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As the world gets smaller and the people more discerning (and affluent!), Johor is only sealing its reputation even further as a shopping paradise for the 21st century.
For decades, Johor has been known as a shopping haven, and things are not changing in the Information Age. According to figures from the State's Tourism and Domestic Trade Committee, shopping is still Johor's second-biggest source of revenue after accommodation, contributing RM13.3 million in 2008, compared to RM12.3 million in 2007.
Says Committee chairman Hoo Seong Chang, Johor is popular with the Singaporeans, Indonesians and Chinese. In fact, Johor receives more visitors from Singapore and Indonesia than any other state in Malaysia. The Committee's efforts include working on and supporting events aimed at increasing tourist arrivals and boosting revenue. These include the International Kite Festival, Desaru Pengerang International Triathlon, Johor-Singapore Second Link Bridge Run, Johor Baru International Orchid Festival, FIA Asia Pacific Rally Championship, World Scrabble Championship and – not to be forgotten – the Johor leg of the annual Malaysia Year End Sale.
Proud Tradition, Wide Variety
By the end of last year, there were almost 50 shopping complexes and hypermarkets in the state capital of Johor Baru. “Old faithfuls” for shopping include Plaza Kotaraya, City Square, Holiday Plaza, ZON Shopping Complex, Plaza Pelangi and KOMTAR. These offer a wide range of electronic goods, designer brands and essential needs for everyone from upscale shoppers to those on a budget – if there's one thing Johor has, it's variety!
It's not all sleek and shine, though – aside from these modern shopping malls, the state also has a wide selection of handicraft centres and bazaars selling locally made, ethnic-inspired souvenirs and gifts. Johor is renowned for fabric crafts like batik and songket, paintings, pewter, ceramic and copper wares, traditional herbal products and traditional Malay musical instruments.
“The retail industry in Johor reflects what consumers expect in terms of standards, value for money and the shopping experience,” says Mr Hoo.
New (Stylish) Kid on the Block
These couple of years will see shopping in Johor boosted to the next level with premier new shopping centres in Johor. One high-profile outlet coming up in Iskandar Malaysia is a premium factory outlet centre targeted to attract about 4 million visitors a year. The outlet will be a joint venture between Chelsea Premium Outlets and Genting Group, and announced with much fanfare in New York by no less than the Prime Minister, Datuk Seri Najib Tun Razak. Construction will start early this year and is scheduled for completion by mid-2011.
Chelsea Premium Outlets is owned by Chelsea Property Group – the world’s largest owner, developer and operator of upscale outlet centres in the United States, Japan and South Korea.
“It is the first (Chelsea) centre in the (Asean) region and I’m very happy that they have chosen Malaysia,” Datuk Seri Najib said when announcing the outlet in November 2009. It was especially gratifying, given the the fact that other countries in the region had also been trying to woo the Chelsea Group. The outlet's branch in New York offers just-off-season discounted items of designer brands like Coach, Gucci, Zegna, and Burberry, at prices between 25 per cent and 60 per cent cheaper.
Shop Till You Drop
Another giant planting its foot in Iskandar Malaysia is not a shopping centre, but a 60-acre “city” – the Asia Pacific Trade & Expo City (APTEC) in Iskandar Malaysia. This “one-stop sourcing and trade centre” is also targeted to begin construction this year, with full completion within eight years. Its developer Asia Pacific Trade & Expo City Sdn Bhd (APTEC SB) is a unit of Lakehill Resorts Development Sdn Bhd, of which 78% is owned by Malaysia Pacific Corp Bhd (MP Corp) and the remainder owned by AmanahRaya Bhd. In fact, the APTEC project will be surrounded by a mixed development undertaken by Lakehill.
When complete, APTEC will have 2.5 million sq ft of exhibition space in four trade halls, retail malls, hotels (including a 50-storey five-star hotel), as well as offices and commercial units. MP Corp is now finalising joint-venture partners for APTEC, and has signed a letter of intent with a possible joint-venture partner from Thailand. Dividing up APTEC into 18-20 joint venture parcels is a move aimed at enabling different components within the project to take off simultaneously, without incurring an excessive financial burden on the company for this RM4 billion project, said MP Corp President and chief executive officer Datuk Bill C.P. Ch’ng.
The entry of these and other globally renowned retail players into the market looks set to turn not just Johor, but in fact, Malaysia, into a shopping paradise for the world. Hopefully, this will also mean spillover benefits for the tourism industry industry in general and also lead to secondary business and economic activities for supporting industries.
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