Distance Selling Digest_6_issue
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  • 1. 6th Issue December 2011 CROSS-BORDER DISTANCE SELLING IN UKRAINE: INFO DIGEST Dear Colleagues, We, the Ukrainian Direct Marketing Association, are glad to wish you a Merry Christmas and a Happy New Year. We wish your business a very successful and prosperous New Year 2012, and your achievements and triumphs to inspire wonder of the public. Valentin Kalashnik, President of UDMA MarKeT NeWs Mail orDer aND e-CoMMerCe MarKeT iN uKraiNe Ukraine still remains Terra Incognita for a large majority of Eu- Diagram 1. Capacity of the mail-order market in Ukraine ropean companies specialized on the mail order. Meanwhile, in mln EUR, in 2003-2012. it is the largest country in Europe (if not to consider Russia 40% as European country with its greater part laying in Asia) with 462,5 undersaturated traditional retail markets as well as mail order and e-commerce sales. 31% 330,4 The market of mail order in Ukraine is one of the most dy- 74% namic and perspective. This segment even on the peak of 252,8 the global financial crisis showed a positive growth in UAH 8% equivalent. The negative dynamic index of 2009 is connected 26% 11% 32% 151,7 164,0 with a sudden devaluation of Ukrainian national currency in 35% 145,4 28% 120,4 late 2008. But already in 2010 the market had stabilized and 91,2 showed the growth that made 74% in EUR equivalent. Ac- 67,4 52,6 cording to the experts’ predictions, an active growth of the inside sales market (by 30% annually) will be observed in the next 3-4 years. 2003 2004 2005 2006 2007 2008 2009 2010 forecast forecast for 2011 for 2012 Capacity of the Ukrainian e-commerce market was approxi- mately 383 mln EURO in 2010, according to the data Appleton Source: Ukrainian Direct Marketing Association, www.uadm.com.ua STENDERS Company MILANA engaged in In the nearest two According to Econo- A third shop of engaged in produc- sale of women’s foot- years MANGO com- mist Intelligence Unit American brandoNe-liNe NeWs tion and sale of wear has decided to pany plans to intro- Kyiv entered the GAP, represented by natural cosmetics is find partner franchi- duce on the Ukrai- rating of the best the company GAP planning to open not sees in Ukraine. nian market shops of European cities for Ukraine LTD., will be less than 15 shops in men clothes MANGO shopping-tourism, opened in November Ukraine before the HE and accessories it took 27th place in Ukraine (Kyiv). year 2015 thus bring- MANGO TOUCH. among 33 cities. ing their total number up to 25.
  • 2. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011Mayer. Meanwhile, according to the experts, the market shows It should to be mentioned that a DirectTV niche is almost free20-30% growth annually. in Ukraine. Currently this segment is represented by ten compa- nies, however only two of them, Studio Moderna and Telemedia,Today there is more than a dozen big international companies which control near 80% of the market, firmly occupy top posi-specialized in mail order, successfully working in Ukraine. And tions in this sphere. Such a conjuncture gives foreign companieshaving analyzed the tendency of the last decade, we may con- wide opportunities to approach the TV-commerce market.firm that 1 or 2 international mail order companies annuallycome to Ukrainian market. But if we speak about the e-shops, irrespective of active devel- opment of e-commerce in Ukraine, this market has not beenMost distance purchases make clothes and shoes (36.4%), saturated yet. Thus, according to the International career por-books and magazines (23%), and electronic consumer goods tal hh.com.ua, in customers’ opinion, currently we have lack(20.3%). Sales of cosmetics and body care products make of e-shops, offering food products (36.4%), clothes and shoes9.1%, furniture and household appliances – 7.4%, the other (25%), household appliances (22.8%), gift products (18%),kinds of goods – near 4%. books and leisure products (16.6%).Diagram 2. Chronology of international inside sales companies’ entry into Ukrainian market, 2000-2011 2003 2004 2005 2006 2007 2008 2009 2010 2011Source: Ukrainian Direct Marketing Association, www.uadm.com.ua and pricing. Indeed, irrespective of the general trend to theCustomer’s portrait growth of the value of ordered goods as well as people’s pur- chasing capacity, the average salary in Ukraine, like in otherThe Ukrainian customers of mail-order companies are mainly developing countries is lower than in Europe and make ap-women (57%). Herewith, Ukrainians 20 - 45 years of age most proximately $ 350.frequently become the clients of mail order companies. Andthe older a client, the greater chance that he will become anactive client. An average check amount of a typical wage Ukrainian bears witness of it. Thus, according to the data of Ukrainian DirectIt is noteworthy that from the soviet times when Ukraine was Marketing Association, during 2010-2011 each Ukrainian at av-a part of USSR and experienced an acute product shortage, erage spent EUR 55.5 for purchasing of textile/clothes/shoes,Ukrainian customers still have a habit to have trust in quality EUR 34.5 – for cosmetics, EUR 47.8 – for household applianc-of products of European origin. At the same time, unlike Eu- es, and EUR 72.9 – for other products (electronic appliances,ropean customers, Ukrainians take a long delivery term, which books, etc., which were not included into previous groups).usually takes a month, with understanding and are more loyalto the inside sales companies. Continuation of the article – in next issue of Mail order Di- gestBut in the meanwhile, for successful work on Ukrainian mar-ket an operator is to correctly select the collection of goods source: www.distanseselling-ua.comCusToMers’ beHavior iN iNTerNeTaND DevelopMeNT oF e-CoMMerCe iN uKraiNeThe Search system Yandex has made the analysis of custom- the web-site of the mail order operator Bonprix.ua (9%), Goog-ers’ behavior in internet and development of e-commerce in le search engine (8%), Ebay.com (7%), Yandex and Price.ua (5%Ukraine. The research can be conveniently divided into three each), Hotline.ua (4%) closes the top-10 rating.parts: shops, the most popular goods, and competition. Among the most crucial factors that influence the choice of e-According to the company TNS, answering the question where shop are its reliability and the feedback. The way and terms ofthey will choose and purchase goods, in 33% of cases Ukrainiansname the shop Rozetka (household appliances and computers), delivery as well as the price occupy the second place. Noveltymore rarely – 17.14 and 10% accordingly go for Emarket.ua ( e- of goods and shop location play the last role. Even 16% of citi-board of free advertisement), Aukro.ua (internet-auction), and zens in the capital, where there is a great number of shops, or-Torg.ua (e-board of free advertisement). These are followed by der goods in other cities, in regions this number reaches 80%.FresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 2
  • 3. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011Almost a half of users come to the sites of e-shops via theinternet advertisements, on-line and off-line shops have directtraffic, but only the high rollers who promote themselves inthe search systems have their search traffic (but they make alow per cent).Near 90% of users read the page about delivery, one in fivelooks through the contact information, and 20-70% (depend- 20ing on the shop) of consumers do not reach the end of good’sordering. 12In the second part of the investigation the specialists studied the 15most popular products. The diagram shows, what purchases, 30both on-line and off-line, consumers made during the last year.The major part of internet users chooses products exactly ine-shops, and purchase them there as well. The construction 64 165materials and bathroom fitments, which are more frequentlybought off-line, made the only exception.The major part of “on-line customers” still prefers to pay in 40cash. The electronic payments are less popular when purchas- 280ing the construction materials, but the books, in the contrary, 60are frequently paid for with a card.In order to find out, which categories of products are sellingeasier, the analysts counted the correlation “number of shops/number of customers” (the figure in parenthesis near the productcategory are the data of Yandex.Market). A red arrow means ahigh competition but a low number of clicks, a green one meansa low competition with a high demand. It is interesting that thenumber of shops selling vacuum cleaners and laptops are nearlythe same, but the demand for the latter is in 4 times higher. source: www.ain.uavoluMes oF e-CoMMerCe TraDeiN uKraiNe iNCreaseD THis auTuMNDuring autumn 2011 Ukrainians more often purchased clothes, The most popular product groups*footwear, computers and mobile phones in Internet. Change of Change of As the editorial board of TradeMaster portal was informed, demand in offer in au-according to the survey, held by the analysts of all-Ukrainian autumn 2011 tumn 2011 Product groupinternet-auction Aukro.ua, the greatest number of operations in com- in compari-during the autumn season demonstrated the same categories parison with son with of goods which were active during the whole summer. summer summerThree leaders, which have sufficiently increased the sales Clothing, footwear and +39% +6%volumes in the last three months, are the following catego- accessoriesries: «Clothing, footwear and accessories» – 39%, «Laptops Laptops and computers +31% +10%and computers» – 31%, and also «Mobile phones and smart-phones» – 29%. Mobile phones and +29% +26% smartphonesThe category «Collecting» also showed a sustainable growth.The sales volumes in this category grew by 20% in comparison Collecting +20% +10%with the summer period. * Data provided by Aukro.ua as of November 27, 2011.Nevertheless seasonality has made allowances in general dy-namic of the growth of sales in separate product groups. For Meanwhile, according to the expert, n comparison with coun-example, in category «Sport, tourism» the level of demand re- tries of Western Europe and North America, where internetmained unchanged, i.e. on the «summer» level. trade actively covers near 80-90% of population, Ukrainian e- commerce segment in the nearest future will face a rash devel-«E-commerce penetration rate to everyday life of Ukrainians is opment; there are all prerequisites for it.best of all reflected by continuously growing demand behav-iour towards almost all product categories, - Dmitrii DZYGOV- Consolidated figures for September-November and June-Au-BRODSKYI, a head of Aukro.ua analytics department. – Today gust 2011 are compared.one in two internet-users in Ukraine has purchased or sold inNet at least once in life». source: www.trademaster.com.uaFresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 3
  • 4. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011WHaT FooTWear Do uKraiNiaNs buy? Alexander Borodynya noted that last year 109 mln pairs of shoes were imported from China, among them only 6% of genuine leather. “It means that today 70% of footwear on the market is from China and almost all of it is of artificial leather”, he said. At the same time according to enquiry almost three fourths of Ukrainians are sure that they buy footwear of genuine leather. In this context the Footwear Manufacturers League called for acceleration of the Cabinet of Ministers Decree introduction concerning compulsory specifying of the leather type the foot- wear was made of.Today 70% of pairs of shoes in Ukraine were manufactured By the way. The Cabinet of Ministers of Ukraine has alreadyof artificial leather and imported from China. This was said by issued the Decree which envisages that a commodity manufac-Alexander Borodynya, the President of the Footwear Manufac- turer must specify the material the footwear is made of. Theturers League, during the round-table talk on the topic “Pre- Decree will become valid in January 1-st, 2013.vention of law on economic competition protection violationson non-food markets”. source: www.proretail.infouKraiNiaNs speNT For eleCTriCal gooDsby 25% More THaN iN a previous yearAccording to the investigation made by GfK Ukraine in Q3 of drying machines, the product categories of large household ap-2011 Ukrainian market of household appliances and electronics pliances showed their growth by 16%. The groups of freezinghas grew by 25% in comparison with the Q3 of 2010. “IT-sector chambers and washing machines have demonstrated the bestand the large appliances sector still provide the biggest sales indices of growth, equal to 34% and 23% respectively. The oth-volumes, with its aggregate share making a half of total sales er groups were demonstrating almost identical dynamics: theof household and electronic appliances. At the meanwhile IT- growth of sales made 11-20%.sector continues to boost its share, which enables us to assumeits chance to take a leading position”, - the company admitted. The telecommunication equipment segment showed a mod- erate increase by 15%. Mobile phones still remain the big-The third quarter usually characterizes with a high sales level gest group on this market (with 60% share). At the same timein the IT-sector, because August-September are the “back- smartphones are onwards and upwards at a great pace – their share increased by 91.7% and makes now 37% that is equal toto-school” months, when IT-products are especially popular. 821 million UAH (approx. $103 mln).The segment of photo appliances also shows rather positivegrowth (30%) while being one of the smallest segments of Irrespective of pessimistic forecasts that 2011 would be chal-household and electronic appliances market. lenging both for retail sellers and customers, the third quarter became a successful continuation of a current year. “A sufficientThe common market of household and electronic appliances growth is observed on all markets, starting from the absolutehad been gaining momentum since the beginning of the year leader – a sector of information technologies, than has grownand now it constitutes near 11 billion UAH (approx. $1,4 bln). almost by a half. The market of household appliances and pho-The sales of small household appliances in Q3 of 2011 made tomarket showed a considerable growth with their sales vol-0.63 billion UAH (approx. $79 mln), that is by 13% more than in umes increased by one third. Basing on the positive estimationQ3 of 2010. As before a customer is interested in coffee-making of a current situation it may be assumed that the year-end willmachines. From July till September the number of sold made be as successful as its beginning”, - the investigators confirm.by 37% more than in the same period in 2010. Except for thesmallest according to the sales volumes groups of washing and source: www.delo.uaFresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 4
  • 5. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011uaDM speCialuDMa Has esTiMaTeD THe MarKeT voluMesoF DireCT MarKeTiNg iN 2011Ukrainian Direct Marketing Association (UDMA) has estimated A sufficient growth will be also observed in the segment of da-the volumes of direct-marketing (DM) in 2011 and represented tabases. It is predetermined, among the other factors, by stabili-the forecasts for 2012. zation both after a «feverish» period of adoption of the Law of Ukraine «On Personal Data Protection» and the increase of theAccording to the Association, in 2011 the DM market in- cost per unit of addresses, contained in the personal informationcreased by 20% in comparison with the previous year and databases, organized in a strict compliance with the said law.made 1,141.90 million UAH. The sphere of Call-Centres (CC)showed a particular development: its growth made 31%. It Fore-became possible owing to the opening of new CC-platforms Changes Total in Total cast and ramping-up of the volumes of regular market players. By in com- 2010, in 2011, for quantity the segments of address and non-address direct mail parison million million 2012, demonstrated insignificant growth, but in money equivalent with uAH uAH million their volumes increased by 13 and 18% accordingly mainly due 2010, % uAHto the growth of postal tariffs. Direct market- ing, including The growth of service providers’ and customers’ marketingcompetence has positively influenced the «creative, consulting, Addressand management projects» segment, which increased by 35%. 230,4 271,50 +18% 305,00 direct mailIn 2011 experts admit that the market of address databases Non-Address 183 206,80 +13% 228,00has declined by 31% that is mainly connected with fearfulness direct mailof the market players and their incomprehension of a new Data bases mar-Law of Ukraine «On Personal Data Protection» as well as ac- 5,94 4,10 -31% 5,70 kettive development of different partner projects, which enableto build up a communication with potential customers without Creative, consult-exchange of personal information databases. ing and manage- 37,6 50,60 +35% 60,50 ment projectsIn 2012 the UDMA experts predict the growth in all DM direc- Call-Centrestions. This will be promoted by the following factors. «First of 220 294,80 +34% 347,00 servicesall, the «natural» growth of a demand for DM services, - Va-lentyn Kalashnyk, the President of Ukrainian Direct Marketing Production of ma-Association explains. – Secondly, the parliament elections and terials for address 238 276,00 +16% 308,00Football Championship Euro-2012 will become additional fac- direct mailtors influencing the use of address and non-address direct mail Attachments toand call-centre services. Thirdly, there remains a sustainable printed publica- 32,7 38,10 +17% 43,50tendency for new big European market players, who naturally tionsuse the whole range of DM-services, to enter Ukrainian dis-tance selling market. Meanwhile, the companies specialized in Total: 947,64 1 141,9 +20% 1 297,7mail order that have been already working on the market con- *1 EURO = 10,4 UAH, 1 dollar = 8,00 UAHtinue to boost their marketing powers (this applies especiallyto the attachments to printed publications)». source: www.distanceselling-ua.comlegislaTive NeWsTHe CabiNeT oF MiNisTers oF uKraiNeoFFers To regulaTe THe aCTiviTy oF e-sHopsThe Cabinet of Ministers of Ukraine offers the Verhovna Rada to execute and store documents related to their business activ-of Ukraine to regulate the activity of e-shops. A corresponding ity (including sale-purchase of goods).draft law “About internal trade” was approved by the govern-ment on October 12. Otherwise strict punitive measures will be applied to them. Here we don’t speak about storage facilities as those prod-It offers to determine the peculiarities of organization of e- ucts for sale may be stored on the partner’s facilities, if, for in-shops in separate article of a law. Particularly, it is determined stance, we mean such goods as household appliances, kitchenfor entrepreneurs to obligatorily have office, where they have tabletops, books etc.FresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 5
  • 6. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011 Also there was developed a special norm in the Draft Law that bans e-selling of medicines. Government Plenipotentiary for de- regulation of economic activities Mikhail Brodsky admitted that the greatest problem of e-selling lies in so-called one-day sites, by means of which fids of rubbish and adulteration are “off- loaded”. As a result of such a pseudo-business, absence of any warranties and liabilities legally acting e-shops, which sell quality products and pay all taxes are affected and, finally, they are not able to compete with unfair business practices. Currently the draft law is under follow-up revision in the Cabi- net before it will be submitted to the Verhovna Rada. According to the agency, the Ministry of Economy has admitted the necessity to regulate by law activity of e-shops as far back as March 2009. Andriy Blyzniuk, a Deputy Minister of economy at that time, noted that internet trade was only regulated byIt is also planned to lay entrepreneurs under an obligation that the law “On protection of consumers”, and the Ministry ofthey should provide customers with information about their Economy was drafting the law “On internal trade”, coveringname, location, state registration, availability of patent or licence, global approach towards the internet-trade regulation.goods and terms of sale-purchase agreement by means of publi-cation in catalogues, booklets, prospects, and in Internet. source: www.bin.uaTHe NeW TraDe legislaTioN Will eNable THe MajoroNliNe sellers To iNCrease voluMes oF salesBefore the end of the year the Ukraine is expected to alter sue. Only minor private traders, who nowadays normally keepthe regulations for virtual trade. The appropriate draft law is their stock at home, will have to conquer new expendituresalready registered in parliament. The internet-shops will thusundertake to arrange for relevant offices and storage facilitiesas well as to provide the buyers with all the information as tolicenses and patents. In the opinion of some experts the pokyonline shops will have to close or work illegally.At the same time the big networks will increase the volumes oftheir trade and as a result will be able to lower the prices. Inthis way, the manager of Internet project Rozetka, Mr. VladislavChechetkin, believes, some enforcement of the state regula-tion will definitely benefit the online traders. In a guess of thebusinessman, the new principles will add up to a reductionof over-the-top level of fraudulence in the network. Besides,the representatives of major operators of the online trade be-lieve that the prices may even go down in case only major andmedium-sized traders remain in the market. Reduction in thenumber of online trade participants will lead to a fact that theremainder internet–shops will increase their turnover since thistrade channel has already its own permanent audience who for a rent. Besides that, a major operator is to easier handlewill not go to nowhere. the functionality of his business. For example, there is always a possibility for big internet shops to provide non-cash transac-The remaining shops will have to deal with more orders, to tions with use of bank cards, while small traders mostly acceptcarry out more discount actions, to order more products. And cash payments. The pricing policy in a new regulatory realitieswith procurement of big wholesale batches of goods such an will mainly depend on business appetites and competition inoperator will be able get a more significant discounts from the market.importers or manufacturers. Moreover, for the major opera-tors the availability of warehouses is not an out-of-the-blue is- source: www.ua-retail.comFresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 6
  • 7. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011iNTerNeT NeWsWebMoNey Has sTarTeD To aCCepTpayMeNTs THrougH TerMiNals, baNKsaND iNTerNeT baNKiNg iN uKraiNeNow any website connected to the WebMoney system may amount deposited is not enough to pay for the acquisition, theaccept payments from any payment terminals in Ukraine. After customer will receive SMS noting the amount necessary to paychoosing the payment through terminal option on a website to the same account number.a customer will receive SMS with a payment code. Then heshould choose WebMoney on any payment terminal and enter WebMoney underlines that the benefit of this solution is thethe received code instead of the purse number. After deposit- typical program interaction between a website and Web-ing the seller will receive a message about the accepted pay- Money: web shops and sites where WebMoney acceptance isment. Payments may in the same way be accepted through already connected may start accepting money from terminals,partner banks` cashes. cashes, Internet banking without any adaptations. It is enough only to turn on the relevant option in the settings.“This will infinitely extend the payment audience of a websiteas a customer will need no WebMoney registration”, the com- For seller the acceptance of such payments looks absolutelypany says. the same as the acceptance of payments from WebMoney purses except for some peculiarities. Besides, this method mayThe customer will pay the acquisition cost plus terminalbankcommission fee. The commission fee differs depending on the be used to pay only for the acquisitions which may be invoicedchosen method, therefore it is recommended to pay 10% more in UAH (WMU). The payment is accepted to the seller`s U-of the cost just to be on the safe side. If the amount deposited purse. The payment may be made only in Ukrainian terminalsis more than the acquisition cost + terminalbank commission (any ones), cashes and Internet banking of the banks listed.fee, then the change will be credited to the WebMoney Checkand may be used for online acquisitions. And vice versa, if the Source: www.ain.uaCHilDreN gooDs, WHiCH are NuMber oNeiN iNTerNeT aMoNg uKraiNiaNs owadays, a growing number of requested children products. From among the toys parents Ukrainians who have children most often buy interactive games, educational toys, namely order all necessary goods for sorters and playing carpets. them in e-shops. Exceptionally high percentage of purchases Sterilization installation for feeding bottles, heating device for is accounted for by regions. feeding bottles, yoghurt maker and blander belong to the Where there are few shops of- most popular household appliances searched by parents in fering a wide range of children Internet. products from distinguished manufacturers. It is worth to be mentioned that consumers of children e-shops are the most active participants of discussions of products on The price comparison system the web-sites. One in two users who bought a children prod- Vcene.ua carried out an in- uct in the net scurry to share their opinion on a children prod- vestigation among its users uct with others.and studied out, what children products are most frequentlybought in Internet. Reference: The price comparison system Vcene.ua belongs to the group of companies Allegro (aukro.ua, emarket.ua, prom.According to investigation data the most popular categories ua, slando.ua), the biggest holding in the sphere of electronicof children products among users of the price comparison sys- commerce on UA.net. Today Vcene.ua occupies a leadingtem are baby carriages and accessories to them, children feed- position among price comparison sites operating in Ukraine.ing chairs, and playpens. Near 100 thousand people visit the site Vcene.ua every day. A key purpose of the system is to give users an opportunity toThe most popular models of carriages, which were searched compare prices for goods, to estimate the operation of everyby parents on web-site Vcenе.ua in September 2011 were Ta- e-shop, to study comments on goods and to make a successfulkoJumper X, AnmarZico, and Roan MARITA. purchase.Diapers, bins for them, and wet wipes are the most frequently Source: www.e-commerce.com.uaFresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 7
  • 8. Cross-borDer DisTaNCe selliNg iN uKraiNe: Info DIGEST December 2011 oNe iN Five uKraiNiaNs is a user oF soCial MeDia 7% 9% 7% 3% 6% 11% 17% 15% 15% 12% 25% 28% 30% 16% 23% 12% 17% 27% 2 4% 5% 5% 14% 29% 19% 13% 31% 24% 2009 22% 2008 29% 24% 1 3 4% 6% 22% 2010 1-3 q’ 2011 27% 55% 24% 35% 43% 14% 18% 24% 4% 9% 14% 20% 20% 18% 17% 14% 12% 9% 2% 1% According to the investigation made by GfK Ukraine in Q3 of 2011 17% of Ukrainians were the users of social networks, 5% of User which almost don`t visit social network them use chats, forums and blogs. Most frequently users check Regular, but rare than once per week their accounts in VKontakte for refreshments – 43% do it several times a day. In the contrary, Facebook and Twitter have rather Once or twice per week big share of registered users but on practice they almost do not Once per day use these social nets – 25% and 28% respectively. Several times per day More than a half of users are on-line less than during 10 hours instance, only 61% of people of this age group are registered a week. One hour or less – 13%, 2-5 hours – 27%, and 6-10 in Facebook. hours – 18% of users. Those who stay on-line for 51 hours or more constitute only 3%. Herewith the main purposes of Odnoklassniki are popular mostly among those at the age of Internet access remain e-mail, social networks, searching for information, downloading of music and video, and search- 36 and older. The expansion of internet audience in Ukraine ing for educational information. The major part of systematic takes place mainly owing to the retirees and residents of small Ukrainian users belongs to the Russian social net VKontakte. settlements with population up to 50 thousand people. Such The second place goes to Odnoklassniki, and the third is oc- settlements make in total near 25% of the state’s population. cupied by Facebook. 95% people in the age of 16-25 are reg- istered in VKontakte. It’s more than in the other social nets. For Source: GfK Ukriane THe FirsT CHiNese e-sHop sTarTeD WorKiNg iN uKraiNe The Corporation 139 Group (China) has opened a Chinese e- As the corporation admits, the term of goods delivery from shop 139 shopping for Ukrainian customers, as the President China to Ukraine makes approximately four-seven working of 139 Group Huang Qin Hung informed at the press-confer- days, the cost of delivery is about $ 12-15 per kg. Payments are ence held in Kyiv on Monday. accepted by means of the most of known payment systems. This is the first Chinese e-shop in Ukraine, which is a multi- By now permanent representative offices of 139 Group have functional international platform for sellers and buyers not been opened in cities of China, Ukraine, Russia, Kazakhstan only providing e-commerce services but also guaranteeing a and other CIS countries. More than 5 thousand shops with «door-to-door» delivery. Ukrainian sellers also can log in to the more than 50 thousand goods are represented on the web- e-commerce system. At this point registration is free. site. The number of registered users exceeded 18 thousand. 139 shopping hasn’t obtained a status of legal entity in Ukraine Source: www.ua-retail.com yet. 139 Group’s partners, specialized in express-delivery, pro- vide delivery of goods to a final point.CoNTaCT If you want to decline or recommend digest Hot Line +380 (44) 495 7885 us to your colleagues, please feel free to contact us by distance_selling_in_UA@uadm.com.ua © UDMA, 2011 FresH DisTaNCe selliNg NeWs SEE our PaGE on BuSInESS HoroSCoPE 2012 8