For the third consecutive year, Vestcasa won the award for the most admired brand by consumers in the Home Goods segment of the Ibevar 2024 Ranking. The award, that will be officially delivered in August, analyze 120 companies in the national retail sector, which represent almost 30% of goods consumption in the country, disregarding vehicles
In addition to practicing truly low prices, one of the secrets to Vestcasa's success is its social and environmental responsibility. According to the Retail 2024 report, from the payment technology company Adyen, Brazil is the second country most concerned about the social and environmental commitment of retailers, response presented by 46% of consumers. According to the study, the majority of Brazilians (56%) would pay more for a product if the seller was transparent about the measures taken to reduce the impact on the environment
In the case of Vestcasa, in addition to the company fulfilling its role for the sustainability of the planet, the consumer still pays less, showing that the award received again from the Ibevar Ranking is not a result of chance. "We are very happy with this further recognition", celebrates Ahmad Yassin, founder and CEO of Vestcasa. "Our presence as the most admired company in the segment for the third consecutive year shows that we are on the right track".”
Green retail (really)
Network focused on the bedding sectors, mesa, bath, decoration, household utilities, food and drinks, a Vestcasaseems to have found the ideal formula to meet all the requirements of green retail. At the same time as, through various initiatives, reduces plastic waste, fabrics and other materials in the environment, can generate wealth – invoicing, jobs etc. –, providing people with lower purchasing power access to items that, sold under different circumstances, would be impossible to buy. A virtuous cycle of consumption
With a business model inspired by the American Costco, whose club members pay a fee to have access to a wide variety of items – from groceries and electronics to furniture and clothing – with promotional prices, Vestcasa created its own shopping club through which it offers truly competitive prices. The priority is top-tier brands and items."It is not about selling the product at the lowest possible price", explain Yassin. It is to sell the best possible product for the lowest possible price. Because the easiest way to lower prices is to reduce quality. And we don't like to do that.”
Long before the government struggled to try to lower the price of meat, Vestcasa was already bringing joy to lovers of a good barbecue. With headquarters in São Paulo and branches in Minas Gerais, Rio de Janeiro and Santa Catarina, the network offers the kilo of picanha for R$ 29,90 cans of beer for R$ 1 to the members of your shopping club. To be part of the club, which already has more than 1 million members, the consumer pays an annual fee of R$ 70, having the right to purchase products at exclusive prices and discounts of up to 70% compared to market values
According to Yassin, one of the company's secrets is to listen to the voice of its more than 10 million followers, number that, by the way, increases at a rate of over 11 thousand new fans per day on social media. "We monitor this a lot", very, very closely: what the consumer is saying, your satisfaction index, what does he want, reveals the founder. "Today, all the company's decisions are guided by what the consumer directs to us. Today, we don't need to do extensive research. Just listen every day to what this client is saying.”
Products without packaging
The Vestcasa, that was born green – it is the official color of the brand since its foundation, in 2008 –, maintains a series of initiatives related to sustainability. With the aim of reducing the environmental impact of its operations, the network adopted as a practice to sell products without plastic packaging or cardboard boxes. Per day, the network sells about 120 thousand sheets, all without packaging. If the consumer wishes to take the products in plastic bags, the company sells the bags separately, discouraging the option of using plastics by consumers. In total, when selling products without packaging, the company estimates to avoid the disposal of 120 tons of plastics in the environment each month. Per year, it's 1,4 thousand tons of plastic less
The strategy aims to reduce product prices and increase access for customers, in addition to contributing to the reduction of waste. In some cases, the price of the packaging can represent 70% of the item's value. The packaging does not only impact the visual of the product on the shelf. There is a cost to put the item inside the packaging, the increase in volume cubage, that directly impacts the increase in logistics and transportation costs, also leading to a higher storage cost, without taking into account, cost of the packaging project, two components of the packaging and the packaging production process, explain Yassin. "Our focus is to generate less waste". And increase consumer access.”
According to him, the biggest challenge for adopting the zero-waste sales model is connecting the customer who can understand the impact that packaging has on the entire chain. "A impact so great, so that you simply take the item home, "remove and throw away the packaging", Yassin's analysis. "When rationalizing the purchase", the customer ends up shedding the veil of marketing and seeks the best product, at the best price.
Sale of refurbished items
Aiming to reduce the disposal of products in the environment, while offering more attractive prices for customers, Vestcasa bets on selling defective products. Some are retired. Others, with almost imperceptible flaws, are sold at great discounts
Clothes like t-shirts, Bermuda shorts, dresses and pants with small defects are repaired by an external team and sold at lower prices – dresses that normally cost R$ 239, retirees leave for 39, and t-shirts for R$ 150, reformed, are sold for R$ 39,90. With a total of 14 thousand pieces already sold by November 2023, the strategy has already generated R$ 500 thousand in revenue for Vestcasa, with products that, in theory, would be discarded
In another sales front for defective items, products with minimal defects that would initially be discarded after failing quality control are sold as is, without reform or repair, at prices much lower than normal values. Until last November, more than 150 thousand pieces had already been sold in this model, generating revenue of R$ 6 million for Vestcasa
Another strategy within the sale of defective products is that the company rationalizes the defective items sold in kits. Example: if, in a set of six cups, one unit is broken and, in another cup game, two are damaged, the intact units are gathered into a new kit, integrally functional and perfect, avoiding the disposal in the environment of complete kits of products due to defects in some of their units. Another example: if a bed set has a frayed sheet and, in another, the piece with the problem is a pillowcase, the products in good condition are gathered in the same set, also avoiding the disposal in the environment of entire kits due to problems in just one of their parts
Recycled raw materials
Several of the products sold by Vestcasa are made from recycled raw materials. The fibers used in the manufacture of pillows, duvets and bedspreads are made from plastic sourced from the recycling of PET bottles. In the same way, some chair models, tables and storage boxes are made from recycled PET bottle plastic
Marketing of used products
Recently, Vestcasa has partnered with Salim Outlet, that maintains a space inside the megastore on Marginal Pinheiros, in São Paulo, where to resell cell phones, used notebooks and technology items with warranty. For the retailer, in addition to meeting consumer demand for cheaper products aligned with the idea of a circular economy, the initiative becomes a way to attract to physical stores – whose role has been questioned in light of the new global trade context – a broader audience. For consumers, the phenomenon provides more advantageous purchasing opportunities with the idea of contributing to environmental sustainability. AND, for sellers of used items, the strategy means freeing up space at home, combined with generating extra income. That is to say, as the sustainability manual dictates, everyone wins – including the planet
