Retailing
Retailing

Retailing in Ukraine

Ukraine

Euromonitor International's Retailing in Ukraine report offers insight into key trends and developments affecting the industry. The report examines all retail channels to provide sector insight. Channels include department stores, food retailers, health and beauty retailers, clothing and footwear retailers, home furniture and household goods retailers, durable goods retailers, and leisure and personal goods retailers. There are profiles of leading retailers, with analysis of their performance and the challenges they face. There is also analysis of alternative selling channels (kiosks, homeshopping, internet retailing, service stations, vending and direct selling, as available).

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Tables: 193  |  Publication date: Feb 2008
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Product coverage

Non-store retailing; Store-based retailing

Executive summary

Retailing continues to grow

Ukrainian retail continues to grow despite a recent economic slowdown and high inflation. Retailing is one of the few areas of the Ukrainian economy to see an increase in employment rates towards the end of the review period. For the first time, growth rates in Donetsk, Dnipropetrovsk and Mykolaiv surpassed those in Kyiv. Slowing growth in small-format retailing occurred, however, due to a lack of commercial real estate in high-traffic areas of large cities.

Retail destinations changing rapidly

The deficit of suitable retail real estate prompted retailers and developers, both Ukrainian and foreign, to begin construction on several large shopping centres in areas such as Kyiv, Odessa and Lviv. Italy’s King Cross received approval for construction of a major shopping centre, the Leopolis centre in Lviv is nearing completion and most hypermarkets being constructed in Ukraine are central parts of shopping malls.

Still plenty of room to grow

While retailing is becoming very competitive in Kyiv, several regional cities are still well underdeveloped and retailers encounter the biggest competition from informal operators. Demand for hypermarkets in particular by far exceeds the current supply. However, a number of Ukrainian retailers are afraid of future competition from international retailers in hypermarkets and focus on smaller format outlets. This is despite the continuing success of Ukrainian hypermarket chains such as Amstor and Target.

Internet sales of electronics exhibit great growth potential

Store-based retailing typically grew much faster than non-store retailing n 2007. However, internet sales of small electronics could become an exception to the rule in the near future, as computer technology and secure electronic payment methods become more widespread in Ukraine.

Concentration of shares accelerating

The spread of economic development into rural areas will continue driving growth in retailing in all regions of the country during the forecast period. Organised retailing will continue to gain revenue at the expense of informal sales. Inefficiency and corruption within the government and a shortage of capital will contribute to a lack of retail space, however, until at least 2010. The share of leading retailers will meanwhile undoubtedly continue to grow, as they buy out smaller, regional chains. However, increasing competition from domestic and foreign retailers, combined with growing rental rates, will have a negative impact on future profit margins.

The rapid growth of Ukrainian disposable income levels drove dynamic growth in turnover and several large Ukrainian cities are becoming attractive targets for foreign retailers. As a result, Spar plans to expand to 60 stores in at least 20 regions by 2009, the first Marks & Spencer opened in Kyiv towards the end of the review period with 13 more outlets planned and Auchan is planning to open a chain of hypermarkets. Metro AG, riding on the success of its Cash and Carry chain, also announced plans to open its Real chain of Hypermarkets.

Table of contents

RETAILING IN UKRAINE : MARKET INSIGHT

EXECUTIVE SUMMARY

Retailing continues to grow

Retail destinations changing rapidly

Still plenty of room to grow

Internet sales of electronics exhibit great growth potential

Concentration of shares accelerating

KEY TRENDS AND DEVELOPMENTS

Expansion in the regions

Cashing in on the real estate deficit

Side-stepping the hypermarket

Footwear retailers aim low

Big opportunity in toys and game stores

Changes in spending habits for Ukrainian consumers

Franchising becoming more fashionable

Banking becoming an integral part of retail

MARKET INDICATORS

Table 1 Employment in Retailing 2002-2007

MARKET DATA

Table 2 Sales in Retailing by Sector: Value 2002-2007

Table 3 Sales in Retailing by Sector: % Value Growth 2002-2007

Table 4 Sales in Retailing by Grocery vs Non-Grocery 2005-2007

Table 5 Sales in Store-Based Retailing by Sector: Value 2002-2007

Table 6 Sales in Store-Based Retailing by Sector: % Value Growth 2002-2007

Table 7 Sales in Non-store Retailing by Sector: Value 2002-2007

Table 8 Sales in Non-store Retailing by Sector: % Value Growth 2002-2007

Table 9 Retailing Company Shares: % Value 2004-2007

Table 10 Grocery Retailers Company Shares: % Value 2004-2007

Table 11 Grocery Retailers Brand Shares: % Value 2004-2007

Table 12 Non-Grocery Retailers Company Shares: % Value 2004-2007

Table 13 Non-Grocery Retailers Brand Shares: % Value 2004-2007

Table 14 Non-store Retailing Company Shares: % Value 2004-2007

Table 15 Non-store Retailing Brand Shares: % Value 2004-2007

Table 16 Forecast Sales in Retailing by Sector: Value 2007-2012

Table 17 Forecast Sales in Retailing by Sector: % Value Growth 2007-2012

Table 18 Forecast Sales in Store-Based Retailing by Sector: Value 2007-2012

Table 19 Forecast Sales in Store-Based Retailing by Sector: % Value Growth 2007-2012

Table 20 Forecast Sales in Non-store Retailing by Sector: Value 2007-2012

Table 21 Forecast Sales in Non-store Retailing by Sector: % Value Growth 2007-2012

APPENDIX

Operating environment

Foreign direct investment in retail

Cash and carry/warehouse clubs

Table 22 Cash and Carry/Warehouse Clubs: Sales Value 2006-2007

Table 23 Cash and Carry/Warehouse Clubs: Sales by National Brand Owner: Sales Value 2004-2007

Table 24 Cash and Carry/Warehouse Clubs: Number of Outlets by National Brand Owner: 2004-2007

DEFINITIONS

Sources

Summary 1 Research Sources

LOCAL COMPANY PROFILES - UKRAINE

AMSTOR - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Amstor: Key Facts

Summary 3 Amstor: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 4 Amstor: Competitive Position 2007

BAJADERA CHP - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 5 Bajadera ChP: Key Facts

Summary 6 Bajadera ChP: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 7 Bajadera ChP: Competitive Position 2007

DC UKRAINE LTD - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 8 DC Ukraine Ltd: Key Facts

Summary 9 DC Ukraine Ltd: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 10 DC Ukraine Ltd: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 11 DC Ukraine Ltd: Competitive Position 2007

DOMOTECHNIKA OOO - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 12 Domotechnika OOO: Key Facts

Summary 13 Domotechnika OOO: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 14 Domotechnika OOO: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 15 Domotechnika OOO: Competitive Position 2007

EUROPRODUCT JSC - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 16 Europroduct JSC: Key Facts

Summary 17 Europroduct JSC: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 18 Europroduct JSC: Competitive Position 2007

FOXTROT LTD - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 19 Foxtrot Ltd: Key Facts

Summary 20 Foxtrot Ltd: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 21 Foxtrot Ltd: Competitive Position 2007

FOZZY GROUP - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 22 Fozzy Group: Key Facts

Summary 23 Fozzy Group: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 24 Fozzy Group: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 25 Fozzy Group: Competitive Position 2007

GARANTIYA TRADE - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 26 Garantiya Trade: Key Facts

Summary 27 Garantiya Trade: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 28 Garantiya Trade: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 29 Garantiya Trade: Competitive Position 2007

INTERMARKET OOO - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 30 Intermarket OOO: Key Facts

Summary 31 Intermarket OOO: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 32 Intermarket OOO: Competitive Position 2007

KIBELA PC - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 33 Kibela PC: Key Facts

Summary 34 Kibela PC: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 35 Kibela PC: Competitive Position 2007

KLO CO - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 36 KLO Co: Key Facts

Summary 37 KLO Co: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 38 KLO Co: Competitive Position 2007

KVISA-TRADE LTD - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 39 Kvisa-Trade Ltd: Key Facts

Summary 40 Kvisa-Trade Ltd: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 41 Kvisa-Trade Ltd: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 42 Kvisa-Trade Ltd: Competitive Position 2007

OOO ATB - MARKET - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 43 OOO ATB - Market: Key Facts

Summary 44 OOO ATB - Market: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 45 OOO ATB - Market: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 46 OOO ATB - Market: Competitive Position 2007

PAKKO OOO - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 47 Pakko OOO: Key Facts

Summary 48 Pakko OOO: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 49 Pakko OOO: Competitive Position 2007

TAVRIYA VAT APF - RETAILING - UKRAINE

STRATEGIC DIRECTION

KEY FACTS

Summary 50 Tavriya VAT APF: Key Facts

Summary 51 Tavriya VAT APF: Operational Indicators

COMPANY BACKGROUND

PRIVATE LABEL

Summary 52 Tavriya VAT APF: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 53 Tavriya VAT APF: Competitive Position 2007

HYPERMARKETS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 25 Hypermarkets: Value Sales, Outlets and Selling Space 2002-2007

Table 26 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 27 Hypermarkets Company Shares by Value 2004-2007

Table 28 Hypermarkets Brand Shares by Value 2004-2007

Table 29 Hypermarkets Outlets by Brand 2004-2007

Table 30 Hypermarkets Selling Space by Brand 2004-2007

Table 31 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 32 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

SUPERMARKETS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 33 Supermarkets: Value Sales, Outlets and Selling Space 2002-2007

Table 34 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 35 Supermarkets Company Shares by Value 2004-2007

Table 36 Supermarkets Brand Shares by Value 2004-2007

Table 37 Supermarkets Outlets by Brand 2004-2007

Table 38 Supermarkets Selling Space by Brand 2004-2007

Table 39 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 40 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

DISCOUNTERS IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 41 Discounters: Value Sales, Outlets and Selling Space 2002-2007

Table 42 Discounters: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 43 Discounters Company Shares by Value 2004-2007

Table 44 Discounters Brand Shares by Value 2004-2007

Table 45 Discounters Outlets by Brand 2004-2007

Table 46 Discounters Selling Space by Brand 2004-2007

Table 47 Discounters Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 48 Discounters Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

CONVENIENCE STORES IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 49 Convenience Stores: Value Sales, Outlets and Selling Space 2002-2007

Table 50 Convenience Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 51 Convenience Stores Company Shares by Value 2004-2007

Table 52 Convenience Stores Brand Shares by Value 2004-2007

Table 53 Convenience Stores Outlets by Brand 2004-2007

Table 54 Convenience Stores Selling Space by Brand 2004-2007

Table 55 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 56 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

FORECOURT RETAILERS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 57 Forecourt Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 58 Forecourt Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 59 Forecourt Retailers Company Shares by Value 2004-2007

Table 60 Forecourt Retailers Brand Shares by Value 2004-2007

Table 61 Forecourt Retailers Outlets by Brand 2004-2007

Table 62 Forecourt Retailers Selling Space by Brand 2004-2007

Table 63 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 64 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

MIXED RETAILERS IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 65 Mixed Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 66 Mixed Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 67 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 68 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

HEALTH AND BEAUTY RETAILERS IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 69 Health and Beauty Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 70 Health and Beauty Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 71 Health and Beauty Retailers Company Shares by Value 2004-2007

Table 72 Health and Beauty Retailers Brand Shares by Value 2004-2007

Table 73 Health and Beauty Retailers Outlets by Brand 2004-2007

Table 74 Health and Beauty Retailers Selling Space by Brand 2004-2007

Table 75 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 76 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

CLOTHING AND FOOTWEAR RETAILERS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 77 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 78 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 79 Clothing and Footwear Retailers Company Shares by Value 2004-2007

Table 80 Clothing and Footwear Retailers Brand Shares by Value 2004-2007

Table 81 Clothing and Footwear Retailers Outlets by Brand 2004-2007

Table 82 Clothing and Footwear Retailers Selling Space by Brand 2004-2007

Table 83 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 84 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

FURNITURE AND FURNISHINGS STORES IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 85 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space 2002-2007

Table 86 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 87 Furniture and Furnishings Stores Company Shares by Value 2004-2007

Table 88 Furniture and Furnishings Stores Brand Shares by Value 2004-2007

Table 89 Furniture and Furnishings Stores Outlets by Brand 2004-2007

Table 90 Furniture and Furnishings Stores Selling Space by Brand 2004-2007

Table 91 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 92 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

DIY AND HARDWARE STORES IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 93 DIY and Hardware Stores: Value Sales, Outlets and Selling Space 2002-2007

Table 94 DIY and Hardware Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 95 DIY and Hardware Stores Company Shares by Value 2004-2007

Table 96 DIY and Hardware Stores Brand Shares by Value 2004-2007

Table 97 DIY and Hardware Stores Outlets by Brand 2004-2007

Table 98 DIY and Hardware Stores Selling Space by Brand 2004-2007

Table 99 DIY and Hardware Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 100 DIY and Hardware Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

DURABLE GOODS RETAILERS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 101 Durable Goods Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 102 Durable Goods Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 103 Durable Goods Retailers Company Shares by Value 2004-2007

Table 104 Durable Goods Retailers Brand Shares by Value 2004-2007

Table 105 Durable Goods Retailers Outlets by Brand 2004-2007

Table 106 Durable Goods Retailers Selling Space by Brand 2004-2007

Table 107 Durable Goods Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 108 Durable Goods Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

LEISURE AND PERSONAL GOODS RETAILERS IN UKRAINE

HEADLINES

OVERVIEW

SECTOR DATA

Table 109 Leisure and Personal Goods Retailers: Value Sales, Outlets and Selling Space 2002-2007

Table 110 Leisure and Personal Goods Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007

Table 111 Leisure and Personal Goods Retailers Company Shares by Value 2004-2007

Table 112 Leisure and Personal Goods Retailers Brand Shares by Value 2004-2007

Table 113 Leisure and Personal Goods Retailers Outlets by Brand 2004-2007

Table 114 Leisure and Personal Goods Retailers Selling Space by Brand 2004-2007

Table 115 Leisure and Personal Goods Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012

Table 116 Leisure and Personal Goods Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012

VENDING IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 117 Vending: Value 2002-2007

Table 118 Vending: % Value Growth 2002-2007

Table 119 Vending Company Shares by Value 2004-2007

Table 120 Vending Brand Shares by Value 2004-2007

Table 121 Vending Forecasts: Value 2007-2012

Table 122 Vending Forecasts: % Value Growth 2007-2012

HOMESHOPPING IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 123 Homeshopping: Value 2002-2007

Table 124 Homeshopping: % Value Growth 2002-2007

Table 125 Homeshopping Company Shares by Value 2004-2007

Table 126 Homeshopping Brand Shares by Value 2004-2007

Table 127 Homeshopping Forecasts: Value 2007-2012

Table 128 Homeshopping Forecasts: % Value Growth 2007-2012

INTERNET RETAILING IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 129 Internet Retailing: Value 2002-2007

Table 130 Internet Retailing: % Value Growth 2002-2007

Table 131 Internet Retailing Company Shares by Value 2004-2007

Table 132 Internet Retailing Brand Shares by Value 2004-2007

Table 133 Internet Retailing Forecasts: Value 2007-2012

Table 134 Internet Retailing Forecasts: % Value Growth 2007-2012

DIRECT SELLING IN UKRAINE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 135 Direct Selling: Value 2002-2007

Table 136 Direct Selling: % Value Growth 2002-2007

Table 137 Direct Selling Company Shares by Value 2004-2007

Table 138 Direct Selling Brand Shares by Value 2004-2007

Table 139 Direct Selling Forecasts: Value 2007-2012

Table 140 Direct Selling Forecasts: % Value Growth 2007-2012

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