Krungthai Optic sets sights on a deal with Chinese firm for fashion eyewear
KRUNGTHAI Optic, operator of the KT Optic chain, is negotiating with a Chinese company over a partnership for launching single-brand optical stores in Thailand.
The potential partner, Shenzhen Heze Lianchuang Investment, is the owner of the Wakeup fashion optical brand.
The partnership would allow Krungthai Optic to sell fashion eyewear at lower prices than for international super-brand products, executive director Chatchavan Vanitpisit said yesterday.
This would serve the trend in Thailand’s optical market, which is moving towards being more fashion-oriented, with today’s customers increasingly demanding brands that are unique and modern, he said. However, they do not want to pay the high prices fetched by many of the global super-brands.
He said the negotiations with Shenzhen Heze Lianchuang Investment were focused on two partnership options. Either the two companies would set up a joint venture in Thailand to operate Wakeup single-brand optical stores here, or Krungthai Optic would own the local licence for the brand under a master franchise agreement.
The overall optical market in Thailand was valued at more than Bt6.5 billion last year, some 5 per cent higher than the 2013 level, driven by more intense competition among local retail players and with price-cutting benefiting consumers, Chachavan Chatchavan said.
The executive director said the official implementation of the Asean Economic Community (AEC) would make the Thai optical market more proactive and colourful this year, as it would be driven by more intense competition due to regional players expanding their business operations into the Kingdom.
“KT Optic is preparing to expand its customer base to cover [customers from] the AEC market. We plan to expand our shops to border provinces, such as Udon Thani and Nong Khai, by the end of this year or the beginning of next year,” he said.
He added that the expansion of its stores to border provinces was aimed at cashing in on the AEC, which would encourage wealthy people from neighbouring countries such as Laos, Vietnam and Cambodia to shop in these provinces.
Krungthai Optic, which operates 188 stores around the country, has earmarked about Bt30 million for marketing activities and new-store expansion this year, with plans to open five KT Optic outlets in Bangkok.
The new stores will be located at Paseo Park on Kanchanaphisek Road, J Market @ Ramintha, Metro East Town, Fashion Island, and Show DC.
