SM Investments Corporation (SMIC) is on a mission to reshape the retail landscape in the Philippines by transforming malls into vibrant experience hubs. With millennials and Gen Z leading the charge for prioritizing experiential engagement, SMIC is ramping up its entertainment offerings across various sectors, including shopping malls, arenas, logistics, and banking.
The company has notably invested in Klook, an Asia-based experiences platform, while its 2GO shipping service features innovative karaoke lounges and arcades, proving that who said you can’t sing on the high seas? In addition, BDO Unibank and China Bank are enhancing their lifestyle rewards programs to cater to this experience-hungry demographic. These initiatives strategically position SMIC to tap into the booming ₱1.94-trillion Philippine creative economy, which saw a robust growth of 8.7% in 2024.
SM is elevating the concept of malls, convention centers, and arenas into immersive experience centers. Today’s consumers are increasingly seeking inclusivity, community, and interactive engagements, prompting a shift from traditional retail spaces to dynamic entertainment venues. Joaquin San Agustin, EVP for marketing at SM Supermalls, emphasizes that this evolution caters to a diverse audience, from gamers to food enthusiasts and pop culture aficionados.
The Mall of Asia Arena continues to attract global talents and is set to be complemented by an even larger arena in Cebu. Meanwhile, the SMX Convention Center is witnessing a surge in bookings for events such as fan meets, gaming expos, and pop culture conventions, reflecting the growing appetite for interactive experiences.
By focusing on entertainment, SM not only drives foot traffic but also cultivates valuable partnerships and creates leisure spaces throughout its venues, including a FIFA-grade football pitch at SM MOA Sky.
What is SMIC’s main strategy in enhancing its retail offerings?
SMIC is focusing on developing entertainment options throughout its businesses, transforming malls into experience hubs to cater to the growing demand for immersive and interactive experiences among younger consumers.
How does SMIC’s investment in Klook fit into its broader strategy?
The investment in Klook aligns with SMIC’s goal of tapping into the creative economy by providing diverse experiential offerings, which appeal particularly to millennials and Gen Z consumers seeking unique adventures.
What types of events are gaining popularity at SM venues?
Events like gaming expos, fan meets, and various pop culture gatherings are seeing increased attendance at SM venues, reflecting a shift toward community-focused and interactive experiences.
