Can Do Thailand eyes 100-strong chain of ¥100 stores
With unexpectedly strong demand at its seven outlets, Can Do Thailand plans to expand to as many as 100 shops by 2020.
After only two years in Thailand, the Japanese ¥100 shop group is expecting 5 to 10 per cent growth there this year.
“Once we are ready to start franchising, the number of Can Do shops will dramatically increase,” says MD Arak Suksawat of East Coast Furnitech (ECF), the sole franchisee of Can Do shops in Thailand.
ECF is preparing to open a flagship store as a model for franchise administration. It predicts it will own up to 40 outlets, with the balance to open as franchises.
“The Thai market is quite independent and growing very fast,” says Arak. “The numbers of brands and stores are rising quickly because of the growing population and economy.”
Thailand’s “dollar store” market, valued at 1.2 billion to 1.3 billion baht (US$35 million to $38 million), is dominated by Japan’s Daiso Industries, which has been in the market for more than a decade with more than 80 outlets.
“Japanese ¥100 shops suit Thai consumers well because they prefer fast service and unique goods with modern designs,” Arak says.
He says ECF will open five stores in densely populated neighbourhoods this year, building brand awareness through an online sales platform.
Can Do shops sell 6000 to 7000 items with standard prices of 60 baht apiece, with Japanese products accounting for 90 per cent with the rest being locally made household products.