Internet in Russian

1
Internet in Russian

• Tatyana Tsvetkova
• Chief of the marketing department

2
Russian Internet
Nielsen/NetRating and FOM
44
30
29
12
22
19
26
About 36 millions of Internet users to 2011
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Access points
Data TNS GallupMedia
4
.ru zone How many domains are in Russia ?

• September, 17 2007 ?. 1,000,000 domains
• Growth gt 60

Data Stat.nic.ru
5
What Search portals are used in Russia?
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Blogs

• 5,000,000 blogs are registered in Runet
• 700 000 blogs are renovated monthly
• Daily users add
• 250 000 posts
• 1,000,000 comments

7
On-line advertising in Russia
USD, mln.
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On-line advertising in 2007
Total 430 millions
9
E-commerce market in Russia and USA
Russian e-commerce lt 0,5 of the total retail
market
USA e-commerce 5,6 of the total retail market
Oborot.ru, Softkey
Forrester Research
10
Potential of Russian e-commerce market
During 2007-2011 retail market will grow on 76,4
to 750 USD billions
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What influences Russian E-commerce

• Quantity of Internet users
• Payment systems
• Laws and rules
• Confidence and Brands
• Delivery
• Investments

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Payment systems

• Varity of payments
• Cash is more preferable for private person
• Share of credit cards payments grows but its
  still small

Softkey statistics
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Laws and rules

• Russia has no special laws for e-commerce
• For private person
• Rules of remote trade (October, 2007)
• The law on Consumers rights protection
• For legal person
• The law on the digital signature is passed but
  does not operate

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Confidence and Brands

• 43 of buyers consider online-purchase risky
  (Gemius)
• Causes of a dissatisfaction with Internet-shops
  use long expectation of delivery (37 ), a false
  information about the goods (23 ), problems with
  a guarantee, return of the damaged goods (22 )
  and lack of the important information for
  decision-making on purchase (22 ).(Gemius)
• Many stores but not enough brands

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Investments

• Not too many public investments
• Cisco acquired OZON.ru (books, music, DVD)
• Softkey (software) entered in IBS Group
• CTS Eventim bought Parter.ru and Kontramarka.ru
  (theatre, cinema tickets)
• The reason on-line business is not transparent

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What is Softkey?

• Softkey project was created in 2001.
• Today Softkey company works in three directions
  
• On-line trade
• Internet distribution and building sales channels
• Order processing and payment handling

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On-line trade

• Online software catalogue which includes more
  then 13,000 programs from more then 1,500
  software vendors all over the world
• 400,000 clients (private and legal persons)
• The daily attendance is more then 60,000 users
• More then 20 ways of payment (from bank wire
  transfer to mobile)
• Turnover in 2006 - 11 millions
• Growth in 2007 more then 200

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Internet distribution

• Softkey resellers networks is more then 1000
  partners
• 48 - Moscow
• 8 - Saint-Petersburg
• 44 - Russian regions
• The company has its offices in 10 countries,
  among them the Ukraine, Kazakhstan, Belarus,
  Bulgaria, Israel, Poland, the Baltic countries,
  Moldova.

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Some digits

• Every day
• 1700 orders on the site
• Call-center recieves 700 incoming calls
• Accounts department makes 200 packages of
  documents
• Logistics sends 250 material orders and 500
  electronic orders
• Sales Department processes 3000 inbox letters
• All company answers 500 inquiries in Help-Desk

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• Thank you!
• Questions???

Tatyana Tsvetkova tsvetkova_at_softkey.ru
Felix Muchnick fmm_at_softkey.ru