Dubai-based group behind Robinsons and Zara to refresh retail offerings
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Dubai-based conglomerate Al-Futtaim Group is embarking on a slate of moves to refresh the offerings at its stable of retail brands here, such as household names Robinsons department store and the Marks & Spencer chain.
The multi-faceted efforts to draw more shoppers are part of a drive by its Asia group chief executive, Mr Christophe Cann, who was appointed to the role in January to grow the company’s business in the region.
“The strategy is to build a profitable long-term business, to bring new brands to the market and to keep the strength of the group which is quite diversified,” said Mr Cann, at the Robinsons store at The Heeren.
The group’s diversified retail portfolio also includes sports brands such as Royal Sporting House, Reebok, and fashion labels such as Zara, Pull and Bear, and Massimo Dutti.
For a start, it will inject $12 million to renovate Robinsons at Raffles City in phases over one year, starting in July. Upgrading plans are also afoot for Marks & Spencer stores at shopping malls – Parkway Parade, Paragon and Raffles City.
Shoppers will also be able to take a pit stop at a new 1,000 sq ft cafe at the Marks & Spencer outlet at Wheelock Place in Orchard Road, set to open in the third quarter.
“Having new concepts and new brands are ways to keep customers’ money in Singapore… We need to give more reasons for customers to visit us, to stay longer in the store,” said Singapore-based Mr Cann.
The group is also adding more food and beverage offerings at Robinsons at The Heeren, with a new restaurant by chef and TV personality Angela May due to open on level two of the store next month.
Mr Cann also flagged an upcoming outdoor F&B area at The Heeren – where T.G.I. Friday’s outlet used to be – to be connected to level two of Robinsons via a bridge. The F&B area will be up and running in the third quarter.
“For a start, it will inject $12 million to renovate Robinsons at Raffles City in phases over one year, starting in July.”
Apart from culinary offerings, Al-Futtaim will be trying out new retail concepts, with the opening of a “sneakers bar” at Orchard Central later this year. The new store, spanning about 1,000 sq ft, will carry limited-edition footwear.
Mr Cann added that the Royal Sporting House outlet at VivoCity will also be given a makeover and will open next month.
“Sports is not just about products these days, it is about lifestyle. The new shop will look more fashionable and appeal to a younger crowd. We will also downsize on the number of brands, carrying only the best performing ones,” he said.
This big revamp of its stores across various brands is expected to boost profitability.
For example, Mr Cann said Robinsons, which has three outlets here – at The Heeren, Raffles City and Jem mall – booked a loss of “a few million dollars” last year, but is likely to break even this year; while its Marks & Spencer chain here is already profitable.
Singapore is Al-Futtaim’s second- largest market in the region after Malaysia, followed by Thailand and Indonesia.
Mr Cann said the company expects to invest around $80 million a year across the four markets to enhance its offerings.
Questions & Answers
Q.What is the primary goal of the retail refreshment efforts being undertaken by Al-Futtaim Group?
What is the primary goal of the retail refreshment efforts being undertaken by Al-Futtaim Group?
The multi-faceted efforts are part of a drive by the Asia group chief executive to grow the company’s business in the region. The strategy is to build a profitable long-term business and bring new brands to the market.
Q.Which Robinsons store is receiving a significant renovation, and what is the expected timeline for this work?
Which Robinsons store is receiving a significant renovation, and what is the expected timeline for this work?
Robinsons at Raffles City will receive a $12 million renovation in phases. This upgrading work is set to begin in July and is expected to take place over one year.
Q.How is Al-Futtaim Group addressing the recent financial performance of Robinsons department store?
How is Al-Futtaim Group addressing the recent financial performance of Robinsons department store?
Robinsons booked a loss of 'a few million dollars' last year. The group expects Robinsons to break even this year following the extensive revamp of its stores.
Q.What new retail concept will Al-Futtaim Group be introducing at Orchard Central later this year?
What new retail concept will Al-Futtaim Group be introducing at Orchard Central later this year?
Al-Futtaim will be trying out a new retail concept with the opening of a 'sneakers bar' at Orchard Central later this year. This new store will span about 1,000 sq ft and carry limited-edition footwear.
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