Kuala lumpur: Consumer spending across the retail and food and beverage (FandB) 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 emphasized the potential benefits of the event, highlighting its role in enhancing SME capabilities in digital marketing, customer engagement, and service excellence.
According to BERNAMA News Agency, Lim noted that SMEs form a crucial part of Malaysia's retail ecosystem, and international events like Formula 1 provide valuable platforms for growth and visibility. Local FandB operators, retailers, and service providers can capitalize on increased visitor traffic by offering unique Malaysian experiences, race-themed promotions, exclusive products, and tailored services. Lim stated that businesses in and around the event venue are likely to experience stronger demand during the race weekend.
He further explained that hosting an international event such as Formula 1 offers Malaysian SMEs the chance 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. Positive interactions with Malaysian brands can lead to lasting impressions, encouraging repeat visits, online purchases, and word-of-mouth recommendations.
However, Lim cautioned that the economic benefits for the retail and FandB sectors would largely depend on visitor numbers, the scale of event-related activities, and overall participation. Nonetheless, he expressed confidence in the strong multiplier effects that international sporting events of this scale have consistently demonstrated across the broader economy. Higher visitor arrivals and increased local participation are likely to boost footfall and spending at restaurants, caf©s, 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.