Robinson adopts 'lifestyle model' as high season nears

“The first half of 2015 presented us with many opportunities and challenges in raising our sales amidst a wide range of negative factors and underwhelming economic recovery,” said Alan Thomson, president of Robinson Department Store.
“Robinson launched new marketing campaigns to generate waves of interest in distinctive, attractive styles – including corporate and section campaigns in each month – while also continuing our business expansion plans with the opening of four new department stores in high-potential areas.
“We have already completed the opening of two new department stores – namely Robinson Rayong and our 40th branch, Robinson Lifestyle Center Buriram.
“Renovation work is still ongoing at various existing branches. This year, we are remodelling Robinson Department Stores into lifestyle department stores that fulfil all contemporary lifestyle needs in a modern, well-rounded fashion. This is evident in our pilot lifestyle centres – including Robinson Rayong, Robinson Lifestyle Center Buriram, and for the first time in Bangkok,
“Robinson Rangsit [is] our biggest branch yet, with 28,000 square metres of floor space. More consumers will also get to experience this soon at Robinson Sriracha.
“The retail business is highly competitive. We cannot afford to stay still due to the growing variety of target customers, which requires us to stay on our toes in everything from products [to] atmosphere, services [and] or marketing. We have to create and differentiate what we have with added value.
“Pricing advantages alone are no longer enough. Today is all about creating distinctive experiences in a place that is all at once inspiring, exciting, and fun.
“We believe that a department store should not be just about buying things and going home afterward. We have added new elements that stretch beyond the traditional department-store experience and add newfound colour to our customers’ lives.
“With themed malls, we offer a soothing, harmonious feeling for our customers right from the first step. Every square inch of our malls [is] packed with fun and a distinctive atmosphere based on some of the world’s most famous fashion streets – including decor inspired by Paris, New York, London, and Japan.
“We have photo landmark spots for customers to take pictures of and share across social media. Our new zones feature more product variety than ever before to satisfy the growing lifestyle spectrum along with expanded selections of services.”
Today, Rangsit and other northern Bangkok areas boast a large number of consumers with high purchasing power along with intense market competition. With high residential-property and business growth as well as the presence of 22 academic institutions, the Rangsit zone is seeing an increase in high-value consumers who not only seek out high-quality products but also trendy offerings and excellent services.
Renovations at Robinson Rangsit not only enables the mall to fulfil the lifestyle needs of local customers but also serves as a pre-emptive response to the influx of new customers after Thailand’s integration into the Asean Economic Community, the company says. Additionally, the new mall stands to take advantage of the expanding urban community in Bangkok, the development of new housing projects, and the BTS Red Line that will run from Bang Sue station to Thammasat University’s Rangsit campus.
Robinson Future Park Rangsit’s customer base comprises 20 per cent high-end consumers, 30 per cent students, and 50 per cent mid-to-low-end customers. The branch has an average of 20,000 daily customers – 14,000 and 30,000 on weekdays and weekends respectively – with Bt2,000-Bt3,000 baht in average spend per day.
Once renovations are complete, the mall is expected to post 20-per-cent growth in business performance and a 15-per-cent boost in foot traffic, raising the number of daily customers to 17,000 on weekdays and 36,000 on weekends and holidays.
Ton Chirathivat, vice president for marketing at Robinson Department Store, said: “We have prepared a Bt180-million marketing budget for the final quarter of the year to cover the retail high season, the school break, and the New Year festivities with two or three new campaigns. Our provincial branches will also serve as landmark lo|cations for New Year celebrations. We expect to record Bt8.2 billion| in sales for the fourth quarter of 2015.
“With the year’s end approaching, retailers are coming up with new marketing strategies to stimulate consumer spending. We expect the market to perform better than in the first half of the year given signs of economic recovery, more government investments, and continuing growth in the tourism sector.”