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Mega M sells cheap, high quality goods

Mega M sells cheap, high quality goods

By Wahyudi M. Pratopo

JAKARTA (JP): People do not need to go to a bird market for a
bird cage any more -- a newly-opened department store has
anything you could possibly want.

Mega M at the Lippo Supermall in Karawaci, 20 km west of
Jakarta is introducing a new concept to the retail business by
providing all kinds of goods. The mall opened on Wednesday
catering to customers who demand high quality goods at reasonable
prices.

Representing an investment of Rp 40 billion (US$18.2 million),
Mega M, which stand on a 18,000 square meters of land is the
biggest of the 69 department stores managed by PT Matahari Putra
Prima through the country.

Mega M Director Hendrawan said that "very reasonable prices"
are the specialty of the department store.

He guaranteed that customers would have to admit that the
prices at Mega M are the lowest in Indonesia.

"Customers can check the prices of goods they buy from us
against prices in other department stores. And if they find that
the goods are cheaper outside they can complain to us within 30
days after the purchase. We will give the buyers the difference,"
Hendrawan said.

"People need not wait for sales to buy something from us since
we offer prices ten percent lower than those at other stores," he
said.

He said the department store had a "one stop shopping"
concept, so that people need not go anywhere else. "We have
150,000 items available here."

Fast and good service to customers is the motto of the
department store, which employs 650 people. Using scanner
machines, the cashiers at Mega M need not punch in the prices of
goods, Hendrawan said.

The three-floor department store is divided into five
divisions; Megamart, Megawear, Megakids, Megalife and Megahome.

Megamart on the first floor provides for daily needs,
including foods, beverages, vegetables and fruit.

Located on the second floor, Megawear and Megakids provide
clothes and children needs, including toys.

Equipment

Megalife on the third floor provides sports equipment. Those
who love fishing and camping and other outdoor activities can
find fishing, camping and other equipment at Megalife.
"Bird lovers can get bird cages here," he said.

Megahome, also on the third floor, provides household
appliances, including kitchen utensils.

Hendrawan said that the megamall is targeting Rp 7.5 billion
($3.4 million) in monthly income.

He said some four million people around Karawaci, some areas
in West Jakarta, South Jakarta and Central Jakarta
are potential customers.

Since its soft opening on Nov. 25, public response to the new
department store has been satisfactory, he said.

"At least 6,000 people visited the store on the first day and
some 12,000 on the second day," he added.

The director said that Mega M is ready to compete with other
retail stores in the Lippo Supermall, including Wal Mart and JC
Penney. "We have prepared a strategy to compete with other
stores," he said, but declined to elaborate on the strategy.

Several companies have opened shops at the Lippo Supermall,
including JC Penney, Wal Mart, Kerry Leisure, Gramedia bookstore,
Melawai optic and OB Furniture.

Food shops such as McDonald's, Wendy's, Dunkin' Donuts, Subway
and Kentucky Fried Chicken have also opened at the shopping mall.

Lippo Group companies, together with foreign investors from
Singapore and Holland, have invested Rp 250 billion ($ 120
million) in constructing the 22,000-square-meter shopping mall.

More than 10,000 people will be hired in the Lippo Supermall,
according to James T Riady, Vice Director of Lippo Group.

The Lippo Supermall will decrease the concentration of
shopping areas in Jakarta, he said.

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