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Hyped up about Asian markets

WA EXPORTERS could benefit from the Asian emergence of giant super markets known as hypermarkets.

At a Department of Commerce and Trade and Austrade-organised seminar, market research firm Taylor Nelson Sofres reg-ional director North Asia Region David Richardson said hypermarkets were becoming the new distribution medium.

“Asia is going though a distribution revolution. Korea spends 15 per cent of its GDP on distribution while Japan spends just 8 per cent,” Mr Richardson said. “In Korea, hypermarkets have become very significant distributors and they only came in four years ago.”

Curtin Business School’s school of marketing head Ram Ramaseshan said the small size of many WA exporters could pose a problem.

“They need to work with their industry associations to address their lack of size,” Professor Ramaseshan said.

He said hypermarkets tended to operate on low margins and high volume.

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