Retail value of Jakarta's malls, stores

Retail value of Jakarta's malls, stores

By Bruce Emond

Jakarta, not surprisingly for an archipelagic country whose
diverse peoples were united mainly by long-standing trade ties,
remains a center for the retail trade.

Its position has changed little even with the economic crisis,
which dimmed sales somewhat, and the 1998 riots, when all and
sundry helped themselves to the goodies in Jakarta's stores in
the name of frustration and reformasi.

Still, the malls and markets survive; those which did not have
their own battalion of soldiers to keep them safe from the hordes
("the retail regiment" perchance?) have been rebuilt and
renovated. Even poor Ramayana, the chain of department stores
which was particularly hard hit by looting and vandalism, is
reopening those very same stores.

Amid the overreaching shadow of the country's mega malls and
shopping plazas, the minions of the retail trade still carve out
a giant role. Hero and other shops may be increasingly important
for a once-a-week major stocking up for Jakarta's well-heeled,
but most Indonesians still find their daily needs at the city's
traditional markets.

It also provides a rich social experience. An expatriate
acquaintance relates with gusto the joy of venturing out into the
pasar for the "fun" of bargaining over cuts of meat and bunches
of fruit. He enjoys being in the thick of things, bantering with
the vendors and rubbing shoulders with other market visitors.

Jakarta can be a shopper's paradise for bargains or, if you
are part of the latter-day Marie Antoinettes of Indonesian
society, the ideal air-conditioned place to totter around in your
Manolo Blahniks on a daily sojourn to that choice world accessed
by charge cards.

Jakartans with lots of the green stuff can taste all the
retail delights on offer. Here is a brief summary of some of the
shopping malls in the city:

Sarinah Thamrin: The daddy of Jakarta shopping malls, it was
opened by Sukarno in 1962. It must have been really something way
back when, but now it has been eclipsed in the glamor department
by the newer crop of malls dotting the city. Its winning point
remains its very "Indonesian" feel, from the extensive range of
traditional handicrafts, from batik to Irianese wooden statues,
on its middle floors, to the traditional food court in the
basement. The latter serves up dishes from around the country but
in relatively hygienic surroundings.

Blok M Mall: Another shopping mall which was really the center
of activities in the 1980s. I can remember as a high school
exchange student visiting Jakarta and being dazzled by the plush
surroundings of Blok M Mall (there was no comparison in Padang,
West Sumatra). It still has some interesting stores and
restaurants but it can get crowded on weekends, especially the
two top floors near the movie theater.

Pasar Raya: A short distance down Jl. Melawai, Pasar Raya
certainly lives up to its title of "Big and Beautiful", it boasts
a sprawling food court in the basement and a huge Indonesia
handicraft section to rival that of Sarinah Thamrin. Also of
interest is its floor showcasing the best of Indonesia's modern
fashion designers -- they are designer goods but at relatively
affordable prices.

Plaza Indonesia: The mall which in the early 1990s ushered in
the wave of gigantic shopping malls. Cavernous and teeming with
brand-name stores, shoppers can spend billions of rupiah just
window shopping. Its center piece, literally, is an atrium
restaurant (the plaza is adjacent to the Grand Hyatt), and its
Sogo department store (there is also a Sogo at Kelapa Gading
Mall). Also for the picking are numerous restaurants, from small
coffee shops to fast food outlets to the food court.

Pondok Indah Mall: Befitting the upmarket suburb of the same
name, the mall is filled with shops and restaurants. It also
boasts Dermaga Food Court, a new food court to tempt the taste
buds, and the first Kidz Station, a store promising a
"revolution" in children's retailing. The store offers a wide
range of products for the little ones, plus entertainment to keep
them chuckling. It also does a little good for the less fortunate
among us by donating funds to support the education of children
from low-income families.

Plaza Senayan: An elegant, attractive retail space which, not
incidentally, is air-conditioned to the hilt and can be a welcome
refuge from Jakarta's heat. The major names in consumerism, from
Louis Vuitton to Versace to Prada, have outlets in the building.
A food court, of course, graces its top floor.

Citraland: The bigger the better became the philosophy of
shopping mall construction companies in the 1990s. Citraland is
another vast homage to what a fat pocketbook can buy you. Perhaps
too much for one visit but even its vast expanse is dwarfed by
some of the malls which followed. And not for those who hate the
sight of crowds.

Taman Anggrek: So colossal, so full of swarms of humanity that
it is positively intimidating. Everything you may be looking for
is available, from household goods to designer accessories to a
huge CD emporium, but the problem is finding it on the maze of
floors which seem to spiral up to the sky. There is even an ice-
skating rink on the top floor for those of us who fancy ourselves
as Jakarta's answer to Katarina Witt. Could it be any bigger or,
more to the point, does any mall need to be the size of a small
town?

Mega Mall: No, not an homage to the people's choice for
president, this mall's name heralds its size. Again, you can shop
to your heart's desire but you may need a road map to get around.

Away from the madding crowds of the malls, you may be seeking
a quieter place to do your weekly shop.

Among those offering a more low-key shopping adventure is the
Pantry, a gourmet store with outlets in six apartments.

It is planning to open a wine cellar in its Kempinski
supermarket, which may be the answer to Jakarta wine
connoisseurs' prayers.

Although they have been roundly accused of dumping by
Indonesian retailers, and have denied the charge, hypermarkets
are setting up shop in Indonesia.

Property consultant Procon Indah/Jones Lang Lasalle notes that
the foreign hypermarkets are making a concerted push into
Indonesia.

"Two foreign hypermarket retailers aggressively seeking new
opportunities to penetrate the market are Continent and
Carrefour," it says in its Indonesian Property Brief. "Within one
year since the opening of its first outlet in October last year,
Continent has opened two more outlets. The latest opening on July
15 is located in the Mega IT Cempaka Mas. The fourth outlet is
expected to open in December in the newly refurbished Ratu Plaza.

"Carrefour has just opened its second outlet in the newly
refurbished Duta Merlin on Aug. 24."

The property consultant noted that the inquiries it received
"increased by 50 percent in the second quarter. Post-general
election, they are showing more serious interest than those prior
to the election. Most of the inquiries come from new retailers,
both foreign and local, from fashion, accessories and food
business lines."

A recent upturn in the retail business is also shown by plans
to refurbish outlets damaged in the May riots. Renovation work
has begun on Slipi Plaza, which was gutted during the unrest,
with plans for the same for Plaza Glodok.

Also newly refurbished is Lippo Karawaci. The food court was
reopened last year, with the remaining part of the ground floor
to reopened shortly to accommodate Mega M, Gramedia and specialty
shops.