JUSCO Stores (HK) opened a 150,000 square-feet shop in Tuen Mun yesterday, in the face of slack Christmas sales and a worsening retail environment.
The store takes over the space vacated by Yaohan more than a year ago and is the third Jusco this year, following the opening of outlets in Tseung Kwan O and Whampoa Gardens.
Jusco, which reported a $19.28 million loss for the six months to August 31, defended its decision to open the store, saying it was a profitable site with low rent.
Jusco expected the Tuen Mun store to be one of the most profitable of their eight shops, a spokesman said, having kept rent to about 6 to 7 per cent of turnover and minimised staff costs by employing more than half the workers part-time.
Store manager Irene Yeong said trade had been brisk since the soft opening on December 1. Sales were already 30 per cent higher than initial projections.
'It's the busiest store I've worked in.' Jusco has dedicated more space to its supermarket and food hall in Tuen Mun and is reaping the benefit. Ms Yeong said the food hall had reached 60 per cent of targeted turnover for the first month within 10 days.
