AEON Co (M) Bhd is redefining Malaysia’s retail landscape with an innovative expansion strategy that integrates commercial property management, retail operations, and community development. As a key player in the retail sector, AEON is leveraging data-driven strategies and curated tenant mixes to cater to evolving consumer needs while fostering economic growth in local communities.
With a commitment to sustainability and regional development, AEON seamlessly blends retail and property management, positioning itself as both an anchor tenant and a community builder. This unique approach has established AEON’s shopping malls as vibrant commercial and social hubs across the country.
AEON’s Retail Evolution and Expansion
AEON’s journey in Malaysia began in 1984 with a single supermarket. Since its public listing in 1996, the company has expanded into a diversified retail powerhouse. Today, AEON operates 28 shopping malls and 35 anchor stores nationwide, along with the AEON MaxValu supermarket chain and specialty outlets such as AEON Wellness and Daiso.
“We have evolved beyond just being a supermarket business,” said Lee Beng Beng, AEON’s Chief Property Officer. “Our AEON Retail Ecosystem now includes a central supermarket surrounded by over ten AEON Group brands like AEON MaxValu Prime, DAISO, Home Coordy, Glam Beautique, and more. This allows us to offer a tailored retail experience that enhances property value and consumer engagement.”
AEON’s strategic diversification has enabled it to function as both a mall developer and a retail anchor tenant, strengthening its influence in the retail and property sectors.
Expanding Beyond Klang Valley
Recognizing the potential in emerging regions, AEON is actively expanding beyond the Klang Valley. The company is investing in key locations with high population density and growth potential, such as Seremban 2, where it plans to double the mall’s size by linking it with a bridge to create a regional shopping destination.
Similarly, AEON is strengthening its presence in Ipoh, where it already operates three malls. A significant expansion is planned for AEON Mall Kinta City, with an MoU set to be signed with KIP REIT in early March.
In Kuala Lumpur, AEON is pioneering a mixed-use development in KL Midtown, featuring office towers, residential units, and a five-star hotel. “We’re leasing the retail podium from the developer, creating a unique ecosystem in a high-end location,” Lee explained.
Collaborating with Developers for Thriving Communities
AEON’s expansion is driven by collaborations with property developers to co-create thriving townships. “We’re open to discussions with property owners and landowners,” Lee said. “Whether it’s a 12,000 sq ft supermarket or a 40,000 sq ft retail space, we have the flexibility to fit different development models.”
By working closely with developers in areas like Rawang and Seremban 2, AEON has played a key role in transforming emerging townships into flourishing communities. This strategy ensures long-term success for both AEON and its partners while contributing to regional economic development.
Building More Than Malls: A Commitment to Community Growth
At the heart of AEON’s expansion strategy is a strong focus on community development. “We build neighborhoods and townships,” said Lee. “Our presence generates employment and fosters economic activity, helping communities grow.”
AEON’s commitment to local engagement is reflected in its tenant mix strategy. By analyzing consumer demographics, AEON tailors its offerings to regional preferences. For instance, in Cheras Selatan, a curated selection of Chinese cuisine outlets led to a significant increase in sales.
To stay relevant, AEON is shifting from traditional department store formats to boutique-style “shop-in-shop” concepts. “We’re capturing younger generations by creating curated shopping experiences,” Lee said. This transition is evident in AEON’s diverse offerings, from La Boheme bakeries to the Petemo pet store and Molly Fantasy entertainment centers.
Enhancing Customer Experience Through Innovation
Customer satisfaction remains a top priority for AEON. “Customer first is our guiding philosophy,” Lee emphasized. The company is investing in technology to improve the shopping experience, such as rolling out self-checkout counters, which have been well-received even by older customers.
A Vision for 2030: AEON’s Long-Term Growth Plan
AEON has outlined a comprehensive mid-term growth strategy leading up to 2030. “We have a six-year expansion plan, targeting regions like the northern states, Kuantan, and Johor,” Lee revealed. “While Klang Valley remains a priority, we’re focusing on innovative supermarket formats and specialty stores.”
By embracing new retail concepts and forging partnerships with property developers, AEON aims to solidify its position as Malaysia’s leading retail operator. With a strong emphasis on innovation, collaboration, and community-centric growth, AEON is set to shape the future of Malaysia’s retail landscape.
For more insights on AEON’s expansion and its role in community development, visit Coleman News.
