Quarterly index of retail: analysis of 75 international and Russian retailers by revenue, gross margin, turnover ratios, market capitalization indexes Released in July 2013

1. WORLDWIDE
RETAILERS
BUSINESS RESULTS
1Q 2013
JULY 2013

2. ABOUT CENTER OF STRATEGIC RESEARCH
«ENTER VISION»
CENTER OF STRATEGIC RESEARCH
ENTER VISION
«WORLDWIDE AND RUSSIAN RETAIL MARKETS
2012-2016»
was founded in 2011 by Enter company.
• Retail and e-commerce in Russia, USA, China:
volumes, growth rates, forecasts 2009-2016
• Perfumes, Furniture, Jewelry markets: key players,
retailers product mix, website traffic analysis
Our key target is to increase transparency of Russian retail & online-retail
markets for its players.
Consolidating information from our experts and conducting research of
market trends & performance, Enter Vision provides analytics of 3 types:
1. Market & industry reports
2. Competitive environment analysis
3. Ad-hoc research
June 2013
«CUSTOMER-CENTRISM:
METRICS, CASES, FACTS»
• Client service metrics: NPS, CSI, TLR, FCR, TRI*M
• Worldwide client service cases: Zappos, Costco,
USAA, Edward Jones, Southwest airlines, Starbucks
and others
CONTACTS:
February 2013
Website: WWW.ENTER.RU/RESEARCH
E-mail: RESEARCH@ENTER.RU
Facebook: WWW.FACEBOOK.COM/RESEARCH.ENTER
SlideShare: WWW.SLIDESHARE.NET/RESEARCH_ENTER
«CURRENT TRENDS IN ONLINE RETAIL:
FACTS AND FIGURES»
• Online retail indexes: costs of delivery by
regions, payment methods penetration,
product mix analysis, average prices etc.
October 2012
2

3. METHODOLOGY
The research is based on the analysis of 75 selected companies, ANNOUNCING COMMERCIAL AND OPERATIONAL
STATEMENTS, operating on international and domestic markets: France, Germany, Great Britain, Italy, Sweden, Holland,
Poland (aggregated as Europe region), Brazil, Russia, India, China, South Africa (aggregated as BRICS region), Turkey
and the USA. All selected companies carry out retail trade of physical goods and do not produce these goods. All
selected companies are multichannel and online-retailers ranked in top-250 retailers worldwide in 2011 (Deloitte,
Global Powers of Retailing - 2013), top-500 US online-retailers and top-400 European online-retailers
(internetretailer.com), Bloomberg and Reuters classificatories. Revenue growth rate was calculated in national
currencies and did not include exchange rate’s dynamics.
Financial and trading statements:
•
•
For the quarter (13 weeks), finished 31.03.2013, – 41 companies;
For the quarter(7-13 weeks), finished from 17.02.2013 to 05.05.2013, – 34 companies.
«Turnover ratios in 1Q 2013» is based on the data of 51 public retailers. The following companies were not included:
PPR, Casino Guichard, Carrefour, Carpetright, Mothercare, Home Retail Group, John Lewis, Debenhams, Kingfisher,
Kohl’s, Next, Ocado, Massmart, TSUM, M.Video, Svyaznoy, Perfumania, Migros, Dashang, Tesco, Halfords, ASOS, Marks
& Spencer, Autozone.
«Market capitalization ratios» is based on the analysis of 25 selected companies with the best EV/EBITDA indicator as
of 31.03.2013.
3

4. REVENUE & GROSS MARGIN BY REGIONS
Revenue growth, 1Q 2013 (YoY) *
Total
USA
Gross margin,
1Q 2013
Top-3 segments
Sports & Outdoor
5,6%
16%
Furniture
13%
Perfumes & Cosmetics
EUROPE
12%
Apparel & Footwear
12%
Mixed Product Range
34,3%
6%
Office Supplies
4,5%
6%
Kids' Goods
BRICS
17,0%
35,0%
Mixed Product Range
Apparel & Footwear
30%
33,7%
18%
14%
Emerging markets are growing more rapidly than mature: revenue growth for 1Q 2013 in BRICS is 3 times higher
than European or American
Note: companies refer to the region of the headquarter’s location
* YoY = Year over year
Source: Reuters, financial statements
4

5. REVENUE GROWTH
1Q 2013 RESULTS
KEY TRENDS:
Revenue growth, 1Q 2013 (YoY)*
Electronics & Home Appliances
16,2%
Sports & Outdoor
15,7%
Apparel & Footwear
12,6%
Pets' Products
9,4%
Mixed Assortment
9,0%
Jewelry & Watches
8,9%
Perfumes & Cosmetics
8,8%
Kids' Goods
7,5%
Furniture
Household Goods & DIY -1,6%
Auto Parts-2,7%
In contrast with 1Q 2012, growth rates in 1Q 2013
increased more rapidly in the following categories:



«Furniture» from 4% to 7%;
«Kids’ Goods» from 5% to7%;
«Sports & Outdoor»: from 15% to 16%;
In contrast with 1Q 2012, growth rates in 1Q 2013
decreased more rapidly in the following categories:
6,6%
Office Supplies -2,1%
In 1Q 2013 average revenue growth among selected
companies decreased (YoY) from 11% to 9%;
Average



«Auto Parts» from 20% to -3%;
«Household Goods & DIY» from 6% to -2%;
«Pets’ Products»: from 15% to 9%;
9%
Revenue growth leaders, 1Q 2013 (YoY):
Teknosa
44%
(Electronics & Home
Appliances)
* YoY = Year over year
ASOS
(Apparel & Footwear)
37%
Casino Guichard
(Mixed Assortment)
Source: Reuters, financial statements
34%
5

6. GROSS MARGIN
1Q 2013 RESULTS
KEY TRENDS:
Gross margin, 1Q 2013
Furniture
49%
Apparel & Footwear
47%
Perfumes & Cosmetics
42%
Jewelry & Watches
36%
Kids' Goods
36%
Auto Parts
36%
Sports & Outdoor
In 1Q 2013 average gross margin among selected
companies has not significantly changed;
35%
Pets' Products
In contrast with 1Q 2012, gross margin in 1Q 2013
increased more rapidly in the following categories:



34%
Household Goods & DIY
In contrast with 1Q 2012, gross margin in 1Q 2013
decreased more rapidly in the following categories:
31%
Office Supplies
30%
Mixed Assortment
26%
Electronics & Home Appliances
21%
«Mixed Assortment» from 25% to 26%;
«Auto Parts» from 35% to 36%;
«Office Supplies»: from 29% to 30%;



Медиана
36%
«Kids’ Goods» from 38% to 36%;
«Household Goods & DIY» from 33% to 31%;
«Electronics & Home Appliances»: from 22% to 21%;
Gross margin leaders, 1Q 2013:
Zodiac
(Apparel & Footwear)
63%
Beter bed
(Furniture)
56%
Haverty Furniture
(Furniture)
Source: Reuters, financial statements
54%
6

7. TURNOVER RATIOS IN 1Q 2013
Inventory Turnover Ratio (days)
1Q 2012
140
161
2Q 2012
3Q 2012
4Q 2012
1Q 2013
197
183 170 186
154
193
147 136
77 87 89 68 82
Auto Parts
1Q 2012
Electronics & Home
Appliances
2Q 2012
3Q 2012
87 94
50 44 46 46 57
Pets' Products
4Q 2012
132
112
75
Perfumes & Cosmetics
104 114 99 102 110
Furniture
Apparel & Footwear
1Q 2013
253
198 203
71 69 76 58 78
Mixed Assortment
Inventory Turnover Ratio
106 100 120 115 102
Sports & Outdoor
=
98 108 96
80 93
Kids' Goods
113
105 116
86 94
Household Goods & DIY
201
139
49 55 51 50 50
Office Supplies
Jewelry & Watches
91*
Quarterly cost of sales / (Average inventories for the quarter)
* 92 days for 2Q
Source: Reuters, financial statements
7

8. TURNOVER RATIOS IN 1Q 2013
Receivables Turnover Ratio (days)
1Q 2012
2Q 2012
3Q 2012
4Q 2012
1Q 2013
47
39
18 16 17
22
24 25 26
17 18
5
1Q 2012
Electronics & Home
Appliances
2Q 2012
27
21
11
Auto Parts
35
5
5
5
5
Pets' Products
3Q 2012
4Q 2012
5
5
6
5
9
Perfumes & Cosmetics
10 10 10 11 11
Furniture
Apparel & Footwear
1Q 2013
66
56
54 56
30 33 29 30 29
22 18
18 15 18
4
Mixed Assortment
Receivables Turnover Ratio
3
4
5
Sports & Outdoor
=
4
9
10
9
8
Kids' Goods
11
9
6
7
8
34
10
Household Goods & DIY
Office Supplies
Jewelry & Watches
91*
Quarterly revenue/ (Average receivables for the quarter)
* 92 days for 2Q
Source: Reuters, financial statements
8

9. TURNOVER RATIOS IN 1Q 2013
Payables Turnover Ratio (days)
1Q 2012
125
144
2Q 2012
3Q 2012
4Q 2012
1Q 2013
168
128 135
92
78 79 79 68 83
16 16 18 17 20
Auto Parts
1Q 2012
65
61
65
Electronics & Home
Appliances
2Q 2012
74
57
Mixed Assortment
Payables Turnover Ratio
3Q 2012
53 50
59
51 46 43 47 48
Pets' Products
Perfumes & Cosmetics
Furniture
4Q 2012
1Q 2013
67 66 64
60
69
72
82
101
Apparel & Footwear
88
81
68
67
62 65
48 49
Sports & Outdoor
=
51
30 29 39 28
74 80 71
81
59
37 41 37 37 36
Kids' Goods
Household Goods & DIY
Office Supplies
Jewelry & Watches
91*
Quarterly cost of sales/ (Average payables for the quarter)
* 92 days for 2Q
Source: Reuters, financial statements
9

10. MARKET CAPITALIZATION RATIOS
30
80
The size corresponds for market cap as of 31.03.2013.
Average
1,0
Zooplus
25
EV/EBITDA
Ocado
Praktiker
Region : Europe, UK
Format: Online-retailer
Category: Mixed Assortment
Carpetright
Sears
Holdings
15
Blue Nile
Massmart
Costco
10
-
0,5
Region : China
Format: Multichannel retailer
Category : Perfumes & Cosmetics
Sasa
Chow Tai Fook
Delticom
The Home
Depot
Liberty Interactive
PPR
Next
Cabela's
Region : Brazil
Format: Multichannel retailer
Category: Apparel & Footwear
Lojas Renner
Lowe's
Grupo Pao
de Acucar
5
Region : Europe, Italy
Format : Online-retailer
Category: Apparel & Footwear
Yoox
CDON Group
20
Region: USA
Format: Online-retailer
Category: Mixed Assortment
Amazon
11,0
Lojas Average
Americanas
Ulta
Byggmax
1,0
1,5
2,0
2,5
3,0
EV/Sales
Online-retailers
Multichannel retailers
Market indicators of most companies showed a negative trend compared with 4Q 2012 against the backdrop of
retail slowdown.
Sources: Forexpros, Reuters, InFinancials
10

11. LIST OF COMPANIES INCLUDED IN THE RESEARCH
№
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
Компания
Ст рана
Advance Auto Parts
USA
Autozone
USA
Delticom
Europe
Halfords
Europe
Oponeo.pl
Europe
Best Buy
USA
Bimeks Bilgi Islem ve Dis Ticar Turkey
Teknosa Ic ve Dis Ticaret AS Turkey
Via Varejo
Brazil
М.Видео
Russia
PetMed Express
USA
PetSmart
USA
Zooplus
Europe
Douglas Holding
Europe
Perfumania
USA
Ulta Salon Cosmetics & FragraUSA
Bed, Bath & Beyond
USA
Beter bed
Europe
Carpetright
Europe
Haverty Furniture
USA
The Brick
USA
ASOS
Europe
Lojas Renner
Brazil
Marks&Spencer
Europe
Monnari Trade
Europe
Next
Europe
Vistula Group
Europe
Yoox
Europe
Zodiac
India
ЦУМ
Russia
Amazon
USA
B2W
Brazil
Carrefour
Europe
Casino Guichard-Perrachon Europe
CDON Group
Europe
China Dangdang Inc.
China
Costco
USA
Dalian Dashang
China
Debenhams
Europe
Grupo Pao de Acucar
Brazil
Спе ц иал изац ия
Auto Parts
Auto Parts
Auto Parts
Auto Parts
Auto Parts
Electronics & Home Appliances
Electronics & Home Appliances
Electronics & Home Appliances
Electronics & Home Appliances
Electronics & Home Appliances
Pets' Products
Pets' Products
Pets' Products
Perfumes & Cosmetics
Perfumes & Cosmetics
Perfumes & Cosmetics
Furniture
Furniture
Furniture
Furniture
Furniture
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Apparel & Footwear
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
№
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
Компания
Home Retail Group
John Lewis
Kering (ex-PPR)
Kohl's
Liberty Interactive
Lojas Americanas
Macy's
Massmart
Metro
Migros
Ocado
Overstock.com
Sears Holdings
Target
Tesco
Wal-Mart
Cabela's
Dick's Sporting Goods
Zumiez
Build-a-Bear
Children's Place
Mothercare
Детский мир
Byggmax
Kingfisher
Lowe's
Praktiker
The Home Depot
Office Depot
OfficeMax
Staples
Takkt Group
Blue Nile
Signet Jewelers
Zale
Ст рана
Europe
Europe
Europe
USA
USA
Brazil
USA
South Africa
Europe
Turkey
Europe
USA
USA
USA
Europe
USA
USA
USA
USA
USA
USA
Europe
Russia
Europe
Europe
USA
Europe
USA
USA
USA
USA
Europe
USA
USA
USA
Спе ц иал изац ия
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Mixed Product Range
Sports & Outdoor
Sports & Outdoor
Sports & Outdoor
Kids' Goods
Kids' Goods
Kids' Goods
Kids' Goods
Household Goods & DIY
Household Goods & DIY
Household Goods & DIY
Household Goods & DIY
Household Goods & DIY
Office Supplies
Office Supplies
Office Supplies
Office Supplies
Jewelry & Watches
Jewelry & Watches
Jewelry & Watches
Mixed Assortment – segment which consists of retailers
that are specialized on 2 or more commodity category.
11

12. ДАРИМ ВРЕМЯ
ДЛЯ НАСТОЯЩЕГО.
ЧЕСТНО. С ЛЮБОВЬЮ.
КАК ДЛЯ СЕБЯ.
Electronic publication by Enter.ru «Worldwide retailers business results in 1Q 2013».
Editorial office: 11/10 Ordjonikidze street. Managing editor: Kolotenko Andrei Vladimirovich.
Authors: Center of Strategic Research «Enter Vision». Release date: 11.06.2013.
Certificate of mass media registration: Эл. №ФС77-48467, date of issue: 06.02.2012.
Issued by Federal Service for Supervision in the Sphere of Telecom, Information Technologies and Mass
Communications.
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