- The Company has a strong network footprint, so a growing number of customer can buy its products in stores.
- Modern stores are located conveniently, including both street and shopping mall formats.
- The Company develops an omni-channel sales model: five Internet stores and mobile applications.
- Innovative loyalty program unites a traditional cumulative-discount system and a wide set of additional and financial services.
- According to forecasts of Discovery Research Group, Russian shoe market will grow in 2018-2023 on average by 4-5% in volume terms and by 6-8% in monetary terms.
- According to data from DRG, TOP-10 biggest players have just 23,4% of the Russian shoe market in terms of value. That is why it is a good time for expanding the chain and increasing the market share.
- Obuv Rossii is one of the TOP-2 biggest shoe networks in Russia by store count (including franchising) and is a leader in the prospective mid-price segment*.
- According to the results of 2017, Obuv Rossii’s share in the mid-price segment is 2.26% being more than two times bigger than the share of its closest competitor*.
*Data of Discovery Research Group according to results of 2017.
- Obuv Rossii is a vertically integrated holding with all stages of product creation: from its development to its realization to the target customer.
- Such model makes it possible to develop a good system for cost management reducing the period of new product launching.
- The Company uses mainly rented premises for both warehouses and retail spaces, which allows for flexible and mobile business.
- Obuv Rossii develops four mono-brand networks: Westfalika, Rossita, Lisette, Emilia Estra, each of them having unique positioning and a broad customer group; and a multi-brand shoe supermarket, Peshekhod.
- A multi-brand strategy — development of several brands — allows the Company to cover a big group of customers and take a big share of the mass market sector.
- The multi-brand strategy is a strategy of international shoe market leaders.
- In addition to shoes, the Company develops a line of high-margin related products under own brands allowing the Company to increase its sales and the average ticket with the enhancement of customer loyalty.
Dynamically growing financial metrics: CAGR sales revenue according to IFRS in 2012-2017 — 26%, CAGR EBITDA in 2012-2017 — 36%.
Profitability index is high among the results of the leading international fashion retailers: EBITDA margin in 2017— 25.3%.
- Key Company employees’ average experience in the industry is more than 15 years. It is one of the most professional teams on the shoe market allowing the Company to achieve high results exceeding average results in the sector.
- The Company intends to double its retail network within the next three years.
- Special attention will be paid to enhancing its efficiency and increasing its LFL sales.
- Obuv Rossii will develop its own production including due to its entering the corporate sector (production of special, work shoes).
- It will improve its value chain including the expansion of own production, improvement of shipment terms, and further IT-integration.
- Obuv Rossii will continue to work to create unique customer experience: to develop various sales channels including mobiles sales, to improve they loyalty system by launching new additional services and an omni-channel model for customer interaction.
- The Company will increase its brand awareness launching promotion campaigns, using new channels and instruments and increasing promotion campaign quality and efficiency.