Still, it’s not doom and gloom for all businesses in Woodlands.
For instance, Mr Samuel Pei, co-founder and director of KC Group – parent company of various hairdressing and beauty brands such as Kcuts and Apgujeong Hair Studio – said that the lower-value, quick-service barber businesses are less affected.
This is because a consumer might not find it worthwhile braving a traffic jam for the few dollars that can be saved by going to JB, he explained.
However, for the brands that offer “bigger ticket value with not-so-regular purchase frequency” such as hair and beauty treatments, there has been a “modest” impact, Mr Pei added.
And although many Woodlands and Marsiling shops said that they are languishing, most of the employees at eight shops that CNA TODAY visited in Causeway Point mall said that they had not noticed a significant decline in sales in recent years. They all declined to be quoted because they do not have permission to speak to the media.
Professor Lawrence Loh from the National University of Singapore (NUS) Business School said that the resilience of Causeway Point may be due to the fact that it is located next to a bus interchange and MRT station, having a “larger catchment area than the neighbourhood stores”.
Unlike customers who would typically visit their nearest neighbourhood shop to specifically buy items, visitors patronise big malls to do more than just shopping.
Prof Loh, who is from the school’s department of strategy and policy. added: “Often, the outing is a total experience that may include eating and entertainment conveniently available without having to travel across the country.”
Not every shop benefit equally, though, from Causeway Point’s strategic location and value proposition.
A promoter at Metro said that the department store has been visibly quieter and emptier even during its recent Black Friday sales period, which is usually very busy.
The promoter, who has been working at the store for a few years, added: “My colleagues and I are sure next year will be worse, and I’m worried I will lose my job if this situation persists.”
Some merchants reported an uptick in sales recently, boosted by the expiring Community Development Council (CDC) vouchers and the December cash payout under the government’s Assurance Package.
Others noted a brief increase in sales when Malaysia’s Vehicle Entry Permit (VEP) policy was rolled out in October. They believe that this was because some residents who had not received the permit have decided not to enter Malaysia.
Such was the case for 42-year-old Mohd Faizul Abdul Rahim, who has crossed the border only once after its post-COVID reopening.
He said that it was in part due to him getting a better-paying job, which eased the pressure of having to go north to save money while shopping.
Then, most recently, he had his VEP application rejected twice for various reasons and that has put him off from heading to JB.
“I just can’t be bothered to drive up anymore.”
