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With clearly displayed prices, assured quality, a clean and spacious shopping environment, and attentive staff, modern supermarkets and retail stores have become the preferred choice for consumers over traditional markets.
WinCommerce, the operator of WinMart, WinMart+, and WiN stores, has recognized this shift in consumer behavior and evolved its retail model to meet customer needs. With over 3,673 stores nationwide, WinCommerce is now Vietnam’s largest modern retail chain. Since taking over the system, WinCommerce (WCM) has focused on upgrading and transforming stores into various models suitable for different areas, aiming for profitable growth.
WCM has developed a diverse range of retail models. WinMart supermarkets cater to customers seeking a vast and modern shopping experience, offering a wide range of products, including groceries, household items, F&B, and financial services. Meanwhile, WiN and WinMart+ stores in urban areas provide a quick and convenient shopping experience for busy individuals who prioritize convenience. In contrast, WinMart+Rural stores in rural and suburban areas focus on fast-moving consumer goods, offering “Cheaper and Better Quality” products.
As part of its “best price” strategy, WinCommerce regularly launches promotional programs. For instance, during the upcoming National Day holiday on September 2nd, the WinMart supermarket and WinMart+/WiN stores will introduce a series of “Super Cheap Price” promotions to meet consumer shopping needs.
Additionally, WinCommerce has proactively collaborated with domestic and foreign brands to offer quality products at competitive prices and enhance consumer benefits. In the first week of August, WinCommerce partnered with Masan Consumer to hold a “Chin-Su Chili Sauce Brand Week” across all its stores. During this period, customers enjoyed discounts of up to 50% on Chin-Su chili sauce products and received a 2-meter tall Chin-Su chili pepper plant with the highest cumulative purchase of Chin-Su chili sauce at each store.
Furthermore, WinCommerce introduced the WiN Membership program, offering a 20% discount on WinEco and MEATDeli products, attracting millions of consumers. Currently, the program has enrolled 10 million members and aims to reach 30 million in the next five years. WinCommerce also reported that member baskets are twice as large as non-members, and the average shopping frequency is four times per month.
Anticipating an increase in food consumption during the year-end holiday season, WCM has proactively negotiated with suppliers to ensure the best quality and prices for consumers. Notably, WinCommerce prioritizes Vietnamese products, accounting for 90% of all goods in the system, especially local specialties and fresh produce to promote Vietnamese cuisine. However, they also offer a selection of imported goods to cater to diverse consumer preferences.
While private label products were once viewed with skepticism compared to branded goods, this perception has changed. When a retailer’s brand is strong, its private label products gain consumer trust. According to Kantar Worldpanel, 38% of Vietnamese consumers choose private label products because they trust the retailer.
Beyond its role as a retailer, WinCommerce is also a manufacturer of consumer and food products, ensuring a closed-loop production process and high-quality output. This gives WinCommerce the advantage of controlling product quality and pricing amid market fluctuations. Their four distinctive private labels, WinMart Good (dry food), WinMart Cook (processed food), WinMart Home (household items), and WinMart Care (personal care), offer prices 10-20% lower than similar products in the market.
After completing its restructuring phase in 2023, WinCommerce has made positive strides in 2024. In the second quarter of 2024, WCM achieved a revenue of 7,844 billion VND, a 9.2% increase compared to the same period last year. Notably, the company announced consecutive profit in July, the second month of profit in ten years of operation.
According to the company’s report, WCM’s strategic focus for the second half of 2024 is to continue improving profitability by accelerating LFL growth to 8-9% year-on-year and opening approximately 100 new stores each quarter. WCM will strengthen its position in rural areas with the WinMart+ Rural model and optimize the WiN Membership program to benefit the Masan ecosystem and partner brands.
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