Russian offline market of goods for the home has almost stopped growing
Source：Vedomosti
From：Taiwan Trade Center, Moscow
Update Time：2023/12/23
Sales of the largest DIY networks (do it yourself, home and construction goods) in the first half of 2023 increased by only 5.9% to 471.25 billion rubles. According to the analytical agency Infoline. His research notes that earlier this segment was developing more dynamically. In the first half of 2022, the market grew by 13% a year, and in January - June 2021.- by 31.6%.
At the same time, sales in the direction of DIY at marketplaces increased almost twice to 112.2 billion rubles. without VAT.
Ozon, for example, in the first half of 2023 was ahead of VseInstrumenty.ru and STD Petrovich in sales, behind only the industry leader, Leroy Merlin. While half of the largest DIY chains (STD "Petrovich", "Maxidom", "Baucenter", "Saturn", "Agava") reduced this figure (from -16.1% for "Maxidom" to -1.1% at Baucenter).
The largest marketplaces with a unique product offer and a high level of service are beginning to actively increase their share in those categories that were historically difficult for them, including DIY, says General Director «Infoline-Analytics» Mikhail Burmistrov. Online platforms are growing in that market share, on the development of which niche DIY retailers do not focus, says marketing director STD «Petrovich» Igor Kolynin.
First of all, it is a large assortment of goods for the home (bed linen, bathroom accessories, storage systems, etc.). And the volume of this related market, according to his estimates, is at least 600 billion rubles.
According to Kolynin, Ozon and other marketplaces are now taking market share from weak regional retail and companies that have not had time to build strong e-commerce.
Representatives of traditional retail also exhibit their products on the marketplaces, which helps them to increase turnover in this sales channel and remain in the market, says the representative of the online hypermarket «Tools.ru». But this leads to a shift in focus from offline stores and corporate clients. At the same time, at any time the supplier himself or another partner with the best price can enter the marketplace and take over the sales, which will negatively affect the business of the store itself, he points out.
The category of goods for construction and repair at Ozon market place this year grew by 2.8 times compared to last year, outperforming market dynamics, says the representative of the site. Wildberries growth in the DIY category for the first 11 months of this year was +163% compared to the same period last year, adds a representative of this marketplace. I. Ozon associates the increased sales with the dynamic commissioning of new housing in the last few years, as well as the desire of Russians to improve living conditions in existing apartments and cottages.
Source: https://www.vedomosti.ru/business/articles/2023/12/07/1009760-oflain-rinok-tovarov-dlya-doma-perestal-rasti