Traditional offline stores are closing in hundreds, and this continues to this day. The trend has reached the Russian market: it is already impossible not to notice changes in recent years. The classic supply chain from producer to consumer is changing, e-commerce is gaining momentum. This toughens competition and changes the balance of power.
According to the Criteo Global Commercial Report (Global Commerce Review Q2, 2018), nearly 50% of online sales in Europe are currently made through mobile devices. In Russia, in 2018, the share of transactions via smartphones and tablets amounted to 30% (compared to 21% in 2017), and the number of purchases from smartphones increased by 79%.
A time is becoming more and more important factor for customers; in a day they want to do more and prefer small stores. A change in the strategy of hypermarkets is associated with this, for example, Auchan began to reduce its area and develop the Auchan City network.
The tendency to open small shops has affected not only food retail. In 2018, the Leroy Merlin opened a showroom of only 130 metres in Skolkovo, IKEA - a mini-store in the Aviapark in Moscow. This is the first experience of companies in Russia, but not the first in the world. Similar stores ranging from 200 to 1000 square meters. m. successfully working in Europe.
But despite this trend, Watcom analysts presented a report on the market for attendance of shopping centers based on the Shopping Index 2019. In the first half of the year, traffic growth on average in Russia amounted to almost 2.5%. Positive dynamics was noted for the first time since 2016.
Changes in the company's strategy are also reflected in the technical support of stores. This is primarily due to theft protection. If large trading hypermarkets required more expensive and large-scale equipment, then this is not required for small stores. But with the increase in sales points, the number of thefts also increases. Therefore, retail chains resort to the use of compact equipment. It protects the store and allows employees to control what is happening in the store in detail.
Experts believe that this is due to closing big retail shops and opening small ones will increase maintenance growth. It`ll entail a rise in the cost of anti-theft equipment and related products.