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Tupperware has become “best friend” with many Vietnam families during pandemic in 2021

December 17, 2021 - 10:43

“Our revenue accelerated significantly and we are now ahead of our 2021 target, but profits are below average compared to previous years. I don't think much about lower profit as profit and growth just come true when we are all safe," said Trang Do when looking back 2021

Our talk with Trang Do - CEO Tupperware Vietnam – not only about company's business activities, but also silence in between when thinking about Covid-19 in 2021.

“Our revenue accelerated significantly and we are now ahead of our 2021 target, but profit is below average compared to previous years. I don't think much about lower profit as profit and growth just come true when we are all safe," said Trang Do when looking back 2021.

Covid-19 pandemic is an unexpected “boost" for Tupperware Vietnam business

The pandemic was a vital test for all business in Vietnam in 2021. How did Tupperware do business during pandemic 2021?

Tupperware Vietnam's office is located in Ho Chi Minh City while our warehouse is located in Binh Duong.

Before Ho Chi Minh City applied social distancing policy, we launched big summer promotion and introduced many new products to Vietnam market, with hope of bringing excitement and product diversity to our consumers.

However, by end of June, Covid-19 got serious, especially in Ho Chi Minh City. This resulted in shape increasement in terms of demand for food containers as strict social distance requirement from government. In that time, with hope of little helping for consumers by food conservation, we decided to launch biggest promotion 40% off for our key product – set of fridge and freezer containers.

When Ho Chi Minh City applied social distancing policy, shipping within city as well as among provinces was very critical for business. How did Tupperware Vietnam do in this situation and deliver products to your consumers?

In fact, Ho Chi Minh City applied social distancing for 2-3 weeks and strictly prohibited shippers operation. After this strict period, Ho Chi Minh city allowed shippers to resume their operation with condition of 5K implementation and fully vaccination. Hence, we could continue to deliver products to our stores and stores could also deliver products to consumers.

By observing situation of Ho Chi Minh city, demand for food containers in many cities provinces and cities also increased sharply due to high demand to store food just in case of social distancing.

Therefore, to ensure shipping products to our stores, we accepted 2-3 times higher cost than usual for same-day delivery service shipping to provinces closed to Ho Chi Minh City and air shipping for remote provinces. Tupperware stores also used express shipping service to ensure products delivery to customers in spite of high shipping fee.

Our warehouse in Binh Duong also implemented “3 on the spot” policy and maximized quantity of workers for packaging Tupperware products.

Our warehouse workers had to work overtime continuously to complete orders during Pandemic peak time of Quarter 3 of 2021

Quote: “Sales & profits are no longer my top concerns during pandemic” (Trang Do - CEO Tupperware Vietnam)

It’s really difficult to maintain revenue during Covid-19. However, Tupperware is an exception. How did you balance profit with market situation?

When we launched biggest promotion 40% off for our key product – set of fridge and freezer containers, just within 3 days, we sold out all stock that we planned to sell till end of 2021.

Besides, as “3 on the spot” requirement for manufacturers/ factories and no innerbox supplyment as consequence, we could not have proper packaging for this key product. Therefore, even though we didn't want, we were very sorry to deliver and sell products to our consumers in non-woven bags, not in paper innerboxes as usual.

In July 2021, Tupperware Vietnam revenue increased about four times compared to July 2020. The key product set with 40% off recorded highest sale ever that was seven times higher compared to same period 2020. However, our profit did not increase in relevance with achieved revenue.

Despite high revenue but lower profit than average, I think increasing revenue in that time was no longer important in comparison with safety of business and consumers. We accept lower profit with hope of helping customers overcome the pandemic as business is just in operation when still having consumers.

Quote: “Lower profit forced us to reduce advertising costs and find proper way to reach customers with lowest cost” (Trang Do - CEO Tupperware Vietnam)

Do you think Covid-19 is a boost for Tupperware business’s growth in Vietnam market?

Covid-19 is an expected boost for Tupperware business but it was undoubtedly boost for Tupperware business in Vietnam. I have read many articles about consumer food storage that mentioned Tupperware products, even though our products are often at the bottom of ranking table in terms of price.

Despite of high price compared to same product category in Vietnam, big promotion for key product with lower profit forced us to reduce advertising costs and find proper way to reach consumers with lowest cost.

Our stores have kept continue to do livestream or videos to guide consumers how to use products, how to preserve food in proper, or how to prepare daily meal in quick and good way.

During pandemic, we definitely had more time at home and paid more attention to our home, especially our kitchens and family meals. I know some our stores and consumers were more creative in using Tupperware products than given guideline from Tupperware, thereby we actually had more useful tips on food preservation and cooking recipes. This was such very surprised for us!

Changing brand identity to enrich in store customer experience

Tupperware Vietnam has recently announced in store brand identity changing. What is the main reason for this changing and how Tupperware Vietnam implement this changing in next time?

Currently, we still keep previous in store brand identity for stores already in operation. For new in store brand identity, we apply for new store opening starting from November 2021. We will follow guideline for new in store brand identity from logo to design styles, as well as products display for best in store experience.

Previously, Tupperware Brands had stores in some countries, showrooms in others, some countries operated very flexible like America and this caused heterogeneity among countries. This standardization is expected to bring friendly look and feel for consumers whenever they go around the world. Especially, signature of each country still keep their own character in purpose of bringing excitement and diversity to consumers. For example, when in Japan, we have Sushi Maker or when in Korea, we have Kimchi Keeper or when in Europe, we have many products for baking. In November 2021, Tupperware Vietnam is very proud of first country introducing new in store brand identity to consumers in our 200th store in Ho Chi Minh city.

What is your opinion about this new brand identity of Tupperware?

With new brand identity, we expect to bringcomprehensive and advanced shopping experience with a comfortable and modern atmosphere to consumers,

Accordingly, products will be displayed by category with indentity order from main entrance. The product demo area located in centre of store is expected to welcome all consumers’ trial experience before making purchasing decisions.

 New identity message “Choose good everyday”, what is your implication for this message?

With this message, Tupperware has always brought real and distinct value for each product. The real value is reflected in safe and optimal food preservation solution and worldwide consumers’ verification for many years.

The distince value is product's intelligence as its technical function are optimally designed to keep food at its best when stored with Tupperware products.

Besides, well consultance, comprehensive in store experience, as well as after-sales and product warranty policy, are key values that also make Tupperware be different from other household products. These values have been, are and will always be core values of Tupperware Brands in more than previous 75 years.

Vietnam is still very potential for Tupperware

After 2 years of Covid-19, how do you think about growth for household products in Vietnam market in next time?

In my opinion, there is a great potential for development of high-end household products in Vietnam. Particularly, for Tupperware, most consumers only know about our "key" products – fridge & freezer food containers.

However, in fact, we have many product lines such as knives, water purifiers, water bottles, pots and pans, etc. or specialized containers for storing separated foods.

I hope that after gaining trust from key products, consumers will be more confident to trial other product lines that Tupperware Vietnam plan to launch in the near future.

Could you share more about Tupperware Vietnam's mid-term and long-term business strategy? Which market factors do you think that help Tupperware accelerate business growth?

We plan to expand market nationwide by opening more stores to serve more consumers in all provinces. Currently, Tupperware Vietnam has stores in more than 45 of 63 provinces and we will continue to expand our business to remoted provinces. 

Tupperware Vietnam will always support authorized business partners in terms of brand image, operational procedure and business optimization. Each store will become a trusted brand hub to support consumers to find information, shopping and enjoy after-sales service.

Additionally, we plan to introduce many new products such as healthcare products and other specialized products for cooking as well as diversified products for younger customers. Keep excitement of consumers by diversified product lines is our focus in next time.