Market trends in Russia

consulting technology | outsourcing MARKET TRENDS IN IN RUSSIA THE RUSSIAN MARKET WILL CONTINUE TO GROW The economy has recovered, and future 2013/ growth is projected higher than Western Europe 2014 Hypergrowth ended with CONSUMERS ARE the recession BECOMING MORE 2008 SOPHISTICATED Russian consumers are brand conscious but price continues to be a strong purchase driver Digital consumers with higher expectations More pleasant shopping experience Consumers desire products with value-add features KEY CONSUMER TRENDS HEALTH AND WELLNESS Concerns drive desire for healthier foods and all-natural products URBANIZATION AND HIGH 0% WORKING WOMEN Resulting in hectic lifestyles and desire for convenience drive demand for high efficiency products, meal solutions DIVERSE MARKET Products tailored to new segments and local tastes RETAIL INDUSTRY THE RUSSIAN RETAIL MARKET IS UNDERGOING A PERIOD OF RUSSIA ACHIEVES RAPID TRANSFORMATION LEADING POSITION IN THE EUROPEAN RETAIL MARKET Retail Market Size in US$ bn, 2013 RAPID INCREASE Russia 657.7 OF MODERN TRADE Germany 568 Uk 514 France 505.6 Italy 481.7 Spain 254 Poland 165.8 M&A HAS LED TO PROLIFERATION Netherlands 114.4 OF BRANDS, IT SYSTEMS AND OPPORTUNITIES Switzerland 105.5 Sweden 89.1 SHIFT IN THE BALANCE OF POWER BETWEEN RETAIL AND CPG MANUFACTURERS