Harian Shoes opens more Jukebox outlets


  • Business
  • Monday, 17 May 2004

BY PANG HONG YEE

FOOTWEAR retail franchiser Harian Shoes Sdn Bhd aims to step up the number of its Jukebox outlets to 50 from the current 28 by 2008,.  

Marketing manager Anson Leow Yew Seang said all Jukebox outlets were presently located in the Klang Valley except for four in Negri Sembilan, where the company planned to open two more this year. 

“With the additional outlets to be opened this year, Jukebox hopes to sell 3,500 to 3,800 pairs of shoes a day this year,” he told StarBiz. 

Last year, the company recorded revenue of RM20mil and average sales were 3,000 pairs a day.  

Anson Leow Yew Seang

Leow said it was seriously looking at the overseas markets. “We have done preliminary surveys in Thailand, Indonesia, the Philippines and Australia,” he said.  

Jukebox's edge lies in its effective cost pricing and variety. Prices range from RM5 to RM79. Even with this pricing, Jukebox could maintain a profit margin of 25%, he said.  

“We have the ability to offer very affordable shoes because a big portion of our products are manufactured in markets with cheaper labour cost, for example in Indonesia, Thailand and China,” said Leow. 

Currently, about 40% of the shoes are made overseas while the rest are manufactured in Ipoh. 

Harian Shoes comes up with 200 to 250 new designs each month.  

At present, he said, 70% of its revenue came from the Malay consumer segment. About 10% to 20% was from the Chinese market, he added. 

Although the market is now saturated with players, Leow is not too worried. 

He feels that Jukebox has an edge because of its pricing and understanding of the local retail market. 

Some shoes sold by Jukebox

Recently, Jukebox Shoes, which is also the first retail footwear franchise in Malaysia, signed four franchised agreements and two memoranda of understanding with six franchisees with outlets in Sentul, Jalan Ipoh, SS2, Puchong, Bukit Bintang and Ampang. 

The Jukebox franchise fee is RM30,000 for five years. Under the scheme, Harian Shoes will take care of all the operational matters, including stocks, purchases, accounting and marketing. 

“They are the first batch of franchisees this year, and we expect to have five more by the end of the year,” said Leow.  

An airtist's impression of how a Jukebox shoes store layout looks like.

Harian Shoes was established by Leow Chow Ngee (Anson's father) in 1977 to operate a shopping emporium in Petaling Street, Kuala Lumpur. In the early 80s, Harian Shoes entered the footwear business. Under Leow's leadership, Harian Shoes developed its retail, wholesale, export and import expertise. 

In 1998, Harian Shoes expanded into the retail footwear business. The first outlet carrying The Jukebox Shoes name was opened in 1999. 

The company was nominated for the SMI Recognition Award last year. 

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