[Alice Alicia]

Giant Supermarket, a prominent player in Singapore's grocery market, has been closing several outlets in recent years. This decision is primarily attributed to a combination of factors:

* Evolving Consumer Behavior:

* Online Shopping: The rise of online grocery platforms like GrabMart, NTUC FairPrice Online, and RedMart has significantly shifted consumer preferences. Many shoppers find it more convenient to order groceries online and have them delivered to their doorstep.

* Smaller Households: Smaller household sizes in Singapore have reduced the demand for large-format supermarkets. Consumers are increasingly opting for smaller, more convenient stores closer to their homes.

* Stiff Competition:

* Local Competitors: Established players like NTUC FairPrice and Sheng Siong have a strong presence in Singapore and offer competitive pricing and services.

* International Brands: International brands like Dairy Farm (Cold Storage, Giant, and Market Place) and Metro have been expanding their market share, intensifying competition.

* Rising Operating Costs:

* Rentals: The high cost of retail space in Singapore, especially in prime locations, has increased operating expenses for supermarkets.

* Labor Costs: Rising labor costs, including minimum wage increases and employee benefits, have added to the financial burden of operating supermarkets.

* Changing Demographics:

* Aging Population: As Singapore's population ages, there may be a shift in consumer preferences towards healthier, more specialized food products. This could require adjustments to store layouts and product offerings that may not be feasible for all existing outlets.

To remain competitive, Giant has been focusing on strategies such as:

* Online Presence: Enhancing its online platform to offer a seamless shopping experience.

* Smaller Formats: Opening smaller, more convenient Express stores to cater to local neighborhoods.

* Product Differentiation: Offering unique products and promotions to attract customers.

However, the challenges faced by the grocery industry in Singapore are likely to persist, and Giant, along with other retailers, will need to continue adapting to the changing market dynamics to ensure long-term sustainability.