Russian nationwide food and necessities delivery service SberMarket has unveiled its 1Q20 performance figures, which show the company’s turnover increased five-fold to 1.5 billion rubles ($20.07 million) year-on-year, Retail & Loyalty reports.
Compared to 4Q19, the metric soared 74%. The number of orders delivered in 1Q20 also increased more than five times to exceed 350,000.
In 1Q20, SberMarket, owned by the country’s biggest lender Sberbank, kept implementing its strategy to create a nationwide FMCG delivery service available to all residents of the country. Over the first quarter, the service was launched in 12 new regions of Russia, from Irkutsk to Kaliningrad. In late March, a SberMarket courier from Kazan delivered the company’s one-millionth order.
This large-scale growth called for quick development of logistics and operations. In 1Q20 the number of fulfillers and couriers working with SberMarket nearly tripled from 1,200 to 3,650. The number of outlets the service works with grew to 115.
In February 2020, SberMarket announced the launch of a new business area, its own advertising platform for FMCG brands. The company claims its platform’s model will differ from the conventional channels, as advertisers will only be charged fees pegged to their turnover, which means they’ll only pay for real sales. SberMarket’s FMCG efforts in March prove that the product is already popular among many advertisers, from major international companies to local Russian brands.
“Since mid-March, SberMarket has been operating in completely new conditions. Despite the complexity of the situation, we quickly reorganized business processes and we expanded the team of pickers and couriers by 800 people in March to meet the demand that had rapidly grown to extreme values. We will continue to increase our working capacities so that by the end of April we will be delivering 15,000 orders a day, becoming an e-grocery leader in Russia,” says Asan Kurmanguzhin the CEO of SberMarket.