Transmart Rumored Nearly Bankrupt, Aprindo Gives This ExplanationEnglish
Autumn casts a shadow over retail establishments in Indonesia. Transmart, one of the largest retail companies in Indonesia, is reportedly experiencing difficulties and is on the verge of going bankrupt following the closure of a number of their outlets.
The Association of Indonesian Retailers (Aprindo) denied the issue that modern retail Transmart was on the verge of bankruptcy because it had closed a number of shops due to the lack of visitors.
"Transmart is not actually collapsing or some people say it is bankrupt. Transmart is adjusting to the circumstances of its time," said Aprindo General Chair, Roy Nicholas Mandey, at Hypermart Puri Indah, Jakarta, Wednesday (8/2/2023).
Roy said the retail industry cannot keep up with changes quickly, especially following demand trends. He reasoned that it takes time to arrange goods, stock, and places.
Transmart, according to Roy, is one example. The business of the hypermarket-class retail network under Trans Retail did not run smoothly, including the arrangement of tenants within it. Meanwhile, consumer behavior continues to change rapidly.
Roy was reluctant to say that Transmart had made the wrong strategy except for not being quick to adjust to conditions. Especially when the Covid-19 pandemic caused many changes in consumer patterns.
Relocation of retail outlets, of course, adjusts to market potential. For example, if one area has changed, from originally focusing on residential to being a place of transit or business directly, it will affect visits to retail.
Roy mentioned one case in the Kalimalang area where after the construction of the Becakayu Toll Road, people no longer used the underpass. The shops under the toll road also recorded a decrease in visitors and buyers.
As for the matter of the closed Transmart relocation plan, Roy admitted that he did not know. However, Aprindo believes that Transmart has prepared a strategy to survive by approaching new ways according to the latest consumer preferences.