On 18-19 April in Moscow, representatives from leading retailers and logistics companies participated in the 2017 Online and Offline Retail forum and exhibition in Moscow. The conference looks at the latest trends and challenges in the retail market in Russia, such as the convergence of online and offline retail, omnichannel commerce, use of digital technologies in sales outlets and potential of new payment technologies.
On this occasion, Mark Harrison, IPC Head of Markets, presented the results of the IPC cross-border e-commerce shopper survey, conducted in 26 markets worldwide. In his introduction he highlighted that despite strong e-commerce growth in Russia, online retail still represents only 4% of total retail in the country. Moreover, Russia’s cross-border e-commerce increased by 7% in 2016.
Looking at habits of cross-border online shoppers, Mark underlined the importance of analysing the behaviour in leading markets such as China. While on average globally 16% of consumers buy online once a week, in China 36% of consumers shop online on a weekly basis. He also underlined the increasing usage of smartphones for making cross-border online purchases. The majority of consumers indicated online payment platforms like PayPal or credit cards as their preferred payment methods and only 4% use cash on delivery. However, as highlighted by panelists, in Russia, cash on delivery is by far the most popular payment option for e-commerce. The ability to track purchase is a key priority for consumers.
At the global level, China remains the main market for cross-border purchases. As highlighted during the conference, Russia isn't no exception to this trend.