PHILIPPINE RETAILING NEWSLETTER 2017 PRA Newsletter 2017 3RD Quarter | Page 18

World News Uniqlo deploys apparel vending machines Uniqlo has deployed its first apparel vending machines at key locations across the USA, as the Japanese retailer looks to enter new markets. Dubbed ‘Uniqlo to Go’, the fashion vending machines are popping up in select American airport terminals during August. Some of the areas where the vending machines are located include Oakland Airport, Hollywood and Highland Centre in Los Angeles, Houston Airport, and Queens Center, Elmhurst, New York. Locations have been decided upon based on their potential for high-traffic and customer visibility. “We’re already talking with amusement parks, train stations, entertainment conventions and movie theatres about additional opportunities,” said the spokesperson. “The goal is to open new markets and use machines as an introduction to our products.” As for the operation of the vending machines, customers can use both debit or credit cards and access product via touch screens and a user interface. Vincom Retail plans share float Vietnamese mall operator Vincom Retail is planning a $600 million IPO, which would make it the country’s biggest share sale in the private sector. Bloomberg reports that the subsidiary of VinGroup plans to sell existing shares as well as issue new stock. The exact size and timetable of the offering has not been revealed, with representatives of Vingroup declining to comment. The fundraising is believed to be aimed at helping Vincom Retail boost its retail business activities and take advantage of Vietnam’s solid economic growth which is 18 After browsing products, selecting and completing the transaction, a robotic arm retrieves the product. A conveyor shelf moves the item onto the robotic arm and the arm brings it to a window. From here, the customer can access the items. Apparel available for purchase includes Uniqlo’s Heat Tech Ultralight down jackets (US$69.9) and Heat Tech tops ($14.90). Both items are available in a variety of colors and styles for men and women. The company said it plans to expand to graphic t-shirts, Airism, and then innerwear items such as socks and underwear. Earlier in the year, Uniqlo said it plans to double its store count in Europe to 100 outlets over the next three years, in a bid to strengthen its retail presence outside of Asia. Uniqlo is eyeing global sales of 3 trillion yen ($26.6 billion) by the fiscal year ending Retail in Asia, 8/7/2017 August 2020. increasing citizens’ disposable incomes. V i n c o m Retail is b a c k e d by the US p r i va te equity firm Warburg Pincus, which owns a 20% stake after investing $300 million. Since then, Vincom Retail has expanded its portfolio to around 40 malls, with a total floor area of 1.1 million sqm in 21 cities and provinces. Its brands include Vincom Center, Mega Mall Royal City and Vincom Mega Mall Times City. Bloomberg’s source estimates Vincom Retail has more than 60% market share in the country’s modern retail industry. Inside Retail Asia, 8/4/2017 3RD QUARTER, 2017 Retailers Anticipate Merging of Physical and Mobile Retail: Report A majority of retailers are planning to use new technologies to identify customers via their mobile devices and “other emerging technologies,” according to a recent report from BRP Consulting --a retail management consulting firm based in Boston. The finding comes from a synopsis of BRP’s “2017 Customer Experience/ Unified Commerce Benchmark Survey”, which found that within three years, 63% of retailers “plan to use mobile apps to identify customers in their stores.” With the continuing ascent of mobile commerce through services like Apple Pay and PayPal, and the rising use of mobile devices in general, the survey results suggest that retailers are racing to keep up with consumers who are increasingly glued to their phones. Elaborating on the findings, BRP suggests that stores need to find a way to bridge the online and physical worlds for customers, such as by enabling interaction with knowledgeable associates, who may be “simply human or a combination of AI and human characteristics”. Accordingly, technological infrastructure appears to also be a key concern within the survey’s paradigm, with 76% of retailers planning “to enhance or replace their network within the next three years.” Commerce is going digital, even in physical stores. MobileIDWorld/BRP Consulting, 8/14/2017