Wrong business strategy behind Mara Digital’s gloom, says Mydin boss
Mara Digital Mall was launched in 2015, spearheaded by Prime Minister Ismail Sabri Yaakob when he was the rural and regional development minister.
PETALING JAYA: Wrong business strategy and the lack of choices are among the reasons why Mara Digital Mall is failing to compete with counterparts like Low Yat, say a retail tycoon and an economist.
Ameer Ali Mydin, managing director of Mydin hypermarkets, said its location at the top floor of Busana@Menara Mara was why Mara Digital Mall failed to draw customers, even though the building itself was in a strategic area.
“IT stores are usually on the lower floors to make it easier for people to shop, but Mara Digital Mall is on the top floor, which is a hassle for customers to access,” he said.
He said placing Mara Digital Mall on the top floor meant fewer impulse purchases from customers, since they would be less willing to go all the way up.
Ameer Ali Mydin.
Ameer also saw a need to allow non-Bumiputera vendors to set up shop at Mara Digital Mall to attract customers, as Bumiputera traders would get some spillover effect.
Economist Barjoyai Bardai of Universiti Tun Abdul Razak said the lack of choice and sales expertise about the items being sold were also why there were few customers.
“There are always issues of lack of supply or expertise among sellers of items, so how will customers feel confident shopping there?” he said.
Both Ameer and Barjoyai agreed that having one sole supplier when the Mara Digital Mall started out in 2015 also contributed to the mall’s gloom.
PETALING JAYA: Wrong business strategy and the lack of choices are among the reasons why Mara Digital Mall is failing to compete with counterparts like Low Yat, say a retail tycoon and an economist.
Ameer Ali Mydin, managing director of Mydin hypermarkets, said its location at the top floor of Busana@Menara Mara was why Mara Digital Mall failed to draw customers, even though the building itself was in a strategic area.
“IT stores are usually on the lower floors to make it easier for people to shop, but Mara Digital Mall is on the top floor, which is a hassle for customers to access,” he said.
He said placing Mara Digital Mall on the top floor meant fewer impulse purchases from customers, since they would be less willing to go all the way up.
Ameer Ali Mydin.Ameer also saw a need to allow non-Bumiputera vendors to set up shop at Mara Digital Mall to attract customers, as Bumiputera traders would get some spillover effect.
Economist Barjoyai Bardai of Universiti Tun Abdul Razak said the lack of choice and sales expertise about the items being sold were also why there were few customers.
“There are always issues of lack of supply or expertise among sellers of items, so how will customers feel confident shopping there?” he said.
Both Ameer and Barjoyai agreed that having one sole supplier when the Mara Digital Mall started out in 2015 also contributed to the mall’s gloom.
Barjoyai Bardai.“Prior to this, sellers could only get their supplies from one source. This made it really difficult for them in the initial stages,” said Ameer.
To mitigate the mall’s current state, they suggested opening popular franchises like Starbucks at the mall to attract customers, as well as introducing an online platform to make it easier for consumers.
Mara Digital Mall was launched in 2015, spearheaded by Prime Minister Ismail Sabri Yaakob when he was the rural and regional development minister, and has branches in Kuala Lumpur, Shah Alam, Johor Bahru, and Kuantan.
In 2019, the rural development ministry said in a parliamentary reply the Kuantan mall was closed in December 2018, the Johor Bahru mall in February 2019 and the Shah Alam location in 2018.
"Both Ameer and Barjoyai agreed that having one sole supplier when the Mara Digital Mall started out in 2015 also contributed to the mall’s gloom."
ReplyDeleteComment: the existence of these Mara Digital malls is living example of turtle egg ketuanan bigotry.
And typical of such endeavours, you get a situation where there is one supplier. It gives one pause to ask if the mall was really to help the malays or was it an opportunity to have a quiet arrangement with that one supplier to line somebody's pocket?