C K TANG pulled out of the retail scene in Kuala Lumpur in 2004, nearly a decade after the Singapore retailer had set up shop in the Malaysian capital. Last month, it made a comeback, opening a 65,000 square feet store at the Pavilion, a new shopping mall in Kuala Lumpur.
In the earlier venture, Tangs, hit by the Asian financial crisis, had to shut its Malaysian store as part of a consolidation exercise, according to Foo Tiang Sooi, its chief executive officer. But it was not a complete withdrawal. Tangs continued to have a presence in Kuala Lumpur with its specialty stores, which it first set up in 1989.
Mr Foo: Immediate response to new KL store has been encouraging
While it's still too early to say if Tangs has made a successful return with its new store, Mr Foo says "the immediate response from the public has been good and encouraging - even though we have not publicised our opening".
He says: "We are confident that the Malaysian market, in particular Kuala Lumpur, will grow in sophistication within the next few years, and we will be looking to take up opportunities when these arise.
"From our past experience, we have learnt to be more focused in our merchandising offerings, be relevant to the Malaysian market rather than a direct copy of our Singapore stores - and to offer the local shoppers a different and unique shopping experience from what is currently valuable."
The Tangs store at the Pavilion and the specialty stores under Gamut Marketing have 350 staff on their payrolls.
"We have located our flagship Tangs store at the Pavilion because it's a premier shopping complex right in the heart of Kuala Lumpur's shopping hub - the Bukit Bintang area, with a good mix of retail, food and entertainment tenants," Mr Foo says.
Tangs, established 75 years ago by the late Tang Choon Keng, is now a retail group with three department stores, numerous boutiques and specialty business in Singapore and Malaysia. Tangs also has a presence in Bangkok and Phuket in Thailand.
In the year ended this March, the group posted sales of $196.8 million. It employs about 700 people in Singapore.
The Tangs store in Kuala Lumpur is the group's biggest outlet, according to Mr Foo. "Malaysia plays a very important part in our overall strategy," he says. "It has a very vibrant and dynamic retail industry and the Malaysian shoppers are increasingly more discerning and sophisticated, with a very cosmopolitan outlook."
