ANEXT Bank’s Post

In the second quarter of 2024, the retail property market in Singapore showed significant shifts in market friction across the city’s key districts. Notable increases in market friction in areas like Orchard / River Valley and Boat Quay / Raffles Place highlight rising demand pressures despite decreasing supply. Meanwhile, Beach Road / Bugis / Rochor exhibits a more balanced market with reduced friction. To understand these trends in depth and their impact on your strategies, explore DataSense by PropertyGuru For Business. Click the link to check out the full insights:  https://lnkd.in/gsNW8-Yx #QuarterlyRetailSnapshot #PropertyGuruGroup #PropertyGuruForBusiness #DataSense #PropTech #RealEstateMarketing #RetailInsights #Singapore #SingaporeMarketInsights

Day 2 (continued) at NRF 2024: Retail's Big Show Asia Pacific and an inspiring fireside chat with Frank Cancelloni CEO of Jim Thompson – an iconic Thai retailer - The session discussed the amazing transformation of the brand from a group of disparate operating companies in 2020 to a cohesive lifestyle brand: - Taking the pulse of the company and of the brand back in 2020. Morale not very high – needed to address this. Wanted to know what people in Thailand thought of the brand. 99% of the people interviewed knew and liked the brand but hadn’t bought from them. - Answer was that it was old-fashioned / tired / ‘dusty’. Customers were confused – are you a brand for tourists? Luxury? - Had all the pillars to become a lifestyle brand – had fashion, home, hospitality, art centres, restaurants but all run separately. Realised that Asia does not have a lifestyle brand. - Biggest challenges faced in the transformation: internal resistance, change of mindset. Repositioning of the brand – want to attract new, younger customers but don’t want to lose the tourists. How to manage this? - All goes back to product. Began segmenting the product. Targeted communication to local customer base. Tourists know the brand - Jim Thompson 4th largest visited ‘attraction’ in Thailand. - Customer experience: “creating a reason for people to spend time with your brand” - "We created an environment around the brand eg. fashion / fabric shows, art centres" - Social commerce: “critical to our growth plan”. All fashion stores are in Thailand so social commerce even more critical as want people to purchase Jim Thompson online when they are home. - ESG: behind the game, was not a priority. Now ensuring factories catching up, recycled products. - Future: potential for the brand – Netflix series. Hotels, train journeys both being considered. Tom Hanks to play Jim Thompson? #NRFAPAC #TRE #TopRetailExpert

Really enjoyed writing this report during my visit back in Hong Kong, although the streets are no longer the same like how it used to be to be before. It was really interesting to see the transformation of the city 🏙️ The report touched on 3 observations that I gathered and some insights about the city, so be sure to check it out. #hongkongretaillandscape #hongkong #retaillandscape #APAC #APACretail #retailinsight #retailobservations

Supermarkets are supposed to be business-like, assembly-line places where you pick up stuff, check out and move on. Apart from movie-based incidents or the occasional hairy dog which plays cute, these are not places to socialize. So, you would think. Yet, in the dense mesh of apartments and interconnected walkways that make up the heartland of Singapore, the local supermarket is an institution. There are also smaller convenience stores-surprisingly resilient. But you have to do the bulk of your staples purchases in a convenient place where you have a range of choices. The attachment of people to retail brands and their social ties to check-out as well as service staff cannot be under-estimated. There are players whose staff are very friendly and rooted in the community-there are others who are quite uninterested in talking about the weather. I am curious as to whether analytics models are chasing this particular angle. If my local Giant closes and the staff move to Chua Chu Kang, I will walk those 5 kms(good for me) at least once a week, go to Giant at Sunshine Plaza and spend half an hour buying and socializing. That moves 80% of my basket to the same brand, different location. I gain from the exercise, the fresh air, the chat I have, the look at the fresh produce and the experience of buying in another place. That I have a good bus and light rail connection back also matters. Perhaps this is not the case in other cities which may be more socially stratified by spatial arrangement and where inter-connectedness is not that good. But in Singapore, in the heartland, people networks matter. #retail #singapore #segments

Read Savills Asian Cities 1H/2024 Singapore Retail Spotlight and discover why retail is still struggling to rebound, despite the numbers, and how technology could help. http://sav.li/cbm #realestatemarket #commercialrealestate #realestateinvestment #RetailInvestment #AsianCities

Read Savills Asian Cities 1H/2024 Singapore Retail Spotlight and discover why retail is still struggling to rebound, despite the numbers, and how technology could help. http://sav.li/cbn #realestatemarket #commercialrealestate #realestateinvestment #RetailInvestment #AsianCities

Singapore has 6 million people, Hong Kong has 7.4m, both are geographically very small Yet there is a big difference in ecommerce penetration In Singapore it accounts for 40% of retail sales, In Hong Kong it is only around 12%. Why the gap? Singapore’s compact urban layout and 8,000 people per square km density make online shopping a convenient and viable alternative to in-person retail Singapore’s extensive digital infrastructure heavily supported by the government and growing omnichannel retail strategies have made e-commerce a cornerstone of the retail industry Hong Kong has a similarly high urban density (6,600 people per sq km), Hong Kong’s extensive mall culture plays a significant role in shaping shopping behaviours. With major malls like Harbour City and Times Square providing easy access to luxury brands and daily goods, many consumers still prefer the in-person experience. Cross-border shopping is a major factor in Hong Kong's e-commerce environment, with a substantial portion of online spending directed to purchases from mainland China and other international markets This limits the growth of local e-commerce platforms, creating a more complex retail dynamic. Understanding these market nuances is key to crafting effective strategies for retail businesses in the region. Can anyone guess why Hong Kong has a lower urban density than Singapore but feels more cramped and which one has more malls? #Ecommerce #RetailStrategy #HongKong #Singapore #CrossBorderShopping #UrbanDensity #DigitalTransformation

🌏 The Rise of Emerging Chinese Brands: A New Chapter in Global Competition Across industries, emerging Chinese brands are rewriting the rules of global markets. From coffee to cars, they’re not just catching up to Western incumbents—they’re outpacing them. 🚀 ☕ Coffee: Luckin Coffee vs. Starbucks Luckin Coffee’s rapid ascent from scandal to success highlights the agility and innovation fueling this trend. By leveraging affordability, technology, and localized strategies, Luckin has dethroned Starbucks in China. Its affordable, app-based grab-and-go model appeals to cost-conscious consumers while its creative offerings cater to local tastes. Now, Luckin is targeting Starbucks on its home turf in the U.S., marking a bold global expansion. 🚗 Cars: BYD vs. Legacy Automakers In the automotive sector, BYD has emerged as a dominant force, surpassing Tesla in global EV sales. With a vertically integrated supply chain and a focus on affordability without sacrificing quality, BYD is reshaping the competitive landscape. Western automakers are struggling to compete with its ability to innovate rapidly and scale efficiently. BYD’s global footprint is expanding, with plans to electrify markets from Europe to Southeast Asia. 📈 Why This Matters: The common thread in these stories is disruption through innovation and localization: Tech-Driven Agility: Emerging Chinese brands are leveraging digital platforms, automation, and AI to streamline operations, reduce costs, and enhance customer experiences. Localized Strategies: They’re tailoring products to local tastes and preferences, a challenge many Western incumbents have struggled to meet. Price Accessibility: Competitive pricing, enabled by efficient supply chains, makes these brands highly attractive to consumers in both emerging and developed markets. 💡 The Broader Implication: This isn’t just about coffee and cars—it’s a shift in global market dynamics. Sectors ranging from consumer electronics (Xiaomi) to e-commerce (Shein) are seeing similar trends. These brands are no longer imitators; they’re innovators and market leaders. 🌟 The Big Question: Are Western incumbents ready to adapt to this new era of competition? How can they learn from the playbook of their Chinese counterparts to innovate faster, localize smarter, and compete better? --- I believe that navigating today’s complexities—alongside emerging forces like AI, deep tech, ESG, impact, and political polarization—requires a multidisciplinary approach. If you’re interested in these insights or just want to connect, don’t hesitate to reach out. 🌞Let’s connect!

𝗟𝗼𝗰𝗮𝘁𝗶𝗼𝗻 𝗶𝘀 𝗸𝗲𝘆, 𝗯𝘂𝘁 𝗶𝘁’𝘀 𝗻𝗼𝘁 𝗲𝘃𝗲𝗿𝘆𝘁𝗵𝗶𝗻𝗴. #Location in #retail is a hygiene factor—choose the wrong one, and success is unlikely, but even the right spot doesn’t guarantee you’ll thrive. In Hong Kong, more and more retail locations are closing, from stores and supermarkets to cafes and restaurants, even in prime locations.  For me, after living in Asia for 15 years, I’ve gotten very used to online shopping—it’s so convenient that going out to shop isn’t necessary anymore. 🗨️ 𝗘𝘅𝗽𝗲𝗿𝗶𝗲𝗻𝗰𝗲 | It’s the main reason I visit brick-and-mortar stores instead of shopping online. Stores need to offer something more than just products—an #immersive, hands-on experience, whether through product trials or interactive displays, to make the trip worthwhile. 🗨️𝗦𝘁𝗼𝗿𝗲 𝗰𝗼𝗻𝗰𝗲𝗽𝘁 | It’s what sets stores apart, and it’s the reason why some stores thrive even in the same prime location while others don’t. It’s about everything coming together—the look and feel, the product selection, and the service. A strong, cohesive concept is what creates a #memorable shopping experience and keeps customers coming back. Seeing the increasing number of empty retail locations in Hong Kong, I hope this downward spiral can be stopped and doesn’t lead to something like the “Innenstadt-Sterben” seen in German cities. #RetailStrategy #CustomerExperience #HongKong

𝐌𝐚𝐧𝐠𝐨 𝐭𝐨 𝐎𝐩𝐞𝐧 𝟔𝟎 𝐍𝐞𝐰 𝐔.𝐒. 𝐒𝐭𝐨𝐫𝐞𝐬 𝐢𝐧 𝐌𝐚𝐣𝐨𝐫 𝐄𝐱𝐩𝐚𝐧𝐬𝐢𝐨𝐧 𝐚𝐬 𝐈𝐭 𝐀𝐢𝐦𝐬 𝐭𝐨 𝐄𝐥𝐞𝐯𝐚𝐭𝐞 𝐁𝐫𝐚𝐧𝐝 𝐈𝐦𝐚𝐠𝐞 Mango, the private Spanish retailer, is aggressively pushing forward with a plan to enter the United States at breakneck speed, opening more than 60 stores in the country as part of an ambitious expansion plan. With headquarters in Barcelona, this firm hopes to give up the cheap fast-fashion image and become more quality-inclined and creatively designed for greater influence on consumers in the US. #mango #USstore #USNEWS #usanews #MangoNews #mangostore #BusinessExpansion #StoreExpansion #brandimage #branding #news #NewsUpdate #BusinessNews #businessnewsupdates