The soon-to-open Lotte Shopping Avenue in Jakarta is targeting to hit $100 million in retail sales by its third year amid immense buying power from middle class consumers, the director said on Thursday.
Suh Chang Suk, president director of Lotte Shopping Avenue, said Korean-based retail company Lotte Group had set its eyes on opening a mall in Indonesia for 10 years because of the country’s robust consumer sector.
“We have conducted research since 10 years ago. Indonesia has a big population, enormous natural resources and high potential compared to other countries. Indonesia has many qualifications in the retail sector,” he said on Thursday.
“We target in the first year we can get $6 million sales and it could be $100 million in the third year.”
The mall will target the upper middle class with retailers like Lotte Duty Free, Uniqlo, Hide Yamamoto and Korea-based Seri Salon.
Lotte Shopping Avenue will have its grand opening on June 22 in the Ciputra World Superblock in Kuningan, South Jakarta.
With investment of up to $100 million, Indonesia’s Lotte Shopping Avenue is the first mall the company has opened in Southeast Asia.
Okezone.com reported that Lotte plans to invest up to $500 million in Indonesia by 2018. The investment will include five new malls in big cities like Jakarta, Surabaya and Medan.
Suh said the company will hire roughly 10,000 employees by 2018.
Lotte Shopping Avenue will occupy 77,000 square meters with seven floors of stores. The mall will also have WiFi and a concert hall.(Jakarta Globe)