Nguyen Dang Quang, chairman of the board of directors of Masan Group, speaks at its annual general meeting held in HCM City on April 24. — Photo courtesy of Masan
The Masan management has said it has a clear growth road map in place for the 2023-25 period with continued focus on its three core growth engines: network growth, member growth and wallet share growth.
Masan Group Corporation and two of its key listed subsidiaries, Masan Consumer and Masan MEATLife, held a joint annual general meeting in HCM City on April 24 with a shared theme, ‘Consumer of Things’.
Nguyen Dang Quang, the board chairman, told the AGM: “In 2022 Masan changed its mindset about both what we are doing and how we position ourselves. It's about being a service, experience and customer insightful company."
Danny Le, general director of Masan Group, said: “We will develop an omni-channel platform for consumer insights, products, services, and experiences to serve the needs of consumers."
He pointed out that Masan’s growth model first requires growing its physical stores network, leveraging its offline touchpoints to digitise and draw consumers “online” and expanding its portfolio of products and services to increase use cases and drive higher traffic.
In other words, the company’s strategic growth engines are network growth, member growth and wallet share growth.
These three growth engines are empowered by two strategic multipliers on a nationwide fulfilment and logistics platform (subsidiary The Supra) that delivers goods to consumers anywhere and at any time in the most timely and cost-efficient manner, with artificial intelligence and technology making Masan’s operations smarter and more automated at scale, he said.
A Masan’s WIN store. In 2022, Masan developed a breakthrough modern retail model, WIN store, to accelerate network and expand the wallet share. — Photo courtesy of Masan
A clear growth road map for 2023-25 remains firmly in place with continued focus on the three core growth engines.
Its target is to win modern trade share and partner with general trade channels to serve 30 – 50 million WIN members, scale up WIN membership on both offline and online networks to 30 – 50 million and expand and deepen more use cases beyond basic needs.
Masan aims to provide financial services to five million new bank customers in the next few years.
Fulfilment and logistics services The Supra and AI & Technology will power the company’s growth engines.
In 2023, Masan will launch Winnie, an AI – Smart PoS and AI-enhanced Demand & Supply planning, Le said.
Truong Cong Thang, CEO of Masan Consumer, presented Masan’s vision to build power brands and products, including redefining the scope of three brands – Chin-su, Omachi and Vinacafe – and taking them global.
By 2027, global businesses would contribute 15 per cent of Masan Consumer Holdings’ revenues, he said.
Masan would develop products meeting global/regional health and safety standards and with world-class packaging, the best technology/know-how for each category and superior tastes and flavours, he said.
The 2023 plans presented to shareholders expect consolidated net revenues of VND90-100 trillion ($3.8-4.3 billion), representing growth of 18-31 per cent.
The CrownX, Masan’s integrated consumer-retail platform that consolidates WinCommerce and Masan Consumer Holdings, is expected to remain the key driver of revenue growth in 2023 with more than 70 per cent.
It targets core net profit after tax and pre-minority interest (excluding one-off) of VND4-5 trillion, an increase of 4-30 per cent from last year.
In a declining scenario in which economic conditions are tougher than expected and a negative consumer sentiment persists, the management projects top line to grow at 10-15 per cent.
Masan will continue to actively explore alternatives in the capital market to extend its debt maturities, improve interest rates and unlock earnings by deleveraging. — VNS