IT City, a Thai IT retail firm listed on the Stock Exchange of Thailand (SET), is aiming to achieve 10 billion baht in revenue this year.

This ambitious goal is supported by a strategic partnership with Advanced Info Service (AIS), Thailand's largest mobile operator, a focus on enhancing its online-to-offline sales channels, and promoting its proprietary IT accessory brand, Wise.

The company's President, Sophon Intanate, emphasized the significance of offering AI-enabled products to stimulate demand in the current challenging economic climate.

He highlighted the benefits of integrating AI in consumer technology products, such as computers and smartphones, which improve convenience and productivity.

To engage consumers, especially those between the ages of 18 and 30, IT City is shifting its marketing strategy from highlighting product specifications to storytelling that resonates with customers.

This approach is part of IT City's broader partnership with AIS, which is designed to offer exclusive benefits to the customers of both companies.

For example, IT City allows customers to subscribe to new AIS mobile phone plans with discounts available at its stores.

Additionally, existing AIS postpaid customers are eligible for discounts on phone purchases at IT City outlets nationwide.

A significant aspect of IT City’s strategy is the introduction of its own Wise brand of IT accessories, which come with a two-year warranty.

These products are expected to generate higher profit margins for the company.

Furthermore, IT City has partnered with Loga, a local gaming gear brand, to diversify its product range.

Despite the dynamic nature of the IT retail business, Mr. Sophon noted the importance of customer retention and differentiation strategies for survival.

Last year, IT City opened 10 new branches but closed 11, maintaining a total of 300 outlets including those managed by the company.

Kasame Srilertchaipanij, Vice-President for Marketing at IT City, stated that efforts to bolster its e-commerce channel are underway.

By the second quarter, the company plans to enhance user experience by enabling customers to purchase products online at www.itcity.in.th and pick them up at any store across the country.

Currently, e-commerce makes up about 5% of total sales, reflecting an increase of 2% from the previous year.

IT City reported a revenue of 6.7 billion baht for the first nine months of 2024. Looking ahead, the company is ambitious about achieving double-digit revenue growth in 2025, surpassing the 10 billion baht target.

In 2024, smartphones and tablets accounted for 58% of total sales, followed by IT devices at 27%, and IT accessories at 7%.

Looking to 2025, the overall IT product market in Thailand is expected to grow further, driven by technological advancements such as AI. The Thai government's Easy E-Receipt program, running from January 16 to February 28, is also expected to stimulate IT market sales during its campaign.

However, the broader market context reveals a predicted decline in the IT sector's value by 7.7% and unit growth by 4% compared to the first 11 months of 2024, according to Mr. Kasame.

Nonetheless, last year, the local smartphone market grew by 3.1% in value to 100 billion baht, with a 5.6% increase in units sold.