Bangkok landmark Siam Paragon invests US$88.6m in a massive transformation
Siam Paragon
February 15, 2023
Siam Paragon has launched a transformation project aimed at redefining itself as a ‘global landmark in the heart of Bangkok’.
In a US$88.6 million (THB3 billion) project dubbed The Next Level Evolution that commenced late last year, the 500,000sqm retail destination will be substantially upgraded in a transformation the company says will “seamlessly bridge the physical world, the digital world, and the metaverse to present the incredible and exciting lifestyles of the future”.
The project began with a progressive upgrade of the Paragon Department Store late last year and is on track to be completed by mid-next year, taking 18 months.
Siam Paragon’s investment plan will enable it to meet what it describes as surging demand from luxury brands and other labels new to Thailand, more than 100 of which are currently on a waiting list to open in the centre. Newcomers will include brands making their debut in Thailand and others that will be available exclusively at Siam Paragon.
Caroline Murphy, president – sales and business relations with Siam Piwat Co, (pictured above right) says Siam Paragon has established itself as a global destination during the 17 years since it first opened, earning a “top-of-mind position among Thais and international visitors alike”.
“As a vital part of Bangkok’s DNA, Siam Paragon has been meshed into every heartbeat of the metropolis and has breathed vibrancy into the daily life of people in Bangkok. It is also the ultimate microcosm where visitors from across the globe can come and experience the latest lifestyle trends of Bangkokians.”
Last year, Siam Paragon not only exceeded its revenue target but achieved growth of more than 50 per cent year on year, surpassing even the pre-Covid figures from 2019, despite the limited presence of international tourists, says Murphy.
“The leap in sales was driven primarily by the luxury segment, which reported soaring profits and three consecutive years of world-class performance. This success has led luxury brands to prioritise Thailand as their key target in Southeast Asia and Asia for launching special concept stores or unveiling their latest collections, thus boosting demand for space for additional store locations.
“Siam Paragon has been a platform for retailers, including luxury brands and local entrepreneurs, to showcase the best of the best.”
Murphy says the “phenomenal reception of luxury goods” at Siam Paragon helped it achieve the world’s highest growth in luxury sales.
“In addition, many brands have opened pop-up stores in our venue to offer limited collections, thus generating buzz and experience beyond expectations for customers, reinforcing Siam Paragon’s leadership in the affluent customer segment in Thailand.”
Murphy says the transformation will “redefine luxury for all,” regardless of age, gender, or background, across every sphere, from fashion, lifestyle, dining, and travel through to technology, finance, and other personalised experiences.
The vision for the transformation of Siam Paragon
As the redevelopment proceeds, Siam Piwat says it is “putting away traditional real estate development playbooks” to create a destination unlike any other internationally.
“Siam Paragon will no longer be a shopping centre but a global platform where experts from all fields, including architects, engineers, interior designers, art and tech gurus, as well as luxury brands across the world and Thai entrepreneurs can engage in co-creation,” explains Mayuree Chaipromprasith, president of corporate affairs and communications at Siam Piwat, (pictured above left).
“The platform will also seamlessly connect the physical world and the digital world through OneSiam SuperApp and the metaverse to fulfil lifestyle needs for all visitors and deliver world-class experiences beyond expectations in all dimensions,” she says.
“Siam Paragon is highlighting the idea of co-creation on this platform to bring about sustainable development and business growth. Many entrepreneurs have already launched highly successful flagship stores with us, and for this next level, we will work with them to bring to life one-and-only ultimate iconic stores in Thailand.”
Siam Paragon will also be co-creating a large space with its partners to bring art, technology, and nature into the venue to contribute to a cleaner more sustainable world, improve energy efficiency, and cater to sustainability-minded lifestyles.
Visitors to Siam Paragon have been surveyed in depth to discover their aspirations for the venue to help Siam Piwat ensure the final design resonates with their needs, wants, passions and interests.
In the next step of engagement, the company will create a Wall of Wonders campaign, featuring a shared community space where locals and international customers can share on interactive walls their ideas and what they would like to see and experience at Siam Paragon.
“We will integrate those ideas from people from around the globe into our space with cutting-edge technology to cater to each community and all lifestyles in a fascinating way,” says Chaipromprasith, promising to reveal further details soon.
“Research has shown time and again that Siam Paragon has always been the number one destination for Thai and international visitors and has become a familiar part of the lives of Bangkokians of all generations,” adds Murphy. “Through the long-standing and close relationships with its customers, fostered through billions of visits, we have developed a truly unique character.”
Murphy says that while the company is proceeding with a major transformation that incorporates new offerings, experiences and brands, the company recognises the necessity of preserving Siam Paragon’s distinctive identity that has earned the centre “a special place in the hearts of all visitors that cannot be replaced by any other development project”.
Throughout the redevelopment project, Siam Paragon will continue to trade with areas refurbished and rebuilt in stages to minimise disruption to visitors.
https://insideretail.asia/2023/02/1...-invests-us88-6m-in-a-massive-transformation/
