EVOLVING CUSTOMER EXPECTATIONS
In a separate regulatory filing on Monday, Metro group CEO Yip Hoong Mun cited the “challenging operating environment” and today’s “fundamentally different” consumer expectations as reasons for the retail strategy overhaul.
“Our refreshed retail strategy is designed to meet customers’ evolving expectations while having greater flexibility to introduce new concepts, brands and partnerships,” he said.
Metro chairman Tan Soo Khoon also noted that the retail landscape was transforming and it was important for the company to “evolve alongside it”.
“Following a comprehensive review, the board believes this strategic repositioning will better position Metro for long-term sustainable growth by creating a more agile retail platform that can adapt to changing consumer expectations and capture new opportunities.”
The company is assessing the financial implications of the transition and said it is not yet able to quantify the full impact on earnings.
However, the board said it does not expect the move to have a material effect on the group’s consolidated net tangible assets or earnings per share for the financial year ending Mar 31, 2027. Shares of Metro had closed at S$0.46 on Monday.
It will also continue pursuing opportunities through Grand Brands Asia, its brand management joint venture that focuses on international retail brands and immersive concept stores.
Metro said it will provide further updates when there are material developments relating to the implementation of its new retail strategy.
The homegrown operator closed its six-storey flagship store at The Centrepoint in 2019, while it also previously ran outlets in City Square and Compass Point in Sengkang.