The Supra Corporation (Vietnam)

In 2022, Wincommerce General Commercial Services Joint Stock Company (a member company in Masan Group) established THE SUPRA CORPORATION (the subject). The subject is engaged in operating internal logistics system of WinCommerce. It digitizes the group's logistics platform, improving the efficiency of supplying goods from manufacturers to consumers. In first year of operation, the company handled 45% of WinCommerce's total commodities while the previous rate was below 30%, contributing to 13% reduction in WinCommerce's product supply costs.WinCommerce is considered as the largest nationwide modern retail company in Vietnam when owning WinMart supermarket chain and WinMart+ mini supermarket chain. Besides, WinCommerce also owns WinEco (the leading fruit and vegetable brand) is exclusively distributed at WinMart, WinMart+ supermarket chains. With 3,500 stores, WinMart and WinMart+ supermarkets covering 63 provinces and cities, logistics is considered an important link in Masan's retail ecosystem. Every month, WinCommerce provides goods to 30 million customers, connecting with a large network of domestic and international manufacturers. In last year's supplier conference, the company plans to open more than 1,500 new points of sale, bringing the scale of the entire chain to 5,000 supermarkets and stores in 63 provinces and cities, serving 100 million Vietnamese consumers.To operate this large-scale ecosystem, WinCommece's distribution centers operate under a centralized model, supported by modern technology. Accordingly, thanks to machine learning technology, the company builds a system capable of calculating, placing orders, and coordinating trips from the warehouse to the point of sale with quick time, optimal routes, and at the same time reducing transportation costs. This system applies artificial intelligence to resolve inventory or lack of goods at points of sale. Currently, the company operates 7 distribution centers (DCs) for Masan's dry goods and 9 distribution centers for fresh goods, operating nationwide. The proportion of dry goods delivered through the company's centralized warehouse in the first quarter of 2023 is approximately 60%. WinCommerce and the company aim to increase this proportion to 80% in 2023.Mr. Danny Le - General Director of Masan Group shared: "With the new supply system, by 2025, Masan's retail chain expects to save 66% of logistics costs, reduce 99 million transactions and improve logistics costs, improve EBITDA by 2-3%. The stock availability rate is always 96% or more, inventory is less than 20 days, delivery time is reduced to less than 2 days."Over the past 2 years, Vietnam Logistics has faced many challenges such as the COVID-19 epidemic, unfavorable macroeconomic conditions, and the war between Russia and Ukraine in February 2022, leading to supply chain disruptions and escalated inflation. As a result, large and small businesses have had to spend many logistics costs, thereby stifling revenue and profits. According to the Vietnam Logistics 2022 report, the Vietnamese logistics market has the participation of more than 5,000 businesses providing 3PL logistics services. Of these, 89% are domestic enterprises, 10% are joint venture enterprises, and 1% are 100% foreign-owned enterprises providing cross-border logistics services, with big names such as DHL, Kuehne +Nagel, DSV, DB Schenker,… Innovating the logistics system and applying technology platforms will be the key for businesses to break through and occupy an important market share in production and business activities. The birth of the subject applied by modern technology has helped Masan's logistics system become more optimal.