More than 18.5 million users registered for the government’s tracking app as businesses reopened nationwide on Monday. Approximately 134,000 businesses have joined the platform as well.
Users have also used the app 90 million times since it was launched in on May 17.
Businesses deemed to be of high risk for spreading infections, such as movie theaters and restaurants with buffets and hotpots, were among those reopening on Monday.
Siam Wellness Group (SPA), Major Cineplex (MAJOR), Central Retail Corporation (CRC), Central Pattana (CPN), Siam Future Development (SF) and Home Product Center (HMPRO) were also the businesses picked by Globlex securities as the main beneficiaries.
MAJOR’s share price traded down from 25.25 baht at the beginning of 2020 to the current of 17 baht at closing on Monday. With people returning to their theaters, its business outlook is now improving.
Apart from the five measures to increase customer confidence, MAJOR, in partnership with Advanced Info Service (AIS), also launched its “Robot For Care” technological device.
The scheme will put out 5G enabled robots to support public relation and social distancing efforts, such as using it to check customers’ temperature.
Maybank Kim Eng Securities said that after two weeks of reopening, the foot traffic within CPN’s malls is still at about 60-70 per cent. They expect this rate to continue increasing to 80 per cent by year-end.
“At this level, it is still not profitable so discounted rental rates are likely to stay – perhaps even gradually declining,” the securities firm’s Head of Institutional Research Maria Lapiz said.
“Perhaps, if [movie theaters and education-related businesses] come back, traffic will improve,” she added.
With only 16 million people, out of the 24 million who applied, able to receive the 5,000 baht handout scheme from the government, traffic was bound to be slow, added Maria.
April’s capacity utilization rate was also very low at 51.87 per cent, nearing 2011’s figure during the flooding. Most repair and reconstruction efforts took 6-9 months at that time, and a whole year for the situation to return to normal.
“This will likely be prolonged and so we should expect income to remain weak,” she said.
The concern over purchasing power will also weigh on HMPRO as the weekend saw it reopen at a 20 per cent year-on-year surge in sales, driven by cooling gadgets such as small air-conditioning units, fans and cooling fans.
“It was hot this May but not hotter than [2019],” Lapiz said.
“What is different is that people cannot hang out in malls and complexes to avoid heat. They are homebound. In any case, the surge is fading away but pent up demand is still resulting in sales higher than [2019],” she added.
Songkran in July?
CCSA’s spokesperson Dr Taweesin Visanuyothin said on Monday that the government is now mulling over the possibility of adding a delayed Songkran holiday period in July.
“The compensated Songkran could happen in July,” he said.
They hope a delayed Songkran will help promote domestic travel but whether it will be implemented will largely depend on the results of Phase 3 and 4 of the easing period.
