Russian online retailer Wildberries posts 85% growth in revenues in 1Q19

Russian online retailer Wildberries posts 85% growth in revenues in 1Q19
Russian online retailer Wildberries posted 85% year-on-year growth in revenues in the first quarter of 2019 to RUB38.9bn ($603mn)
By bne IntelliNews April 12, 2019

Russian online retailer Wildberries posted 85% year-on-year growth in revenues in the first quarter of 2019 to RUB38.9bn ($603mn), with the number of unique users up by 89%.

Wildberries is Russia's largest online store for three consecutive years, is one the highest-valued Russian Internet companies at $1.2bn, and earned its founder and owner Tatyana Bakalchuk the status of the second Russian female billionaire.

The highest growing segments in the first quarter were electronics, office equipment, as well as household and kitchen appliances. Widlberries also noted a significant growth in online orders of footwear, among other apparel.

The company linked the growth in revenues to both the expansion of the product line and the development of the pick-up point chain. In the reporting quarter Wildberries opened 800 new pick-up points, bringing the total number to 3,700 (operated in Russia, Belarus, Kazakhstan, Armenia, and Kyrgizia).

Founded by Bakalchuk in 2004 with her husband Vladislav, the company has ridden the wave of Russia’s ballooning volume of online sales. Russia’s e-commerce is only starting to mature now and still has plenty of growing room.

According to research conducted by the global market research company Nielsen, 90% of Russians have made at least one online purchase in the last ten years as a result of a growing consumer trust in online stores.

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