Malaysia's F1 Return To Boost Retail, F&B SMEs, Says Retailers Association
By Nur Athirah Mohd Shaharuddin
KUALA LUMPUR, Aug 2 (Bernama) -- Consumer spending across the retail and food and beverage (F&B) sectors, particularly among small and medium enterprises (SMEs), is expected to gain momentum from higher visitor arrivals and stronger demand generated by Malaysia's hosting of the Formula 1 Gulf Air Bahrain Grand Prix.
Malaysia Retailers Association president Datuk Andrew Lim Tatt Keong said that beyond the immediate boost to sales, the event would encourage SMEs to strengthen their capabilities in areas such as digital marketing, customer engagement and service excellence.
“SMEs form an important part of Malaysia’s retail ecosystem, and major international events can serve as valuable platforms to enhance their growth and visibility.
“Local F&B operators, retailers and service providers can leverage increased visitor traffic by offering unique Malaysian experiences, race-themed promotions, exclusive products and tailored services,” he told Bernama.
Lim said businesses within and around the event venue were also likely to benefit from stronger demand during the race weekend.
He added that hosting an international event such as Formula 1 would provide Malaysian SMEs with an opportunity to showcase their products and services to a global audience.
International visitors often seek authentic local experiences, whether through Malaysian cuisine, locally made products, distinctive retail offerings or cultural attractions, he said.
“Positive experiences with Malaysian brands can leave lasting impressions and encourage repeat visits, online purchases and word-of-mouth recommendations,” he said.
However, Lim said the extent of the economic benefits for the retail and F&B sectors would depend on visitor numbers, the scale of event-related activities and overall participation.
Even so, he said international sporting events of this scale had consistently demonstrated strong multiplier effects across the broader economy.
Higher visitor arrivals and increased local participation could translate into stronger footfall and spending at restaurants, cafés, food outlets, shopping malls and entertainment venues, not only around Sepang but also in Kuala Lumpur city centre, the Klang Valley and other tourist destinations.
On July 26, Formula 1 and the International Automobile Federation (FIA) confirmed that Malaysia would host the race at the Sepang International Circuit (SIC) from Oct 2 to 4, 2026, subject to the signing of a final agreement and the necessary approvals, including from the World Motor Sport Council.
The race is scheduled to take place between the Azerbaijan Grand Prix and the Singapore Grand Prix on the Formula 1 calendar.
-- BERNAMA