SG coffee house Dimbulah reportedly shuts 3 outlets

Singapore coffee chain Dimbulah is reportedly closing down three of its outlets by 1 May, according to The Business Times. It is also added that the company has liabilities of SG$4.4 million as of end-2020, and has also filed for restructuring. A quick check on Dimbulah's official website showed that it currently has 12 outlets in Singapore, in locations such as Anson House, Frasers Tower, Marina Bay Financial Centre, One Raffles Quay. Dimbulah's outlet at Guoco Tower is temporarily closed. MARKETING-INTERACTIVE has reached out to Dimbulah for additional information.

Dimbulah's closure of outlets come at a time where the retail scene in Singapore is changing drastically. In the past year, we see brick-and-mortar shops folding their businesses. Most recently, local retail shop Naiise ceased operation was the business was put into liquidation. In an Instagram post, its founder Dennis Tay said he was unable to pay off Naiise's debts after borrowing heavily from banks and exhausting his savings to keep the business afloat. Separately in October 2020, iconic local retail shop Robinsons also exited the market. This was after 162 years of operations, The Straits Times reported, adding that the closure was due to "a range of factors" such as changing consumer tastes and cost pressures such as rent. 

Another shift in the changing retail landscape is the rise of online-to-offline (O2O) retail experience. Earlier this year, Lazada Singapore launched a pop-up physical store as part of O2O strategy. The store was located at Raffles City, which was formerly occupied by the now shuttered Robinsons retail store. It showcased a complementary way for shoppers to engage on both online and offline platforms. If consumers are inspired by what they see, the products can be purchased with the Lazada app by scanning the QR code that directs consumers to the respective product pages on the shopping platform. This way, shoppers will be able to enjoy the space freely, check out the products on display, purchase online immediately, and head back home to wait for their items to arrive, Lazada said.

Lazada's competitor Shopee also launched a pop-up store in partnership with VIRVICI at Funan last October for six months. The VIRVICI X Shopee store showcases a range of exclusive products from over 10 Korean beauty brands. Adapting an O2O concept, the store allows consumers to purchase products on the Shopee platform and collect the items in-store immediately, or choose to have it delivered to their homes. Customers can also scan the QR codes next to each product and find more information on Shopee.

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