Watsons Thailand, a subsidiary of the world's largest international health and beauty retailer, expects beauty products to survive the stagnant economy.
"The global economy has entered a low-growth phase. Customers are becoming more careful with their spending," said Pasitt Munkongkuntivong, managing director of Watsons Thailand.
Non-essential goods such as fashion goods will be affected by this downturn first, Mr Pasitt said. However, he forecasts the health and beauty sector to remain resilient.
Nuanphan Jayanama, chief operating officer of Watsons Thailand, said the country's health and beauty product market has high growth potential as people have become more concerned about their health and well-being.
As of April 2024, the population of Thailand stood at 66 million, according to the National Economic and Social Development Council.
As the population and people's disposable income are both expanding, the growth in value of Thailand's health and beauty market is increasing, said Ms Nuanphan.
Mr Pasitt said the company is planning to open 50 new stores, which would be located in hypermarkets, shopping malls, or community malls. Of the 50 new outlets planned, 10 would be standalone stores, he noted.
"Over the past five years, the company has opened around 50 new stores per year," he said.
The company has a presence in all 77 provinces nationwide, with 95% located in either shopping malls, community malls or hypermarkets.
The opening of these new stores is scheduled to take place in this year's second quarter. Moreover, the company plans to renovate 80 existing stores this year.
With the aim of achieving double- digit growth in sales this year, the company will continue to focus on improving the customer experience through both an online and offline strategy, with promotional campaigns rolled out on both platforms, said Mr Pasitt.