KupiVIP and PVS sign agreement of international cooperation
The partnership includes consolidation of brand portfolios and creation of the unified alliance system for new on-line shops launching.
KupiVIP - marketplace is the platform connecting vendors from 10 European countries and Russian consumers.
Holding will provide for PVS projects its own infrastructure in CIS, as well as the system of international logistics for delivering goods to end buyers.
Partnership with PVS is the strategic step to expand commodity offer for local consumers and the opportunity for leading international brands to enter Russian market.Preliminary estimate of Russian and German companies' cooperation can ensure up to 15 000 parcels a year at the initial stage, which will be delivered from Europe to Russia within 8 days.
According to analytics the initial investments of KupiVIP and PVS into creation of partner infrastructure will be around 12 million of rubles.
The Agreement signed by two leaders of e-commerce market in Eurasia includes the following items (partial disclosure):
- Provider KupiVIP E-Commerce Services and PVS group of companies consolidate their portfolios of brands to create a unified alliance system within the limits of which the brands will be able to launch business-processes of online-trading with high efficiency as on the territory of Europe, so throughout Russia
- KupiVIP holding will provide its own infrastructure for joined projects in Russia and Germany, including warehouses, call-centers, logistics and delivery services, on-line marketing and advertisement experts' services
- PVS group of companies ensures the technical coordination in Europe for all the brands, which are partners of alliance and plan to launch e-commerce projects in Russia
- KupiVIP holding ensures the creation, launch and coordination of on-line businesses in Russia for all the fashion brands, which are partners of alliance and plan to launch e-commerce projects in Russia
- The agreement applies not only to apparel-brands, but also to other product categories of global retailers of partners' portfolios
According to the independent experts, the creation of KupiVIP & PVS partnership will significantly influence the alignment of forces as on European so on Russian arena of e-commerce services. It is evident that the launch of such a project today is the investment into future strengthening of positions of both players from 2015 to 2020.
Russia has the largest audience of internet users in Europe - around 70 million people. The local e-commerce market has the potential of 5 times growth. In 2014 the market capacity amounted to $ 17,47 billion.
Today Russia is on the 9th place in world e-commerce rating, leaving behind online markets of such countries as India, Brazil, the Netherlands, Italy, Australia, Argentina and Mexico. Russian market is considered to be promising mostly due to the small internet-penetration share. Today it is 65%.The potential of the development of internet-trading for big players lies in regions. Primarily Privolzhsky, Siberian, Southern and North-Caucasus federal districts. In total these territories have 33.7 million internet-users out of 70 million online-audience of Russia.
- Vladimir Kholyaznikov, CEO KupiVIP Group
KupiVIP constantly works over the possibility to offer the audience the broadest variety of licensed goods at reasonable prices.
Having its own infrastructure in CIS, and also international logistics and orders delivery system, the partnership with PVS is a step to expand the offer for local consumers. For the clients of the holding, the partnership of KupiVIP and PVS, means first of all extension the variety and possibility to purchase apparel, footwear and accessories of leading global fashion-brands at reasonable prices.
In Q4 2014 KupiVIP holding reached the breakeven point according EBITDA indicators, during Cyber Monday on January 26, the company reached the highest revenue in the history of the company. It's time for new and strong steps forward. The project with PVS is one of them in the history of the holding.
- Miroslav Zubachevsky, Managing Director KupiVIP E-Commerce Services
Partnership with PVS is one of the brightest and most efficient projects in the direction of outsource of KupiVIP holding in 2015.
Joining project facilities of two market leaders into unified space for e-commerce development between Europe and Russia, we make online purchases for online audience easier, faster and more available.Today, the portfolio of brands of KupiVIP holding has more than 2000 trademarks.
Outsource-department created and is managing the work of more than 20 internet-shops of trademarks in Russia.The 6 years experiment gained lets us offer foreign retailers only those e-commerce solutions that will definitely work on Russian market.
- Heinz Karow, CEO PVS Group
Our company has been working on e-commerce market of Europe since 1991.
In 14 years we became the leader of the segment with annual stock rotation to the amount of more than € 40 million and more than 500 employees.
I'm glad that we signed the Agreement with KupiVIP. This alliance opens many opportunities to consolidate and develop the resources of two market leaders on the international scale.
In spite of all the political and economic problems today, we are professionals in commerce; we believe that there are no boarders for business.Especially if we talk about such an open and global space as internet.
PVS group of companies
The biggest fulfillment and outsource operator of online commerce in Europe
Founded in 1991 (some companies inside PVS have been working since 1970)
- Head office: Neckarsulm, Germany
- CEO: Heinz Karow
- Annual stock rotation: € 40 million (2013)
- Number of employees: more than 500
- Warehouse capacity: 1.1 million items of hanging goods and 1.8 million items of goods in boxes
- Warehouse space: 100 000 square meters
- Daily shipments: more than 25 000 items
- Portfolio of the brands: more than 100 companies (apparel, books, club merchandize goods, catalogue commerce, government contracts)
Some brands served by PVS:
- Amazon Buy VIP
- Bugatti fashion
- FC Borussia Monchengladbach
Logistic centers of PVS in Germany: Neckarsulm, Meckenheim, Munich, Waghausel, Hassfurt, Knetzgau
Leader of online fashion-retail in Russia in SALE format
- Founded: 2008
- Head office: Moscow, Russia
- CEO: Vladimir Kholyaznikov
- Annual turnover: € 200 million. (2012)
- Number of employees: more than 500
- Warehouse capacity: 600 000 items
- Warehouse space: 20 000 square meters
- Profile of brands: more than 2000 trademarks
Some of the brands - partners of KupiVIP:
- Alexander McQueen
- Bottega Veneta
- Diane Von Furstenberg
- Giorgio Armani
- Yves Saint Laurent
International offices: Berlin, Minsk, Alma-Ata
KupiVIP E-Commerce Services
Biggest in Russia full-cycle e-commerce outsource operator with the richest portfolio of launched projects (15)
Branch of KupiVIP holding
Some of the brands in KupiVIP E-Commerce Services portfolio:
- Carlo Pazolini
- Karen Millen
- Tom Tailor
- Snezhnaya Koroleva (Snow Queen)
There are also such cases in the portfolio as Adidas, TSUM, Quiksilver
A number of other world brands are not mentioned in the list due to internal agreement between the partners. Among them is the world famous perfume and cosmetics manufacturer.
KupiVIP E-Commerce Services works on "all in-house" basis (no subcontracts) and offers brands full-cycle e-commerce services:
- Internet-shop development. ERP. Webstore. Mobile. App. Omnichannel
- Warehouse. Klimovsk. 20 000 square meters
- Call-center. Moscow and Smolensk 400 employees
- Delivery. Own logistics service "Strela" More than 160 VW vehicles
- Marketing, Partner schemes and retargeting. Affiliate. SEM. SEO. CRM. E-mail
- Analytics. Leading specialists on e-commerce market
- Photo production. 16 up-to-date photo studios
One of the mail business advantages of KupiVIP E-Commerce Services - is the willingness to share risks with brand-partner and act not as a contractor, but as a partner and advisor.
According to the independent experts, the creation of KupiVIP & PVS partnership will significantly influence the alignment of forces as on European so on Russian arena of e-commerce services.