better value and experiences for our customers whilst doing our part for the environment and the community. As a homegrown technology company, we designed this space to empower both people and businesses with technology tools and solutions but also as an avenue to do their part to help others in the digital age. We believe creating an equitable and inclusive future for all will always unite us.”
Reuse, recycle, reduce
Key to the store’s redesign was the creative reuse of materials. Furniture from the previous Comcentre location was upcycled for use in the customer service area, whilst repurposed timber was transformed into floor tiles, showcasing innovative reuse in action. The store has also been fitted with energy-efficient, motion-sensored LED lighting to reduce energy consumption. Singtel’s sustainability efforts are also embodied in the staff uniforms, revamped in collaboration with the Singapore Fashion Council and local design house, Nyana Nyana Eco Fashion. These uniforms are handwoven and printed with natural dye inks, minimising resource consumption and enhancing staff comfort and functionality. Additionally, staff pouches crafted from upcycled fabric from Comcentre further demonstrate Singtel’s dedication to material repurposing and serve as a nod to the company’s past. Singtel
is also the only telco in Singapore to use e-ink displays in its stores that can be easily updated, removing the use of more paper whilst providing accurate pricing information.
Contributing healthier options
A dedicated sustainability corner within the store highlights Singtel’s other green initiatives. Despite a reduction in retail space, this area promotes sustainable living through a vertical farming installation in partnership with Grobrix. The farm's produce is harvested periodically and donated to the community, enriching community ties and promoting sustainable eating practices.
Bringing old electronics to life
E-waste recycling is another pillar of Singtel’s sustainability strategy. Placed outside the store, two e-waste recycling bins encourage the public to take action to reduce their environmental impact. These bins collect unwanted electronic products, including a special slot for batteries, which are then processed by ALBA and Engineering Good—Singtel’s recycling partners. Donated items are refurbished and distributed to low-income families and seniors, supporting circular economy principles and the reduction of e-waste.
To further encourage customers and the wider public to make sustainable choices, Singtel has launched several initiatives, including a Teenage Mutant Ninja Turtlesthemed eco-campaign with Nickelodeon to raise awareness of the impact of e-waste and promote the use of designated recycling bins for electronic devices.
The Singtel Shop at 313@somerset has not only been an exemplar in retail transformation but also a sustainability leader. It was certified Green Mark Platinum by Singapore’s Building and Construction Authority (BCA), validating its efforts in sustainable retail. Through innovative retail strategies and a commitment to sustainability, Singtel continues to lead by example, proving that corporate responsibility can go hand in hand with providing a superior customer experience.
As a homegrown technology company, we designed this space to empower both people and businesses with technology tools and solutions
Singtel Shop 313@Somerset
Ms Anna Yip, Deputy CEO, Singtel Singapore
Navigating market diversity: Swarovski's multifaceted strategies for global success
Swarovski tailors strategies to regional preferences, like pop-up events in Southeast Asia, and leverage cultural icons like Bollywood stars in India to build brand connections.
In the ever-evolving landscape of global commerce, understanding and adapting to diverse markets is paramount for sustained success. For Swarovski, a renowned name in luxury crystal jewellery and accessories, implementing tailored strategies for various markets has been instrumental in navigating the complexities of consumer preferences, cultural differences, and economic landscapes worldwide.
Swarovski's approach to market segmentation and targetting is multifaceted, reflecting a deep understanding of the unique characteristics of each region it operates. The continuation to build on the LUXignite strategy by going above and beyond in 2024, the brand ensures a consistent approach to further elevate the brand positioning, win in key markets, and be part of the cultural conversation through effectively engaging with diverse consumer demographics.
Crafting luxury at scale and engaging connections
Swarovski’s pop-up event activations were part of a broader initiative spanning across Southeast Asia and India, reflecting its understanding of the evolving landscape of retail. These serve as more than mere sales platforms; they are immersive experiences designed to captivate the senses and ignite the imagination. It offers a unique opportunity for brands to establish personal connections with consumers. Through interactive displays, live personal styling
tips, and curated experiences, Swarovski engages with customers on a deeper level, creating lasting impressions that transcend the transactional nature of traditional marketing channels. These events serve as intimate showcases of craftsmanship and creativity, allowing customers to interact with Swarovski products in a tactile and immersive environment.
Whilst many luxury brands focus solely on exclusivity and scarcity, Swarovski enhances every brand's touchpoint equity. The brand appeals to a broad spectrum of consumers, whether browsing through a curated selection online or indulging in a bespoke shopping experience in-store, customers are enveloped in the aura of luxury that defines the Swarovski brand. This commitment to excellence permeates every aspect of the customer journey, from the initial point of contact to the moment of purchase and beyond.
Swarovski sparkles in India: Crafting cultural relevance and celebrity allure
Swarovski has seamlessly woven a thread of luxury and sophistication through its meticulous business strategy. One of Swarovski's most impactful strategies was its collaboration with Bollywood star Ananya Panday during the Diwali festival to prove that its campaigns resonate with the local culture and are well-received by local consumers. This approach helps Swarovski to amplify its campaign messages, capture the attention of a wider audience and strengthen its brand
Swarovski has seamlessly woven a thread of luxury and sophistication through its meticulous business strategy
presence in the Indian market.
By leveraging the power of celebrity endorsements, Swarovski has succeeded in increasing its brand visibility and establishing a strong emotional connection with local consumers. The association with Ananya Panday lends credibility and prestige to the brand, and demonstrates Swarovski's commitment to understanding and embracing local traditions.
In conclusion, Swarovski's success in navigating diverse markets can be attributed to its commitment to creativity, innovation, and a confident culture. By implementing customised strategies that acknowledge the unique characteristics of each market, the brand continues to thrive in an increasingly competitive global landscape. As consumer preferences and market dynamics continue to evolve, Swarovski's ability to adapt and innovate will remain instrumental in ensuring its continued success and relevance in the luxury industry.
Swarovski Takashimaya Pop-up
Swarovski Valentine's Day Pop-up
Bollywood star Ananya Panday in collaboration with Swarovski
ION Orchard celebrates 15 years of pioneering the retail landscape
Marking a decade and a half of innovative retail excellence, ION Orchard remains at the forefront of Singapore’s shopping culture.
ION Orchard marks its 15th anniversary not just as a milestone but as a celebration of transformative change that has established it as a landmark in Singapore’s retail scene. This significant achievement is highlighted by its recent accolades at the Retail Asia Awards 2024, where it received Mall of the Year - Singapore and Marketing Initiative of the Year - Singapore, demonstrating its consistent innovation in the retail sector.
At the core of ION Orchard’s sustained success is its commitment to creating a diverse and immersive retail experience. Ms Yeo Mui Hong, CEO of Orchard Turn Developments, reflects on this journey.
“As ION Orchard turns 15, we will continue to build on our success with our loyal members, supportive partners, and brands. This collaboration has made us one of Singapore’s iconic lifestyle destinations along Orchard Road,” she noted. The mall continues to innovate its offerings, blending luxury, fashion, food, and entertainment to captivate and engage its visitors.
A hub of engagement and creativity
Since its inception, ION Orchard has been a trailblazer in retail innovation. It was the first mall in Singapore to introduce façade-facing duplex flagship stores and has maintained strong partnerships with prestigious brands. To celebrate its 15th anniversary, the mall launched several exclusive products that showcase its commitment to innovation. These include the Valentino Garavani
VLogo Moon Bag in a special colourway and a Nespresso blend that celebrates Orchard Road’s historical roots as a nutmeg plantation. Additionally, the ION Orchard 15th Anniversary Vanity Box features designs by a local artist in collaboration with beauty brands like Bobbi Brown and Estée Lauder, symbolising the mall’s dedication to blending retail with art.
Responding to the evolving retail landscape, ION Orchard has continued to introduce brands that align with modern consumer preferences. This year, the mall welcomed the first HOKA store in Singapore and the first international store of DONQ ÉDITER, which offers exclusive culinary delights. These new additions, along with flagship stores such as The Onitsuka and the Marimekko café, have broadened the mall’s appeal and attracted a diverse audience.
ION Orchard’s engagement strategies extend beyond physical retail. The mall has effectively harnessed influencer partnerships through the #IONCreator series, producing relatable content that resonates with a wide demographic. Additionally, the mall hosts celebrity events that contribute to its vibrant atmosphere, enhancing its status as a dynamic entertainment hub. These efforts reflect ION Orchard's focus on creating meaningful
and memorable experiences for its visitors, ensuring that it remains a top destination for both shopping and entertainment.
Looking ahead with optimism
Looking to the future, Ms Yeo is confident about the mall’s direction. "We will continue to elevate our offerings whilst staying committed to service excellence, a diverse brand mix, and an attractive rewards programme," she affirms. With plans to expand its reach and continuously innovate, ION Orchard aims to provide exceptional experiences that transcend traditional shopping, ensuring that each visit is memorable and impactful.
As ION Orchard steps into the next phase of its journey, it remains focussed on the principles of innovation and customer engagement that have defined its success over the years. The mall is more than a shopping destination; it’s a vital part of Singapore’s cultural and social fabric, ensuring that every visit is engaging and memorable. Looking forward, ION Orchard is set to not only meet but exceed the expectations of its visitors, continuing to make every interaction significant and enjoyable.
This vision of continuous improvement and a commitment to excellence promises a future where ION Orchard remains a key player in not just Singapore’s retail market but also in shaping the retail experiences of tomorrow. As it celebrates this milestone, ION Orchard is poised to keep pushing the boundaries of what a shopping mall can offer, ensuring it remains a cherished destination for both locals and tourists alike.
ION Orchard aims to provide exceptional experiences that transcend traditional shopping
Facade of ION Orchard, featuring duplex flagship stores
Yeo Mui Hong, CEO of Orchard Turn Developments
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L’Oréal Travel Retail Asia Pacific garners award at Retail Asia Awards 2024
Its innovative Travel Retail lounge engaged the audience with exceptional experiences, creating unique sensory interactions with their products through immersive storytelling.
Beauty retailer L’Oréal Travel Retail Asia Pacific received the Cosmetics Retailer of the Year - Singapore category win at the Retail Asia Awards 2024 for its successful L’Oréal lounge concept at the Tax-Free World Association (TFWA) 2024 exhibition in Marina Bay Sands Expo & Convention Centre in May.
The elegant L’Oréal Travel Retail pavilion was interpreted into a duplex lounge concept spanning two levels and showcased multiple brands across skincare, hair, and makeup, which included the highly anticipated Aesop brand now integrated into L’Oréal's impressive portfolio.
Unveiling luxury scents through cocktails
A unique Fragrance Speakeasy Bar drew guests into an immersive exploration of the craft of perfumery. L’Oréal’s luxury Fragrance portfolio, such as YSL Les Vestiaire Des Parfums, Armani Privé, Lancôme, and Maison Margiela, was presented through the fusion of fragrance and flavour in an innovative cocktail-tasting experience.
The fragrance aromas were interpreted through a harmonious blend of specially crafted cocktails prepared by a professional mixologist, offering immersive memorable experiences engaging the five senses. By marrying the art of mixology with the allure of fragrances, it engaged audiences
music.
L'Oréal's commitment to sustainability
Continuing its commitment to sustainability, the lounge design reflected an eco-friendly approach with sustainable materials used in the construction, as well as items that would be recycled or donated after the event. This included the assessment of the sustainability attributes of materials via the Green Product Potential Scoring Mechanism by an Ecoconsultancy for the review of the green
product potential of materials such as their recycled content, impact on human health, recyclability, biodegradability, and upcycling opportunities. Consumers can also look forward to making more eco-friendly product purchases to “Refill More, Save More” with product refills for many of the brands’ bestselling products that were showcased.
Retail Asia Awards honours companies that have recently launched innovative retail projects or initiatives, as well as industry leaders that have propelled their respective brands to maintain a competitive edge.
The lounge design reflected an eco-friendly approach with sustainable materials used in the construction, as well as items that would be recycled or donated after the event
with emotion and an added dimension of storytelling with personality and
L’Oréal Travel Retail Asia Pacific at the Retail Asia Awards 2024
L’Oréal lounge concept at the Tax-Free World Association (TFWA) 2024 exhibition
38 p.a.100M+ Guests served through pharmacy retail and healthcare network
97%
Population reach
years of adding beats to our Guests
Emerging healthcare business population reach
1,150+ Retail pharmacies across the region
560K+
Kingdom wide virtual medical consultations
2.3M
Leading regional e-commerce platform
Jim Thompson achieves milestone winning Brand Transformation of the Year at Retail Asia Awards 2024
This victory marks a new chapter for the iconic brand.
Jim Thompson, the iconic global lifestyle brand from Thailand, is proud to announce its latest accomplishment: winning the Brand Transformation of the Year - Thailand award at the Retail Asia Awards 2024. This prestigious recognition is based on the remarkable success of the grand opening of the Jim Thompson Heritage Quarter last year, setting the stage for the brand's evolution towards becoming Asia's first iconic global lifestyle brand.
In a highly competitive landscape, businesses must continuously innovate and revamp their strategies to remain ahead. The Retail Asia Awards recognise exceptional retailers who have embraced change and set new industry standards. The Jim Thompson Heritage Quarter exemplifies this spirit of innovation, transforming the customer
experience and strengthening the brand's connection with its audience.
Beyond Silk
Reflecting on the award, Frank Cancelloni, Group CEO, said, "Winning Brand Transformation of the Year - Thailand at the Retail Asia Awards is a significant milestone in our journey. The grand opening of the Jim Thompson Heritage Quarter was a celebration of our heritage and a declaration of our future. This award symbolises our commitment to preserving our heritage whilst embracing the future and confirms that we are on track to become Asia's first iconic global lifestyle brand." The grand opening of the Jim Thompson Heritage Quarter was a game-changer for the brand. Underscoring Jim Thompson's new tagline, “Beyond Silk,” the Heritage Quarter is a dazzling fusion of fashion, art, retail and gastronomy. The event was a social media sensation, with Jim Thompson trending as the top hashtag in
Thailand during the launch night and the 10th worldwide on X (formerly Twitter) the following morning.
Towards a global experience
Cancelloni added, "Jim Thompson is not just about preserving heritage; it's about pushing boundaries and creating unique experiences for all our customers. The Jim Thompson Heritage Quarter is a testament to this, a globally recognised destination where history, art, culture, cuisine, and retail seamlessly blend. This award is a testament to our evolution in broadening our horizons and delivering a distinct Jim Thompson experience rooted in Thai heritage."
Looking ahead, the brand is focussed on expanding its retail footprint overseas, bringing innovative retail experiences that align with modern consumer preferences. Jim Thompson's dedication to quality, innovation, and authenticity guarantees a unique brand experience deeply embedded in Thailand's cultural heritage.
About Jim Thompson
No brand spells heritage like Jim Thompson, the Thai Silk Company founded in 1951 by James H.W. Thompson, an architect, art collector, socialite, and entrepreneur who is recognised as the driving force behind the revival of Thailand’s silk industry. Jim Thompson’s disappearance remains one of Southeast Asia’s most intriguing unsolved mysteries. Today, Jim Thompson is the iconic global lifestyle brand from Thailand with a reputation for beautiful silks and “Beyond Silk.”
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Imagining better futures for all
Thailand’s No.1 listed Retail & Real Estate Developer pioneering world-class development projects
Central Pattana, a premier subsidiary of Central Group, is among global leaders in sustainable development, and real estate management with its core business encompassing retail, residential projects, hotels and office buildings across Thailand and overseas.
The company celebrates its recent successes with significant international recognitions including ranking No. 1 in the real estate industry with the DJSI World 2023, and winning three major awards at the ‘Retail Asia Awards 2024’.
Ms. Wallaya Chirathivat has won the 'CEO of the Year' award , the first Thai leader to receive this honor. This reinforces the company’s global leadership and vision as a 'place maker', committed to quality projects, enhancing life, caring for the environment, and creating ‘The Ecosystem for All’.
Central World, the company’s flagship, has earned ‘Mall of the Year’ and ‘Marketing Initiative of the Year’ awards, solidifying its status as ‘The Largest Lifestyle Shopping & Dining Destination in Asia’.
Jaspal Group brings home win at Retail Asia Awards 2024
Successful expansion of house brands in the ASEAN region, new distribution partnerships, and expansion to homeware.
Lifestyle and fashion retailer Jaspal Group (Jaspal Public Company Limited) won the Apparel Retailer of the YearThailand category at the prestigious Retail Asia Awards 2024 for its achievements in the past year.
Offering both in-house and imported brands in Thailand and the ASEAN market, the concept of “Find Your Greatness” takes centre stage in Jaspal Group’s approach to serving its customers across the region.
In the past year, Jaspal Group has expanded its businesses overseas, through its fullyowned subsidiary businesses in Vietnam, Cambodia, Malaysia, and the Philippines. Jaspal Group has been operating for 77 years and has used its competitive advantage as a leader in Thailand’s fashion industry, its diverse brand portfolio, and the uniqueness of its house brands to bring success to new markets in the region.
Jaspal Group’s flagship brands, such as Lyn, CC Double O, Jelly Bunny, Lyn Around, CPS Chaps, and Jaspal, have resonated strongly with international customers and the company has successfully secured prime locations and an expanding customer base in key shopping centre locations across the ASEAN region. At the same time, Jaspal has achieved rapid expansion through the distribution partnerships of imported brands such as Fred Perry,
Asics, Melissa, Diesel, Mango, Champion, and New Era. This has further diversified the company’s brand portfolio, penetration into new customer segments, and increased the ability to cater to changing consumer behaviour and trends.
In 2023, the company opened Fred Perry stores in Cambodia and Vietnam and became the importer and distributor in Vietnam and Malaysia for both Finland’s lifestyle brand Marimekko as well as the Spanish footwear brand Camper.
Another contributor to its success is its expansion from fashion clothing to lifestyle business. It has opened its JASPAL Home & Lifestyle zone in its flagship store in Central World which has also become available in eight other stores in Thailand.
“Each new service or business is a challenge, but Jaspal Group is determined to move forward. As the customers are constantly changing, we will continue to evolve under the goal to help customers,” the company said.
Retail Asia Awards honours companies that have recently launched innovative retail projects or initiatives, as well as industry leaders that have propelled their respective brands to maintain a competitive edge.
Each new service or business is a challenge, but Jaspal Group is determined to move forward
CONTACT
Company name: Jaspal Public Company
Limited
Company address: 1054 Soi Sukhumvit 66/1 Prakanongtai, Prakanong, Bangkok, 10260 Thailand
Contact number: +66 2856 2000
Fax number: n/a
Email address: jaspal@jaspal.co.th
Website URL: www.jaspalgroup.com
Jaspal Group (Jaspal Public Company Limited) at the Retail Asia Awards 2024
BRADSTREET, SMITH OPINION
What is next for Asia Pacific retail beyond 2024?
NICK BRADSTREET
Director and Head of Asia Pacific, Retail, Savills UK
SIMON SMITH
Regional Research and Consultancy, Asia Pacific, Savills Hong Kong
Although LVMH’s (Moët Hennessy Louis Vuitton) announced a drop in net profit of 14% for the first half, the Group reported a 2% organic growth overall. However, its shares have fallen by about 20% over the past year, amidst worries that mainland Chinese middle-class shoppers are cutting back on purchases due to the property slump and job insecurity. Sales in Asia, excluding Japan which saw double-digit revenue growth, fell by 14% in the second quarter, worse than the 6% drop in the first quarter.
Kering also reported a drop of 11% in Group revenue with its recurring operating income falling by 42%. The Group shared that ‘trends in the various regions were broadly in line with the first quarter, apart from a sequential improvement in Japan and a deceleration in Asia-Pacific’. As a result of this, brands are taking a more cautious approach to expansion with openings being pushed out beyond 2025.
The outlier is Japan which is performing strongly on the back of a cheap yen that is at a 30-year low. Price sensitive consumers are shifting their purchases to Japan rather than shopping in other destinations. This is great for stores in Tokyo but the impact is being felt in other cities where sales are down.
Real estate prices and rental trends across these markets further highlight the evolving retail landscape. Most prime retail markets had bottomed out in the first half of 2023, after four years of correction, and rents had begun to rise in the second half.
Across the globe, real GDP growth in Asia Pacific remains well ahead of the US and Europe at 4.4% in 2023, followed by 2.5% and 0.5% respectively, providing a tailwind for the sector.
Meanwhile, the tourism rebound in the region has been gradual because of the delay in the easing of travel restrictions, Asia Pacific’s historical dependence on tourists from more distant markets, and a slower recovery of the important outbound market from China.
Let us look at how Asia Pacific will fare over the next few quarters: how the various markets are doing and trends that will impact the different retail sectors.
Diverse and dynamic market landscape
A diverse and dynamic landscape, the Asia Pacific retail market reflects a mix of developed and emerging economies, each with distinct consumer behaviours and retail environments. China, Japan, and Singapore are highly developed retail markets with sophisticated infrastructure and consumer bases. In contrast, markets like Thailand are rapidly evolving, driven by a combination of increasing urbanisation and rising disposable incomes.
Real estate trends
Real estate trends across the region highlight the evolving retail landscape. In Singapore, for example, prime retail spaces such as Orchard Road continue to see rising rents due to strong demand, despite
challenges faced by suburban retail markets.
The average monthly rent in Orchard Road increased by 0.7% quarter-on-quarter to S$22.80 per square foot in Q1 2024, driven by the return of tourists and festive spending during the Chinese New Year.
Meanwhile, Hong Kong’s retail market is rising to new challenges and Hongkong Land is spending over $1b to renovate its Central portfolio to enhance the luxury offering and include more F&B alongside immersive art spaces.
Optimising spaces
Brands continue to shed marginal stores whilst cautiously upsizing their best ones. Single storied shops are now moving to duplexes often with a triplex façade. Despite the expense, the top luxury brands want to ensure they are a standout to their customers.
This is most evident on Canton Road in Hong Kong where there is a wall of branded luxury facades along the Harbour City side of the street. The trend is also very visible at Marina Bay Sands in Singapore, which has become the mecca for luxury in Southeast Asia. Where this has not happened yet, the key landlords are partnering with the super brands to achieve the same and as a result, a number of projects are ongoing across the region.
Repositioning brands
In recent years, the super brands have started to build salons and this trend continues. The aim is to attract their Very Important Customers (VICs) to the store and to create an exclusive lounge environment for them. These salons are located around drop off points or on upper floors within the stores, accessible via a private lift. Again, key landlords are working closely with the brands to realise this.
We have also seen auction houses rapidly expand. Christies, Sotheby’s and Philips have all increased their footprint, ensuring that they become more visible to the luxury consumer. In Hong Kong, all three houses have either recently opened or will be opening new stores in 2024.
Tourism-driven retail growth
Tourism will continue to be a significant driver of retail growth in the APAC region. Countries like Japan and Thailand, which are popular tourist destinations, will benefit from increased tourist spending. Japan, in particular, will continue to leverage its appeal as a luxury shopping destination, with record visitor spending driven by a weak yen.
High-end brands are expanding their presence in core retail areas, with several new flagship stores and showrooms opening in Tokyo. This expansion underscores the continued demand for luxury goods amongst both domestic and international shoppers.
Thailand, on the other hand, is looking forward to the completion of large-scale mixed- use projects that will attract both tourists.
