Moscow, 3 September 2020 – Ozon, Russia’s leading multi-category online retailer, announces its operating results for Q2 and H1 2020. The Company's Gross Merchandise Value (GMV) in Q2 2020 exceeded its GMV for all of 2018.
Q2 2020 GMV (incl. VAT but net of returns and cancellations) increased by 188% year-on-year, reaching a record RUB 45.8 billion. GMV in H1 2020 totaled RUB 77.4 billion, which is 152% higher than in the same period last year.
In June, GMV from sales by marketplace sellers exceeded 50% of the Company's total GMV for the first time, which indicates successful development of the Ozon marketplace platform.
Growth factors:
— New customer behaviour: in April-May, the number of new active buyers increased by 84% year-on-year. Every fourth buyer who made his or her first purchase on Ozon in the spring went on to place a second order in Q2, while every seventh buyer placed two or more orders.
— Shift to online purchases of everyday products: every other order placed by new buyers over the summer period contained FMCG products, showing Russian consumers are increasingly purchasing products for everyday use online.
— Online basket growth: buyers are combining various categories of products and we believe that they are also purchasing more items per order than before. The total number of orders delivered in Q2 reached 14.6 million, which represents a year-on-year increase of 132%.
— Logistics infrastructure expansion fueling regional growth: the fastest growing cities for Ozon sales in Q2 were Novosibirsk (+ 293%), Voronezh (+ 250%) and Krasnodar (+ 235%). The Russian regions outside of Moscow and Moscow region account for more than 55% of Ozon's GMV.
— Increasing repeat purchases: we believe that as daily purchases are moving online, Russian consumers are becoming more interested in additional opportunities to save. In June, the Ozon.Card debit card became one of the most popular products on the platform, with more than 175,000 cards issued by the end of Q2.
— Maintaining high quality service amid peak demand: even in the face of increased demand, Ozon’s focus on developing its infrastructure and creating the technological foundation for efficient logistics management allowed Ozon to deliver 93% of its parcels on time in April and 96% in June.
Daniil Fedorov, Chief Financial Officer at Ozon Group, commented:
“The pandemic not only brought spontaneous shoppers online, but also contributed to shaping new habits among Russian shoppers, who have grown used to making regular purchases via this channel. Judging by our customers’ behaviour in the second quarter of 2020, people are not going to give up online shopping any time soon. We believe it is clear that the future of online retail belongs to large multi-category players, those that bring together all types of goods on their platform and offer loyalty programmes and other ways for their customers to save.”
Q2 2020 GMV (incl. VAT but net of returns and cancellations) increased by 188% year-on-year, reaching a record RUB 45.8 billion. GMV in H1 2020 totaled RUB 77.4 billion, which is 152% higher than in the same period last year.
In June, GMV from sales by marketplace sellers exceeded 50% of the Company's total GMV for the first time, which indicates successful development of the Ozon marketplace platform.
Growth factors:
— New customer behaviour: in April-May, the number of new active buyers increased by 84% year-on-year. Every fourth buyer who made his or her first purchase on Ozon in the spring went on to place a second order in Q2, while every seventh buyer placed two or more orders.
— Shift to online purchases of everyday products: every other order placed by new buyers over the summer period contained FMCG products, showing Russian consumers are increasingly purchasing products for everyday use online.
— Online basket growth: buyers are combining various categories of products and we believe that they are also purchasing more items per order than before. The total number of orders delivered in Q2 reached 14.6 million, which represents a year-on-year increase of 132%.
— Logistics infrastructure expansion fueling regional growth: the fastest growing cities for Ozon sales in Q2 were Novosibirsk (+ 293%), Voronezh (+ 250%) and Krasnodar (+ 235%). The Russian regions outside of Moscow and Moscow region account for more than 55% of Ozon's GMV.
— Increasing repeat purchases: we believe that as daily purchases are moving online, Russian consumers are becoming more interested in additional opportunities to save. In June, the Ozon.Card debit card became one of the most popular products on the platform, with more than 175,000 cards issued by the end of Q2.
— Maintaining high quality service amid peak demand: even in the face of increased demand, Ozon’s focus on developing its infrastructure and creating the technological foundation for efficient logistics management allowed Ozon to deliver 93% of its parcels on time in April and 96% in June.
Daniil Fedorov, Chief Financial Officer at Ozon Group, commented:
“The pandemic not only brought spontaneous shoppers online, but also contributed to shaping new habits among Russian shoppers, who have grown used to making regular purchases via this channel. Judging by our customers’ behaviour in the second quarter of 2020, people are not going to give up online shopping any time soon. We believe it is clear that the future of online retail belongs to large multi-category players, those that bring together all types of goods on their platform and offer loyalty programmes and other ways for their customers to save.”
