Enterprise

Is the 8% GDP Growth in Q2 2025 and Improved Incomes a Golden Opportunity for Modern Consumption?

As per the July 2025 business report, WinCommerce (WCM, a subsidiary of Masan, operating the WinMart/WinMart+/Win chain) recorded a revenue of VND 3,486 billion, a 23% increase compared to the same period last year. This double-digit growth indicates a continued positive trend in consumer demand within this retail chain.

Administrator

4 September, 2025

For the first seven months of the year, WCM achieved cumulative revenue of VND 21,400 billion, up 14.8% compared to the same period in 2024. This increase surpasses the initial plan and reflects the effectiveness of the strategy to expand the network of stores and the rise in consumer spending.

In addition to internal factors, the macro environment has also played a supportive role. In 2025, several policies to boost consumption were implemented, such as VAT reduction, a 30% increase in basic salaries for the public sector, and promising GDP growth prospects. At the same time, the shift from traditional markets to modern retail channels continued to gain traction due to changing consumption habits and growing concerns about product quality and origin.

Bringing modern shopping experiences to rural areas

According to the business report for July 2025, WinCommerce (WCM) recorded revenue of VND 3,486 billion, an increase of 23% compared to the previous year. In the first seven months, cumulative revenue reached VND 21,400 billion, up 14.8%, surpassing expectations compared to the set plan.

One of WCM’s most notable successes stems from its rural expansion strategy. Since the beginning of the year, nearly 75% of WCM’s new stores have been opened in rural areas, with Central Vietnam accounting for 50% of these new openings. Not only have the WinMart+ stores quickly broken even, but they have also started generating positive profits. This is an important indicator that this model aligns with the needs of rural residents, where demand is increasing due to improved incomes and a shift towards safer and more convenient consumption patterns.

Notably, the LFL (Like-for-Like) growth, referring to stores that have been stably operating, also reached 7.6%, reflecting actual consumer demand. This demonstrates that WCM is convincing customers through modern shopping experiences, reasonable prices, and quality products.

One of the most noticeable impacts of WCM’s expansion is the gradual change in consumption habits among rural residents. Instead of primarily shopping at traditional markets, people are now increasingly embracing modern store models, which offer clean and well-designed spaces, products with clear origins, and transparent pricing.

The product portfolio at WinMart/WinMart+ stores is carefully curated, featuring domestic and international brands that meet safety and quality standards. For instance, WinEco vegetables meet VietGAP/GlobalGAP standards, and MEATDeli meat products are processed using European-standard chilled meat technology. These products help reinforce consumer confidence, especially given the persistent issues of counterfeit and substandard goods in the market.

Opportunities and challenges

In the broader context of Masan, while Masan Consumer has long been considered the flagship segment, WinCommerce’s sustained growth and continuous expansion have added a new impetus. These two segments complement each other, contributing to revenue and enabling Masan to diversify its growth sources.

Despite positive financial results, WCM still faces several challenges. First, the Vietnamese retail market is becoming increasingly competitive, with competition not only from domestic chains but also from international brands. Second, operating costs and rental expenses may pose challenges in the context of rapid expansion. Third, consumer spending, particularly in rural areas, remains dependent on income fluctuations and macroeconomic factors.

Since the third quarter of 2024, WinCommerce has reported positive after-tax profits for four consecutive quarters, marking an important milestone and indicating improved business performance compared to the previous period. However, to maintain stable profits, the company needs to balance expansion speed with cost control, as opening large-scale new stores typically entails significant operating, rental, and personnel expenses.

The figures for July 2025 show that WinCommerce is maintaining stable growth, particularly due to its rural network expansion strategy and the effective operations of its existing stores. The company has reported after-tax profits for four consecutive quarters, marking a significant step in optimizing its business model.

Masan Group Corporation is one of Vietnam’s leading consumer and retail companies, aiming to provide essential products and services to over 100 million consumers in Vietnam and internationally. Masan’s ecosystem spans multiple high-growth sectors: fast-moving consumer goods (Masan Consumer with Chin-Su, Nam Ngư, Omachi, Kokomi Wake-Up 247), branded meat (Masan MEATLife with MEATDeli, Ponnie, Heo Cao Bồi), retail (WinCommerce with WinMart, WinMart+), tea and coffee (Phúc Long Heritage), and high-tech materials (Masan High-Tech Materials).

According to figures released in August 2025, Masan ranked among the Top 10 private enterprises in the distribution and retail sector in terms of tax contributions to Vietnam’s state budget in 2024. The company contributed over VND 4,800 billion, an increase of VND 380 billion compared to 2023. This included VND 1,408 billion in corporate income tax, VND 1,766 billion in value-added tax, and other taxes such as special consumption tax, import-export tax, and personal income tax.

Kim Ngân

– 10:19 09/04/2025