Адрес:
6 Presnenskaya Emb., 123112 Moscow Russia
Broadening horizons
Services
01
Sales agent
Sales agent

Sales is what any company needs. We provide a quick start of sales due to personal connections, deep knowledge of the market, established relationships with key clients.

02
Branding
Branding

We adapt your brand for sales in the Russian market while maintaining the same brand value. Our experts will prepare and translate all the necessary marketing materials for the best presentation of the product on the Russian market.

03
Promotion & PR
Promotion & PR

We pride ourselves on creative promo campaigns that speak to the benefits of launching products or services in the Russian market, and its value to the end customers. Our approach considers the full range of communication activities through classical and digital tools.

04
Social & Digital
Social & Digital
Whether you need retail and warehouse property or just office space, we provide solutions that fit your strategic, operational and financial goals. What differentiates us from real estate agencies is that we are independent and work for our clients’ success. 

05
Representative office
Representative office

We take care of all issues related to the export. You do not need to know Russian legislation, translate or understand the documents; we will ensure the delivery of goods from your warehouse to the customer's warehouse in the best way and in a short time.

 
06
Market intelligence
Market intelligence

We use real time market intelligence and research capabilities to identify market trends and compelling opportunities to help our clients understand emerging trends and takes advantages in the local market. Our experts combine market data with forward-thinking expertise to deliver reports based on your needs. 

About us

About us

We work to understand your business needs, as well as the industry drivers that can influence your way in the Russian market. Our full-service team of advisors assigned to every project typically includes project manager and the team of experts who are responsible for project development.

Whether you are already work in the Russian market or just only want to start doing business here, we provide creative solutions for all your business needs. We connect specialists throughout our team to build a road map to the Russian market that directly addresses your needs. The foundation of our solutions is the strength and depth of market intelligence of our advisers.

We empower our advisors to create successful and memorable experience that benefit our clients. We appreciate win-win relations with our clients and partners.

Why choose us
cost cutting
go-getter team
real practice
rapid outcome
flexible approach
win-win relations
tailored solutions
more than services...
Thinking way
Why do Russians buy property abroad?
Why do Russians buy property abroad?
Russians have become interested in foreign real estate since 2017. This was facilitated by the stabilization of the ruble exchange rate, but on the other hand, there were concerns over the devaluation of the ruble and the decline in wealth. First of all, Russians buy real estate abroad due to several reasons. It is not always improving living conditions, but above all the desire to preserve and increase capital, diversify assets, the opportunity to get various preferences and get an alternate aerodrome through investing. Secondly, citizenship is a tasty pie just for businessmen, because this allows you, for example, to avoid difficulties when opening accounts in foreign banks and gives freedom of movement.
Over the past two years, the demand for overseas property has soared one and a half times, according to experts from the Financial University under the Government of the Russian Federation. For example, the demand for real estate in Turkey over the past two years has increased almost four times, in Bulgaria - 2.5 times, in Germany, the Czech Republic, Cyprus and Montenegro - about two times. Russians with a small budget (140-160 thousand euros) prefer to select real estate objects in Spain, Bulgaria, Turkey, Cyprus, the Czech Republic, Montenegro, Italy, Germany, Greece and France.
For the “alternate airfield” or for periodic residence, Russians consider resort regions of Spain, Turkey, Montenegro, or even Italy. For example, in Bulgaria, for such an amount, you can buy several apartments at once for yourself and your relatives, or a specific penthouse on the first line of the sea with furniture and all the necessary equipment. And here the logic of choosing a property is what kind of beach was loved by tourists with experience and a suitable budget.
On the other hand, the purchase of real estate as an investment in order to preserve and increase wealth, there are already other motives. First of all, there is not a single country in which it would definitely be beneficial to acquire real estate. To invest you need to have market information and be an investor who understands this process.
When making decisions about investing in foreign real estate, Russians weigh factors such as reliability, preferences for owning real estate and its profitability and future prospects. For example, in order to generate rental income it is advisable to consider the popular tourist capitals of Europe: Paris, Prague, Berlin, Budapest, and Rome. And for a safe investment, the choice is behind real estate in Germany, where in recent years there has been a steady increase in the cost of square meters. Renting property to tourists in the summer season also allows you to recoup the costs of maintenance and earn some money (depending on the country and the object), and the prospect of higher prices will allow you to increase capital during resale.
Why DIY shops are closing when the construction market is growing?
Why DIY shops are closing when the construction market is growing?
The DIY & Household goods market reflects general retail development trends.
In 2018, the market returned to its pre-crisis level and growth due to pent-up consumer demand and record real estate sales amid a growing number of mortgage loans.
In 2018, the retail DIY market in Russia (including furniture and household goods) grew by 7.5%, to 2 trillion rubles. Although in previous years, starting from 2014, the number of DIY stores annually closed more than opened new ones. Due to rising prices for imported goods and falling purchasing power, the DIY market has shrunk over the years. In 2014, the market volume decreased by 17%, in 2015 - by 8%, and in 2016 the market by 9.5%, to 90 billion rubles. Since 2017, there has been a slight revival of this market while simultaneously changing the market structure. Despite the crisis, leading market operators intensified investments and opened stores. For example, the top 40 DIY-retailers in 2016 increased the growth of retail space by 20%, to 321,000 sqm (net increase was 191,000 sqm). Already in 2016, the share of Leroy Merlin accounted for 60% of the DIY market retail space.
In 2018, consumers changed the model of behaviour from savings to lean; they saved less and spent more than in 2015-2017. However, the purchases were planned more efficiently, prices were often compared, and more attention was paid to discounts and promotions. The pursuit of rational consumption has become a priority, not only for 20% of Russian citizens who live below the poverty line but also for representatives of other income groups. In the second half of 2018, there was a recovery in consumption of non-food products, in particular durable goods, in anticipation of a 20% increase in VAT, a devaluation of the ruble and a subsequent rise in prices. Some purchases were made using consumer loans.
At the end of 2018, we can conclude that DIY-networks slowed down the organic growth rate and limited the opening of new facilities, while they actively began to invest in upgrading existing facilities, providing customers with options for ready-made interior solutions and developing an online channel and omnichannel model, experimenting with formats.
At the same time, following the results of 2018, the French Leroy Merlin retailer remains the market leader, its share has grown from 19% in 2017 to more than 21% of the market. And this retailer increases price competition, which even large international retailers do not withstand. In early 2018, the K-Rauta retailer (part of the Finnish Kesko Corporation) left the Russian market, selling its business to Leroy Merlin for 12 billion rubles. For the French retailer, the purchase of K-Rauta stores was the first takeover transaction in Russia – before that, Leroy Merlin expanded organically. This allowed the network to strengthen its position in the Russian market. But in addition to acquiring objects of former competitors, the company is actively developing new sales channels and introducing innovative customer service techniques. By 2024, Leroy Merlin plans to increase the network in Russia almost threefold: from the current 78 to more than 200 stores, and also to double the share of e-commerce from the current 0.75%, including by increasing the number of items on the site by about 10 times. In addition, in June, the network opened a marketplace on its website – an online platform with goods from third-party sellers. Market participants rated it as a grand event in the Russian DIY market.
At the end of 2018, Castorama announced its resignation, which plans to close all hypermarkets by the end of 2019.
What makes foreign retailers leave the Russian market? First of all, the lack of flexibility in trading formats, the transition to a digital trading network. In 2018, basically all large retailers in the market actively developed omnichannel trade. As a result, for example, online sales of building and finishing materials, household goods, garden furniture and home furniture increased by 32% and amounted to 185 billion rubles. This is almost 9% of the total capacity of the markets of building and finishing materials, household goods and furniture. Such a dynamic growth of online sales is associated primarily with the active development of online-channel retailers.
In 2018, about 300 of the largest DIY universal retail chains carried out online sales. In the household segment, there are more than 130 online stores.
Today, 16% of orders in online stores are made using mobile applications. And today, all the largest DIY retailers have mobile applications – Leroy Merlin, OBI, STD Petrovich, IKEA, Hoff, Vseinstrumenty.ru, 220 Volts, etc. year up to 7% of turnover.
Retailers are really experimenting with new formats, reinforcing trends with professional buyers (b2b-channel) and increasing the share of their own brands.
Despite the fact that Castorama and K-Rauta have successful results in other markets, the lack of competitive advantages compared to local retailers reduces all chances of success to zero. Castorama in Russia did not have competitive advantages compared with OBI and Leroy Merlin and was far behind its competitors in the development of the online channel.
Is it advisable to reduce the size of the package?
Is it advisable to reduce the size of the package?
The increase in VAT to 20% from January 1, 2019, in Russia, provoked a rise in prices for all groups of goods. We should also pay attention to the behaviour of both consumers and producers. First of all, for consumers, the price increase was an unpleasant surprise. After all, their increase was not the difference in VAT increases of 2 p.p. For a number of food items, prices rose by 15 and 20%. Thus, manufacturers and retailers made a step to cover their costs, because previous months worked without changing prices.
Since January 2019, the downsizing of FMCG product packaging has been actively manifested. Thus, non-standard packaging of eggs appeared on the counters of stores in Russia - for nine pieces at the same price as ten pieces. It is worth noting that eggs were among the leaders in the ranking of the more expensive products at the end of 2018, despite the fact that their production was growing in 2018. Even earlier, a package for cereals was cut from 1,000 and 900 to 800 grams. Producers of carbonated drinks are pouring into bottles not a litre, but 900 millilitres, the weight of bread decreases. Is this a response to a consumer request or a conscious attempt to save money? One of the main reasons for what is happening, according to experts, is the rising cost of inflation — rising prices for feed, utilities, and so on. In addition, increased VAT, it is necessary to index wages. And these changes have caused negative emotions in consumer behaviour.
If we turn to the literal translation, the word “downsizing” means “reducing (reducing) the size”. The term does not contain references to any value characteristics of a product, appealing exclusively to the size of the package or the quantity of the product in it.
Why does the number of tourists grow against the backdrop of falling incomes?
Why does the number of tourists grow against the backdrop of falling incomes?
In May 2019, according to the data of Moscow airports, the number of air passengers leaving Moscow for the May holidays increased by about a third compared with last year. For metropolitan airports, two weeks from the end of April to about mid-May is a kind of high season. Anyone who can afford it, leaving Moscow, this is already a tradition. People, who decide to relax in Russia, fly mostly to St. Petersburg and the Black Sea resorts. Beach lovers go to Israel, Turkey and the United Arab Emirates. And one more group of tourists chooses vacations in European cities, Prague, Rome and Paris.
Russian sociologists, in turn, note that many Russians simply do not have money for vacations, so they stayed at home. It turns out strange: there is no money for rest, but there are holidaymakers, and their number is growing. In the first quarter, the fall in real disposable income, according to Rosstat, was 2.3%. If incomes fall, and people continue to spend, this is some kind of force majeure. And the answer lies on the surface– they use consumer lending. The share of consumer lending is increasing. Over the past 3 years, interest rates on consumer loans have declined markedly, which led to an increase in demand for consumer loans. The main concern is that credit growth is not supported by the growth of real incomes of the population, which have been falling since 2014.
How Russians find emotions in décor?
How Russians find emotions in décor?
Despite the stagnation of the Russian economy since 2014, Russians have the desire to have a beautiful and comfortable home. The use of decorators and designers services is due to the growth of the population’s cash income in certain segments of the market; increased demand for housing; expansion of the market of finishing materials and interior items; the increase in demand for the creation of comfortable conditions in homes and offices, and other reasons. Usually, for home interior, it is important to create feelings of happiness, comfort, safety, romance, and pride by design. By making some changes to the whole design, layout, colours, and fabrics it’s possible to make a positive difference quickly.
Russia's wallpaper market: what Russians choose
Russia's wallpaper market: what Russians choose
Wallpapers remain a traditional and indispensable coating for wall decoration. They retain an attractive appearance for about 5 years, but unlike other coatings, they are much easier to change, transforming the interior in accordance with fashion trends and their own mood. Over the past years in Russia, there has been a decline, as well as a rise in the production of wallpaper and similar materials for pasting walls. Russian wallpaper manufacturers confidently enter the market and replace foreign brands on the shelves of retail chains. In 2020, the supply of wallpapers to Russia from abroad will amount to 81 million pieces. However, imported products still maintain a significant share of total trade in the sector.
Review of the Russian Coffee Market
Review of the Russian Coffee Market
The Russian coffee market on the whole can be characterised as rather capacious and competitive. It has systematically been demonstrating solvent demand and increasing consumption. In addition, during the past 10 years, a number of significant changes in consumer preferences have been observed, which, in turn, have a positive impact on the dynamics of the Russian domestic market. Said changes include:
• coffee being a basic product of the consumer basket;
• shifts in the lifestyle and the culture of coffee consumption, which led to an increase in traffic in coffee shops and the number of establishments;
• growing consumer expenditures on coffee;
• changes in the structure of consumption, consumers switching from cheap instant coffee to alternatives of higher quality;
• growing consumption of natural ground coffee and coffee beans.
Key Consumer Trends of the Public Catering Industry
Key Consumer Trends of the Public Catering Industry
In 2017, the main macroeconomic indicators began to demonstrate positive dynamics, according to the Federal State Statistics Service (Rosstat). However, real disposable household incomes continue to decline, even though at a slower rate – the negative trend has been observed for the fourth year in a row. This indicates that Russians are not getting more money available to be spent on everyday goods, eating out, or any other regular items of expenditure.

Despite the above, after three years of a stable decline, the market of public catering has started its gradual recovery since the second quarter of 2017. It is expected that growth of the industry in 2017 will reach 1–2% in monetary terms. The visitor traffic will increase by approximately 3% with the average check not exceeding the level of 2016.
MARKET INDICATORS
Economic relations between Russia and the EU
Economic relations between Russia and the EU
Review of the Russian Coffee Market
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THE RUSSIAN ECONOMY
THE RUSSIAN ECONOMY
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Tornasuoni
Odeon
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ForteVillage
Polytech
News
Experts discuss interest in the expensive Icelandic direction in the Russian market amid a marked decrease in tourist flow from other countries.

The demand of Russians for ski tours this winter is growing, in some areas - up to 50%, the spokeswoman for the Russian Union of Travel Industry (PCT) Irina Tyurina told the Interfax-Tourism media.

Despite the increase in the tourist flow of Russians to Finland, Russians began to spend less money in a neighboring country.

Slowing consumer demand will create inflation risk below the baseline forecast, the Ministry of Economic Development warns. The growth of Russian debt on loans may begin to slow down consumer demand by the end of the year.

Russia has raised three lines in the new World Bank Group Doing Business ranking. Our country first made its way into the top 30, rising from 31st to 28th place, among 190 countries. The rating assesses the conditions for doing business in the country.

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