15 Aug 2019 18:48

X5 expecting to have 5% share in last-mile-delivery segment by 2020

MOSCOW. Aug 15 (Interfax) - X5 Retail , Russia's biggest retailer, is planning to account for 5% of Russia's last-mile segment (delivery of orders to customers) by 2020, CEO Igor Shekhterman said during a conference call on Thursday.

"By 2020, we're expecting our share in the market of last-mile delivery in Russia to be 5%," Shekhterman said.

More than 2,500 parcel automats have been installed in X5 stores, he said.

The X5 Retail Group is Russia's biggest retailer by sales revenue. In H1 2019, its revenue increased 14.9%, to 843.175 billion rubles. As of the end of June, the group included 15,260 stores, including 14,385 Pyaterochka convenience stores, 785 Perekrestok supermarkets, and 90 Karusel hypermarkets.

An omnichannel model is part of the group's strategy. This year, X5 began testing a click-and-collect service in all three types of stories and delivering products from Pyaterochka stores to nearby homes.

Last year, the company began placing automats in its stores for the delivery of non-food orders from partner companies (currently Ozon Lamoda, Goods.ru, and AliExpress).