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Selling to
Russians
      Presentation at FSB Central London b/breakfast, 20/8/12

                                         Ignaty Dyakov
www.russialocal.co.uk/en/



Today, I’d like to briefly share how to:

     Appreciate the background and culture of Russian customers,

     Understand the drivers behind Russian buying habits,

     Connect with Russian customers,

     Understand the correct etiquette,

     Create the right shopping experience for Russian customers,

     Impress with key phrases in Russian (if we have time).



                                                                     2
Ignaty Dyakov at FSB Central London business breakfast        21.08.2012
www.russialocal.co.uk/en/



 Russia is still the largest country in the world by its territory. It is

     8th country in the world by population.

 Russia has 686 families with the wealth of more than $100 million

     each. It is 4th place in the world.

 Further 111,000 families own more than one million USD each.


                                    IMPORTANT:

                                    Comparing to the Soviet times, Russians

                                    can now legally and with no restrictions

                                    transfer and spend money abroad.
                                                                                      3
Ignaty Dyakov at FSB Central London business breakfast                         21.08.2012
www.russialocal.co.uk/en/



 Russians no longer

 look like this:




        “New Russians”
              in 1990s
                                                                4
Ignaty Dyakov at FSB Central London business breakfast   21.08.2012
www.russialocal.co.uk/en/




                                                         They most probably look

                                                         like this:




                                                                                 5
Ignaty Dyakov at FSB Central London business breakfast                    21.08.2012
www.russialocal.co.uk/en/




Or like this:




                                                                6
Ignaty Dyakov at FSB Central London business breakfast   21.08.2012
www.russialocal.co.uk/en/



                                                         Or like this:




                                                                                 7
Ignaty Dyakov at FSB Central London business breakfast                   21.08.2012
www.russialocal.co.uk/en/




 They can look like this:




                                                                8
Ignaty Dyakov at FSB Central London business breakfast   21.08.2012
www.russialocal.co.uk/en/




                                                     … and, of course, like this.
                                                                                           9
Ignaty Dyakov at FSB Central London business breakfast                              18.06.2012
www.russialocal.co.uk/en/


Although they might speak Russian there are many

more nationalities than people outside of former USSR

generally think. Never assume they are all the same.

If for Russians it is all right, other nationalities

(Ukrainians, Belorussians etc) might be offended.



                 Sometimes, Russians might want not to admit that they are

                 Russians, especially if they talk English well. There may be

                 different reasons for this, not last one is the shame of the

                 behaviour of other Russians. Don‟t pressure them.
                                                                             10
Ignaty Dyakov at FSB Central London business breakfast                  21.08.2012
www.russialocal.co.uk/en/


Build relations: you can‟t underestimate the importance of

building relations with Russians. It takes time, but is worth it.

They will not only use your services themselves

constantly, they will recommend you to others.




                 Occasions: Birthdays, New Years, Weddings, or even signing

                 a contract are big occasions. Russians are generous. Most of

                 them would spend substantial amounts of money for gifts if

                 invited to their friends or relatives.                      11
Ignaty Dyakov at Virada Ltd.                                           21.08.2012
www.russialocal.co.uk/en/



It is a cliché but Russian Buyers tend to buy more on

emotion and less on price than most Westerners.

Emphasise any aspirational features of your product. If

you get this right there is a good chance Russians won‟t

negotiate much on price.

                            Americans like to buy the cheapest house on the

                            best block. Never offer anything of this sort to a

                            Russian. They tend to buy goods for prestige and

                            want the best within their budget. They are

                            competitive.                                         12
Ignaty Dyakov at FSB Central London business breakfast                     21.08.2012
www.russialocal.co.uk/en/


 It is still a very conservative society in terms of gender

 roles. Men always pay for women. Men would behave in

 such a manner and women would play the role of a

 beautiful decoration. Although never underestimate the

 woman‟s participation in making the decision

 – so always talk to both of them.


                      Age is important. Unless we talk about an attractive

                      young woman, Russians would prefer to deal with a

                      more senior and experienced person.
                                                                             13
Ignaty Dyakov at FSB Central London business breakfast                  21.08.2012
www.russialocal.co.uk/en/



Small talk: Russians are proud of their culture

(ballet, opera, literature, arts) and sports

(football, tennis, hockey). Try to get the names of

prominent Russians in your area of interest and

praise them.
                              You might want to avoid talking about politics

                              with Russians. You never know if the supporter of

                              the current government or someone from the

                              opposition has come to you. They move from one

                              side to another in no time too.
                                                                                14
Ignaty Dyakov at FSB Central London business breakfast                    21.08.2012
www.russialocal.co.uk/en/


Dress Up: Russians tend to wear high style luxurious

clothes and accessories. They would also show off on

every occasion. They buy not only for practical

reasons, but for reputation. They would expect

everyone they come across be stylish and elegant.

                                    Security: As of Russian history, Russians are

                                    extremely afraid of scams, frauds etc. They

                                    are very suspicious. It is even worse as they

                                    do not believe in win-win situations.

                                    Confidentiality is paramount.                   15
Ignaty Dyakov at FSB Central London business breakfast                       21.08.2012
www.russialocal.co.uk/en/



Price tags: Russians better understand price tags in US

dollars or euros. Less so in pounds. If you don‟t have time to

think of the price in $ or €, just multiply price in pounds by

50, which will give you price in Russian roubles.



                            Vocabulary: Less than 5 % of Russian people are

                            able to get your message in English. They

                            will, however, understand certain words in

                            English, like

                                                                           16
                            “Sale”, “Present”, “Exclusive”, “Lux”, “VIP”, “B

                               rand”, “Fantastic”,
Ignaty Dyakov at FSB Central London business breakfast   “Designer”...   21.08.2012
www.russialocal.co.uk/en/



If you are a native English speaker and you hear that a

Russian speaks good English, do not hesitate to praise him

or her on this. Russians pride themselves on their

education system and their eagerness to learn. They

sometimes may prefer to speak English just to practice it

– give them this chance, please.


                    If they speak not such good English, make sure you try

                    to guess what they say. You can ask them to repeat what

                    they said, but avoid doing this again and again.
                                                                             17
Ignaty Dyakov at FSB Central London business breakfast                 21.08.2012
www.russialocal.co.uk/en/


   BASIC RUSSIAN LANGUAGE


   Russians use the Cyrillic

   alphabet, but they

   generally do understand

   English characters too.




Russians differentiate You formal and You informal, as do
Germans, French, Italians. If you are to pick up some words
from the Internet, you‟d better remember this: always look for
a formal version of verbs, addressing, greeting etc.                  18
Ignaty Dyakov at FSB Central London business breakfast           21.08.2012
www.russialocal.co.uk/en/



Greetings:

„Dobra-yeh „ut-rah – Good morning

„Dobryj dyen‟ – Good afternoon

„Dobryj „vye-cher – Good evening

Kak u vas dyi‟la? – How are you?



                                   Spa‟siba – Thank you

                                   Hara‟sho – Good, OK

                                   Pa‟zhaluysta – Please; welcome

                                                                         19
Ignaty Dyakov at FSB Central London business breakfast              21.08.2012
www.russialocal.co.uk/en/



  Eta? – This one?

  Sleva? – Left one?

  Sprava? – Right one?

  Vot, pa‟zhaluysta – Here it is for you, please


                                  „Posle vas – After you

                                  Vot „vashi pa‟kupki – Here are your purchases.

                                  Dasvi‟daniya – Good bye

                                  Pri‟haditye ye‟shyo, pa‟zhaluysta – Come and

                                                            visit us again.
                                                                                   20
Ignaty Dyakov at FSB Central London business breakfast                        21.08.2012
www.russialocal.co.uk/en/




                                          THANK YOU!!



              Should you have any questions, please contact me:


                    Ignaty Dyakov                               Russia Local Ltd

               id@russialocal.co.uk                          www.russialocal.co.uk

                +44 (0)207 1933 573                      www.facebook.com/RussiaLocal

            www.twitter.com/dignaty                       www.twitter.com/RussiaLocal


*Images for the presentation taken from the Internet                                       21
Ignaty Dyakov at FSB Central London business breakfast                               21.08.2012

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'Selling to Russians' presentation at the Federation of Small Businesses London b/breakfast by Ignaty Dyakov, MD of Russia Local Ltd

  • 1. Selling to Russians Presentation at FSB Central London b/breakfast, 20/8/12 Ignaty Dyakov
  • 2. www.russialocal.co.uk/en/ Today, I’d like to briefly share how to: Appreciate the background and culture of Russian customers, Understand the drivers behind Russian buying habits, Connect with Russian customers, Understand the correct etiquette, Create the right shopping experience for Russian customers, Impress with key phrases in Russian (if we have time). 2 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 3. www.russialocal.co.uk/en/  Russia is still the largest country in the world by its territory. It is 8th country in the world by population.  Russia has 686 families with the wealth of more than $100 million each. It is 4th place in the world.  Further 111,000 families own more than one million USD each. IMPORTANT: Comparing to the Soviet times, Russians can now legally and with no restrictions transfer and spend money abroad. 3 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 4. www.russialocal.co.uk/en/ Russians no longer look like this: “New Russians” in 1990s 4 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 5. www.russialocal.co.uk/en/ They most probably look like this: 5 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 6. www.russialocal.co.uk/en/ Or like this: 6 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 7. www.russialocal.co.uk/en/ Or like this: 7 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 8. www.russialocal.co.uk/en/ They can look like this: 8 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 9. www.russialocal.co.uk/en/ … and, of course, like this. 9 Ignaty Dyakov at FSB Central London business breakfast 18.06.2012
  • 10. www.russialocal.co.uk/en/ Although they might speak Russian there are many more nationalities than people outside of former USSR generally think. Never assume they are all the same. If for Russians it is all right, other nationalities (Ukrainians, Belorussians etc) might be offended. Sometimes, Russians might want not to admit that they are Russians, especially if they talk English well. There may be different reasons for this, not last one is the shame of the behaviour of other Russians. Don‟t pressure them. 10 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 11. www.russialocal.co.uk/en/ Build relations: you can‟t underestimate the importance of building relations with Russians. It takes time, but is worth it. They will not only use your services themselves constantly, they will recommend you to others. Occasions: Birthdays, New Years, Weddings, or even signing a contract are big occasions. Russians are generous. Most of them would spend substantial amounts of money for gifts if invited to their friends or relatives. 11 Ignaty Dyakov at Virada Ltd. 21.08.2012
  • 12. www.russialocal.co.uk/en/ It is a cliché but Russian Buyers tend to buy more on emotion and less on price than most Westerners. Emphasise any aspirational features of your product. If you get this right there is a good chance Russians won‟t negotiate much on price. Americans like to buy the cheapest house on the best block. Never offer anything of this sort to a Russian. They tend to buy goods for prestige and want the best within their budget. They are competitive. 12 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 13. www.russialocal.co.uk/en/ It is still a very conservative society in terms of gender roles. Men always pay for women. Men would behave in such a manner and women would play the role of a beautiful decoration. Although never underestimate the woman‟s participation in making the decision – so always talk to both of them. Age is important. Unless we talk about an attractive young woman, Russians would prefer to deal with a more senior and experienced person. 13 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 14. www.russialocal.co.uk/en/ Small talk: Russians are proud of their culture (ballet, opera, literature, arts) and sports (football, tennis, hockey). Try to get the names of prominent Russians in your area of interest and praise them. You might want to avoid talking about politics with Russians. You never know if the supporter of the current government or someone from the opposition has come to you. They move from one side to another in no time too. 14 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 15. www.russialocal.co.uk/en/ Dress Up: Russians tend to wear high style luxurious clothes and accessories. They would also show off on every occasion. They buy not only for practical reasons, but for reputation. They would expect everyone they come across be stylish and elegant. Security: As of Russian history, Russians are extremely afraid of scams, frauds etc. They are very suspicious. It is even worse as they do not believe in win-win situations. Confidentiality is paramount. 15 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 16. www.russialocal.co.uk/en/ Price tags: Russians better understand price tags in US dollars or euros. Less so in pounds. If you don‟t have time to think of the price in $ or €, just multiply price in pounds by 50, which will give you price in Russian roubles. Vocabulary: Less than 5 % of Russian people are able to get your message in English. They will, however, understand certain words in English, like 16 “Sale”, “Present”, “Exclusive”, “Lux”, “VIP”, “B rand”, “Fantastic”, Ignaty Dyakov at FSB Central London business breakfast “Designer”... 21.08.2012
  • 17. www.russialocal.co.uk/en/ If you are a native English speaker and you hear that a Russian speaks good English, do not hesitate to praise him or her on this. Russians pride themselves on their education system and their eagerness to learn. They sometimes may prefer to speak English just to practice it – give them this chance, please. If they speak not such good English, make sure you try to guess what they say. You can ask them to repeat what they said, but avoid doing this again and again. 17 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 18. www.russialocal.co.uk/en/ BASIC RUSSIAN LANGUAGE Russians use the Cyrillic alphabet, but they generally do understand English characters too. Russians differentiate You formal and You informal, as do Germans, French, Italians. If you are to pick up some words from the Internet, you‟d better remember this: always look for a formal version of verbs, addressing, greeting etc. 18 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 19. www.russialocal.co.uk/en/ Greetings: „Dobra-yeh „ut-rah – Good morning „Dobryj dyen‟ – Good afternoon „Dobryj „vye-cher – Good evening Kak u vas dyi‟la? – How are you? Spa‟siba – Thank you Hara‟sho – Good, OK Pa‟zhaluysta – Please; welcome 19 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 20. www.russialocal.co.uk/en/ Eta? – This one? Sleva? – Left one? Sprava? – Right one? Vot, pa‟zhaluysta – Here it is for you, please „Posle vas – After you Vot „vashi pa‟kupki – Here are your purchases. Dasvi‟daniya – Good bye Pri‟haditye ye‟shyo, pa‟zhaluysta – Come and visit us again. 20 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012
  • 21. www.russialocal.co.uk/en/ THANK YOU!! Should you have any questions, please contact me: Ignaty Dyakov Russia Local Ltd id@russialocal.co.uk www.russialocal.co.uk +44 (0)207 1933 573 www.facebook.com/RussiaLocal www.twitter.com/dignaty www.twitter.com/RussiaLocal *Images for the presentation taken from the Internet 21 Ignaty Dyakov at FSB Central London business breakfast 21.08.2012