Magnit will launch its marketplace based on KazanExpress

“Magnet” will buy the KazanExpress marketplace and on its basis will launch its own under a new brand “Magnet market”. Representatives of Magnit and AliExpress, which is one of the sellers of KazanExpress, told Vedomosti about this.

The transaction amount is not disclosed. A Magnit representative clarified that it will be financed from the retailer’s own funds.

“On “Magnet Market” we plan to collect everything necessary, from food to repair goods, which will be available for order at pick-up points within walking distance of the buyer or with courier delivery,” said Guvanch Donmez, director of e-commerce at the Magnit retail chain.

KazanExpress was launched in 2017. Its owners are the structure of AliExpress Russia – Aggregator-Online LLC (owns 56.3% of KazanExpress LLC), as well as the owner of the Kazan holding FIX Sergey Eremeev (33.8%) and the founders marketplace Linar Khusnullin (7.8%) and Kevin Handa (2.1%)

A Magnit representative said that the geography and number of delivery points will be increased multiple times compared to what KazanExpress currently has, due to the opening of pick-up points in Magnit stores. At the end of the second quarter of 2023, Magnit has 28,300 stores, of which 11,700 are connected to online delivery. Magnit’s share, according to its own data, in the food market is 12.6%.

It is clarified that KazanExpress’s share in the marketplace market increased to 0.3% in the first half of 2023. The site’s turnover during this period amounted to 9.2 billion rubles, which is 7.4% more than the same period last year. According to Data Insight at the end of 2022, the marketplace was one of the largest platforms in terms of the number of orders, behind Wildberries, Ozon, “Yandex.Market”, “SberMegaMarket” and “AliExpress Russia” itself. The turnover of the first two marketplaces at the end of the first half of 2023 amounted to 991.8 billion and 636 billion rubles. respectively.