FairPrice Group reflects on its 50-year journey in the retail industry, tackling challenges and adapting to the needs of Singaporeans.
A Retailer’s Commitment to the Community and Sustainability
In its newly released book, The Price of Being Fair, FairPrice Group chronicles its remarkable evolution from a small, initially unwanted player in the retail industry to becoming Singapore’s largest and most trusted supermarket chain. The company’s journey is defined by its dedication to moderating the cost of living and ensuring the availability of essential goods for Singaporeans.
1. Responding to Crisis with National Perspective
FairPrice’s ability to respond to crises, such as the 2004 Avian Flu outbreak and the Ukraine war, showcases its commitment to Singaporeans. When Malaysia banned poultry exports in 2022, FairPrice stepped in to secure alternative sources for chicken and eggs—even at the risk of losing money. This decision highlights the company’s readiness to act in the national interest, ensuring consumers could access affordable food during shortages.
2. The Humble Beginnings
The story of FairPrice dates back to 1973, when the first NTUC Welcome supermarket opened in Toa Payoh. The aim was to counteract inflation and ensure affordable prices for Singaporeans. At the opening, founding Prime Minister Lee Kuan Yew underscored the importance of transparency in pricing, something FairPrice has carried through its evolution.
3. Facing Industry Rejection and Expanding Horizons
When FairPrice sought entry into high-end malls in the 1990s, it faced rejection. The retail industry deemed it too “mass-market” for premium locations. Rather than accept rejection, FairPrice became its own mall developer, launching Tampines Mall in a partnership with DBS Land. This marked the beginning of FairPrice’s ventures into property development.
4. Navigating Competition
The arrival of global retailers like Carrefour and Sheng Siong presented challenges, but FairPrice’s resilience ensured its success. It adapted by opening stores in locations where competitors failed, including launching FairPrice Xtra and Cheers, which introduced innovations like unmanned stores and 24-hour shopping.
5. Social Responsibility and Environmental Initiatives
FairPrice has always been proactive about its corporate social responsibility. It was one of the first retailers to halt the sale of shark’s fin products in response to online criticism, demonstrating its commitment to sustainability. Additionally, FairPrice led efforts in reducing plastic waste, saving 57 million plastic bags in 2022, and promoting the use of reusable bags long before legislation required it.
6. The Shift Towards Organic and Health-Conscious Products
FairPrice was a pioneer in introducing organic products to the market, launching the Pasar Organic label in 2008. This initiative made organic produce more affordable for the average Singaporean, underscoring FairPrice’s commitment to health-conscious and environmentally friendly options.
FairPrice’s journey reflects a company that has remained adaptable, socially responsible, and committed to meeting the needs of all Singaporeans. Through its innovative approaches, from battling food crises to reducing environmental impact, FairPrice has firmly positioned itself as more than just a supermarket—it is a key player in shaping the retail landscape and addressing the challenges of modern society.
