Index Living Mall has announced that its revenue for the first three quarters reached 7.258 billion baht, marking a growth of 4.6%. The company is partnering with allies to introduce new innovations and launch major campaigns to boost year-end sales, with an investment of over 165 million baht to revamp 6 branches.

 

Ms. Kritchanok Patmasathian, Managing Director of Index Living Mall, discussed the overall furniture and home decor market this year, stating that it has shown stable growth. When focusing specifically on the real estate market in Bangkok and major tourist provinces, the outlook remains positive, driven by both Thai and foreign buyers. Sales are expected to reach approximately 480 billion baht, with 46% from single-family homes and 54% from condominiums. The total number of new project launches for the year is estimated at around 430,000-440,000 units, similar to last year (source: www.area.co.th). The furniture business is experiencing fierce competition, with companies employing various promotional strategies and marketing activities to stimulate purchasing power in the final quarter. The total market value for furniture in the country is projected to be around 80 billion baht by the end of 2018.

 

For the performance of Index Living Mall in the past 9 months (January-September 2018), sales reached 7.258 billion baht, with Same Store Sales Growth at 4.6%, in line with the set targets. Currently, the company holds approximately 20% market share of the total furniture market in the country, while the number of JOY CARD members has exceeded 1.1 million.

 

“All of this is a result of intensive marketing activities, including campaigns, discounts, and various promotions since the beginning of the year, as well as the opening of a new branch in Bang Kruai-Sai Noi, Nonthaburi, last August within Tesco Lotus. This branch is the fourth collaboration with Tesco Lotus, following openings in Mahachai, Nakhon Sawan, and Chaeng Watthana. Additionally, strong partnerships with credit card companies, leading banks, and renowned real estate developers have enhanced business capabilities, benefiting both Index Living Mall and its partners,” the executive stated.

 

The company continues to focus on proactive marketing strategies domestically. In addition to opening a new branch this year, there are plans to renovate the Bangna branch and six more branches next year, including Ratchaphruek, Kaset-Nawamin, Rangsit, Pattaya, Phuket, and Udon Thani. The renovation at the Bangna branch is prioritized due to its purchasing power, targeting the middle to upper-income customer segment. The redesign will enhance focus on high-end customers, featuring luxury products with beautiful designs and premium materials, emphasizing clear and functional space usage. Eleven new design zones will be introduced, including Trend Design, The Luxury Edition, Ital Smart, Ital Living, Natural Living, Space Saving, Kitchen 4.0, Real House, Sofa Studio, Bedding Studio, and finally, Perfect Sleep, which will be the first in Thailand to offer a One Stop Service that combines knowledge, services, and a complete line of innovative products.

 

 

            Meanwhile, in 2019, the company plans to expand by opening 4 more branches in Bangkok and other provinces, including Chaiyaphruek, Chanthaburi, Ram Inthra, and Sukapiban 3. Additionally, there are plans to expand internationally through franchises with 2 new branches in Indonesia, located in Jakarta and Bali. The company believes that the potential of the furniture and home decor retail market in Indonesia is promising, driven by a large population base and continuous economic growth, as well as rising income levels and consumer behavior.

 

            For Index Living Mall's international expansion, it is anticipated that the market can grow well through franchise models for local operators. The company is also studying foreign markets and the growth potential of the housing market in those countries to mitigate various risks. The ASEAN countries are among those showing significant interest and potential.

 

            “We are ready to adapt to the situation and not remain stagnant, focusing on quality products at affordable prices. We believe that next year’s direction, particularly in the development of Thailand's transportation infrastructure (2015-2022), especially the various electric train networks and the upcoming elections in early 2019, will be positive market signals that will support the growth of the furniture and real estate markets,” Ms. Kritchanok Patmasathian concluded.

 

Thank you for the information from www.indexlivingmall.com