ADVERTISING & PROMOTION IN HDB NEIGHBOURHOOD SHOPS

Abstract

Since late 1980s, Housing Development Board (HDB) neighbourhood shops have served residents well by providing the daily necessities that they need. Residents back then were much simpler; they would obtain convenience goods from the HDB town centres or neighbourhood stores. When it comes to higher order goods; i.e. luxury items, they would head downtown to areas like Orchard Road to do their shopping. Where the shoppers will patronise for different types of goods is distinct. In the early 1990s, Urban Redevelopment Authority (URA) introduced the concept of decentralization. This strategy legtimised in the Concept Plan 1991 sought to decentralize commercial activities into the Sub-Regional and Regional Centres to reduce overcrowding in the CBD area. Furthermore, the planning policy also hoped to reduce traveling time to work so as to achieve a more even balance of resident-employment distribution. The Concept Plan 2001 continues with the idea of decentralization by providing more jobs in the 3 Regional Centres; North, East and West regions although eliminating the fourth one; Seletar Regional Centre in the North East Region that was initially in the 1991 Concept Plan. Through these new planning policies, the retail sector has seen a significant amount of changes in the past few years. Sub-Urban Shopping Centres, became an alternative option for residents in the HDB estates apart from neighbourhood shops. They provide a one stop shopping experience to the population living in the region not just a particular HDB estate. Regardless of groceries or even goods which used to be only available at Downtown, Sub-Urban Malls now have it all. Subconsciously, convenience shopping at Sub-Urban malls has already become an integral part of many Singaporean's way of life. The emergence of Sub-Urban Shopping Centres, coupled with the changes in the demographic mix has created a new set of shopping patterns. With higher living standards and quality of life, shoppers' expectations of goods and services have escalated.The rising affluence has led to changes in shopping habits, behaviours as well as preferences. The surfacing of such malls has affected the business of HDB neighbourhood shops quite significantly in the recent years. Fewer customers are patronizing the HDB shops due to competition from the bigger and seemingly better Sub- Urban malls. Some HDB shopowners are witnessing dwindling sales, where their profit margins are barely keeping them afloat.1 These HDB shops are more or less serving the same customer base, hence competing for retail dollars with the Sub-Urban malls. Under such harsh competitive conditions and high operating costs, it is no wonder that those retailers are suffering. Throughout the decades, HDB shops have provided great convenience for many residents. To many, these shops give a sense of familiarity, belonging and identity to the surroundings, lending character to the retail landscape in the HDB heartland. However if poor business persists, the neighbourhood shops could go the way of the dinosaur. For newer towns like Sengkang and Punggol, under-the-block HDB outlets are nowhere to be seen anymore. They are being replaced by shopping centres that offer everything under one-airconditioned- roof. Does this mean the end of HDB neighbourhood shops? Will the conveniences and the liveliness of HDB estates vanish soon? Just as any industry or trade needs to constantly innovate themselves in order to move with changing times, neighbourhood shops need to do likewise. Some strategies that Sub- Urban malls have used include advertising and promotion. For most shopping centres, there are management committees who would look into the promotional and publicity aspects in order to attractor customers. Would HDB shops be more attractive to residents if the same strategy is applied?