Retailing in Ukraine

Retailing in Ukraine

EXECUTIVE SUMMARY

COVID-19 impact on retailing

COVID-19 country impact

Increased level of service across retailers

Shop-in-shop format increasingly popular

What next for retailing?

OPERATING ENVIRONMENT

Informal retailing

Opening hours

Summary 1 Standard Opening Hours by Channel Type 2018

Physical retail landscape

Cash and carry

Table 1 Cash and Carry Sales: Value 2015-2020

Seasonality

International Women’s Day
New Year

Payments and delivery

Emerging business models

MARKET DATA

Table 2 Sales in Retailing by Store-based vs Non-Store: Value 2015-2020
Table 3 Sales in Retailing by Store-based vs Non-Store: % Value Growth 2015-2020
Table 4 Sales in Store-based Retailing by Channel: Value 2015-2020
Table 5 Sales in Store-based Retailing by Channel: % Value Growth 2015-2020
Table 6 Store-based Retailing Outlets by Channel: Units 2015-2020
Table 7 Store-based Retailing Outlets by Channel: % Unit Growth 2015-2020
Table 8 Sales in Non-Store Retailing by Channel: Value 2015-2020
Table 9 Sales in Non-Store Retailing by Channel: % Value Growth 2015-2020
Table 10 Grocery Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 11 Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 12 Sales in Grocery Retailers by Channel: Value 2015-2020
Table 13 Sales in Grocery Retailers by Channel: % Value Growth 2015-2020
Table 14 Grocery Retailers Outlets by Channel: Units 2015-2020
Table 15 Grocery Retailers Outlets by Channel: % Unit Growth 2015-2020
Table 16 Non-Grocery Specialists: Value Sales, Outlets and Selling Space 2015-2020
Table 17 Non-Grocery Specialists: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 18 Sales in Non-Grocery Specialists by Channel: Value 2015-2020
Table 19 Sales in Non-Grocery Specialists by Channel: % Value Growth 2015-2020
Table 20 Non-Grocery Specialists Outlets by Channel: Units 2015-2020
Table 21 Non-Grocery Specialists Outlets by Channel: % Unit Growth 2015-2020
Table 22 Mixed Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 23 Mixed Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 24 Sales in Mixed Retailers by Channel: Value 2015-2020
Table 25 Sales in Mixed Retailers by Channel: % Value Growth 2015-2020
Table 26 Mixed Retailers Outlets by Channel: Units 2015-2020
Table 27 Mixed Retailers Outlets by Channel: % Unit Growth 2015-2020
Table 28 Retailing GBO Company Shares: % Value 2016-2020
Table 29 Retailing GBN Brand Shares: % Value 2017-2020
Table 30 Store-based Retailing GBO Company Shares: % Value 2016-2020
Table 31 Store-based Retailing GBN Brand Shares: % Value 2017-2020
Table 32 Store-based Retailing LBN Brand Shares: Outlets 2017-2020
Table 33 Non-Store Retailing GBO Company Shares: % Value 2016-2020
Table 34 Non-Store Retailing GBN Brand Shares: % Value 2017-2020
Table 35 Grocery Retailers GBO Company Shares: % Value 2016-2020
Table 36 Grocery Retailers GBN Brand Shares: % Value 2017-2020
Table 37 Grocery Retailers LBN Brand Shares: Outlets 2017-2020
Table 38 Grocery Retailers LBN Brand Shares: Selling Space 2017-2020
Table 39 Non-Grocery Specialists GBO Company Shares: % Value 2016-2020
Table 40 Non-Grocery Specialists GBN Brand Shares: % Value 2017-2020
Table 41 Non-Grocery Specialists LBN Brand Shares: Outlets 2017-2020
Table 42 Non-Grocery Specialists LBN Brand Shares: Selling Space 2017-2020
Table 43 Mixed Retailers GBO Company Shares: % Value 2016-2020
Table 44 Mixed Retailers GBN Brand Shares: % Value 2017-2020
Table 45 Mixed Retailers LBN Brand Shares: Outlets 2017-2020
Table 46 Mixed Retailers LBN Brand Shares: Selling Space 2017-2020
Table 47 Forecast Sales in Retailing by Store-based vs Non-Store: Value 2020-2025
Table 48 Forecast Sales in Retailing by Store-based vs Non-Store: % Value Growth 2020-2025
Table 49 Forecast Sales in Store-based Retailing by Channel: Value 2020-2025
Table 50 Forecast Sales in Store-based Retailing by Channel: % Value Growth 2020-2025
Table 51 Forecast Store-based Retailing Outlets by Channel: Units 2020-2025
Table 52 Forecast Store-Based Retailing Outlets by Channel: % Unit Growth 2020-2025
Table 53 Forecast Sales in Non-Store Retailing by Channel: Value 2020-2025
Table 54 Forecast Sales in Non-Store Retailing by Channel: % Value Growth 2020-2025
Table 55 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 56 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025
Table 57 Forecast Sales in Grocery Retailers by Channel: Value 2020-2025
Table 58 Forecast Sales in Grocery Retailers by Channel: % Value Growth 2020-2025
Table 59 Forecast Grocery Retailers Outlets by Channel: Units 2020-2025
Table 60 Forecast Grocery Retailers Outlets by Channel: % Unit Growth 2020-2025
Table 61 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 62 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025
Table 63 Forecast Sales in Non-Grocery Specialists by Channel: Value 2020-2025
Table 64 Forecast Sales in Non-Grocery Specialists by Channel: % Value Growth 2020-2025
Table 65 Forecast Non-Grocery Specialists Outlets by Channel: Units 2020-2025
Table 66 Forecast Non-Grocery Specialists Outlets by Channel: % Unit Growth 2020-2025
Table 67 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 68 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025
Table 69 Forecast Sales in Mixed Retailers by Channel: Value 2020-2025
Table 70 Forecast Sales in Mixed Retailers by Channel: % Value Growth 2020-2025
Table 71 Forecast Mixed Retailers Outlets by Channel: Units 2020-2025
Table 72 Forecast Mixed Retailers Outlets by Channel: % Unit Growth 2020-2025

DISCLAIMER

GLOBAL MACROECONOMIC ENVIRONMENT

GLOBAL INDUSTRY ENVIRONMENT

SOURCES

Summary 2 Research Sources

Convenience Stores in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Convenience stores prove to be innovative in light of COVID-19 and record high value growth

Fora remains in the lead

Other players enter convenience channel

RECOVERY AND OPPORTUNITIES

Lower value growth than over review period

Convenience stores focus on customer experience

Larger grocery players invest in convenience store channel

CHANNEL DATA

Table 73 Convenience Stores: Value Sales, Outlets and Selling Space 2015-2020
Table 74 Convenience Stores: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 75 Convenience Stores GBO Company Shares: % Value 2016-2020
Table 76 Convenience Stores GBN Brand Shares: % Value 2017-2020
Table 77 Convenience Stores LBN Brand Shares: Outlets 2017-2020
Table 78 Convenience Stores LBN Brand Shares: Selling Space 2017-2020
Table 79 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 80 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Hypermarkets in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Huge surge in e-commerce

Auchan continues to lead and gained value share in 2020

The Velmart brand maintains its third place

RECOVERY AND OPPORTUNITIES

Lower value growth than other modern grocery retailers

Focus on consumer experience over forecast period

Environmental awareness is increasingly a theme for hypermarkets

CHANNEL DATA

Table 81 Hypermarkets: Value Sales, Outlets and Selling Space 2015-2020
Table 82 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 83 Hypermarkets GBO Company Shares: % Value 2016-2020
Table 84 Hypermarkets GBN Brand Shares: % Value 2017-2020
Table 85 Hypermarkets LBN Brand Shares: Outlets 2017-2020
Table 86 Hypermarkets LBN Brand Shares: Selling Space 2017-2020
Table 87 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 88 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Supermarkets in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Supermarkets respond to consumers changing needs in light of COVID-19

ATB-Market extends its lead and continues to expand

Brusnichka closes outlets

RECOVERY AND OPPORTUNITIES

Lower value growth over forecast period as retailer matures somewhat

Digital payments gain value share over forecast period

Supermarkets extend their ranges of fresh fruit and vegetables

CHANNEL DATA

Table 89 Supermarkets: Value Sales, Outlets and Selling Space 2015-2020
Table 90 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 91 Supermarkets GBO Company Shares: % Value 2016-2020
Table 92 Supermarkets GBN Brand Shares: % Value 2017-2020
Table 93 Supermarkets LBN Brand Shares: Outlets 2017-2020
Table 94 Supermarkets LBN Brand Shares: Selling Space 2017-2020
Table 95 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 96 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Traditional Grocery Retailers in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Traditional grocery loses out even more to modern grocery, due to COVID-19

Major fragmentation in traditional grocery retailers

Traditional grocery thrives in poorer, more rural parts of the country

RECOVERY AND OPPORTUNITIES

Specialised operators see value growth over forecast period

Increasing competition from supermarkets for fresh foods

The authorities close many small shops and kiosks

CHANNEL DATA

Table 97 Traditional Grocery Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 98 Traditional Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 99 Traditional Grocery Retailers GBO Company Shares: % Value 2016-2020
Table 100 Traditional Grocery Retailers GBN Brand Shares: % Value 2017-2020
Table 101 Traditional Grocery Retailers LBN Brand Shares: Outlets 2017-2020
Table 102 Traditional Grocery Retailers LBN Brand Shares: Selling Space 2017-2020
Table 103 Traditional Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 104 Traditional Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Apparel and Footwear Specialist Retailers in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Reduced demand as people spend large amounts of time at home

A highly fragmented channel

Shoppers continue to move from open markets to apparel and footwear specialist retailers

RECOVERY AND OPPORTUNITIES

Local brands benefit, as consumers more price sensitive

Apparel and footwear e-commerce to take increasing share

Shoppers increasingly seek convenience

CHANNEL DATA

Table 105 Apparel And Footwear Specialist Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 106 Apparel And Footwear Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 107 Apparel And Footwear Specialist Retailers GBO Company Shares: % Value 2016-2020
Table 108 Apparel And Footwear Specialist Retailers GBN Brand Shares: % Value 2017-2020
Table 109 Apparel And Footwear Specialist Retailers LBN Brand Shares: Outlets 2017-2020
Table 110 Apparel And Footwear Specialist Retailers LBN Brand Shares: Selling Space 2017-2020
Table 111 Apparel And Footwear Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 112 Apparel And Footwear Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Electronics and Appliance Specialist Retailers in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Certain products sell well due to COVID-19

Retailers expand core offerings

Players increasingly implement omnichannel sales strategies

RECOVERY AND OPPORTUNITIES

Thriftier purchase choices over the forecast period

Counterfeiting remains a threat

Physical stores strive to improve the customer experience in order to compete with e-commerce

CHANNEL DATA

Table 113 Electronics and Appliance Specialist Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 114 Electronics and Appliance Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 115 Electronics and Appliance Specialist Retailers GBO Company Shares: % Value 2016-2020
Table 116 Electronics and Appliance Specialist Retailers GBN Brand Shares: % Value 2017-2020
Table 117 Electronics and Appliance Specialist Retailers LBN Brand Shares: Outlets 2017-2020
Table 118 Electronics and Appliance Specialist Retailers LBN Brand Shares: Selling Space 2017-2020
Table 119 Electronics and Appliance Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 120 Electronics and Appliance Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Health and Beauty Specialist Retailers in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Beauty and optical goods stores suffer value decline

Shake-up in competitive landscape

Chemists/pharmacies is characterised by fierce competition

RECOVERY AND OPPORTUNITIES

Beauty and optical goods stores return to value growth

Beauty specialist retailers benefit from the expansion of shopping centres

Structural changes evident in pharmacies

CHANNEL DATA

Table 121 Health and Beauty Specialist Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 122 Health and Beauty Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 123 Sales in Health and Beauty Specialist Retailers by Channel: Value 2015-2020
Table 124 Sales in Health and Beauty Specialist Retailers by Channel: % Value Growth 2015-2020
Table 125 Health and Beauty Specialist Retailers GBO Company Shares: % Value 2016-2020
Table 126 Health and Beauty Specialist Retailers GBN Brand Shares: % Value 2017-2020
Table 127 Health and Beauty Specialist Retailers LBN Brand Shares: Outlets 2017-2020
Table 128 Health and Beauty Specialist Retailers LBN Brand Shares: Selling Space 2017-2020
Table 129 Health and Beauty Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 130 Health and Beauty Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025
Table 131 Forecast Sales in Health and Beauty Specialist Retailers by Channel: Value 2020-2025
Table 132 Forecast Sales in Health and Beauty Specialist Retailers by Channel: % Value Growth 2020-2025

Home and Garden Specialist Retailers in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Value sales decline as stores closed for several weeks

Epicentr K extends its lead

Retailers need to respond to price sensitivity among consumers

RECOVERY AND OPPORTUNITIES

Healthy value growth over forecast period

Strong growth for e-commerce

DIY remains popular

CHANNEL DATA

Table 133 Home and Garden Specialist Retailers: Value Sales, Outlets and Selling Space 2015-2020
Table 134 Home and Garden Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 135 Sales in Home and Garden Specialist Retailers by Channel: Value 2015-2020
Table 136 Sales in Home and Garden Specialist Retailers by Channel: % Value Growth 2015-2020
Table 137 Home and Garden Specialist Retailers GBO Company Shares: % Value 2016-2020
Table 138 Home and Garden Specialist Retailers GBN Brand Shares: % Value 2017-2020
Table 139 Home and Garden Specialist Retailers LBN Brand Shares: Outlets 2017-2020
Table 140 Home and Garden Specialist Retailers LBN Brand Shares: Selling Space 2017-2020
Table 141 Home and Garden Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 142 Home and Garden Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025
Table 143 Forecast Sales in Home and Garden Specialist Retailers by Channel: Value 2020-2025
Table 144 Forecast Sales in Home and Garden Specialist Retailers by Channel: % Value Growth 2020-2025

Department Stores in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Lower disposable incomes and store closure lead to significantly lower value sales

TsUM remains the only department store in Ukraine in 2020

TsUM caters to wealthier clients

RECOVERY AND OPPORTUNITIES

Lower value growth over forecast period

Strong competition from shopping centres

Opportunities for TsUM to develop

CHANNEL DATA

Table 145 Department Stores: Value Sales, Outlets and Selling Space 2017-2020
Table 146 Department Stores: Value Sales, Outlets and Selling Space: % Growth 2017-2020
Table 147 Department Stores GBO Company Shares: % Value 2016-2020
Table 148 Department Stores GBN Brand Shares: % Value 2017-2020
Table 149 Department Stores LBN Brand Shares: Outlets 2017-2020
Table 150 Department Stores LBN Brand Shares: Selling Space 2017-2020
Table 151 Department Stores Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 152 Department Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Variety Stores in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Variety retailers perform better than other non-grocery retailers, due to affordability

The leading variety stores are set to benefit from the improving quality of their products

The fixed price concept resonates strongly among Ukrainians

RECOVERY AND OPPORTUNITIES

Variety retailers recover once infection rates fall

Variety stores begin to go digital

Some variety stores upgrade their offerings

CHANNEL DATA

Table 153 Variety Stores: Value Sales, Outlets and Selling Space 2015-2020
Table 154 Variety Stores: Value Sales, Outlets and Selling Space: % Growth 2015-2020
Table 155 Variety Stores GBO Company Shares: % Value 2016-2020
Table 156 Variety Stores GBN Brand Shares: % Value 2017-2020
Table 157 Variety Stores LBN Brand Shares: Outlets 2017-2020
Table 158 Variety Stores LBN Brand Shares: Selling Space 2017-2020
Table 159 Variety Stores Forecasts: Value Sales, Outlets and Selling Space 2020-2025
Table 160 Variety Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2020-2025

Direct Selling in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Beauty and personal care biggest losers in 2020

Avon Cosmetics (Ukraine) retains its lead, though loses value share

In remote areas, direct selling companies are often the only sellers of beauty products

RECOVERY AND OPPORTUNITIES

Amway expected to gain value share

The personal nature of direct selling is a key feature to consider

Direct sellers adjust to the influence of the internet

CHANNEL DATA

Table 161 Direct Selling by Category: Value 2015-2020
Table 162 Direct Selling by Category: % Value Growth 2015-2020
Table 163 Direct Selling GBO Company Shares: % Value 2016-2020
Table 164 Direct Selling GBN Brand Shares: % Value 2017-2020
Table 165 Direct Selling Forecasts by Category: Value 2020-2025
Table 166 Direct Selling Forecasts by Category: % Value Growth 2020-2025

Homeshopping in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Players try to maintain volume sales by offering generous promotions

A lack of category overlap hampers the competition

International players lead in value terms

RECOVERY AND OPPORTUNITIES

Value decline over forecast period

The moves towards physical stores and e-commerce weaken homeshopping

Leading players implement omni-channel strategies

CHANNEL DATA

Table 167 Homeshopping by Category: Value 2015-2020
Table 168 Homeshopping by Category: % Value Growth 2015-2020
Table 169 Homeshopping GBO Company Shares: % Value 2016-2020
Table 170 Homeshopping GBN Brand Shares: % Value 2017-2020
Table 171 Homeshopping Forecasts by Category: Value 2020-2025
Table 172 Homeshopping Forecasts by Category: % Value Growth 2020-2025

Vending in Ukraine

KEY DATA FINDINGS

2020 IMPACT

With spending large amounts of time at home, there is less demand for vending

Nestlé-Ukraine leads as hot drinks remain crucial

Companies begin to experiment with unusual products through vending

RECOVERY AND OPPORTUNITIES

Healthy value growth over the forecast period

Digitalisation a key opportunity in vending

Opportunities in hot drinks vending

CHANNEL DATA

Table 173 Vending by Category: Value 2015-2020
Table 174 Vending by Category: % Value Growth 2015-2020
Table 175 Vending GBO Company Shares: % Value 2016-2020
Table 176 Vending GBN Brand Shares: % Value 2017-2020
Table 177 Vending Forecasts by Category: Value 2020-2025
Table 178 Vending Forecasts by Category: % Value Growth 2020-2025

E-Commerce in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Players quick to react to surge in online demand

Huge increase in 3rd party merchants due to COVID-19

Food and drink best performer in 2020

RECOVERY AND OPPORTUNITIES

Continued healthy value growth over forecast period

Retailers continue to develop multichannel experience for consumers

Steps are being taken to increase the trust in online payments amongst Ukrainian shoppers

CHANNEL DATA

Table 179 E-Commerce by Channel and Category: Value 2015-2020
Table 180 E-Commerce by Channel and Category: % Value Growth 2015-2020
Table 181 E-Commerce GBO Company Shares: % Value 2016-2020
Table 182 E-Commerce GBN Brand Shares: % Value 2017-2020
Table 183 Forecast E-Commerce by Channel and Category: Value 2020-2025
Table 184 Forecast E-Commerce by Channel and Category: % Value Growth 2020-2025

Mobile E-Commerce in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Mobile delivery apps benefit hugely from COVID-19

Chinese brands are popular and growing

Convenience of the shopping process is a crucial factor

RECOVERY AND OPPORTUNITIES

Mobile apps serve as multifunctional tool

Generational features are worth noting

As more consumers turn to smartphones, retailers increasingly adopt mobile-first strategies

CHANNEL DATA

Table 185 Mobile E-Commerce: Value 2015-2020
Table 186 Mobile E-Commerce: % Value Growth 2015-2020
Table 187 Mobile E-Commerce Forecasts: Value 2020-2025
Table 188 Mobile E-Commerce Forecasts: % Value Growth 2020-2025

Food and Drink E-Commerce in Ukraine

KEY DATA FINDINGS

2020 IMPACT

Delivery providers gain from online shopping

Zakaz.ua maintains its lead

Geographic coverage remains very limited

RECOVERY AND OPPORTUNITIES

2020 has shown what is possible and healthy growth will continue over forecast period

Some delivery companies expand into food and drink

Grocery delivery, once a niche service, emerges as indispensable

CHANNEL DATA

Table 189 Food and Drink E-Commerce: Value 2015-2020
Table 190 Food and Drink E-Commerce: % Value Growth 2015-2020
Table 191 Food and Drink E-Commerce Forecasts: Value 2020-2025
Table 192 Food and Drink E-Commerce Forecasts: % Value Growth 2020-2025

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