E-Commerce is growing at an incredible rate in Russia. Since 2013, Russian e-Commerce has grown by 30% with a current daily audience of 9.5 million people. As online shopping continues to expand in the country that has nine time zones, one of the major issues of Russia’s e-Commerce success is the shipment of goods. Issues include tracking, security, and shipment time. Currently, many Russians receive their online purchases by picking them up at designated stations. As online shopping picks up pace, Russians are working to improve the delivery of parcels to further satisfy customers and re-assure them this is a safe and easy way to purchase goods.
To start, in July 2014, eBay and Russian Post signed a memorandum of understanding for two projects to improve e-Commerce in Russia. The first project, ePacket aims to reduce shipments times from abroad by a third. Depending on how the project goes in China, it will expand to the US, UK, and Germany. Secondly, eBay will provide support to Russian sellers and a marketplace for Russians to sell online. Russian Post and eBay will integrate their IT systems to improve package tracking.
Later in August 2014, Russian Post announced another project to improve e-Commerce shipments. Russian Post is making a commitment to improving the delivery of parcels from the European parts of Russia. Russian Post will have direct contracts with retailers to ship a fixed number of packages under 5 kg per month. On the other end, the retailer must guarantee no fewer than 10,000 parcels per month. The service will start in 38 cities and expand to 144 in 2015, producing 3-4 day deliveries and next day shipping in major cities like Moscow and St. Petersburg.
Furthermore, Russian Post is teaming up with their Chinese counterparts due to a 900% increase of small e-Commerce goods shipping from China to Russia in the past two years. Approximately 60% of all international goods shipping to Russia come from China. China Post and Russia Post agreed to develop an electronic data exchange to speed up Russian customs clearance for parcels. The two have also begun talks to open new road, rail, and air routes between the countries for shipments.
While Russian Post carries 90% of all shipments, there are other alternatives. SPRS Express proves to hold the strongest position for private express delivery in Russia. SPRS offers a service that operates through its own network, ensuring strong security and delivery of their own routes.
The improved delivery of goods will surely satisfy customers’ online shopping experience but also reinforce that this is a safe and easy shopping method that the Russians can trust.