Overview of Russian eCommerce and the role of Yandex.Market.

2. Internet in Russia

3. Russia
Population: 142.9 million
Cent
re
26.9%
North
West
9.5%
Ural
s
8.5%
Volg
a
20.9%
South and
North Caucasus
16.3%
Source: RIA Novosti, 2011
Sibe
ria
13.5%
Far
East
4.4%

4. Internet Audience Growth
Year-over-year growth dynamics of the monthly, weekly and daily
internet audience (users over 12 years old), by year
60
50
40
monthly
weekly
30
daily
20
10
0
20
04
20
05
Source: www.runet.ru
20
06
20
07
20
05
20
06
20
07
20
08
20
08
20
09
20
09
20
10
20
10
20
11
20
11
20
12
Spr
Sum
ing
mer
201
2012
2
Fa
ll
20
12
Winte
r
2012–
2013
5

5. Global Internet Audience, millions
Russia is world’s 6th by number of internet users
China
USA
India
Japan
Brazil
Russia
Germany
Nigeria
UK
France
Source: www.runet.ru
6

6. Yandex is the largest
player on Russian
internet market

7. Top Internet Sites in Russia
27.5
25
24
.1
18.
6
16.
7
4.
4
4.
1
3.
3
2.
9
2.
8
Source: www.runet.ru, September 2013
Yandex.ru: 32 projects
Mail.ru: 31 projects
Vk.com
Android.com, Blogspot
(com+ru), Chromium.org,
Feedburner.com, Google
(ru+com), Panoramio.com,
Odnoklassn
Sketchup.com, Youtube.com
iki.ru
Mediawiki.org, Wikibooks.org,
Wikidata.org, Wikimedia.org,
Wikimediafoundation.org,
Wikinews.org, Wikipedia.org,
Wikiquote.org, Wikisource.org,
Facebook.co
Wikiversity.org, Wikivoyage.org,
m
Wiktionary.org
Avito.ru
Anekdot.ru, Autonews.ru,
Biztorg.ru, Cnews.ru,
Finolymp.ru, Informer.ru,
Ivd.ru, Kompaniyagoda.ru,
Kupongid.ru, Kvotvet.ru,
Loveplanet.ru (сайт),
Fotostrana.
Narodnayamarka.ru, Qip.ru,
ru
Rbc.ru, Rbc.ua, Rbcdaily.ru,
Readme.ru, Relax.ru, Salon.ru,
Smotri.com (сайт), Tvidi.ru,
Utro.ru, Vnegoroda.ru
8

8. Yandex Audience
57 000 000
per month
54.5 %
45 000 000
per week
43.4 %
27 800 000
per day
26.3 %
% of all online population in Russia
Source: TNS 2013, September
9

9. Yandex beats Russia’s most popular TV channels by daily audience
Jan. 08
Source: Yandex Metrica, TNS
Jan. 09
Jan. 10
Jan. 11
Jan. 12
Jan. 13
Jan. 14
10

10. E-commerce in Russia

11. Russia’s Online Retail Market
15 bln USD in 2013 year
27.4 million shoppers
More than 30% annual growth
Source: Cushman&Wakefild,
2013
12

12. E-commerce Growth Rates
Source: Morgan&Stanley
13

13. Dynamics of the monthly visitor audience to Russia’s most popular ecommerce websites by month, thousands
Source: Comscore
14

14. Yandex.Market vs Cross-Border
Retailers
Average daily visitors in Russia:
Cross-border vs Yandex.Market, %
Daily orders from Russia:
50.0
%
37.5
%
25.0
%
12.5
%
AliExpress –
50 000*
Ebay – 30 000*
Yandex.Market
– 50 000**
*According to AliExpress and Ebay
** Yandex.Metricа, сonversions to
purchase
Cross-border marketplaces are conquering the Russian audience
15

15. Yandex.Market

16. Yandex.Market is Russia’s leading
system for choosing products, services
or sellers and making purchases online
17

17. Yandex.Market Audience
17 000 000
per month
16.3 %
7 200 000
per week
6.8 %
1 600 000
per day
1.5 %
% of all online population in Russia
Source: TNS 2013, September, Yandex Metrica
18

18. Yandex.Market
50 000 000
product offers in 2
000 categories in
Russia
13 %
% all online sales in Russia
Source: TNS 2013, September, Yandex Metrica
19

19. Conversion-to-Purchase Rates
on Russia’s top 20 e-commerce sites
4.0
%
3.6
%
3.0
%
2.0
%
1.0
%
Source: Comscore
2.2
%
1.1
%
1.1
%
1.0%
0.7
%
20

20. Yandex.Market Traffic Sources
18%
51%
17%
5%
5%
1%
Source: Yandex Metrica
21

21. Brand Awareness
Most popular site for searching, purchasing or choosing goods online
goods
26
%
20
%
1
4
%
7
%
5
%
1
%
0
%
Source: TNS 2013
21
%
5
%
2
%
1
%
1
3
% 1
4
%
22
%
4
%
7.
5%
1
5
%
22.
5%
3
0
%
22

22. Online Customers
in Russia

23. Search Engines as Tools for
Making a Purchase
87% of online customers in Russia use search engines to
make
a purchase decision
56% of them use Yandex
Source: Euromonitor, Morgan Stanley
24

24. Online Shopping in Russia
Domestic shoppers 95%
70.
0%
67%
52.
5%
35.
0%
17.
5%
59%
Cross-border shoppers 36%
25%
21%
0
%
In 2012, one in three online customers in Russia ordered a product or
made a purchase abroad
© GfK | August-September 2013
25

25. Reasons for Сross-Border
Shopping
8
%
1
1
%
1
7
%
2
0
%
6
2
%
6
%
4
%
3
%
3
%
5
%
A large proportion of online shoppers in Russia are aware of cross-border
shopping opportunities
© GfK | August-September 2013
26

26. Reasons Against Cross-Border
Shopping
18.0
%
17.6
%
15.8
%
12.1
%
11.5
%
41.5
%
8.3%
7.4%
6.6%
3.4%
3.0%
1.4%
© GfK | August-September 2013
27

27. Customer Concerns about CrossBorder Shopping
22.4
%
21.0
%
17.3
%
27.4
%
32.4
%
32.0
%
38.8
%
8.3%
5.2%
5.1%
0.3%
0.2%
0.2%
% of all Russia’s online
shoppers
© GfK | August-September 2013
28

28. Why Yandex?

29. 30

30. Would you like to browse foreign goods on Yandex.Market?
10%
25%
65%
© GfK | August-September 2013
31

31. Yandex.Market
for foreign sellers

32. Goal
To offer customers in Russia a fast, safe and easy way
to choose products and make purchases online
globally
33

33. Yandex Market page with foreign seller’s offers
34

34. Seller’s page on Yandex Market
35

35. Specification to start
Service demands from seller
Categories
Cooperation issues
• Site in Russian language
• All offers with Russian titles and Russian
description
• Customer support – answers via mail in
Russian
• Interfaces for checkout and delivery in Russian
• Direct delivery to Russia
• New goods only
•
•
•
•
Fashion and Accessories
Children and Mother care
Sports
Household
Fully free entrance for all offers
No limits for number of offers
Pay only for clicks
Raise your offer in the listing using bidding
system
• Cost of click just from 0,1$
•
•
•
•
36

36. Thank you and
Welcome!
37