Russia is set to become one of the largest global markets for e-commerce, according to ruvr.ru.
The popular Russian news website has labelled JP Morgan’s investment in retail website Lamoda.ru as proof that e-commerce in Russia is on the up.
It pointed out that internet usage in Russia has now increased to 51 per cent, or 59.5 million people and that the e-commerce market is expected to be worth at least $32 million by 2015. It was also highlighted that Russians typically spend more online than the average European.
As a consequence, many local business are expected to want to invest in an online merchant account over the next few years.
The huge growth of Russia’s online audience has meant that retailers at the top of the market, such as Lamoda.ru, KupiVIP and Ozon, should be able to comfortably remain profitable without having to expand their business too much.
Yet, in an interview with techcrunch.com, Lamoda.ru co-founder Niels Tonsen was keen to outline the company’s huge expansion plans using the money from JP Morgan’s investment.
“It will allow us to further expand our product and brand portfolio as well as our presence in other emerging markets such as Ukraine, Kazakhstan, Azerbaijan and Belarus,” he said.