Why Are New, Improved Retail Outlets Failing?

[thebear]

A very reliable source informs that after such a promising start, retailers at the new Meechok Plaza on the Mae Jo Road are getting very concerned by the massive drop off in business with a number of the original businesses already pulling out after just 6 months or so. In particular, the new Rimping Supermarket is experiencing heavy losses although the original branch near Novotel, and the branch on Chiang Mai-Lamphun road are apparently still doing OK.

Why should this be? Has the average per household spending power in CM been seriously over estimated by some perhaps (the owner of Meechok Plaza is the Chairman of the CM Chamber of Commerce who should be 'informed'), or is the reality of CM spending power the local markets, and the huge 30 Baht 'all you can eat' buffet restaurant further round the ring road towards City Hall which is seemingly always heaving?

Edited April 10, 2006 by thebear

[lamphun]

I suspect that you are advertising for Meechok Plaza. The rimping store there has always been busy whenever I've been there. It's not cheap so I'd imagine they're doing reasonably well. As for the businesses in the vicinity perhaps the rents are too high.

[Ajarn]

the new Rimping Supermarket is experiencing heavy losses

I don't believe that for one minute, no matter what your 'very reliable source' says.

[briley]

Lamphun - I would dispute your 'it's not cheap' at Rimping. Checking prices with Tesco, Carrefour and Kasem and they are very competitive, but they also sell much of the higher priced stuff so their shelf prices can look high.

Tesco seem to only sell lower priced goods and their own brand items are very good price.

At the moment butter in Rimping at 34baht a pack is cheaper than anywhere else I know.

[Sansai Sam]

I live very near the new Rimping and I also find it unlikely that the store is suffering losses. I stop almost daily and it is has plenty of customers. I do know that many of the small shops outside have failed and I think its because they sell items that you can buy cheaper in Rimping or because many are inconsistant with their hours and open and close when they feel like it. I also think the "fresh market" on monday and tuesday hurts the center as I for one try my best to stay away on those days because it is almost impossible to find a parking space. There is nothing fresh about it. Its all the same crap they seem to have to sell at every available square inch of spce they can find.

[thebear]

the new Rimping Supermarket is experiencing heavy losses

I don't believe that for one minute, no matter what your 'very reliable source' says.

You want to argue with the guy who owns Rimping!

More http://www.thaivisa.com/forum/index.php?sh...15entry711102

Lamphun -

"lamphun Posted Today, 2006-04-10 10:42:23

I suspect that you are advertising for Meechok Plaza. The rimping store there has always been busy whenever I've been there. It's not cheap so I'd imagine they're doing reasonably well. As for the businesses in the vicinity perhaps the rents are too high."

You might take a look as well - your visits/busy is relative - do you have any appreciation just how much running an A/C, let alone food storage chilling a place like that costs 7d/9am - 9pm?

[Ulysses G.]

I suspect that you are advertising for Meechok Plaza.

Don't get too offended by this silly accusation; lamphun is a wind-up artist. If he thinks that you are American, that might have attracted his attention.

Lucky you!

[groo]

sometimes things like "luck" plays an important role. as with the nearest and furthest planets or whether they are in line with what is lucky for any particular individual. feng shui etc.

[Loaded]

Rimping ideally serves the out-of-town farangs and middle class Thais on that side of the town. Always have to queue at the check out when I go there!

The small shops surrounding Rimping seem to me to be wrongly located. There are enough noodle shops around that area already and small shops offering meat products, electrical lighting etc don't have the range or offer the shopping experience of Central or Airport Plaza.

I think in a year there will be many vacant small units, or the units will be rented cheaply to clothing retailers like Rimping NongHoi now.

[sabaijai]

Can't speak for Rim Ping, but many new high-profile businesses in Chiang Mai fail because they neglect do any market research beforehand. Projects go straight from the concept stage to development. Furthermore bad location and/or bad execution seem to be the norm for a lot of new businesses, particularly those started by foriegners or out-of-towners.

The new Rim Ping and Meechok Plaza are too far out of town to be of any interest to me, so perhaps the location is a problem for many other people as well.

[Ajarn]

the new Rimping Supermarket is experiencing heavy losses

I don't believe that for one minute, no matter what your 'very reliable source' says.

You want to argue with the guy who owns Rimping!

The owner of the Rimping never said a word to you, did he? And you didn't hear him say a word to anyone else did you? So, what's with your statement, ' You want to argue with the guy who owns Rimping', clearly implying he said something you heard ?

Edited April 10, 2006 by Ajarn

[Maejo Man]

Can't speak for Rim Ping, but many new high-profile businesses in Chiang Mai fail because they neglect do any market research beforehand. Projects go straight from the concept stage to development.

A prime example is the trusty leader's local family "mega loss" with their venture into the mini shopping plaza that now stands empty just off the city square.

[Ulysses G.]

Can't speak for Rim Ping, but many new high-profile businesses in Chiang Mai fail because they neglect do any market research beforehand. Projects go straight from the concept stage to development.

A prime example is the trusty leader's local family "mega loss" with their venture into the mini shopping plaza that now stands empty just off the city square.

I don't have to do any market research to tell you that a nice movie theatre with bunch of prime fast food outlets would kick butt in that location.

[thebear]

the new Rimping Supermarket is experiencing heavy losses

I don't believe that for one minute, no matter what your 'very reliable source' says.

You want to argue with the guy who owns Rimping!

The owner of the Rimping never said a word to you, did he? And you didn't hear him say a word to anyone else did you? So, what's with your statement, ' You want to argue with the guy who owns Rimping', clearly implying he said something you heard ?

The owner of Rimping eats in my wife's establishment so no, he never said a word to me personally, my wife relayed their conversation on business in the area.

Why split hairs?

[Ajarn]

the new Rimping Supermarket is experiencing heavy losses

I don't believe that for one minute, no matter what your 'very reliable source' says.

You want to argue with the guy who owns Rimping!

The owner of the Rimping never said a word to you, did he? And you didn't hear him say a word to anyone else did you? So, what's with your statement, ' You want to argue with the guy who owns Rimping', clearly implying he said something you heard ?

The owner of Rimping eats in my wife's establishment so no, he never said a word to me personally, my wife relayed their conversation on business in the area.

Why split hairs?

If everyone in your scenario is being honest, then I apologize for questioning you.

But, frankly, I have my doubts about your story.

[Maejo Man]

I don't have to do any market research to tell you that a nice movie theatre with bunch of prime fast food outlets would kick butt in that location.

I was actually going to compliment you Georgie on an almost intelligent post.....but then I decided against it

[Ulysses G.]

I don't have to do any market research to tell you that a nice movie theatre with bunch of prime fast food outlets would kick butt in that location.

I was actually going to compliment you Georgie on an almost intelligent post.....but then I decided against it

Don't worry, I've never even been tempted to compliment one of your posts!

[jackr]

Rimping is ideally[ish] placed for me and it is more expensive (5 - 10%) than the others, even for normal items, to counter what someone else was saying. Doesn't bother me though as they have an excellent selection there, apart from pastries, it's easy to get around, without bumping into the normal Carrefour hordes, I always find the check-outs fast and efficient, unlike Carrefour with its 8-staffed, 30 unstaffed check-outs, and all personnel are pleasant. Tesco, Carrefour, Big C et al are fine for nappies and bin liners, but if you want to do some shopping, Rimping all the way

[rishi]

I don't have to do any market research to tell you that a nice movie theatre with bunch of prime fast food outlets would kick butt in that location.

Always wondered why there weren't any movie theaters, downtown. Is there a zoning law, or does Central have monopoly or something?

[Maejo Man]

Always wondered why there weren't any movie theaters, downtown. Is there a zoning law, or does Central have monopoly or something?

There used to be several around Chiangmai, but closed way back due to lack of patronage. One of the last to close was down Changklan road on the corner of Sridonchai.

They closed even before Central was open, so it wasn't competition.

[1bigeater56]

I love the new Rimping. Although it appears to be pricy it is probably only slightly more expensive than other similar markets. It does, however sell many more imported and therefore expensive items on its shelves.

I think the market is in a great spot and although it might be experiencing a bit of a slow down, after the initial opening, I'm sure that it will rebound.

As for the businesses around the new market, many will go in and out.

As for The Farang Cafe, promote it as much as you can, everywhere you can.

ThaiPauly is a great example of that in his promotion of his restaurant on this site, The Secret Garden.

[ThaiPauly]

.

ThaiPauly is a great example of that in his promotion of his restaurant on this site, The Secret Garden.

What has the above coment to do with the Rim Ping Supermarket?

Edited April 11, 2006 by ThaiPauly

[chuchok]

As for The Farang Cafe, promote it as much as you can, everywhere you can.

ThaiPauly is a great example of that in his promotion of his restaurant on this site, The Secret Garden.

A better example would be the promotion of The Dukes. Get a few of your mates to write in and go on how it's the sole reason why you came to Chiang Mai. The punters will flock in.

[SamSipEt]

As for The Farang Cafe, promote it as much as you can, everywhere you can.

ThaiPauly is a great example of that in his promotion of his restaurant on this site, The Secret Garden.

A better example would be the promotion of The Dukes. Get a few of your mates to write in and go on how it's the sole reason why you came to Chiang Mai. The punters will flock in.

Flood in more likely - the rains are a coming.