Кейс о покорении регионов: проблемы, вызовы и возможности новых рынков

1. Conquering the regions
Boris Lepinskikh, CEO E96.ru
2014 June 4, e-Days e-commerce conference

2. About us: local touch, global ambitions
2014 June 4, e-Days e-commerce conference
2007 - company foundation
2013 - net revenue 4,6 B rubles (+65% Y/Y)
2013 - we operate in 19 regions (delivering
in 1003 places with our own logistics)
2013 - raising round А from IQ One Holdings
for expansion and business development
2014 - 400 000 SKU (+100% Y/Y)
2013 MAU - 1 MM (+75% Y/Y)
2011 - start conquering regions
2014 - Top-15 most effective online stores (Forbes Russia)

3. Evolution of regional markets
2014 June 4, e-Days e-commerce conference
2007 2007-2011 2011-2013
Federal competition
• Market
consolidation,
competition goes
federal;!
• Strengthening
players from
regions;!
• Paradox: extremely
strong competition
on emerging
markets.
• Strong regional
competition;!
• Price
competition;!
• First M&A;!
• Moscow
companies
starts shipping
to regions.
• First local
startups;!
• Offline retail
entry e-
commerce
only for
branding;!
• High
margins.
GrowthVacuum

4. The structure of regional markets
100 000 — 800 000: 23,3 MM / 70% / +13%
100 000: 31,2 MM / 51% / +10%
31,2 MM
51%
+10%
High level cities
(Ekaterinburg, Rostov-on-Don, Perm)
Emerging cities (1m population)
(Omsk, Krasnoyarsk, Samara, Saratov)
2014 June 4, e-Days e-commerce conference

5. 2014 June 4, e-Days e-commerce conference
Markets go on growthing at different
speeds
(infrastructure, broadband
penetration, depots & logistics)
Distrust consumers;
Strong competition in price and
service;
Problems
X-company
M.Video
Eldorado
Less sources of external traffic
(High level cities - 75-90%,
Emerging cities - not more than
60%);
Logistics, logistics, logistics
again
(«final mile», pick-up point ,
outsourcing).

6. 2014 June 4, e-Days e-commerce conference
Market opportunity
New users live outside two capitals
Source; TheRunet
Moscow
St.Petersburg
Villages
Big Cities
(1MM)
500K-1MM
100K-500K
<100K
Number of runet users will
jump to 70 MM by 2014 =
new internet-customers;
Engaging traditional
buyers to online buyers.
New geographic markets;

7. %$
0
200
400
600
800
t
2011 2012 2013 2014 2015
2014 June 4, e-Days e-commerce conference
Market opportunity
Ekaterinburg
Krasnoyarsk
Tyumen
Rate of growth
N%-share high level
market = 5N%-share
emerging market
X m investment at high
level market = Х/2 m
investment at emerging
5N%-share at emerging
market easy than N%-
share at high level market

8. Boris Lepinskikh,
CEO e96
boris@e96.ru
slideshare.net/Lepinskikh/
@BorisLepinskikh