Summary
The online retail market in Russia is expanding at a rapid pace despite a gloomy economic environment. Cash-strapped Russian shoppers are looking for cheaper deals and value for money and in the process are purchasing more goods online, where cash on delivery is the most preferred payment method. Until recently, the country's tier I cities, such as Moscow and Saint Petersburg, were responsible for the majority of online retail sales in the country. However, improvements in internet infrastructure, affordable access to the internet, rising income levels, and increasing computer literacy, developing cities will be potential retail markets in the future.
Key Findings
- Retailers continue to strategize on multi-channel convergences to make the shopping experience more convenient and easy
- Rising cross-border sales fuelling Russian e-commerce growth
- Cash on delivery continues to be the most preferred and commonly accepted mode of payment among the Russians
- Rising internet penetration (70.5%) and increasing accessibility through mobile devices will open doors to the mobile shopping
- Electrical and electronics will continue to lead with a share of 51.6% of the overall online market in 2019, while health and beauty will be fastest growing category over 2014-2019
Synopsis
“Consumer Attitudes and Online Retail Dynamics in Russia, 2014-2019” provides data for historic and forecast online retail sales, and also includes information on the business environment and country risk related to the Russian online retail environment. In addition, it analyses the key consumer trends influencing the Russian online retail industry.
What else does this report offer?
- It provides in-depth analysis of the latest trends in online consumer shopping, covering the factors driving online shopping, consumer insights, market dynamics (covering 26 product categories), and reviews of the latest best practice in online retail site design
- Based on the latest data, the report not only provides details of the size and growth of this increasingly important channel, it also provides essential context on the penetration of online sales by product groups, how growth has developed over time, and key factors, with forecasts, that will drive this market in the future
Reasons To Buy
- Improve market and strategic planning using highly granular, forward-looking market data across 26 categories under nine product groups that include: Apparel, Accessories, Luggage and Leather Goods, Books, News and Stationery, Electricals and Electronics, Food and Grocery, Health and Beauty, Furniture and Floor Coverings, Home and Garden Products, Music, Video and Entertainment Software, and Sports and Leisure Equipment
- Understand which products will be the major winners and losers in the online arena in the coming years
- Get an in-depth analysis of the latest trends in online retailing in the US, covering the factors driving online spending across the categories
- Learn from best practice approaches outlined in the case studies of leading online retailers by exa7 their unique retailing attitudes and review innovative retailers, providing insights and ideas to remain competitive and profitable
Table Of Contents
1 Introduction
1.1 What is this Report About?
2 Executive Summary
3 Market at a glance
4 Consumer Insight: Online Shopping Attitudes and Behaviors
4.1 Overview of Russia Online Shopping Environment
4.1.1 Increasing internet penetration will help the growth of online retailing
4.1.2 Growing broadband service adoption will improve online shopping experience
4.1.3 Russia's poor logistical infrastructure is forcing online retailers to invest in building their own product delivery system
4.2 Consumer Attitudes and Behaviour
4.2.1 Multi-channel retailing gaining ground among the retailers
4.2.2 Social media provides ample opportunity for online retailers to engage customers
4.2.3 Offshore retail purchases increased as consumers preferred international retailers
4.2.4 Increasing popularity of internet access through mobile devices will open doors to mobile shopping
4.2.5 Cash on delivery is the most popular mode of payment
4.2.6 Rising number of urban middle class population will fuel the growth in online retail
5 Online Channel Dynamics
5.1 The Online Channel's Share of Total Retail Sales
5.1.1 Russia online vs. offline channel forecasts
5.1.2 Online penetration: global and regional comparisons
5.2 Channel Dynamics
5.2.1 Russia retail channel dynamics - future performance
5.2.2 Channel group share development
5.2.3 Individual channel performance
5.3 Category Dynamics
5.3.1 Online vs. offline retail sales comparison by category group, 2014
5.3.2 Online retail market dynamics by category
5.3.3 Online retail sales share by category group
5.3.4 Online retail sales growth by individual category
5.3.5 Food and grocery categories: market size and forecasts
5.3.6 Electrical and Electronics categories: market size and forecasts
5.3.7 Music, video, and entertainment software categories: market size and forecasts
5.3.8 Apparel, accessories, luggage and leather goods categories: size and forecasts
5.3.9 Books, News and Stationery categories: Market Size and Forecasts
5.3.10 Sports and Leisure equipment categories: market size and forecasts
5.3.11 Furniture and floor coverings categories: market size and forecasts
5.3.12 Home and Garden categories: market size and forecasts
5.3.13 Health and Beauty categories: market size and forecasts
6 Case Studies: Leading Online Retailers in Russia
6.1 Retailer 1: Utkonos
6.1.1 Business description
6.1.2 Site experience
6.2 Retailer 2: Ozon
6.2.1 Business description
6.2.2 Site experience
6.3 Retailer 3: Wildberries
6.3.1 Business description
6.3.2 Site experience
6.4 Retailer 4: M.Video
6.4.1 Business description
6.4.2 Site experience
6.5 Other Innovative Retailers in Russia
6.5.1 Mango Russia
6.5.2 E5.ru
6.5.3 Shoppable walls from Media Markt
7 Appendix
7.1 Definitions
7.1.1 This report provides 2014 actual sales; while forecasts are provided for 2015 - 2019
7.2 Summary Methodology
7.2.1 Overview
7.2.2 The triangulated market sizing method
7.2.3 Industry surveys in the creation of retail market data
7.2.4 Quality control and standardized processes
7.3 About Conlumino
7.4 Disclaimer
List Of Tables
Table 1: Online Retail Sales in Russia, 2014 and 2019
Table 2: Russia Online vs. Offline Retail Sales and Forecast (RUB billion), 2009-2019
Table 3: Russia Online vs. Offline Retail Sales and Forecast (US$ billion), 2009-2019
Table 4: Russia Online vs. Offline Retail Sales and Forecast (% Share), 2009-2019
Table 5: Russia Online Sales vs. Global Average, 2009, 2014 and 2019
Table 6: Russia Online Sales vs. Central and Eastern Europe, 2009, 2014 and 2019
Table 7: Russia Overall Retail Segmentation (RUB billion) by Channel Group, 2009-2019
Table 8: Russia Channel Retail Sales and Forecast (RUB billion) by Channel Group, 2009-2019
Table 9: Russia Channel Retail Sales and Forecast (US$ billion) by Channel Group, 2009-2019
Table 10: Russia Channel Retail Sales and Forecast (% Share) by Channel Group, 2009-2019
Table 11: Russia Channel Retail Sales and Forecast (RUB billion) by Channel, 2009-2019
Table 12: Russia Channel Retail Sales and Forecast (US$ billion) by Channel, 2009-2019
Table 13: Russia Retail Sales Split (RUB million), Online vs. Offline, 2014
Table 14: Russia Retail Sales Split (US$ million), Online vs. Offline, 2014
Table 15: Russia Online Market Dynamics by Category Group, 2009-2019
Table 16: Russia Online Retail Sales and Forecast (RUB million) by Category Group, 2009-2019
Table 17: Russia Online Retail Sales and Forecast (US$ million) by Category Group, 2009-2019
Table 18: Russia Total and Online Retail Sales in Food and Grocery Categories (RUB million), 2009-2019
Table 19: Russia Total and Online Retail Sales in Food and Grocery Categories (US$ million), 2009-2019
Table 20: Russia Total and Online Retail Sales in Electrical and Electronics Categories (RUB million), 2009-2019
Table 21: Russia Total and Online Retail Sales in Electrical and Electronics Categories (US$ million), 2009-2019
Table 22: Russia Total and Online Retail Sales in Music, Video and Entertainment Categories (RUB million), 2009-2019
Table 23: Russia Total and Online Retail Sales in Music, Video and Entertainment Categories (US$ million), 2009-2019
Table 24: Russia Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (RUB million), 2009-2019
Table 25: Russia Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (US$ million), 2009-2019
Table 26: Russia Total and Online Retail Sales in Books, News and Stationery Categories (RUB million), 2009-2019
Table 27: Russia Total and Online Retail Sales in Books, News and Stationery Categories (US$ million), 2009-2019
Table 28: Russia Total and Online Retail Sales in Sports and Leisure Equipment Categories (RUB million), 2009-2019
Table 29: Russia Total and Online Retail Sales in Sports and Leisure Equipment Categories (US$ million), 2009-2019
Table 30: Russia Total and Online Retail Sales in Furniture and Floor Coverings Categories (RUB million), 2009-2019
Table 31: Russia Total and Online Retail Sales in Furniture and Floor Coverings Categories (US$ million), 2009-2019
Table 32: Russia Total and Online Retail Sales in Home and Garden Products Categories (RUB million), 2009-2019
Table 33: Russia Total and Online Retail Sales in Home and Garden Products Categories (US$ million), 2009-2019
Table 34: Russia Total and Online Retail Sales in Health and Beauty Categories (RUB million), 2009-2019
Table 35: Russia Total and Online Retail Sales in Health and Beauty Categories (US$ million), 2009-2019
Table 36: Russia Exchange Rate RUB-US$ (Annual Average), 2009-2014
Table 37: Russia Exchange Rate RUB-US$ (Annual Average), 2015-2019 Forecasts
Table 38: Conlumino Retail Channel Definitions
Table 39: Conlumino Retail Category Definitions
List Of Figures
Figure 1: Share of Online Retail Sales in Total Retail Sales, 2014 and 2019
Figure 2: Total Internet Users and Penetration, 2009-2014
Figure 3: Total Fixed Broadband Subscribers and Penetration, 2009-2014
Figure 4: Russian Social Media Market Insights
Figure 5: Use of Mobile Devices in Russia is on the Rise
Figure 6: Regional Fixed Broadband Users and its Penetration, 2012 and 2017
Figure 7: Regional Mobile Broadband Users and its Penetration, 2012 and 2017
Figure 8: Russia Online and Offline Retail Sales and Forecast (RUB billion), 2009-2019
Figure 9: Russia Online Sales vs. Global Average (% of Total Retail)
Figure 10: Russia Online Sales vs. Central and Eastern Europe Countries Average (% of Total Retail)
Figure 11: Russia Overall Retail Market Dynamics by Channel Group, 2009-2019
Figure 12: Russia Retail Sales and Forecast (RUB billion) by Channel Group, 2009-2019
Figure 13: Russia Retail Sales, Online vs. Offline, 2014
Figure 14: Russia Online Market Dynamics by Category Group, 2009-2019
Figure 15: Russia Online Retail Sales and Forecast (RUB million) by Category Group, 2009-2019
Figure 16: Utkonos - Home Page
Figure 17: Utkonos - Product Category Page
Figure 18:Utkonos: Customer reviews
Figure 19: Utkonos: Delivery options
Figure 20: Ozon - Homepage
Figure 21: Ozon - Category Page
Figure 22: Ozon - Product View
Figure 23: Ozon: Customer reviews
Figure 24:Ozon: Mobile apps
Figure 25: Wildberries: Homepage
Figure 26: Wildberries: Organization and layout
Figure 27: Wildberries: Compare and browse products
Figure 28: Wildberries: Loyalty schemes
Figure 29: Wildberries: Customer reviews
Figure 30: Wildberries: Payment options
Figure 31: Wildberries: Delivery options
Figure 32: Wildberries: Apps
Figure 33: M.Video: Homepage
Figure 34: M.Video : Organization and layout
Figure 35: M.Video: Compare and browse products
Figure 36: M.Video: Loyalty schemes
Figure 37: M.Video: Customer reviews
Figure 38: M.Video: Delivery options
Figure 39: Mango - Lookbook
Figure 40: E5 - Wide Range Of Delivery Options
Figure 41: Media Marts shoppable walls in Moscow's subway
Figure 42: The Triangulated Market Sizing Methodology
