Trade & Distribution
As everywhere in Europe today, trading in Russia is present in two forms: "online" and "offline".
The trade called "online" or e-commerce has developed significantly in the last 5 years thanks to the progress in the Russian banking sector and the development of the delivery services. In 2013, E-commerce has enjoyed a 25% growth and projections for 2014 are of 30%. As indicated in these figures, it is a market with great potential and very promising for Western companies wishing to provide their expertise.
Regarding traditional commerce or "offline", the concepts of hypermarkets (10% of global market) or supermarkets and specialty stores (50% of the overall market to them 2) non-existent at the time of the USSR, have experienced rapid mutation in the 90's thanks to the import of Western models. This is the case of hypermarkets (Auchan appeared in 2002) located at the outskirts of large cities. There are also supermarkets (Perekriostok for example) and specialty stores in the city center on segments such as sport (Intersport), DIY (Leroy Merlin, Castorama ...) or housing (Ikea). The segment of discounters (magnit type) is itself considered to be saturated for foreigners because the network of kiosks, open markets and small convenience stores are still very popular in Russia.
Given the evolution of GDP and increasing Russian population, analysts predict many years of growth for these sectors. For example, Russia is already the largest market for the Auchan group, and e-commerce will become the first Russian market at European level by 2016.
Did you know?
- By the end of 2014, Russia will become the country with the largest retail area with over 19 million m²
- The Customs Union between Russia, Kazakhstan and Belarus comprises a market of 170 million consumers
- Armenia and Azerbaijan are candidates for accession to the Customs Union
- The human factor plays a crucial role in trade in Russia
- The "banya" remains one of favorite places to sign lucrative contracts
- Auchan is the largest private employer of Russia with over 35 000 employees against 57 000 in France