Purchasing power improves, Masan accelerates retail expansion

(Dan Tri) - Vietnam's consumer market is recovering strongly with double-digit retail growth in August, reflecting improved domestic purchasing power, creating a foundation for leading enterprises such as Masan Group (MSN) to accelerate their expansion strategies.

Consumer market flourishes, domestic demand maintains growth momentum

Vietnam’s economic picture in the third quarter opened with optimistic signals from domestic demand. After the stagnation of previous years, consumption has clearly rebounded, becoming a key growth driver.

According to the General Statistics Office (GSO), total retail sales of goods and consumer services revenue in August are estimated at VND588,200 billion, up 10.6% over the same period last year. In the first 8 months of the year, this figure reached nearly VND4.6 million billion, up 9.4%, higher than the 8.9% increase in the same period in 2024.

In the spending structure, essential consumer goods such as food, foodstuffs and beverages still account for a large proportion and play a leading role. In addition, the recovery of the tourism industry also contributes to promoting consumption.

With favorable visa policies, tourism promotion programs and many activities to celebrate major holidays, Vietnam has attracted 1.68 million international visitors in August, up 16.5% over the same period; the cumulative number in the first 8 months reached 13.9 million, up 21.7% over last year.

The increase in visitors has led to spending on food and beverage services and consumer goods, creating more momentum for the retail industry during the year-end season.

These figures show that consumption has become a bright spot in the economy while other drivers such as exports and foreign investment still face many challenges. Spending demand is not only limited to big cities but also spreads to localities, especially when modern commercial infrastructure is increasingly expanded.

Not limited to urban supermarkets, modern retail channels are expanding to rural areas and satellite cities. Consumers increasingly prioritize safety, convenience and quality control, factors that make the modern retail model an inevitable choice. This also opens up a large space for domestic businesses, which understand the needs and are able to deploy quickly on a large scale.

Consumers shop for vegetables and fruits at WinMart supermarket (Photo: Masan ).

Domestic enterprises accelerate

In that general market picture, Masan Group (MSN) is one of the leading enterprises in the consumer - retail sector that reflects the trend. For example, WinCommerce (WCM), a modern retail system belonging to Masan, in the first 8 months of this year alone, has opened 415 more stores, with about 75% located in rural areas, where consumer demand is increasing rapidly and increasingly approaching urban areas.

In August alone, the chain recorded revenue of VND3,573 billion, up 24.2% over the same period last year, bringing the cumulative 8-month figure to VND25,000 billion, far exceeding the annual growth plan. All newly opened outlets quickly achieved positive profits, a rare result in the retail industry, which often takes a long time for new stores to achieve financial efficiency.

The rapid expansion of WCM is mainly concentrated in rural areas, which account for more than 60% of the country's population and are witnessing consumption levels increasingly approaching urban levels.

Bringing the modern retail model closer to this area not only helps increase the coverage of the system, but also clearly reflects the shifting trend in consumption: from traditional shopping to choosing more convenient, transparent and quality-controlled channels. This is also a factor that contributes to explaining why WCM's new stores can quickly achieve financial efficiency.

This chilled meat brand currently contributes 69% to total meat revenue at the WCM retail system (Photo: Masan).

In parallel, in July, the average daily revenue of the meat segment - Masan MEATLife (UpCoM: MML) at each store in the WCM chain reached nearly 2.3 million VND. If present at all 4,200 stores, the average daily revenue could reach nearly 9.5 billion VND.

In addition, this chilled meat brand now contributes 69% to the total meat revenue at WCM retail system, up from 62% in the second quarter and much higher than previous years. This shows the growing role of branded food in boosting revenue, and reflects the increasing modern consumption trend of people.

Despite recent positive business results, consumer and retail businesses still face many challenges. The domestic market is increasingly competitive with the participation of international corporations and the rapid expansion of many domestic chains.

New model at WinMart Tran Duy Hung supermarket, Hanoi (Photo: Masan).

In addition, opening hundreds of new stores each year means great pressure on operating costs, from rental space, logistics to human resources. In addition, fluctuations in input material prices can also affect profit margins, especially in the food industry. Therefore, to maintain sustainable growth, businesses need to expand their scale, optimize costs and manage risks effectively.

Source: https://dantri.com.vn/kinh-doanh/suc-mua-khoi-sac-masan-tang-toc-mo-rong-mang-ban-le-20250916084422166.htm