Lydia Wang, Parkson's advertising and promotions manager, said the group needed to differentiate itself from the other department store chains because "there is a lot of parity in terms of offering and image".
A growing number of specialist retailers and boutiques, which are located in the same shopping complexes as Parkson have been turning up the competitive heat. "We have all these small players, which are more mobile and trendier, Wang added.
Bates will handle the Parkson Grand and Parkson Ria department store accounts following a creative and strategic pitch against Kraratua, Nerve Centre Associates and the incumbent DDB International.
Rob Graham, Bates' Malaysia chief executive officer, said the agency carried out market research to ensure it could provide the client with consumer insights.
Graham added the client was looking to achieve an immediate increase in retail sales. "All too often the retail sector is disregarded by many agencies for its inability to accommodate great creative work that sells. We look forward to proving that myth wrong."