In Singapore, Tom & Stefanie reduced its network to three stores — Channel NewsAsia
In Singapore, the family-run children’s store chain Tom & Stefanie has closed its outlet at Tiong Bahru Plaza, leaving the company with three stores instead of 10 at its peak. This was reported by Channel NewsAsia.
Stephanie Chua’s parents opened the first Tom & Stefanie store 32 years ago. Chua, a second-year student at Singapore Management University, said she wants to preserve the company not only as a family business but also for the sake of its employees, some of whom have worked for the chain for nearly 20 years.
Employees and the family business
According to Chua, store employees watched her grow up, as she had helped her parents at the outlets since childhood together with her two younger brothers. At weekends, the children worked as cashiers or helped serve customers.
Initially, Chua did not plan to continue the family business because she saw how much her parents worked. She considered a more stable corporate career and previously completed internships at CapitaLand and JPMorgan.
More current news is available on the UA.News Telegram channel Telegram.
Rent and online competition
Chua attributes Tom & Stefanie’s difficulties to rising rents in shopping malls and competition from online stores. Earlier this year, the chain closed its store at Hillion Mall, which had operated for six years. At the time, Chua said that the proposed rental terms, given limited margins, left little room to cover operating costs.
At the same time, Chua noted that some products in physical stores may cost less than online. During the filming of a Mediacorp programme, a car organiser at Tom & Stefanie was sold for S$44.90, while online it was offered for S$57.12. Another discounted item in the store cost S$15.90, compared with S$36.77 online.
According to Chua, the company is able to maintain competitive prices through lower margins, long-term contacts with suppliers and direct connections with factories.
