Retail News CRM

Author: Mei Ling Tan

  • ClouDee set to disrupt businesses in Thailand with cutting-edge cloud telephony technology

    ClouDee set to disrupt businesses in Thailand with cutting-edge cloud telephony technology

    ClouDee cloud telephony services is being brought to the country for the first time through Thailand’s leading provider of international voice telephony services, SawasdeeShop, in partnership with Asia’s largest cloud-based communications provider, Knowlarity Communications.

    SawasdeeShop, established since 1999, is licensed by the National Telecommunication Commission of Thailand (NTC). With a registered capital of 150 million Baht, Sawasdeeshop has telecom switches operating in Thailand, Singapore, Malaysia, Hong Kong and New York and is interconnected to over 100 global telecom carriers.

    Cloud telephony provides telephony services on a cloud-based platform, redefining communication and is fast disrupting conventional telephony systems.  Within minutes of subscribing with ClouDee, users will receive a business phone number and have access to a feature-rich, enterprise-level communication system that has primarily been exclusive to Forbes 500 enterprises or large corporations.  ClouDee eliminates the need for hardware, installation and the high costs associated with a traditional PABX business communication system, making getting a 02 number for Thailand-based business, or over 60 international numbers for global businesses as easy as setting up a business email address.

    At a press conference held today, SawasdeeShop Founder and CEO Aswin Phlaphongphanich and Knowlarity Communications’ Founder and CEO Ambarish Gupta introduced SuperReceptionist and Smart IVR, two innovative communication solutions provided by ClouDee for Thailand’s growing business community.

    SuperReceptionist is a virtual receptionist service, or a smart operator, which activates a cloud-communication center with a powerful CRM for SMEs and start-ups. With its flexible API structure (Application program interface), Smart IVR provides customizable solutions for enterprise-grade communication requirements, which are unique to every organization.  Each product helps start-ups, SMEs and corporations to improve their revenues, save costs, generate leads, increase conversion rates, as well as enable greater mobility.

    According to the Office of Small and Medium Enterprises Promotion (OSMEP), there are around 2.7 million SMEs in Thailand, accounting for 37% of national GDP. ClouDee will initially aim to target 1000 customers across SMEs and enterprises and has invested Thai Baht 10 million in the partnership with Knowlarity Communications.

    Aswin believes that cloud telephony is the first step towards the future of business communications in Thailand.

    “The cloud is changing the way businesses operate and communicate. To simply put it, we are replacing aging PABX systems so that business owners can work smartly and leverage new technologies to their advantage. What ClouDee is doing to business telephony is what Yahoo and Hotmail did to email.

    “ClouDee is user-friendly, highly scalable and extremely affordable, appealing to emerging and established Thai businesses looking to maximize capacity and productivity by integrating SuperReceptionist  and Smart IVR.

    “We want to help SMEs and start-ups in Thailand drive a robust and effective sales and marketing process, and communication is key.  ClouDee can be applied to a wide variety of industries including logistics, healthcare and e-commerce, as well as travel and tourism.  With AEC, there has been rapid growth of businesses within Thailand and in the region. We also plan to roll out ClouDee to the CLMV region which is also experiencing a great rise in business development,” added Aswin.

    With headquarters in Singapore, Knowlarity Communications has a solid reputation for capturing the market share wherever it sets its sights and Ambarish has high expectations of the success of ClouDee in Thailand.

    “We are proud to be part of introducing cloud telephony to Thailand with ClouDee. This is an exciting market to be part of and many businesses are ready to utilize smarter, more streamlined and integrated communication tools,” Ambarish points out.

    Clients using ClouDee in Thailand as their business communication system currently include StockRadars, a Thai stock market management app, and Thailand based money transfer platform, coins.co.th.

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  • Azelis announces Strategic Appointments

    Azelis announces Strategic Appointments

    Azelis, a leading global speciality chemicals distributor headquartered in Luxembourg, announces strategic organisational changes, including Asia, and a new appointment to the Board of Directors, to position the Group for further success.

    Laurent Nataf is appointed CEO and President Asia Pacific, effective 1st August, and will be based in Singapore. Nataf was appointed Group Chief Operating Officer in 2012 and has been a member of Azelis’ Executive Committee. He has held key positions during his service with Azelis, including Business Director for Industrial Chemicals and Group Business Development Director.

    Asia represents a significant growth opportunity for Azelis. Following a rapid growth trajectory in China and Japan in particular, the team in the region will be enhanced in order to further exploit the potential and accelerate development, serving better Azelis’ partners.

    Supported by investors APAX and following the acquisition and successful integration of Azelis Americas, the former Koda Distribution Group, Azelis now has a unique global footprint and is geared for the next phase of growth and expansion.

    Azelis currently has operations in Australia, China, Hong Kong, India, Japan, Malaysia, New Zealand, Singapore, Thailand and Vietnam.

    The second key appointment is Anna Bertona, currently Chief Strategy and Principal Officer, who will assume the role of Chief Operating Officer EMEA, also effective 1st August, to steer Azelis’ market teams in the region and with a particular focus on Azelis principal development activities. Bertona will remain based in Antwerp, Belgium.

    The Board is also pleased to welcome Thijs Bakker as Chief Financial Officer. Bakker will join Azelis in September 2016 following the retirement of Martin Hollenhorst in August. Bringing a wealth of experience in the finance and the chemical industry, Bakker has worked for over 15 years for AkzoNobel in various finance roles in the Netherlands, US and across Asia Pacific. In his most recent assignment Bakker was Finance Director Marine & Protective Coatings at AkzoNobel, based in Singapore. He will be relocating to Antwerp, Belgium for his role.

    Dr. Hans Joachim Muller, Azelis Chief Executive Officer, said: “These are significant developments for Azelis; our new appointment and organisational changes within the Executive Committee in Asia, EMEA and at the HQ level will enable us to maximise our growth opportunities.”

    In parallel, the Azelis Board of Directors will be strengthened with the appointment of Michael J Roney. Roney was formerly Chief Executive Officer of Bunzl, the international distribution and outsourcing group, listed on the London Stock Exchange FTSE 100 index, with operations spanning 29 countries and 4 continents.

    He retired from Bunzl earlier this year, having served as CEO since 2005 and prior to that as non-executive director. Under Roney’s leadership of more than 10 years, Bunzl moved into the FTSE 100, made more than 100 acquisitions and had a compound annual TSR of 17%. The wealth of experience Roney gained at Bunzl and also in other international senior management positions and non-executive directorships, will provide excellent support to Azelis in setting the strategic direction for the business.

    Commenting on the appointment of Michael Roney to the Board of Directors, Dr. Muller added: “We will benefit from Michael’s expertise and proven track record in distribution, drawing upon his extensive experience of expanding into new markets”.

    These positive developments will support Azelis as it looks to create value and expand further upon its leading position in speciality chemicals and innovative ingredients.

  • Alliance Group market-ready lamb packs to hit Chinese shelves

    Alliance Group market-ready lamb packs to hit Chinese shelves

     Alliance Group’s lamb packs for the Chinese retail market.
    Alliance Group’s new lamb range of market-ready retail packs will be launching in China next month.

    The co-branded lamb range will land in China’s retail and food service sectors as the co-operative and its in-market partner Grand Farm strengthen their close ties.

    The initial focus  will be on the upper end of the Chinese market in Beijing, Shanghai, Guangzhou, Shenzhen and Harbin The lamb will be available from eight retail chains boasting 200 selected outlets before being rolled out to other parts of the country.

    Alliance chief executive David Surveyor said the New Zealand-packed lamb was designed for the Chinese market and co-branded Pure South and Grand Farm.

    “It marks a major milestone in our vision to create new product forms and ranges that will be either produced from source or further processed in the market to meet the growing demands of China’s food service sector.”

    The regions were selected based on the higher buying power of their consumers, concentration of foreigners and higher economic activity, he said.

    “This initiative will help us build a deeper understanding of the supply and value chains and eventually secure the added value we are seeking in this market with a ‘packed-at-origin’ offering.”

    Alliance’s focus in China was to obtain more market value for its 5000 farmer-shareholders by understanding consumer tastes and improving its matching of products and markets, as well as investing more in new products and packaging, he said.

    In April, the co-operative signed an agreement with Grand Farm at a ceremony in China. The agreement, which signals further strategic co-operation between the pair, sets out a  plan to improve the returns and add value to both businesses.

    Grand Farm is the best known distributor and marketer of top quality red meat in northern China. The company owns 96 meat shops, operates 260 branded meat counters in selected hypermarkets and supplies over 1000 hypermarkets in China.

    Alliance has been working in China since the mid-1990s and is now the country’s largest exporter of New Zealand lamb to the country.

     

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  • Retail, food/beverage sales to rise in July: MOEA

    Retail, food/beverage sales to rise in July: MOEA

    On the back of rising demand for the upcoming Ghost Festival, the local retail sector is expected to see sales growth in July, at a time when many retailers have aggressively launched promotional campaigns, according to the Ministry of Economic Affairs (MOEA).

    In addition, continued high temperatures have boosted demand for beverages in the local market, the MOEA said, and this trend is expected to give an additional boost to the local retail sector, as well as the food and beverage sector, in July.

    The forecast was made by the ministry after it released data Friday showing that Taiwan’s retail sales for June stood at NT$335.8 billion (US$10.49 billion), up 0.2 percent from a month earlier and up 0.5 percent from a year earlier.

    The statistics indicate that revenue in the local food and beverage sector hit NT$36.3 billion in June, up 1.9 percent from a year earlier but down 3.0 percent from a month earlier.

    The Ghost Festival (中元節), the 15th day of the seventh month of the lunar calendar, will fall on Aug. 17 this year.

    Local people usually buy foods and other necessities ahead of the festival in preparation for the folkloric rituals.

    In addition, the Taipei Multi-Media Show, which was staged July 1 through July 4, was expected to boost sales of 3C products and eventually raise revenue of the local retail sector, the MOEA said.

    The MOEA said that the hot weather is expected to prompt more and more consumers to buy beverages to keep themselves cool, while the current summer vacation is a peak season for local people to travel, which is expected to boost sales for the local restaurant businesses.

    In June, sales posted by department stores, supermarkets, convenience stores and hypermarkets in the local retain sector gained 3.2 percent, 5.6 percent, 3.0 percent and 5.5 percent, respectively, from a year earlier, while sales of the auto/motorcycle business rose 3.5 percent from a year earlier, the MOEA data shows.

    However, sales of the information and home appliance business in the local retail sector fell 5.6 percent year-on-year in June, the data indicated.

    During the month, sales of the restaurant and beverage businesses in Taiwan rose 2.2 percent and 0.8 percent, respectively, from a year earlier, the MOEA said.

    The MOEA said that sales posted by the local wholesale sector for June gained 3.6 percent from a year earlier to NT$805.8 billion.

    In the first six months of this year, sales of the local retail and food/beverage sectors rose 2.0 percent and 2.6 percent, respectively, from a year earlier, while revenue posted by the wholesale sector fell 5.4 percent year-on-year, the MOEA said.

     

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  • Turner, Globe launch Cartoon Network on mobile

    Turner, Globe launch Cartoon Network on mobile

    Turner Asia Pacific and Globe Telecom in the Philippines are making available to Globe customers two upgraded Cartoon Network apps.

    An authenticated version of the Cartoon Network Watch and Play app unlocks its full functionality, including a live stream of the channel and additional video-on-demand content. Cartoon Network Anything will also be bundled, showcasing the network’s best short-form content on mobile devices.

    “Offered to Globe customers, these products provide a convenient avenue for Filipinos to enjoy the most popular kids’ content wherever they are, and in a safe and flexible way,” said Phil Nelson, Turner’s managing director for Southeast Asia.

    This year, Cartoon Network also ranks as a top-5 channel across all genres, showing the local appetite for cartoons and a brand of entertainment that the whole family enjoys.

    “Globe strives to provide the best service that includes premium entertainment from strong international partnerships like Turner’s Cartoon Network,” said Globe chief commercial officer, Albert De Larrazabal.

    “We look forward to the many possibilities this partnership offers as both companies are committed to provide valued customers with a unique digital entertainment experience,” said de Larrazabal. “Moving forward, customers can also expect more good news from Globe and Cartoon Network.”

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  • Netflix beams ‘Star Trek’ in 188 countries

    Netflix beams ‘Star Trek’ in 188 countries

    Netflix has signed a licensing agreement with CBS Studios International to be the exclusive premiere home of “Star Trek” in 188 countries, excluding the United States and Canada.

    Each episode of the new series will be available globally within 24 hours of its US premiere.

    The all-new Star Trek will begin production in Toronto in September for its January 2017 premiere. The iconic and influential global franchise will return to television for the first time since 2005 with a new ship, new characters and new missions, while embracing the same ideology and hope for the future that inspired a generation.

    “The launch of the new Star Trek will truly be a global television event,” said Armando Nuñez, president and CEO of CBS Studios International. “Star Trek is already a worldwide phenomenon and this international partnership will provide fans around the world, who have been craving a new series for more than a decade, the opportunity to see every episode virtually at the same time as viewers in the US.”

    In the US, the new Star Trek will launch with a special premiere episode on the CBS Television Network in January 2017. The premiere episode and all subsequent episodes will then be available in the United States exclusively on CBS All Access, the Network’s digital subscription video on demand and live streaming service.

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  • Google to train 2m app developers in India

    Google to train 2m app developers in India

    In a bid to bridge the skills gap in the mobile app development segment in India, Google has launched a new certification program to train two million Android app developers over the next three years.

    The company hopes to support the government’s Skill India initiative through this program.

    India is expected to have the largest developer population globally, overtaking the United States, by 2018, with four million developers. However, currently only 25% of developers are building for mobile.

    Google has also launched an instructor-led training program on Android Fundamentals, available across public, private universities and training institutes of the National Skill Development Corporation of India.

    “By building a world class curriculum and making it easily accessible to millions of students and developers in India, we want to contribute to the Skill India initiative and help make India the global leader in mobile app development,” Google VP of product management Caesar Sengupta said.

    The in-person training will be integrated with Computer Science curricula of universities within this calendar year.

    The Android Developer Fundamentals course material will also be covered on NPTEL (an IIT Madras project in collaboration with the IITs and IISc) as part of its online Mobile Computing Course starting this month. The Android Developer Fundamentals reference course and all practicals and courseware will also be available as open source to everyone for free.

    In addition to partnering with the National Skill Development Corporation of India, Google has also teamed up with training partners such as Edureka, Koenig, Manipal Global, Simplilearn, Udacity and UpGrad – Google will train their trainers and update their Android courseware to prepare their students for the Android Certification and a career in Android development.

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  • More than half the world is still offline

    More than half the world is still offline

    Despite falling prices for ICT services, more than half of the world’s population is still not connected to the internet, the latest ITU figures show.

    The UN agency estimates that 3.9 billion people remain cut-off from the vast resources available on the internet.

    The newly released report ICT Facts & Figures 2016 shows that developing countries now account for the vast majority of internet users with 2.5 billion users compared with one billion in developed countries. Internet penetration rates, however, tell a different story.

    In developed countries, internet penetration is pegged at 81% of the population, compared with 40% in developing countries and 15% in the least developed countries. It is also higher for men than for women in all regions of the world.

    The report noted that the global internet user gender gap actually grew from 11% in 2013 to 12% in 2016. The regional gender gap is largest in Africa, at 23%, and smallest in the Americas, at 2%.

    By early 2016, international internet bandwidth had reached 185,000 gigabits per second, up from a low of 30,000 gigabits in 2008. However, bandwidth is also unequally distributed globally, and lack of bandwidth remains a major bottleneck to improved Internet connectivity in many developing and least developed countries.

    ITU Secretary-General Houlin Zhao said more needs to be done to bridge the digital divide and bring the more than half of the global population not using the internet into the digital economy.

    “ITU, given the tremendous development of ICTs, has a key role to play in facilitating their attainment,” affirmed Brahima Sanou, the Director of the ITU’s Telecommunication Development Bureau.

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  • Philippines to develop national broadband plan

    Philippines to develop national broadband plan

    Philippine president Rodrigo Duterte announced in his first State of the Nation Address (SONA) on Monday that he wants the newly created Department of Information and Communications Technology (DICT) to develop a national broadband plan to accelerate the deployment of fiber and wireless technologies to improve internet speed.

    He also announced that Wi-Fi access shall be provided at no charge in selected public places, including parks, places, public libraries, schools, government hospitals, train stations, airports, and seaports.

    A previous government initiative to establish a National Broadband Network (NBN) was scrapped in 2007 after the $329-million contract awarded to Chinese telecommunications firm ZTE for the project had been investigated in the Senate.

    In 2011, the then Commission on Information Communications Technologies (CICT) had also released a five-year digital roadmap that aimed to craft a vision for ICT use in governance, including the creation of a national broadband policy that would enable the environment for broadband development and use.

    Duterte’s call for a new national broadband plan came on the heels of a wide public clamor for fast and affordable internet. The Philippines had ranked poorly in many global indices for digital readiness.

    The country trails behind its Southeast Asian neighbors, for example, in the latest Network Readiness Index published by the World Economic Forum, which measures how economies use the opportunities offered by ICT for increased competitiveness. At 77th place in a 139-country study, the Philippines was behind Singapore (1st), Malaysia (31st), Thailand (62nd), Indonesia (73rd).

    Duterte’s assumption into office on June 30 came at a favorable time as the law mandating the creation of the DICT as the primary body that would create policies and drive the national ICT agenda was signed by former President Benigno Simeon Aquino III last May.

    The country’s first appointed DICT Secretary Rodolfo A. Salalima affirmed in his first media interview that the government cannot expect the commercial service providers to be in all parts of the country and there would be a need for the government to establish an ‘infostructure’ in the countryside and provide service.

    Shortly before Duterte’s inauguration as the country’s 16th president last June, Globe Telecom had called on the government to help develop broadband access in the Philippines by investing in internet infrastructure in rural and far-flung areas.Globe President and CEO Ernest Cu said in a media statement that telecommunication operators in the country are unable to deploy infrastructure in rural areas due to business viability issues.

    “There are a lot of localities in the country that cannot be reached economically. What we propose is for the government to build the infrastructure, such as submarine cables, and then rent these facilities out to telco operators,” he said, citing the case of Sulu and Basilan provinces in the Autonomous Region for Muslim Mindanao.

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  • TOT said to plan TD-LTE trial next month

    TOT said to plan TD-LTE trial next month

    Thai state-owned operator TOT reportedly plans to launch trial TD-LTE services over the 2.3-GHz band early next month.

    The operator is waiting for permission from regulator NBTC to use network equipment for the non-commercial trial service.

    Private operators AIS, Dtac and True Corp have been invited to join the trial, which is scheduled to begin on August 4, which is National Communications Day in Thailand.

    The trial will be conducted in Bangkok and Ratchaburi. TOT plans to install 20 2.3-GHz base stations along parts of the routes of Bangkok’s Skytrain public transport service. The trial in Ratchaburi will meanwhile use Huawei equipment.

    TOT holds 60 MHz in the 2.3-GHz band, and plans to invite international network suppliers and local operators to jointly introduce wireless broadband services over the spectrum, the report states, citing sources.

    The report states that TOT has already approached Huawei, Nokia, and Ericsson to discuss the project and plans to select the supplier with the best proposal to roll out the network.

    According to the sources, TOT plans to initially wholesale the 2.3-GHz bandwidth to local operators, and use the revenue from this agreement to finance its own 2.3-GHz rollout.

  • Ericsson CEO Hans Vestberg steps down

    Ericsson CEO Hans Vestberg steps down

    Ericsson has announced the resignation of long-serving CEO Hans Vestberg, effective immediately, as the company seeks to transform to adapt to changing market dynamics.

    Vestberg has also stepped down as president and as a member of the board of directors, but remains “at the company’s disposal” for a six month term of notice, the company announced.

    Executive vice president and CFO Jan Frykhammar will take the role of interim CEO until a permanent replacement is found.

    Vestberg has been with Ericsson for 28 years and has been serving as CEO for the last seven. But he has been facing pressure to step down as the company struggles with profitability in a period of slowing demand and intense competition.

    Last week the company reported a 24% decline in second-quarter net profit, along with an aggressive cost reduction plan aimed at turning around the company’s operations.

    “Hans has been instrumental in building strong relationships with key customers around the world and his leadership and energy have been an inspiration to employees and leaders across Ericsson,” Ericsson chairman Leif Johansson commented.

    “However, in the current environment and as the company accelerates its strategy execution, the Board of Directors has decided that the time is right for a new leader to drive the next phase in Ericsson’s development.”

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  • Trinity Pictures co-makes two films with Chinese partners

    Trinity Pictures co-makes two films with Chinese partners

    Trinity Pictures, India’s first franchise feature film studio, is planning two landmark Indo-China co-productions to be released in fiscal 2018, according to Eros International Media.

    These are Kabir Khan’s travel drama The Zookeeper (working title) and Siddharth Anand’s cross-cultural romantic comedy Love in Beijing (working title), to be co-produced with China’s Peacock Mountain Culture & Media and Huaxia Film Distribution.

    The two films are the first ever Indo-China co-productions set in both India and China and will have Han Sanping, former chairman of China Film Group, as their creative producer. Sanping has produced more than 300 films and 100 TV series, including Red Cliff, Karate Kid and Let the Bullet Fly

    With the cast from both India and China — a leading Indian male actor and leading Chinese actress — Kabir Khan’s human drama, The Zookeeper, tells the journey of an Indian zoo keeper to China to find a panda to return to India with in order to save his zoo.

    Siddharth Anand’s cross-cultural romantic comedy, Love in Beijing — also with an A-lister Indian actress and leading Chinese male actor — is based on an Indian girl who falls in love with a Chinese man.

    Production costs for The Zookeeper by Kabir Khan are expected to be at about $25 million and Love in Beijing $15 million.

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  • Ooyala launches server-side ad insertion

    Ooyala launches server-side ad insertion

    Ooyala now offers live server-side ad insertion (SSAI) for broadcasters and media companies distributing live, ad-supported video.

    A part of Ooyala Live and its ad-serving platform, Ooyala Pulse, the technology provides smooth transitions between ads and content during live feeds for seamless, TV-like playback.

    SSAI helps circumvent ad blockers so customers can reclaim lost revenue. Unique to Ooyala’s SSAI technology is its focus and method to deliver hyper-personalized ad experiences to live-streaming audiences.

    Ooyala’s SSAI technology allows publishers and advertisers to merge programming and personalized advertisements together into a single video stream. As a result, the video content and advertising play continuously, eliminating any buffer time or latency between the content and ads.

    There is also no distinction between where the content ends and the ads begin, therefore it prevents video advertising from being blocked.

    Ooyala’s live SSAI technology personalizes every ad, for every user, on any device — every time, regardless if the user is watching live or catching up in DVR mode. The most relevant ad is delivered based upon the individual’s watching environment.

    Ooyala Live gives broadcasters and media companies full control over their live stream and ad experience. Customers can set their ad-monetized stream to autodetect ad markers, dictating when the stream needs to cut to an ad break and back again, or manually manage the process due to unforeseen events such as a power outages, a delay of game or injuries, which require more frequent ad breaks to fill air time.

  • Viacom unit debuts Nickelodeon block

    Viacom unit debuts Nickelodeon block

    Viacom International Media Networks (VIMN) Asia is expanding its collaboration with Vietnamese multimedia communication group International Media Corp (IMC), to launch the first Nickelodeon-branded block on IMC’s YouTV channel, available on satellite, cable and free digital terrestrial platforms in Vietnam.

    By the end of September, over 5 million Vietnamese households that access YouTV will be able to enjoy up to four and half hours of Nickelodeon’s world-renowned content every day during the after-school hours on weekdays and the mornings during the weekends.

    The multi-year deal includes Nickelodeon animation titles like SpongeBob SquarePants, Dora the Explorer, Teenage Mutant Ninja Turtles, PAW Patrol and select popular live action series like The Thundermans and Haunted Hathaways.

    “Nickelodeon blocks offer broadcasters a robust and varied entertainment solution for kids 4 to 14 years and we are delighted to partner with YouTV to bring our first Nickelodeon branded block to Vietnam,” said Mark Whitehead, VIMN Asia Pacific’s EVP and managing director.

    “We are excited that YouTV will be the first to exclusively carry a Nickelodeon block in Vietnam,” said IMC’s executive chairman Lam Chi Thien. “YouTV currently has a leading position in the Vietnamese market for families and this collaboration will provide significant added value for the kids’ programming line-up for our viewers.”

    IMC currently has an existing collaboration with VIMN as a licensee partner for MTV Vietnam.

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  • Rising sales at department stores suggest recovery of retail sector

    Rising sales at department stores suggest recovery of retail sector

    South Korea’s major department store chains saw their sales move up 2.4 percent in the first quarter from a year earlier, government data showed Sunday, indicating a recovery may be under way in the retail sector.

    According to the data compiled by the Ministry of Trade, Industry and Energy, South Korea’s top three department store brands — Lotte, Hyundai and Shinsegae — saw their sales improve in the January-March period from a year earlier, recovering from the 1.2 percent on-year drop posted for all of 2015.

    Last year, local department stores suffered a drop in performances due to the outbreak of the Middle East Respiratory Syndrome (MERS) here, which induced South Koreans to avoid crowded areas and stay indoors.

    The department stores also saw their sales advance 4.3 percent on-year in April. While sales dropped 2.7 percent on-year in May, they still were better than at large-sized supermarket chains, which suffered a 6.3 percent drop in sales over the cited period.

    Industry watchers said the recovery may give birth to a new department store branch with annual sales of 1 trillion won (US$879 million).

    Last year, only three branches managed to post annual sales above 1 trillion won, with two of them being Lotte and the other Shinsegae.

    “As the sales of large branches are recovering, and as department stores are aggressively rolling out renewal projects, it is believed that the number of the so-called 1 trillion-won club branches will increase,” an industry watcher said.