This article first appeared in Digital Edge, The Edge Malaysia Weekly on June 14, 2021 - June 20, 2021

For homeowners, the decision-making process in home renovation is a very important one, especially when the floor and wall tiles comprise significant parts of the interior visual presentation. Added to this is the high price of choosing the tiles and the years of having to live with the bad decision before changing to something more appropriate.

Despite the high stakes, most homeowners make their decisions with insufficient information. “When homeowners see the small sample of tiles in the catalogues, they cannot visualise how the tiles will fit into their home spaces,” says Keith Loh, chief retail officer at Creative Lab Sdn Bhd.

To guide its customers to make better choices of tiles, Creative Lab, which was set up in 2018, has come up with an immersive experience that includes a 3D interior design service. This helps customers to better visualise the impact of their design choices.

“Creative Lab presents a disruptive retail concept to the tile industry as the industry is very traditional, with probably not much change for decades,” Loh points out.

The potential of the immersive retail experience is certainly promising. According to a survey conducted by consulting firm Accenture, three in five consumers reported a greater likelihood of purchasing tiles from retailers that are willing to provide an immersive experience. 

This is especially relevant in Malaysia, where the tile market is expected to experience a compound annual growth rate of 4% from 2020 to 2026, according to a report by market research firm Mordor Intelligence.

Creative Lab, the retail arm of global tile conglomerate Niro Ceramic Group, has 41 outlets across Malaysia (as at April). Traditionally, it was Niro Ceramic Group that bid for particularly large projects with developers, says Loh.

Creative Lab emerged about 2½ years ago, bringing high technology into the mix. It developed a proprietary 3D design software called ViSoft, named after its technology partner, a German software producer for the tile and sanitary industry. 

With the help of interior designers, customers can interact with the 3D simulation to see whether the selected tiles fit the walls or floors of their homes. The 3D design service is currently available for free in every Creative Lab outlet, says Loh. 

“For the experiential part of Creative Lab, customers can sit down with our designers and use the design software for free while trying out as many tiles as they want. Whereas, an interior designer would only give you limited time to change your mind before charging you more.”

Despite the variety of 3D interior design software available in the market, Loh says Creative Lab’s software stands out because of its ability to provide complete photorealistic rendering (a type of 3D computer graphics that is practically indistinguishable from real-life pictures) within minutes.

“Also, it simulates the actual lighting effects on surfaces when different lighting is used internally like warm or cool and external lighting — be it daytime or night time — to help customers imagine how the tiles would look in different lighting, which can very much determine the ambience of the space,” he adds.

These features help ease its customers’ decision-making process, says Loh. “In a competitive market, we want to stand out. Our software enables instant personalisation for both our designers and customers, and we see its efficacy in enhancing our customers’ retail experience.”

Loh believes that even bricks-and-mortar retailers should include interactive elements in their offerings and never neglect online interactions with potential and existing customers.

Towards this end, Creative Lab has a few examples of 360° experiences of its 3D interior design on its website. In addition, its in-house designers have put up their portfolios of interior designs with different room types so customers can get a feel of their work and make appointments with their preferred designers for further consultation.

“If customers cannot make it to the store, they can do an online consultation with one of our interior designers by filling up their contact details online. Our designers will get in touch with them via online conferencing software and present the 3D layout. From there, customers can make their decisions and pay online as well,” says Loh.

The company came up with these innovations to increase brand awareness in the industry. “Obviously, it is a new brand. The concept was disruptive. Not many people who know Niro Ceramic Group knew about Creative Lab,” he says. 

Each physical showroom is similar in size to a usual shoplot, which is about 1,400 sq ft. The company is planning to increase the number of its outlets across Peninsular Malaysia to 60 by the end of this year. It is also planning to franchise its concept and hopes to have 12 franchisees by year-end.

Moving forward, Creative Lab will work with its technology partner to create an online platform that simulates gaming, where people can mix and match the tiles with interior elements. Loh says that hopefully, Creative Lab will be able to announce the online interactive feature in the next one to two years. It is even considering bringing in augmented reality (AR) technology with the aid of its German technology partner.

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