Mom and pop stores are the ancestors of the retail industry, they existed more than 200 years ago and they still play an important role in the retail ecosystem today. Mom and pop stores…
A department store is a large retail establishment that offers a wide range of consumer goods, including clothing, cosmetics, housewares, furniture, and appliances. Often, these stores are organized into separate departments with specialized staff to assist customers in finding what they need.
Department stores typically offer a higher-end shopping experience, with a focus on quality, luxury, and customer service. They often carry designer brands and may offer personal shopping services, gift wrapping, and other amenities. Some department stores may also feature restaurants, cafes, or other food services.
5 Popular Department Stores in Malaysia
With Singapore’s Tangs and Robinsons both existed Malaysia’s market in 2020, there are not many department stores left in Malaysia. While there are 12 hypermarkets in Malaysia that offer a wide variety of merchandise, only AEON offers a true department store shopping experience.
Here are the 5 popular department stores in Malaysia. If you wish to sell your products via department stores, read on to find out what is the sales margin department stores usually charge.
Parkson is a Malaysian department store operator that was founded in 1987. The company operates a chain of mid to high-end department stores in Malaysia, as well as in China, Vietnam, and Indonesia. As of 2023, there are 38 Parkson stores in Malaysia.
Founded in 1886 in Tokyo, Isetan is known for its high-quality merchandise and luxury brands, The first Isetan department store was opened in Lot 10 Shopping Complex in 1990, and there are 3 Isetan outlets in Malaysia at the moment.
With the first store opened in 1974, Metojaya is one of the earliest department store chains established in Malaysia. Known for offering a wide variety of products and its commitment to promoting local designers and brands, there are 8 Metrojaya stores in Malaysia as of 2023.
SOGO is a Japanese-owned department store chain that has been operating in Malaysia since 1994. At the time of writing, there are 3 SOGO outlets in Malaysia, offering a variety of products from local and international brands.
Known fondly as JAYA JUSCO by Malaysians since the launch of its first store in 1985, JUSCO is rebranded to AEON in 2012. As of 2023, there are 34 AEON Stores and 28 AEON Malls in Malaysia.
What is the sales margin department stores usually charge?
The sales margin that department stores charge can vary widely depending on the product category and other factors such as brand exclusivity and competition in the market.
Generally, department stores charge a higher sales margin than supermarkets or hypermarkets due to their higher operating costs such as rent and staff salaries. Here are some examples of sales margins for various product categories in department stores:
- Clothing & Apparel: Sales margins can range from 40-70%, depending on the brand and exclusivity.
- Beauty & Cosmetics: Sales margins can range from 50-70%, again depending on the brand and exclusivity.
- Home Decor & Furnishings: Sales margins can range from 30-60%, with higher margins for more exclusive or designer brands.
- Electronics & Appliances: Sales margins can range from 10-30%, with lower margins due to high competition and price sensitivity in this category.
It’s important to note that these figures are just rough estimates and actual sales margins can vary widely depending on the specific department store, product category, and market conditions.