Is Mixue’s closure in IOI Damansara Mall death knell for shopping complex?

MALAYSIANS love their sugary desserts and this has led to the mushrooming of ice cream and bubble tea franchises.

The sweet tooth cravings of locals have pretty much ensured that these outlets operate a thriving business, no matter where the location. Well, almost any location.

It was recently highlighted on Malaysia Shopping Malls Facebook site that popular China ice-cream and tea franchise Mixue has closed its doors at IOI Damansara Mall (formerly Tropicana Gardens Mall).

Is this a sign of doom for the location?

Some certainly seem to think so, observing that if a thriving franchise like Mixue can cease operations, the mall is already terminal.

However, not everyone saw this as bad news; they hope this trend will spur developers to build something else rather than more ‘ghost’ shopping malls.

However, some believed the closure had to do with the transfer of mall management to IOI which may have different rules for businesses to operate.

One commenter noted that even businesses with good number of patrons had closed down.

Editor’s Note: Tropicana Gardens Mall was re-branded as IOI Damansara Mall following its acquisition by IOI Properties Group in July 2024 as part of the latter’s strategy to bring all its malls under the “IOI Mall” umbrella.

A few agreed with the post given that the footfall has been rather quiet with activity focused mainly on the ground floor.

While another suggested that Mixue’s business strategy had also to be taken into consideration.

Some pointed out that these outlets fared better as stand-alone shops rather than inside a mall whereby parking could cost more than a dessert cone.

One commenter reckoned that this was nothing new as brands that rise fast also seem to disappear fast, citing some other well-known franchises.

He termed this as ‘product trending’ as consumers rush to try the latest fad before moving on to the next new thing.

A few felt that the prohibitive cost of renting in shopping malls probably contributed to the closure. It is better to rent a shop lot.

Whatever the reason may be, too much of a good thing can be bad. Whether it is the sheer number of Mixue and other similar outlets popping up or that Malaysians are finally feeling mall-fatigue, the signs are far from encouraging.

Perhaps it is time for developers to strategise differently by building something else than just another gigantic mall.

As for Mixue, could this be the signal that consumers are looking for something new to satisfy their sweet tooth cravings?

Only time will tell. – Focus Malaysia