Saturday October 25, 2003
Senheng to open new concept storesBY HONG BOON HOW
LEADING electrical and digital consumer goods retail outlet operator Senheng Electric (KL) Sdn Bhd will invest RM25mil to open 10 new concept electrical megastores nationwide in three years.
Senheng managing director Lim Kim Heng said the new concept megastores would carry the SenQ name, and each have a floor space of 20,000 sq ft, about 10 times the size of the company's present outlets.
Lim Kim Heng
We will open one SenQ megastore each in Kuala Lumpur and Johor Baru by the end of the year, he told StarBiz in Kuala Lumpur on Wednesday.
The first megastore, costing RM2.5mil, will be located in South City Plaza, near Seri Kembangan.
Lim said the name SenQ was chosen as it meant that customers would be able to sense the company's quality products.
Besides, we wanted to have a good name which will help us expand our business internationally some day, he said, adding that the company's present retail outlets using the Senheng label sounded too Chinese.
Senheng will offer quality and latest products from reputable electrical and electronic goods suppliers in its new megastores.
Senheng has 60 outlets nationwide, of which six have been franchised to long-serving employees.
Our decision to venture into the megastore concept is to put our business above the competition and create a new shopping experience for consumers of electrical and digital products, Lim said.
Senheng started business dealing in consumer electrical items and has since ventured into office automation products, digital imaging and telecommunications devices.
Lim said its concept of its current electrical store outlets was already being copied by its competitors.
We feel that to beat our competitors, we need to leverage our organisational experience and strength, he said, adding that Senheng had gained vast experience from its 14 years of operations.
He said the megastore concept was envisioned from his observations of retail outlets during his travels in Australia, the US, Canada, Taiwan and Thailand.
Lim said 70% of Senheng's customers were from the 21-40 age group who wanted to touch, feel and test the products before making a purchase.
Consumers are more sophisticated now and do not want to look at static displays or test dummy sets, he said.
Lim also said that Senheng gave its customers an additional one-year product warranty above the manufacturers' original warranty.
He said Senheng would ensure that all products that had failed while still under warranty would be repaired or replaced within 14 days.
Senheng has 177,000 members under its loyalty programme. Of the total, 6,000 are Gold Card members.
The company has a staff force of 570 and is looking to post a turnover of RM220mil this year.