Retailers of all formats plan to accelerate their investments for the rest of the year in response to better-than-expected profits in the first quarter.
The expect high consumer spending after the general election will also be another catalyst for expansion.
Suwit Kingkaew, president of the Thai Capital Retailers Development Association, said retail business investment over the first half of this year was likely to rise by 10% from the same period last year, but additional outlets would be small, restricted by city planning regulations.
Among those getting bigger are Big C Supercenter with 115 branches this year, up by 62% from last year, mainly reflecting its acquisition of the Carrefour chain.
Robinson Department Store will add three outlets while HomePro and Makro will each open four branches. The largest convenience store operator, CP All, plans to open 500 7-Eleven outlets this year.
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MsPhattaraporn says the Spot Rewards Card, which customises products and discounts, serves dynamic demand at each Tops outlet. Buoyed by betterthan- expected firstquarter results, local retailers are looking to the general election to help boost spending during the rest of the year. |
According to Asia Plus Securities, investment expansion would continue until a new retail law comes into force, which may impose further zoning curbs. Therefore, political uncertainty that may delay the law could be a relief for retailers.
The performances of listed retailers this year are expected to be healthy despite uncertainty in the economy.