By Jonathan Kwok

Lifestyle and wellness chain continues its growth despite downturn

THE economic downturn has done little to dampen the business outlook of lifestyle and wellness services provider Mary Chia, judging by the firm's ambitious expansion plans.

Last Friday , the firm launched Mentsu, a Japanese-inspired concept store targeted at young professionals, managers, executives and businessmen, at the newly opened Tampines 1 shopping mall.

According to Ms Wendy Ho, 38, the chief executive, the company also expects to open a 6,500 sq ft safari-themed spa at Safra Jurong come the end of the year.

She said that the current strong sales seen in the property market indicate that there are growth opportunities even in a downturn. 'We are always looking for opportunities to consolidate and expand, regardless of the health of the general economy,' she said in Mandarin.

Ms Ho is the daughter of Madam Mary Chia, 59, who founded the business more than 20 years ago. What was a one-woman show in the 1970s has since grown into one of the largest chains of beauty and slimming spas here.

The mother and daughter team agrees that the firm's ongoing expansion requires continued innovation and new methods to engage different market segments.

The newly-opened Mentsu store does away with the upfront prepaid packages so commonly seen in the beauty and wellness market, and allows customers the flexibility of purchasing their beauty products and treatments on an a la carte basis.

'The concept of Mentsu involves no financial commitment, and no upfront pre-paid package... Young people, in particular, like to have the flexibility of choice, and this 'free and easy' store operates on the concept of fast food eateries,' said Ms Ho.

Last year, the company adapted its services to launch a spa brand for men, Urban Homme. The upcoming safari-themed spa outlet will be aimed at families.

Some funding from these projects has arrived after Mary Chia's successful listing on the Singapore Exchange's Catalist board in August, which earned the company about $3.9 million in net proceeds.

'Because we are a household brand, our share prices rose by 48 per cent on the first day (of trading) itself,' said Ms Ho of the positive response.

Yesterday, the counter closed at 20 cents, down 0.5 cents. It is down 13 per cent from the issue price of 23 cents.

The firm, which is the first home-grown company in the beauty and wellness sector to list here, plans to use the money raised for working capital, overseas expansion, and possibly for acquisitions and joint ventures.

Ms Ho said it is looking to consolidate and expand its business in Malaysia, at least for the next 18 months. It has three stores in Kuala Lumpur.

Potential suitors from elsewhere have already come knocking. The company receives invitations from overseas firms to do market studies in their countries, with explorations of possible joint ventures.

'The lifestyle and wellness services industry is blooming, and the companies of many countries invite foreign firms over, to explore possibilities in working together,' said Ms Ho.

She revealed that she was recently asked to travel to Japan and Korea to study the markets there, and that her schedule is so tight that she can only consider making these trips next year.

Though possibilities abound, Madam Chia is not one to plunge into investment decisions.

'There are many new markets for us to explore, but we will only enter if we think there is strong potential for profits,' she said in Mandarin.

This article was first published in The Straits Times.