Russian cross-border e-commerce market analysis and imported commodity trend observation

In recent years, Sino-Russian trade has developed rapidly, especially in the field of cross-border e-commerce. According to statistics, Russia’s e-commerce market revenue reached US$18 billion in 2018, and it is expected that by 2021, market transaction volume will reach at least US$23 billion. Thanks to the popularity of the Internet, Russia has become one of the markets with the greatest potential for cross-border e-commerce in the world, especially occupying an important position among Chinese sellers. According to the “2017 World Internet E-Commerce Report”, the number of Internet users in Russia has exceeded 110 million, and the Internet penetration rate has reached 76.1%. This provides strong support for the development of e-commerce platforms.

In the Russian market, there are many well-known e-commerce platforms that have outstanding performance, as follows:

1. Ulmart: Founded in 2008, it claims to be the first online store in Russia. It now operates more than 130,000 products and has established direct stores in many cities to integrate online and offline.

2. Exist: Founded in 1999, it focuses on the field of auto parts and accessories, provides users with a wide range of product choices, and has a dedicated online payment system.

3. Ozon: Russia’s first online retailer, known as the “Russian Amazon”, mainly deals in books and electronic products, and its high level of trust has maintained a high level of trust among consumers. purchase rate.

4. Wildberries: Founded in 2006, it is a leading fashion e-commerce platform that promises free delivery nationwide and is very popular among young consumers.

5. Citilink: Founded in 2008, it sells home appliances and digital products, with multiple physical stores and complete self-service facilities.

6. Mymall: A platform owned by mail.ru, launched in 2017. Chinese sellers can enter the Russian market through this platform.

7. Emex: Similar to Exist, it focuses on auto parts. The platform has rich product data and average daily visits of 40,000 times.

Although there are many local e-commerce websites in Russia, their user experience needs to be improved. Common problems include slow loading speed and high delivery costs. This provides opportunities for Chinese sellers, especially in terms of product selection. In shoes and electronic products, Chinese-made products dominate the market.

Among cross-border e-commerce imported goods, as domestic consumers’ demand for high-quality products increases, the market prospects for imported goods such as cosmetics and food are also becoming increasingly broad. As the domestic middle class grows, China’s cross-border consumption is expected to maintain sustained growth. Data shows that in the next five years, the number of domestic middle class will exceed 500 million, which has created a good market environment for the development of cross-border e-commerce.

For small and medium-sized businesses, it has become increasingly important to use third-party e-commerce platforms to enter the market at low cost. Through Internet tools, such as live broadcasts and short videos to attract traffic, merchants can quickly attract customers and achieve product sales. In addition, imported products such as Australian milk powder and health products have also become a part of consumption that cannot be ignored.

When choosing U.S. dedicated logistics, sellers need to pay attention to the transported prohibited goods, customs duties and customs clearance matters. The transportation convenience and high cost-effectiveness of the US dedicated line make it an important logistics option, but failure to comply with relevant regulations may result in customs clearance failure and high fines. According to the data, the starting point for tariffs on imported goods is US$200, and the specific tariff rates range from 0% to 37.5%. Understanding tax-related matters is particularly important for cross-border e-commerce sellers.

To sum up, Russia’s cross-border e-commerce market shows huge potential and opportunities, and the participation of small and medium-sized merchants has injected new vitality into the market.