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<TABLE cellSpacing=0 cellPadding=0 width=452 border=0><TBODY><TR><TD vAlign=top width=452 colSpan=2>Published March 10, 2009
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>CHINATOWN
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Chinatown fights retail blues
Post-Chinese New Year, shops in the area are banking on discounts and promotions to woo crowds, reports LIEW AIQING
<TABLE class=storyLinks cellSpacing=4 cellPadding=1 width=136 align=right border=0><TBODY><TR class=font10><TD align=right width=20>
</TD><TD>Email this article</TD></TR><TR class=font10><TD align=right width=20>
</TD><TD>Print article </TD></TR><TR class=font10><TD align=right width=20>
</TD><TD>Feedback</TD></TR></TBODY></TABLE>LINES of freshly baked pastries tempt passer-bys, but not many are biting. And the scene at bakery Ho Kee Pau, at People's Park Centre, is played out all over Chinatown. 'Business has declined by 50 per cent since Chinese New Year ended,' said Ms Chui, a shop assistant at the store.
<TABLE class=picBoxL cellSpacing=2 width=100 align=left><TBODY><TR><TD>
</TD></TR><TR class=caption><TD></TD></TR></TBODY></TABLE>Chinese New Year has come and gone, and from the quaint little shops along the street to the big, air-conditioned malls, the realities of recession are hitting home at Chinatown.
At Trengganu Street, House of Zhen sells crafts like tea pots and snuff bottles. Xu Min, the lady boss of the shop, is clearly despondent, and could only bring herself to say that sales since Chinese New Year 'have not been very good'.
'There are fewer tourists in Chinatown these days,' she said. 'Those that come are less willing to fork out their cash compared to before. In the past they used to buy whatever they wanted on impulse. Now, they have to think twice before buying.'
The crowds did come to the streets of Chinatown this Chinese New Year. According to the Chinatown Business Association (CBA), the number of visitors to Chinatown was steady compared to last year, although their purchasing power was visibly weaker. It's even worse now, and many of the stores littered around Chinatown are struggling to find their footing post Chinese New Year.
<TABLE cellSpacing=0 cellPadding=5 align=left border=0><TBODY><TR><TD bgColor=#ffffff>[FONT=Geneva, Helvetica, Verdana, Arial, sans-serif]<!-- REPLACE EVERYTHING IN CAPITALS WITH YOUR OWN VALUES --><TABLE class=quoteBox cellSpacing=0 cellPadding=0 width=144 align=left border=0><TBODY><TR><TD vAlign=bottom>
</TD></TR><TR><TD bgColor=#fffff1><TABLE cellSpacing=0 cellPadding=0 width=124 align=center border=0><TBODY><TR><TD vAlign=top>'There are fewer tourists in Chinatown these days. Those that come are less willing to fork out their cash compared to before.'
</TD></TR><TR><TD vAlign=top>
</TD></TR></TBODY></TABLE></TD></TR></TBODY></TABLE>Even the big stores are not immune. According to an OG spokesman, OG People's Park has experienced a decline in sales compared to the same time last year and this downward trend looks set to continue.
'We currently make use of the 7 per cent GST savings scheme but people don't seem to be biting as sales have not improved much,' said the spokesman.
In the face of such adversity, small and big shops alike are utilising aggressive discounts and promotions to draw the crowds back to Chinatown. OG, for example, is looking to boost its revenue by conducting a storewide sale.
Smaller shops are also using pricing strategies to attract consumers. At House of Zhen, many of the crafts are going at a 15 per cent discount while Ho Kee Pau has a 'buy four get one free' dim sum promotion.
Some shops are doing better than others. A check of two medical halls revealed that the economic crisis has not had a large impact on sales yet. Both are working keenly to stay that way.
Chow Khai Cheng, director of Teck Yin Soon Medical Hall's Temple Street branch, is planning to 'keep prices reasonable' in order to keep regulars coming and the tills ringing.
Chang Bai Shan Medical Hall also hopes to tap on its regular clientele to tide through the economic storm. They hope to continue building customer loyalty using competitive pricing - many of their items are being sold close to wholesale prices.
Lotus seeds are going for $2 a kg while 100g of ginseng costs $5 at the store - these prices are purportedly 50 per cent lower than the average market price, according to a shop assistant.
However, cheaper goods might not be enough to win customers over. Chinatown also suffers from an image problem. 'If I need to find something with guaranteed quality within a short time, I will still choose to shop in the Orchard Road area,' said Chen Liju, a resident of Chinatown herself.
'Discounts and promotions do not attract me as much as better quality and I feel Chinatown should bank on improving the quality of their goods while maintaining reasonable prices,' she said.
Feeling helpless against the relentless economic storm, many shop owners are turning to the CBA for solutions.
'We are currently looking into ways to reduce the costs of doing business for the vendors. At the same time, we are also working with the Singapore Tourism Board to plan and organise events to attract locals and tourists from neighbouring countries to come to Chinatown' said Victor Ong, general manager of the CBA.
Mr Ong is optimistic about Chinatown's future even in the face of a protracted economic downturn.
'As most of the merchandise and food offered by the shops, hawkers and restaurants are reasonably priced, we are hopeful that more locals will be attracted to come to Chinatown to allow their dollar to be stretched further.'
[/FONT]</TD></TR></TBODY></TABLE>
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>CHINATOWN
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Chinatown fights retail blues
Post-Chinese New Year, shops in the area are banking on discounts and promotions to woo crowds, reports LIEW AIQING
<TABLE class=storyLinks cellSpacing=4 cellPadding=1 width=136 align=right border=0><TBODY><TR class=font10><TD align=right width=20>
</TD><TD>Email this article</TD></TR><TR class=font10><TD align=right width=20></TD><TD>Print article </TD></TR><TR class=font10><TD align=right width=20></TD><TD>Feedback</TD></TR></TBODY></TABLE>LINES of freshly baked pastries tempt passer-bys, but not many are biting. And the scene at bakery Ho Kee Pau, at People's Park Centre, is played out all over Chinatown. 'Business has declined by 50 per cent since Chinese New Year ended,' said Ms Chui, a shop assistant at the store.<TABLE class=picBoxL cellSpacing=2 width=100 align=left><TBODY><TR><TD>
</TD></TR><TR class=caption><TD></TD></TR></TBODY></TABLE>Chinese New Year has come and gone, and from the quaint little shops along the street to the big, air-conditioned malls, the realities of recession are hitting home at Chinatown.At Trengganu Street, House of Zhen sells crafts like tea pots and snuff bottles. Xu Min, the lady boss of the shop, is clearly despondent, and could only bring herself to say that sales since Chinese New Year 'have not been very good'.
'There are fewer tourists in Chinatown these days,' she said. 'Those that come are less willing to fork out their cash compared to before. In the past they used to buy whatever they wanted on impulse. Now, they have to think twice before buying.'
The crowds did come to the streets of Chinatown this Chinese New Year. According to the Chinatown Business Association (CBA), the number of visitors to Chinatown was steady compared to last year, although their purchasing power was visibly weaker. It's even worse now, and many of the stores littered around Chinatown are struggling to find their footing post Chinese New Year.
<TABLE cellSpacing=0 cellPadding=5 align=left border=0><TBODY><TR><TD bgColor=#ffffff>[FONT=Geneva, Helvetica, Verdana, Arial, sans-serif]<!-- REPLACE EVERYTHING IN CAPITALS WITH YOUR OWN VALUES --><TABLE class=quoteBox cellSpacing=0 cellPadding=0 width=144 align=left border=0><TBODY><TR><TD vAlign=bottom>
</TD></TR><TR><TD vAlign=top>
- Xu Min,
</TD></TR><TR><TD vAlign=top>boss of House of Zhen which sells crafts like tea pots and snuff bottles
</TD></TR></TBODY></TABLE></TD></TR><TR><TD height=39>
'We currently make use of the 7 per cent GST savings scheme but people don't seem to be biting as sales have not improved much,' said the spokesman.
In the face of such adversity, small and big shops alike are utilising aggressive discounts and promotions to draw the crowds back to Chinatown. OG, for example, is looking to boost its revenue by conducting a storewide sale.
Smaller shops are also using pricing strategies to attract consumers. At House of Zhen, many of the crafts are going at a 15 per cent discount while Ho Kee Pau has a 'buy four get one free' dim sum promotion.
Some shops are doing better than others. A check of two medical halls revealed that the economic crisis has not had a large impact on sales yet. Both are working keenly to stay that way.
Chow Khai Cheng, director of Teck Yin Soon Medical Hall's Temple Street branch, is planning to 'keep prices reasonable' in order to keep regulars coming and the tills ringing.
Chang Bai Shan Medical Hall also hopes to tap on its regular clientele to tide through the economic storm. They hope to continue building customer loyalty using competitive pricing - many of their items are being sold close to wholesale prices.
Lotus seeds are going for $2 a kg while 100g of ginseng costs $5 at the store - these prices are purportedly 50 per cent lower than the average market price, according to a shop assistant.
However, cheaper goods might not be enough to win customers over. Chinatown also suffers from an image problem. 'If I need to find something with guaranteed quality within a short time, I will still choose to shop in the Orchard Road area,' said Chen Liju, a resident of Chinatown herself.
'Discounts and promotions do not attract me as much as better quality and I feel Chinatown should bank on improving the quality of their goods while maintaining reasonable prices,' she said.
Feeling helpless against the relentless economic storm, many shop owners are turning to the CBA for solutions.
'We are currently looking into ways to reduce the costs of doing business for the vendors. At the same time, we are also working with the Singapore Tourism Board to plan and organise events to attract locals and tourists from neighbouring countries to come to Chinatown' said Victor Ong, general manager of the CBA.
Mr Ong is optimistic about Chinatown's future even in the face of a protracted economic downturn.
'As most of the merchandise and food offered by the shops, hawkers and restaurants are reasonably priced, we are hopeful that more locals will be attracted to come to Chinatown to allow their dollar to be stretched further.'
[/FONT]</TD></TR></TBODY></TABLE>
