Japanese retailer AEON is set to expand its presence in Cambodia further next year. Since introducing their first shopping mall back in 2014, Aeon opened its first grocery store late in 2015 and has plans to expand to 30 stores in the next three years.
The latest retailer announcement is a second mall to open next year with 70,500 sqm retail space.
Can AEON dictate mall development in Cambodia?
Modern trade in Cambodia is still highly fragmented, but with rising young middle-class population and increasing consumer demand, many foreign retailers are piloting operations on a small-scale to understand the market. AEON is well-known for developing shopping malls, and with steady sales growth at its first mall, a second mall will capture and provide further opportunities to link-up with international brands looking to enter the market.
AEON's first mall set a standard and expectation for other operators in the industry. Should their second mall show further growth in sales and demand, the retailer will have even more reason to speed-up their grocery expansion plans to monopolise the market.