Thailand’s upscale supermarket chain Gourmet Market will increase its store count to 14 by 2015, from just four currently.

The Mall Group, which owns Gourmet Market, plans to invest 400 million baht (US$12.94 million) to open the 10 new stores within three years. Each store will have an average size of 2000 sqm and will be installed at housing projects, neighbourhood stores and shopping malls. 

Such expansion should enable the company to buy bigger volumes fo stock and thus receive better trading terms from suppliers.

”The move will help us increase cost efficiency by economies of scale,” said Phaibul Kanokvatanawan, senior EVP, The Mall Group.

The company predicts that each store will achieve monthly sales of 20 to 30 million baht (US$647,040 to US$970,560). 

The Mall Group’s portfolio includes The Mall, Siam Paragon and Emporium. It opened the first Gourmet Market in 1997 at Emporium.

The other three Gourmet Market stores are located in Siam Paragon, K Village (a lifestyle mall in Sukhumvit Soi 26) and at Terminal 21 (a mixed-use complex at Asoke intersection).

“The business is doing well and we’re now ready to actively expand our gourmet business as an anchor for other retail projects located mainly in Bangkok,” Phaibul said.

Gourmet Market will open a 1900 sqm store at The Promenade shopping mall next month.

Supermarket and Gourmet Market make up 27 per cent of The Mall Group’s total sales.

GB