MBK, the operator of MBK mall, is getting a big overhaul, vowing to splurge more than 1 billion baht to reposition its shopping complex to lure more Thai teenagers and workers in lieu of foreign shoppers.
Somphol Tripopnart, the company's managing director of shopping centre business, said this is the biggest makeover since MBK was established 36 years ago.
"After the outbreak, the number of visitors at our mall fell to 30,000-48,000 per day from as many as 120,000 per day last year," said Mr Somphol. "The number of foreign shoppers is almost zero. We have to reposition our shopping complex to draw more Thais."
He said most of the budget will be spent to make over 80,000 square metres of the complex's retail space to be attractive to teenagers, the younger generation, school and university students as well as working people in the area.
The renovation started in the third quarter this year and is expected to be completed in 2022.
After the renovation, more food outlets will be opened spanning 2,000 sq m on the first and second floors, while apparel stores will be moved to zones with less space because of relatively low demand. More food stores will open on the second floor, which links to a skytrain station. Tim Horton's Coffee, a famous Canadian chain, is slated for this floor, said Mr Somphol.
Tokyu Department Store will also be renovated in the near future after the lease agreement is extended for another nine years.
The third floor will still feature fashion, gold shops and souvenir shops, with 500 sq m added for seasonal agricultural products from Thai farmers, while the fourth floor is for mobile phones and banking services.
"We will turn the fifth floor into a learning hub with 19 famous tutorial centres. With this scheme, we expect to attract 1,500 visitors to our complex per day," he said. "The company also provides co-working and office space on the sixth floor."
After the renovation is complete, space allocated to food and beverage will rise to 22% from 20%.
Banks and new services will rise to 19% from 9%, with entertainment increasing to 17% from 16%. The portion of fashion space will decline to 15% from 21%, with beauty down to 7% of space from 9%. The area for mobile, gold, furniture and souvenir shops will remain the same.
By pursuing these strategies, the company expects visitor numbers to MBK to reach at least 80,000 per day in the last quarter of 2021.
The composition of MBK customers in 2022 is projected to be an even split between Thais and foreign shoppers, compared with 30:70 before the outbreak.
Customers were mainly from Indonesia, India, Muslim countries, Germany and China, said Mr Somphol.
Foreign shoppers stay about one day at MBK spending 4,000 baht per head on average, compared with 2,000 baht per visit for Thais.