Russian e-commerce market development trends

The e-commerce market is currently demonstrating steady growth. Constant market monitoring is an integral part of analysing business processes in the sphere of trade, the identified trends allow enterprises to respond to changes and take them into account in their activities, as well as to successfully adapt to the changing conditions of the external environment. The dynamics of the e-commerce market for the period 2016-2023 presented in Figure shows that during the study period, its volume more than quadrupled from $1,336 billion in 2014 to $5,784 billion in 2023 [1]. The highest growth was observed in 2020 (27%), when the entire global offline market was paralysed due to restrictions associated with the global coronavirus epidemic (Covid-19).

Fig. Dynamics of the volume of the global e-commerce market for the period 2016-2023, billion USD

At that time, due to coronovirus restrictions, e-commerce became the only possible way to make purchases in both consumer and business markets [2].

Providing consumers with high-speed Internet access, improving digital technologies, and supporting digital transformation of business processes at the government level are fuelling the rapid growth of the e-commerce market. According to eMarketer analytical agency forecasts, the global e-commerce market will continue to grow steadily and reach $6,3 trillion in 2024.

The leadership in the global e-commerce market is firmly established in China. According to statistics for 2023, its share of the total e-commerce market was 52,1%. The top five leading countries are the USA (20.1%), the UK (3.4%) Japan (3.3%), South Korea (2.5%).

The top five countries in terms of global ecommerce volume remains unchanged from 2018.

It should be noted that the Russian ecommerce market is still being formed. Despite its rapid development, the share of online sales in the total retail turnover according to data for 2022 was only 5,97%. The increase in the number of marketplaces, the development of new retail formats and technological innovations in payment processing, all this will contribute to the further development of the Russian e-commerce market.

According to Data Insight forecasts, in 2024, the e-commerce market will continue its growth and will occupy 19% of the retail market, and the total volume of the Russian ecommerce market will amount to 7,2 trillion RUB. This is indicated by the increased interest in marketplaces on the part of business structures. Electronic trading platforms provide unlimited opportunities for business expansion, reduce transaction costs and the cost of attracting customers, which is in demand in today's highly competitive market conditions.

E-commerce is available to both experienced market players and beginners. This method of trading is quite simple to understand. The most popular nowadays is the use of various marketplaces. Electronic trading platforms (marketplaces) allow transactions to take place through an online platform that provides access to a wider range of goods, regardless of their location, as well as providing transaction support from the moment of registration to the complete fulfilment of the order [4].

In 2023, the main growth of the Russian ecommerce market was driven by marketplaces. According to data from January 2024, the largest Russian marketplaces Wildberries and Ozon entered the world ranking and took 9 and 10 positions in it (Table).

Table. Rating of the world's largest marketplaces according to the data of Webretailer analyti- cal agency for January 2024 [5]

In 2024, marketplaces will continue to be one of the main platforms for online commerce. The top five most popular marketplaces in Russia as of the beginning of 2024 are: WILDBERRIES, OZON, YANDEX MARKET, ALIEXPRESS, MEGAMARKET and there are also many niche marketplaces of various sizes on the Russian market, whose revenue for 2023 increased by 27 % compared to 2022 [6] and reached 591 billion RUB.

Here is the main trends that characterise the development of the Russian e-commerce market at present.

• -    Sanctioned closure of access for Russians to purchases on foreign marketplaces, caused a redistribution of consumer flows and contributed to an increase in demand for purchasing goods through domestic electronic trading platforms.

• -    Reducing purchases of expensive and impulse goods, including special demand items.

• -    Stagnation of online-shops and growing interest of customers in electronic trading platforms.

• -    Emergence of well-known brands and large retailers on marketplaces (electronic trading platforms).

• -    Optimisation of trade processes through the use of modern digital technologies, including those based on artificial intelligence.

• -    Improvement of online services.

• -    Emergence and development of new payment methods (quick payment system, quasi-money, e-wallets).

The development of digital technologies has led to the transformation of trading processes. Nowadays, companies not only use online shops, but also strive for multichannelisation and the creation of digital ecosystems. E-commerce is rapidly evolving as innovations in digital technology help businesses meet the growing demands of customers in the most comprehensive and personalised possible.