Giant Closes Permanently; Expert Forecasts HERO Group Future Prospect

Translator:

Ricky Mohammad Nugraha

Editor:

Petir Garda Bhwana

2 August 2021 12:24 WIB

A motorist passes in front of the Giant Ekstra Supermarket in Kreo, Tangerang, Sunday, August 1, 2021. PT Hero Supermarket Tbk will focus more on developing other brand outlets. ANTARA/Rivan Awal Lingga

Jakarta - Retail business observer and the Indonesian Shopping Center Tenants Association (Hippindo) expert staff, Yongky Susilo, on Sunday said the decision to permanently close Giant outlets does not reflect business prospects of HERO Group.

Susilo argues otherwise and said the group has a bright prospect for the future due to a strong brand presence to compete for market shares and business growth in the future, Bisnis.com reported.

“Indonesia’s economy will grow along with growing buying power,” said Yongky on August 1. “HERO has a premium and fresh positioning and is eyeing the middle to upper class. So there are major opportunities for the future decade.”

As of Sunday, PT Hero Supermarket (HERO) officially closed the operations of Giant, a supermarket brand that has spent 19 years operating in Indonesia. This business closure is followed by the changes of business focuses in other lines of business in IKEA, Guardian, and Hero Supermarket.

He claims that the company can capture this opportunity by adapting to consumers’ trends and innovate accordingly to the current global and domestic dynamics. “The supermarket format is reviving due to modern society’s focus on ease of accessibility of outlets located near their homes.”

Read: Govt Warns Retailers about Store Closing Sales or Discounts