“Magnit” is expanding online – Kommersant FM
[ad_1]
Magnit Company (MOEX: MGNT) launched its own marketplace. The first order delivery point opened in Kazan in test mode. In November, the retailer bought the KazanExpress online store, on the basis of which it decided to build a new business. In February 2024, it is planned to open 16 more test delivery points in the capital of Tatarstan. Each location will have its own operating system tested.
In the future, taking into account the experience gained, Magnit plans to expand the geographic presence of its service to other cities. The project has a chance to take a significant share of the online trading market, says marketplace expert Artem Bobtsov:
“For now, it is obvious that Magnit will build its marketplace around everyday goods, which are primarily presented on the Magnit shelf itself, and then will go into other product categories, such as household chemicals, clothing, and electronics. From a logistics point of view, they want to achieve synergy with their offline network, since it is built at the federal level, that is, you can see the store’s cars all over the country.
Federal coverage is a serious advantage over niche marketplaces; they will immediately be able to compete with federal players such as Ozon, Wildberries, Yandex and Sbermegamarket.
As for delivery points and categories, it is obvious that delivery points will be based on Magnit stores; again, the consumer will be able to combine a purchase in the store in order to pick up goods purchased online. That is, you can get money from one client twice. So, at the start they get quite a significant advantage, even compared to marketplaces that have been building their entire sales systems for years.
Since the costs of offline trading are higher than in online trading, including rent and salaries, some goods can be made a little cheaper online. And this will be a serious price advantage over marketplaces, which now sell goods at the same price as on store shelves, and simply take advantage of the convenience of purchase and delivery.”
Magnit said that customer orders will be delivered to the chain’s stores equipped with pick-up points in one day. At the same time, supermarkets will have separate storage areas to separate customer flows and speed up work.
However, this model is not suitable for trading in the grocery segment, says independent retail innovation expert Boris Agatov: “I do not expect great success from this project, because now the market has already developed such a competitive environment that simply does not allow a new player to quickly come in and take a larger share.
KazanExpress is a universal marketplace, that is, it presents not only those products that are in Magnit. There may be clothes that need to be tried on, tools that need to be checked, in this regard, there is a definite advantage to looking at it in a store. Most likely, it will not be a stunning success, but the fact that this will help Magnit take a quick step in e-commerce is a fact.
Now everyone understands that online will continue to grow for several years. In some segments, the online share is already very high, for example, in electronics, but in others it is still low, in particular in food products. The competence that established players such as KazanExpress already have is worth its weight in gold. Thus, the company will become an omnichannel retailer for its customers, a fashionable modern store that satisfies all the customer’s needs.”
The KazanExpress marketplace, which Magnit bought to develop online trading, was founded in 2017. According to Data Insight, in 2022 the site was among the top 6 largest in terms of the number of orders, and its audience exceeded 5 million people per month.
Everything is clear with us – Telegram channel “Kommersant FM”.
[ad_2]
Source link
