Retail News CRM

Blog

  • E-business lifts Thailand Post

    E-business lifts Thailand Post

    A man walks past red postboxes outside the Thailand Post branch at Government House. The booming e-commerce market has spurred greater demand for the state enterprise’s express parcel service, despite continued issues with mishandled packages. CHANAT KATANYU

    Thailand Post expects to maintain its stellar profit growth of 10% and reach 2 billion baht this year, supported by the higher-margin express parcel business and booming e-commerce market.

    But the state enterprise’s revenue is forecast to increase by just 1% to 22 billion baht, due to the sluggish economy.

    Piyawat Mahapauraya, deputy president of Thailand Post, said the local e-commerce market grows by 20% a year on average, spurring greater demand for the express parcel service.

    Thailand Post reported consolidated first-half revenue of 11.04 billion baht.

    Of the total, emergency mail service and parcel delivery were still the highest revenue source at 5.13 billion baht or 46.4%, followed by mail service (4.86 billion), retail business (440 million) and payment services (287 million).

    Thailand Post is on the verge of overhauling its delivery processes for emergency mail service and parcels to tackle persistent delivery problems.

    Up to 1,200 parcels were lost during the first half. In addition, 280 parcels were damaged and 3,000 were delayed or arrived after the guaranteed delivery date.

    “We are adopting advanced technologies to address the delivery problem by installing CCTV at all post office branches nationwide,” Mr Piyawat said.

    Damaged parcels amount to fewer than 1% of parcels delivered, he said, and Thailand Post aims to have zero cases of damaged goods within a few years’ time.

    To boost its corporate image and reputation, the postal service has launched a campaign of indemnification for damage incurred by the emergency mail service.

    The campaign, running until this November, lets customers use the screening process of the post office’s service point and confirm that the parcel was “checked”.

    Thailand Post guarantees a payout of 1.5 times the value of a parcel found to be damaged during the delivery process (not to exceed 3,000 baht per parcel).

    The campaign will apply at 17 post offices in Bangkok as a pilot project, Mr Piyawat said.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Why Concern Over Apple Growth in China Is Overblown

    Why Concern Over Apple Growth in China Is Overblown

    Apple stock has taken it on the chin in the past several weeks. The stock is down around $110 from an intra-day high of $135 just a few months ago. Most of this decline is due to pervasive fear about declining economic growth in China, and concern over the huge stock market crash there. It seems that, all of a sudden, China has morphed from being one of the premier emerging markets to a huge headwind for global growth.

    Now, attention is turning to the multinational companies that do a lot of business in China, such as Apple. But before investors panic, a dose of calm is appropriate. Here’s why Apple remains one of the strongest businesses on the planet, and will continue to reap tremendous growth in China for many years.

    Tim Cook to the rescue
    CEO Tim Cook has taken the unusual step of contacting the media to address the issue. He emailed CNBC’s Jim Cramer on Aug. 24 to discuss the state of Apple’s business in China, and had this to say:

    I get updates on our performance in China every day, including this morning, and I can tell you that we have continued to experience strong growth for our business in China through July and August. Growth in iPhone activations has actually accelerated over the past few weeks, and we have had the best performance of the year for the App Store in China during the last two weeks.

    Although at times, we should take CEO-speak with a grain of salt, these are strong statements. It’s unlikely Cook would do this if he were not confident in what he was saying. It’s valuable for investors to have a boots-on-the-ground perspective from someone as close to the situation as Cook. And judging by Apple’s recent performance in China, it’s hard to envision the situation changing all that dramatically in a matter of a few weeks.

    Growth In China remains compelling
    The other reason I’m not worried about Apple in China is because I think there is still plenty of growth potential there, even if GDP comes in lower than previously expected. The emerging middle class in China is pushing millions of consumers upward, and Apple is a hugely successful, growing brand.

    Apple’s revenue in China more than doubled last quarter, year over year, thanks to the ongoing success of the iPhone 6. That made China Apple’s fastest-growing geography by a wide margin. There’s little reason to think consumers in China just stopped buying Apple products and services, especially now that we have information directly from management.

    LTE penetration remains low in China, Apple continues to gain share there, and everything coming from the company itself is nothing but positive about China. Even as it pertains to Apple’s other products, the results are very good. For example, Tim Cook stated on the last conference call with analysts that Apple claimed its highest ever PC share in China last quarter, thanks to 33% revenue growth of Macs. Revenue for the App Store also more than doubled in China last quarter.

    Last but not least, retail remains a tremendous catalyst in Apple’s favor. As Cook articulated on the most recent conference call, Apple opened its 22nd retail store in China last quarter. The company is aggressively expanding its retail operations, and is on track to have 40 stores open there by the middle of next year. That’s yet another indicator of strong demand in China.

    Don’t sell on panic
    Apple stock right now is a good bargain. At around $110, the stock trades for 13 times trailing earnings per share and 11 times forward EPS estimates. These valuation multiples represent meaningful discounts to the broader market. While there’s no guarantee that Apple stock won’t get even cheaper, it makes no sense to me to sell at these prices. That’s particularly true because I believe the China fears are way overblown.

    Apple enjoys the luxury of commanding premium prices for its products. Nothing about that has changed in the past few weeks, despite the panic selling. If anything, Apple is a buy here, not a sell, and the market may be in for a big surprise when Apple next reports earnings.

    Lees ook:

  • Lawson, Three F in partnership talks

    Lawson, Three F in partnership talks

    Japanese convenience store rivals Lawson and Three F say they are “discussing options” for a capital and business alliance.

    The move was announced in a statement which was short on detail.

    Lawson, a subsidiary of Mitsubishi Corporation, is Japan’s second largest c-store operator behind 7-Eleven with a network of more than 11,500 stores in Japan, Indonesia, China and Thailand. Three F Co, headquartered in Yokohama, operates only in Japan where it has about 560 stores in Tokyo, Chiba, Saitama and Kanagawa.

    In the statement, the companies said an alliance would help boost their convenience store operations in an extremely competitive environment. Japan is a mature market, which is main reason its convenience store players are seeking growth offshore.

    While both companies will maintain independent management and protect their individual corporate brands and culture, they would conduct joint product development, procurement and promotional campaigns, and also share information that could boost management efficiency.

    “Both companies are determined to discuss ideas frankly and openly, with the aim of creating a concrete, workable alliance agreement. Further developments will be announced once they are finalised,” the statement said.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Jean Louis David opens in Hong Kong

    Jean Louis David opens in Hong Kong

    French hair stylist chain Jean Louis David has more than 1200 salons worldwide – and now it has landed in Hong Kong.

    Jean Louis David Hong Kong  has opened a salon at 12F New World Tower 2 in Queens Rd, Central – and a retail store on the ground floor of Manning House, a few doors down the street.

    The stunning salon fit out was designed to “perfectly embody” the brand’s philosophy of “hyper service” the company says on its website.

    “This means we want to engage all your five senses as you walk through our elegant space and take your seat in any of our three styling areas.”

    The salon has three separate areas: Urban for those wanting a quick touch-up; International for longer, lingering pampering;  and Private Suites.

    The salon was designed by Jean Louis David creative director Lorena Severi and Italian designer Nevio Capuzzo of the design firm Bottega Veneta.

    “All our fittings were crafted in Italy’s famous furniture manufacturing region located near the ancient city of Venice.

    “Our emphasis on design, comfort and spotless hygiene might make you feel like you’ve entered a day spa when you first walk in. The eye will be delighted by the simple elegance and clean lines of our designer furnishing,” the company explains.

    “The spotless white of our design is offset by the blaze of beautiful flower arrangements, while the scent of fragrance greets the nose. Music bathes the ear in a variety of styles, while your taste buds will be stimulated by drinks and snacks of your choice throughout your stay with us.”

  • Aeon Hanoi sets opening date

    Aeon Hanoi sets opening date

    Aeon Hanoi will open its doors on October 28.

    The Japanese-based multinational shopping centre operate and retailer Aeon says the new centre will host 180 retail stores including its supermarket and department store anchors and a mix of local and Japanese brands.

    Aeon Hanoi will be Aeon’s third store in Vietnam, following its debut in Ho Chi Minh City two years ago, and a second mall in Dong Nai, an industrial city near Ho Chi Minh City. The company has already announced a fourth to be built in Ho Chi Minh City, scheduled to open in 2016.

    The Hanoi mall will cover 9.6 hectares in the suburb of Long Bien.

    Besides its focus on fashion and specialty stores, the centre will host restaurants and a foodcourt serving cuisine from Vietnam, Japan, Thailand and Korea on the third floor.

    Lees ook:

    Lees ook:

  • Sizzlin’ Steak heads to Vietnam

    Sizzlin’ Steak heads to Vietnam

    Filipino corporate restaurateur Max’s Group is to launch its Sizzlin’ Steak concept in Vietnam.

    Max’s Group is the largest casual dining restaurant company in the Philippines. It owns Yellow Cab Pizza, which it recently launched in the UAE.

    Sizzlin’ Steak is an eight year old Japanese steak barbecue concept, serving steak and other meats cooked on hot plates at low price points. Barbecue style dining concepts are popular amongst Vietnamese.

    Max’s is entering Vietnam in partnership with L Concepts, a subsidiary of the Longfort Group, which focuses on developing unique dining concepts and brands in Southeast Asia.

    According to documents filed with the stock exchange in Manila, L Concepts will open a minimum of 10 Sizzlin’ Steak restaurants in Vietnam within five years. Max’s currently has 10 in metro Manila and is considering a pilot store in the US.

    Max’s Group president and CEO Robert Trota says the company plans to add at least 200 stores to its overseas network by 2020.

    “We envision to rollout our key brands outside the Philippines with strategic franchise operators. As new markets are established and momentum builds in the next few years, we expect the international portion of our business to be a significant contributor to system-wide sales and to our bottom line,” he said.

    Lees ook:

    Lees ook:

  • SM Group, Disney seal strategic deal

    SM Group, Disney seal strategic deal

    SM Group is to collaborate with The Walt Disney Company Southeast Asia to bring Disney brands closer to Filipinos through mall, retail, entertainment and amusement opportunities.

    The two companies say they aim to bring Disney, Marvel, Pixar and Star Wars brands to life through “unique Disney experiences at SM’s many leisure and entertainment properties”.

    Fans can look forward to a host of innovative offerings including Disney branded events, promotions and other unique experiences themed around fan-favorite Disney brands and characters.

    “We are thrilled to be associated with the iconic Walt Disney Company,” said Edgar Tejerero, president of SM Lifestyle Entertainment.

    “Henry Sy Sr envisioned and purposed a second home for Filipinos across the nation where they can create memorable bonding activities with their families through amusement facilities, retail centers, and food establishments, all found in one mall. Sixty-five years later, and with 52 malls across the Philippines, it had just been high time that SM forged an official collaboration with the best family entertainment company in the world,” Tejerero said.

    Rob Gilby, MD of The Walt Disney Company Southeast Asia, said Disney makes millions of Filipinos laugh and smile with its stories and characters every day.

    “We have worked with the various arms of SM group over the years and today we are delighted to announce our collaboration on a comprehensive plan to create magical moments and memories that will last a lifetime for fans across the Philippines.”

    SM says it has synergised the efforts of all its subsidiaries – including SM Supermalls, SM Markets, The SM Store, Toy Kingdom, and its lifestyle and entertainment arm, SM Lifestyle Entertainment – to produce a complete and one-of-a-kind Disney experience for its patrons: from the moment they enter the mall to watch a movie, to the time they purchase their favourite snack and Disney merchandise. Patrons can also take their SM Cinema and Disney experience with them home, or wherever they go, through the newly launched Blink app.

    As a precursor to an already successful association, Disney and SM have worked together to bring multiple experiential events to the Filipino families such as the recent Avengers Experience in SM North Edsa, where guests were treated to life-size characters, Avenger-themed games, and a ‘meet and greet’ with Captain America, Thor and Black Widow.

    To officially jump start their partnership, SM and Disney will be launching a “Star Wars Galactic Christmas” to welcome the latest instalment of the movie, “Star Wars: The Force Awakens.” The exhibit will include life-size figurines of characters from the movie, interactive games, and official merchandise from the SM Store and Toy Kingdom.

    Lees ook:

  • China Nepstar turns from loss to profit

    China Nepstar turns from loss to profit

    NYSE-listed pharmaceutical retailer China Nepstar Chain Drugstore says increased staff training and promotional activity fuelled a 12.9 per cent rise in sales in the latest quarter.

    In the three months to June 30, China Nepstar achieved US$125 million in sales, with same store sale up 16.7 per cent year on year. The company reported a net income of $1.4 million compared to a net loss of $2.5 million last year.

    CEO Rebecca Zhang said the same-store-sales growth had accelerated during the quarter due to higher store traffic as a result of effective promotions on pharmaceutical products and professional store service training.

    “While we focus on productivity at the store level, we also managed to achieve better operational efficiency by reducing our general and administrative expenses and constantly optimising our store management,” she said.

    During the second quarter of 2015, the company opened 38 stores and closed 59. As of June 30, it had 1948 directly operated stores in total.

    China Nepstar had a portfolio of 2155 private label products at the end of June 30, which now account for 14.7 per cent of its revenue and 22 per cent of gross profit.

    “As we gradually achieve recovery in growth on profit, we will focus on accelerating our organic revenue growth by fine-tuning our store management system and improving our store image to customers,” Zhang said of the business’ outlook.

    Lees ook:

    Lees ook:

  • Tiffany China sales soar

    Tiffany China sales soar

    Jeweller Tiffany & Co says its 30 China stores posted record double-digit sales growth in the second quarter.

    China is the world’s second largest luxury market and accounts for 10 per cent of the US company’s global store network.

    And despite the Chinese economy’s much-publicised slowdown, demand remains high for in fashion brands like Tiffany and Apple.

    Tiffany said in its quarterly earnings report it has no plans to adjust its China strategy despite the devaluing currency and stock market decline.

    Tiffany China will open an unspecified number of new stores in the year ahead and has previously said it is looking at tier 2 cities in addition to building its presence in traditional luxury market hubs of Shanghai and Beijing.

    The company says it expects strong growth in the quarter ahead.

  • Tesco Thailand to offer phone services

    Tesco Thailand to offer phone services

    Tesco Lotus Thailand is teaming up with CAT Telecom to offer a mobile virtual network service.

    The deal will see Tesco Thailand selling SIM cards to its 3 million Clubcard loyalty program members and other customers and marketing cellular network services under its own brand.

    CAT has similar partnerships with True and Real Move, among others. Real Move accounts for 80 per cent of its capacity, serving 13.5 million customers.

    The 50-50 joint venture partnership will run until CAT’s current licence expires in 2025, with Tesco Lotus marketing commencing next year. CAT will lease space on its network and Tesco Lotus will develop a marketing plan and distribute SIM cards.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Central Pattana plans four new malls

    Central Pattana plans four new malls

    Thai shopping centre operator Central Pattana has announced plans for another four or five shopping malls to be completed by 2018.

    The company says it has allocated THB30 billion (US$838 million)  for the new properties – which it says are in addition to a raft of previously announced planned properties.

    Central Pattana is the listed property development subsidiary of Central Group which owns shopping centres the length and breadth of Thailand and in Italy, Germany and China.

    The new malls will be built in the capital city of Bangkok and in larger regional cities. It has already announced plans to build centres in Phuket, Nakhon Ratchasima and Nakhon Si Thammarat.

    “CPN still aims for further expansion in major economic cities, as well as locations with potential business both in Thailand and neighbouring countries to demonstrate its sustainable growth,” said CFO Naparat Sriwanvit.

    Besides its Thai plans, the company is proceeding with a Malaysian joint venture to open a shopping mall in Kuala Lumpur and it is conducting feasibility studies on entering Vietnam and Indonesia.

    Parent Central already operates a Central Department Store in the Indonesian capital of Jakarta and the group has assets including a joint venture electronics chain and a department store in Vietnam.

    CPN runs 26 shopping malls in Bangkok and in major provinces, including Hat Yai.

  • OldTown Coffee suffers as Malaysians spend less

    OldTown Coffee suffers as Malaysians spend less

    Malaysian cafe chain OldTown Coffee has reported falling sales and profits as Malaysians continue to get used to life after the imposition of GST on April 1.

    The company, which operates 210 discount coffee shops and sells packaged coffee through FMCG channels, posted a profit of RM9.49 million ($US2.2 million)  in its first quarter, to June 30, 6.8 per cent less quarter on quarter and an unhealthy 18.9 per cent less year on year. Topline sales slumped 10.5 per cent quarter on quarter and 3.9 per cent year on year to RM94.06 million (US$22.3 million).

    OldTown concentrates on the local Malaysian market serving milky coffees and light snacks – it does not make espresso-style coffee drinks like Starbucks.

    The company says its declining fortunes were driven by a downturn in cafe sales, rather than packaged goods: Same store coffee shop profit fell 46.4 per cent year on year.

    The company plans to open 10 new outlets before the end of the current financial year, next March, representing an expansion of about five per cent.

    Sales of packaged foods – mainly instant coffee and coffee mixes – rose 29 per cent.

    Lees ook:

    Lees ook:

  • Altelier D’Auchel Hong Kong store opens

    Altelier D’Auchel Hong Kong store opens

    French leather goods brand Altelier D’Auchel has opened its first retail store in the territory.

    Altelier D’Auchel Hong Kong is located on the 14th floor of Lyndhurst Tower, 1 Lyndhurst Terrace in Central.

    The label makes leather goods to order, with price tags ranging from HK$40,000 to $300,000, depending on the materials, style and colours chosen. Once ordered, a bag takes anywher from a fortnight to a month to be created.

    A truly artisan brand, Altelier D’Auchel employs craftsmen who have trained in the traditional techniques at the Compagnons du Devoirs, which is a French apprentice training organisation dating back to the Middle Ages where master craftsmen and artisans train apprentices in a craft. After qualifying, the designers have to spend another 10 years at a name atelier to make the grade.

    Altelier D’Auchel sent master craftsmen from France to Hong Kong to celebrate the exclusive store’s opening and to provide a live demonstration of the art of making fine handbags.

    Lees ook:

  • Seed Heritage opens at VivoCity

    Seed Heritage opens at VivoCity

    Australian childrenswear chain Seed Heritage has opened a new store in VivoCity.

    It is Seed heritage’s second store in the city state, following its debut in Parkway Parade.

    Last week’s opening was marked with a 20 per cent off storewide sale across its range of baby, child and teenage girls clothing, which ended on Sunday.

    Seed Heritage is one of Australia’s most popular premium childrenswear brands, providing solutions from top-to-toe for babies, boys, and girls, from the ages of newborn to 10 year olds. It recently expanded its range into a teen collection for girls aged eight to 14 years.

    Seed Heritage is best known in Australia for its quality and detail and distinctive design across apparel, shoes, accessories, and toys.

    Lees ook:

  • First Garrett Popcorn Taiwan store planned

    First Garrett Popcorn Taiwan store planned

    Garrett Popcorn, the Chicago-based gourmet popcorn brand, is continuing its Asian expansion with the opening of a store in the landmark Taipei 101 complex.

    The first Garrett Popcorn Taiwan store expands the brands presence in Asia, where it already has stores in Singapore, Malaysia, Thailand, Hong Kong, Japan and Korea.
    Garrett says it chose Taipei 101 to set up its first Taiwan store because of its proximity to public transportation and a commercial community and the potential for tourism business.

    “The Taiwan marketplace is exciting and vibrant, with an especially rich food culture. We are happy to commit Taipei 101 as the location of choice for our flagship shop in the heart of Taipei,” said Lance Chody, chairman and CEO of Garrett Popcorn Shops.

    “We are also excited to bring delicious handmade Garrett Popcorn – made fresh with real ingredients every day – to join the landmark Taipei 101 experience,” he said.

    “The launch of Taiwan flagship store in Taipei 101 is essential in our expansion plan in the Asia market,” added Olivia Huynh, VP of Asia-Pacific operations at Garrett Popcorn Shops.

    Taiwan is the 10th overseas market for Garrett Popcorn. Outside Asia it has stores in the UAE and

    Lees ook: