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AliExpress Russia

Company

Content

Assets

Owners

+ AliExpress Russia
+ Ma Jack (Jack Ma)
+ Novfintech
+ Milner Yuri Borisovich (Benicionovich)

AliExpress Russia is an online platform that specializes in the sale of a wide variety of goods from around the world. Millions of brands and manufacturers from Russia, Spain, Italy, Turkey and China are registered on the site . AliExpress is one of the top 10 most visited sites, and the mobile application is one of the leaders in downloading for iOS and Android platforms . In addition to AliExpress, the company also develops the Tmall brand in Russia, which specializes in the sale of goods of the most famous international brands.

Performance indicators

2021

Turnover growth by 46% to 306 billion rubles

The total turnover from the sale of goods excluding services (GMV) "AliExpress Russia" in 2021 amounted to 306 billion rubles, which is 46% more than a year earlier. The turnover of local business (sales of goods from Russia) exceeded 110 billion rubles, increasing by 124% year on year and taking 36% of the retailer's total turnover. The company released such data on February 3, 2022.

The number of unique buyers for the year at Aliexpress Russia exceeded 28.7 million people. At the same time, the number of buyers of local goods increased 2 times over the year. The number of unique users in 2021 exceeded 80.2 million, which is 31% higher than last year, and the total registered audience exceeds 200 million users. The monthly audience (MAU) AliExpress is 35 million people, the daily (DAU) - 12.5 million people.

"AliExpress Russia" in a year increased a turn by 46%

The number of SPUs (unique units without taking into account colors and sizes) with delivery from China, Russia and other countries is more than 211 million and continues to be the largest in the Russian e-commerce market. The number of SPUs per year increased by more than 52%. The number of SPUs of Russian sellers increased by more than 184% per year to 16.5 million. The marketplace presents 3.2 billion SKU (+ 48% year-to-year).

The company said that the largest volume of purchases in Russia were made by residents of Moscow, St. Petersburg, Krasnodar, Nizhny Novgorod, Yekaterinburg, Kazan, Novosibirsk, Rostov-on-Don, Ufa and Samara. In general, the number of Aliexpress sellers over the year increased by 69% and exceeded 400,000. Of these, 102,500 are Russian, and the number for the year increased by 193%.

The leaders in the number of orders made at the end of 2021 on the marketplace were goods from the categories "For home and garden," "For beauty and health," "Jewelry and jewelry," "Automotive spare parts," "Electronics" and "Tools."

Turnover growth in the 1st half of the year to 133 billion rubles

JV AliExpress Rossiya grew for the first half of the year of financial year (ended on September 30). The turnover of the site increased to 133.3 billion rubles. According to this indicator, Ali is in the top three largest Russian players.

A significant part of trade already falls on domestic sellers - this is a third of the turnover of the site. Sales of their goods increased by 126% year-on-year.

Ali retains first place in the number of active buyers. Over the year, this figure increased to 27.9 million people. The number of Russian sellers has also increased - now there are 75.5 thousand of them (+ 172%).

At the same time, the total number of orders reached 139.2 million for six months. According to this indicator, Ali falls into the top 2 of the Russian e-coma. If we talk about local sellers, then the number of orders has increased 5.5 times. In September, the average number of orders of local goods per day reached 100 thousand.

The fastest growing local categories of goods were:

  • food (13,000 per cent growth);

  • electronic goods (subscriptions, certificates; 7000% growth);

  • goods for weddings and holidays (growth 4,500%), clothing and accessories (growth 485%).

2020: Turnover of goods - 229.3 billion rubles

April 7, 2021 "AliExpress Russia" for the first time revealed annual indicators. For the 12-month reporting period, which ended on March 31, 2021, the company's turnover reached 229.3 billion rubles (excluding services). The turnover of goods from Russia during this period amounted to about 55 billion rubles and grew year on year by 151%.

In March 2021, the average daily number of local orders reached 64 thousand per day. The total number of unique buyers for the financial year exceeded 26.2 million people.

"AliExpress Russia" for the first time revealed annual indicators

The monthly audience of the AliExpress is 29.1 million people, the daily - 8.8 million people. The number of unique visits for the financial year exceeded 72.5 million, which is 30% higher than the previous year. According to this metric, according to Mediascope's own data and statistics (January 2021 data) AliExpress remains the most visited marketplace in Russia.

The range of AliExpress continues to expand: the number of unique commercial units without taking into account colors and sizes (SPU) with delivery from China and other countries by the end of the reporting year exceeded 139.2 million items. The number of SPUs of Russian sellers increased by 368% year on year - up to 7 million.

The number of sellers from China and other countries on the AliExpress is more than 225 thousand, their number increased by 50% per year. The number of local Russian sellers increased by 350% and amounted to 45 thousand.

Popular categories in terms of turnover (GMV):

Top categories by number of orders:

  • Goods for home and garden (more than 32 million orders made in a year)
  • Goods for beauty and health (more than 30 million orders were made in a year)
  • Jewelry and jewelry (20.5 million orders)
  • Electronics (20 million orders)
  • Sporting goods (15.6 million orders)
  • Tools (11 million orders)

The most popular categories in terms of turnover (GMV):

  • Automotive spare parts and accessories (367% growth)
  • Tools (306% growth)
  • Computers and office equipment (168% growth)
  • Phones (up 104%)
  • Home devices (up 84%)
  • Electronics (73% growth)

Top categories by number of orders:

  • Electronics (1.7 million orders with 124% growth)
  • Phones (1.5 million orders with an increase of 105%)
  • Beauty and health (1.3 million orders with an increase of 378%)
  • Home devices (1.3 million orders with an increase of 87%)
  • Home and garden goods (1.2 million orders with an increase of 701%)
  • Automotive spare parts and accessories (1 million orders with an increase of 872%)

The largest categories by number of orders: food, electronics, hair accessories, home devices, motorcycle accessories, security products, office and school stationery.

As of April 2021, AliExpress has 20 thousand partner points for issuing orders (branches and pedestals). In the reporting financial year, orders AliExpress began to be issued at Svyaznoy branches (including branded AliExpress), branded postamats appeared, managed by the Tsainiao logistics operator (more than 1 thousand points), and branches with the Russian Post. As part of the development of fullfilm, a partner warehouse for another 10 thousand square meters in Podolsk was added to 20 thousand square meters of a warehouse in Domodedovo.

In fiscal 2021, the company plans to increase the area of ​ ​ fullfilm in Moscow and other cities of Russia to 100 thousand square meters thanks to a partnership project with the Post of Russia and a partnership with Tsainiao.

Partnership with VKontakte and Odnoklassniki began to bring the first results: the launch of native mobile applications and integration into social mechanics brought 1.2 million new customers and an audience of more than 8 million AliExpress users.

The plans AliExpress Russia for fiscal year 2021 (April 1, 2021 - March 31, 2022) to continue to multiply the assortment of local sellers and their turnover, increase logistics capacity and fundamentally improve customer experience, launch an updated product (web version and mobile application) developed in Russia, launch an updated loyalty program for users, as well as develop services launched in 2021.

History

2022

40% employee reduction

May 12, 2022 it became known about mass layoffs in the company "AliExpress Russia." According to Vedomosti, it was reduced to 40% of the staff, and dismissed mainly employees of the areas that turned out to be "irrelevant" after the start of Russia's special military operation in Ukraine and the introduction of anti-Russian sanctions, this affected the export and import of goods (own purchases).

According to Mikhail Burmistrov, general director of Infoline Analytics, whose words the publication cites, almost all market participants, including Wildberries, are forced to reduce the direction of export. Earlier in April 2022, massive cuts were reported at Ozon, although the company did not confirm this information. According to a representative of Sbermarket, the company has vacant positions by May 12, 2022 and is aimed at "attracting the strongest candidates from the market."

AliExpress Russia reduced 40% of employees

Market participants interviewed by the newspaper believe that AliExpress Russia has begun to change its development strategy and will switch completely to cross-border trade.

The HeadHunter noted that in March-April 2022, the number of open vacancies from e-commerce companies decreased significantly. There, logistics and administrative areas fell under optimization. According to Andrei Panteleev, commercial director of the HeadHunter, "with the worsening situation with demand and commodity supply, the need for sales managers, consultants, procurement specialists, marketers may also fall."

Boris Ovchinnikov, a partner at Data Insight, an analytical agency, said that in April the number of online orders in the market as a whole decreased by about 10% compared to March. According to the expert, most online stores have a decline of about 30%. Marketplaces also fell in performance, the source said.[1]

VK wrote off 10 billion rubles due to depreciation of the stake

On April 28, 2022, VK announced the write-off of about 9.87 billion rubles due to an impairment of its stake in AliExpress Russia due to economic uncertainty that affects the e-commerce market. The relevant information is contained in the statements of the holding for the first quarter of 2022. More details here.

Stop receiving payments on all Russian cards

AliExpress at the end of April 2022 does not pay for purchases using bank cards issued by any Russian banks. If until recently, Russians could pay for purchases with Mir bank cards, now this is no longer possible such actions are impossible and inaccessible.

Buyers from Russia have only one single payment option through a QIWI wallet, but with an additional commission.

Start of construction of a fullfilment center in Yekaterinburg

AliExpress Russia February 7, 2022 announced the beginning constructions of the fullfilm center in. Yekaterinburg

The object with an area of ​ ​ 74 thousand square meters. m will be commissioned in the third quarter of 2022.

Representatives of AliExpress Russia and the vice governor Sverdlovsk oblastioleg Chemezov held a working meeting on which they discussed the beginning of construction.

Construction began in December 2021, as of February 2022, earthworks were completed, four thousand piles were submerged (50% of the total). For construction, the company attracted more than 200 people from the Sverdlovsk region.

The capacity of the Fulfilment Center will be about 200 thousand shipments per day. The total volume investments is 6 billion rubles. This warehouse is necessary for the rapid delivery of goods AliExpress the entire region. The goods of Russian sellers are planned to be delivered in 1-3 days.

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Capital investments of large players developing infrastructure projects are important for the region. Such projects create additional jobs, contribute to the development of related industries, and also favor the development of small and medium-sized enterprises. 90% of construction materials for the facility are purchased from enterprises of the Sverdlovsk region, which is traditionally strong in construction,
said Oleg Chemezov, vice-governor of the Sverdlovsk region.
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The Fulfilment Center in Yekaterinburg is the first regional warehouse AliExpress Russia, the construction of which will reduce the delivery time for orders from Russian suppliers to one day. In addition, we plan to establish the supply of goods from China in transit through Koltsovo Airport. Such a transit will help handle more than 40 tons of cargo daily. Thanks to the favorable geographical location of Yekaterinburg, this will reduce the delivery time of goods from China to 7 days,
noted Grigory Orlov, Director of Logistics AliExpress Russia.
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By the beginning of February Russia works more than 3.6 thousand sellers from Sverdlovsk region with AliExpress - in a year their number grew by 2.8 times. Half of them are individual entrepreneurs (1.8 thousand), 300 sellers are self-employed, the remaining 1.5 thousand are legal entities. By the number of local sellers on the AliExpress, the Sverdlovsk region is among the top 3 among all regions of the Russian Federation. The assortment in local stores is represented by goods for home and garden (22% of Sverdlovsk sellers sell in this category), tools and goods for repair (11%), goods for the car (9%), sports goods (9%), beauty and health products (8%) and other products. In total, in the stores of sellers of the Sverdlovsk region on the AliExpress more than 2.1 million product items are presented. Over the year, this figure increased 1.7 times.

2021

Quadruple logistics capacity

Before the start of the main sale of the year AliExpress Russia , it quadrupled its partner logistics to ensure timely delivery during a period of increased demand. The company also doubled the number of employees at its own fullfilm in, Chekhov which works with local sellers. The company announced this on November 8, 2021.

Buyers AliExpress Russia can use more than 30 thousand points of issuance of orders (branches automatic post offices and). Orders are AliExpress issued in stores, X5 Retail Group branches of "" (Coherent including co-branding PVZ "Liaison" and AliExpress), branded postamats managed by the Tsainiao logistics operator (about 2 thousand points) and from the partner network, as well as in branches of "" (Post Office of Russia including branded AliExpress).

The total capacity of the company can handle up to 1.5 million local and up to 10 million orders of foreign goods per day.

Delivery of foreign goods is carried out by partner companies. For example, Tsainiao organizes 27 cargo charter flights per week with goods from the AliExpress, for the delivery of orders from the sale, their number will be doubled. In addition, foreign orders are delivered to Russia by rail and road, as well as by sea.

By 11.11, the company also launched the function "Together - Faster." It will allow buyers to combine orders from different foreign sellers into one package and get it faster. Consolidation of goods in the application will increase the value of the shipment and increase its status of delivery. In some cases, this can reduce the delivery time by two to three times.

"AliExpress Russia" became the owner of a control share of KazanExpress

At the end of October 2021, information appeared that the company "AliExpress Russia" became the owner of the controlling share of the marketplace KazanExpress. The financial terms of the transaction are not disclosed. More details here.

Start of food sales from Russia abroad

September 29, 2021 "AliExpress Russia" announced the start of food sales from the Russian Federation abroad. The category of "food" with long-term goods from Russian sellers became available to foreign buyers, the retailer's press service explained to TASS.

The first seller of the new category was Foodcode. She specializes in the production of food from natural ingredients without gluten.

Products can be purchased not only by Russian-speaking users, but also by any foreign buyers of AliExpress Global.

AliExpress Russia began selling food from the Russian Federation abroad

During the start of this project, all logistics costs of AliExpress Russia are borne. Sales through the platform will be carried out according to the classic cross-border B2C model. They will deliver goods using the Russian Post.

At the same time, the company "AliExpress Russia" announced the opening of the acceptance of applications from sellers to participate in the export program in the category "goods for mothers and children." Marketplace intends to continue expanding the direction with new categories and manufacturers - over the past month, the number of foreign buyers of export goods has increased by 400%, a company representative told the agency. Since June 2021, the retailer has been exporting Russian goods to Europe, Russian Post has also been delivering parcels.

The possibility of export sales to AliExpress is a good opportunity for Russian sellers, for whom cooperation with such a partner eliminates all kinds of risks, said Data Insight partner Fedor Virin.

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But in total AliExpress it will be a drop in the sea, and it is unlikely that in the coming years this business will become significant, "he said in a conversation with Forbes.
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According to Virin, the Russian export market in Internet trading so far occupies no more than $1 billion.[2][3]

Opening of the first own fullfilm center in Russia

"AliExpress Russia" opens its first own fullfilm center, thanks to which the goods of local sellers will be delivered the day after the order. The retailer announced this on September 2, 2021.

Fulfilment Center with an area of ​ ​ 55 thousand square meters. m was launched on the basis of the warehouse complex "PLT Chekhov" in the suburbs. In addition to processing orders of Russian sellers, this warehouse will provide packing and sorting services. The center is available for sellers from all regions and will allow you to ship goods throughout the country.

Opening of the first own fullfilm center in Russia
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The development of the local segment of our business, that is, the sale of goods with delivery from Russia, is a priority in the near future. AliExpress has long consolidated leadership positions in cross-border business, we are also growing very actively in the local e-commerce. Ensuring efficient logistics, fast delivery both with the help of partners and with their own efforts is a crucial step in this direction. That is why we add our own to partner logistics, which will help deliver the most popular goods the very day after the order, the words of AliExpress Russia CEO Dmitry Sergeyev are quoted in the message.
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At the same time, AliExpress Russia will continue to cooperate with current logistics partners, including Russian Post, 5Post, Svyaznoy, Cainiao, etc.

By the end of 2021, the company intends to begin construction of fullfilm centers in Yekaterinburg, Kazan and Rostov-on-Don with a total area of ​ ​ at least 200 thousand square meters. m

According to its own data, the monthly audience of AliExpress in Russia and the CIS by the beginning of September 2021 exceeds 29 million people.

AliExpress previously began to offer express delivery of goods to local sellers. So, on September 1, 2021, live flowers appeared in the marketplace catalog. Shops ready to deliver bouquets quickly can get into a new category: in 2 hours or during the day.

Raising $60.3 million from Mail.ru Group

On August 11, 2021, Mail.ru Group announced the investment of $60.3 million in AliExpress Russia in exchange for additional shares of the company issued as part of a new issue.

By August 11, 2021, Mail.ru Group owns 15% of the economic and 17.6% of the voting share in the asset. After the completion of the round, which is planned in the fourth quarter of 2021, significant changes in the shares of the company are not expected, the press service of the holding reports.

Mail.ru Group invests $60.3 million in AliExpress

It is assumed that the investment will accelerate the growth of the company "AliExpress Russia" in the local market. They will also help maintain leading positions in the field of cross-border electronic commerce in Russia and implement plans for the development of the company. Additional funds will primarily be directed to the active development of logistics, the expansion of categories, as well as to increasing the level of service and improving customer experience.

The Mail.ru Group added that the company invests "AliExpress Russia" together with other shareholders. Who and how much invests the marketplace is not specified. In, USM which a few days earlier became a shareholder in the company, they told "" To Interfax that the holding plans to invest in AliExpress Russia, without specifying details.

AliExpress Russia CEO Dmitry Sergeyev promised to disclose the total amount of investments and a new valuation of the company after the completion of the round of investments, according to a comment from a top manager received by Forbes.

In addition to Mail.ru, Alibaba Group owns shares in AliExpress Russia - the company has slightly less than 48%, and RDIF with Middle Eastern partners - they have 12.85%. In August 2021, USM holding became the owner of 24.3% of AliExpress Russia. The estimated value of the company "AliExpress Russia" by August 11, 2021 is not called.[4]

Megafon sold its stake in AliExpress Russia to USM International

In August 2021, it became known about the sale of the entire owned "To MegaFon stake in" AliExpress Russia company. USM International We are talking about 24 million ordinary shares, which correspond to 24.3% of the authorized capital and 28.8% of the vote, the telecom operator said. The financial component of the transaction is not disclosed.

USM Investment had options (the right to repurchase at a pre-agreed price) to buy MegaFon's stake in AliExpress Russia. MegaFon emphasizes that initially the company was part of the shareholders of AliExpress Russia in order to "realize a number of synergies between our business and the e-commerce platform."

Megafon sold its stake in AliExpress Russia to USM International
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We are sure that the new ownership structure is more correct in terms of the further development of this company, "MegaFon noted.
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In AliExpress Russia, commenting on the change of co-owner, they said that they and USM "have many intersections."

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USM's experience, knowledge and capabilities help in the construction of the largest e-commerce platform in Russia, the company said.
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China's Alibaba Group, Mail.Ru Group and the Russian Direct Investment Fund (RDIF) retained their shares in the marketplace.

The company "AliExpress Russia," which appeared as a joint venture of Alibaba Group Chinese billionaire Jack Ma, Mail.Ru Group, MegaFon and the Russian Direct Investment Fund (RDIF), quickly became the most popular among Russians. From April 2020 to March 2021, the turnover of the joint venture grew to 229 billion rubles, of which 55 billion rubles accounted for the Russian market. By this indicator, the site was second only to the Wildberries store, in which it amounted to 437 billion rubles.

However, "AliExpress Russia" still does not bring profit. In the first half of 2021, the net loss increased to 967 million rubles.[5]

Start of export of Russian goods to the EU

On June 1, 2021, the company "AliExpress Russia" announced the beginning of the export of Russian goods to the countries of the European Union and other regions. Delivery will be carried out through the Russian Post. At the pilot launch stage, "AliExpress Russia" will bear all the costs of logistics, the company promises. More details here.

Cainiao invests 4 billion rubles in a network of postamats for issuing orders from AliExpress throughout the Russian Federation

In mid-May 2021, Cainiao, part of the Alibaba Group, announced the investment of 4 billion rubles in the development of logistics in Russia by the end of the year. Half of these funds will be used to expand the network of pedestals - the number of such points is planned to quadruple. More details here.

Investing in Kazan marketplace KazanExpress

March 10, 2021 it became known about the investment by the company "AliExpress Russia" in the marketplace KazanExpress. Under the terms of the agreement, the investor receives 30% in the Kazan project. More details here.

Plans to create a network of logistics centers together with the Russian Post

RDIF increases stake in AliExpress Russia

On January 29, 2021, the Russian Direct Investment Fund (RDIF) announced an increase in its stake in AliExpress Russia (a joint venture between Alibaba Group, MegaFon, Mail.ru Group and RDIF). RDIF bought a 7.85% stake from Alibaba Group along with the investment platform Mubadala Investment Company and other sovereign wealth funds in the Middle East. Financial and other parameters of the transaction are not disclosed.

According to RBC, with reference to Alibaba's reporting for 2020, the company owned about 55.7% of AliExpress Russia. Thus, according to the results of the transaction, the share could be reduced to 47.85%. At the same time, Alibaba did not have a voting majority to control the joint venture.

RDIF increases stake in AliExpress Russia

The RDIF report notes that the fund reserved the exclusive right to buy a 7.85% stake back in 2019. According to Kirill Dmitriev, CEO of the RDIF, the partnership with Middle East funds in the acquisition of AliExpress Russia shares emphasizes the high investment attractiveness of the joint venture in the international e-commerce market.

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A significant increase in electronic commerce allows us to predict further strong growth in indicators AliExpress Russia, including in connection with the pandemic of coronavirus infection and changes in consumer preferences in favor of online purchases. We expect that in the future AliExpress Russia will be among the largest marketplaces in Europe, "he said.
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Faris Al-Mazrui, head of the Mubadala Investment Company investment platform in Russia and the CIS, also emphasized that the joint project has become especially relevant, since "the social and economic consequences of coronavirus will continue to stimulate demand in the e-commerce segment."

The RDIF added that AliExpress Russia is accelerating the development of Russia's growing digital economy by combining the resources and experience of all shareholders.[6]

Opening the Media Center photo storage and processing service

AliExpress Russia January 21, 2021 announced the opening of a media center for local sellers.

On the marketplace appeared a built-in service for storing and processing photos - "Media Center." Unlike many other cloud services, which allow you to process and store up to 10 GB of files for free, the capacity of the Media Center will be 50 GB. As a result, Russian sellers will AliExpress be able to prepare and store tens of thousands of images to design a store and cards of goods without leaving the platform.

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For medium and large businesses, preparing images for online sales does not cause problems, because companies of this scale can afford the services of a photographer and designer. Self-employed, individual entrepreneurs and small companies often resolve the issue with their own resources, which can cause quality to suffer. The built-in image preparation tool will allow even small sellers to better present their products on the platform and improve their sales performance, "says German Weimer, head of platform development for sellers AliExpress Russia.
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With the help of the Media Center, sellers will AliExpress be able to make basic edits to the photo, making it more suitable for online sales: remove the background, rotate or reflect the image, change the size or aspect ratio. Each finished photo is assigned a link that you can use to upload an item to a store on an Excel AliExpress.

Image preparation and storage is not the only service sellers can AliExpress use for free. The platform offers a number of free logistics services, such as delivery of the first orders and storage of goods for 60 days at the fullfilm partner warehouses. Also, all sellers AliExpress do not pay a commission for the sale of the first 100 products and can use all platform promotion tools for free: live broadcasts (streams), promotions, promotional codes, coupons and much more.

2020

Start of sales in the marketplace on Odnoklasniki

Social network Schoolmates October 6, 2020 announced the restart of its own marketplace of goods together with. AliExpress Russia Read more. here

2x more sellers and merchandise

By the end of September 2020, more than 22 thousand Russian sellers worked with AliExpress, with an assortment of more than 3.5 million goods. Compared to the spring of 2020, these indicators doubled: in March there were 10 thousand sellers with an assortment of 1.5 million goods on the platform. The company announced this on October 5, 2020.

The fastest growing categories of local marketplace are food and electronics: in six months, the range of such products has grown 23 and 24 times, respectively. At the beginning of October 2020, Russian sellers AliExpress offer more than 100 thousand food products and more than 364 thousand goods in the "Electronics" section. Further in terms of the growth rate of the assortment there are categories of clothes, shoes and accessories, toys and hobby goods, as well as goods for school and office - here the assortment has increased by 7 times since March. The number of local goods in the categories "Beauty and Health," "Sport," "Jewelry and Accessories" for six months increased 4 times.

The growth of local marketplace indicators is explained not only by external factors, such as the search for retailers other online sales channels due to, quarantine but also by internal ones. In particular, in the spring AliExpress Russia canceled the commission for all new sellers for the first 100 goods or the first six months (whichever comes first). Then, together logistic with the operator "Tsainiao" (part Alibaba Group of), the company introduced delivery subsidies that allow sellers to save up to 30% of logistics costs, and for fashion category sellers "Tsainiao" launched specialized sorting centers that reduce the time for sorting and sending goods to buyers by a third. Also on the AliExpress appeared the section AliExpress Plus with faster delivery and standard shipping rates for buyers, which attracted users and encouraged sellers to enter the marketplace. In 2020, food manufacturers and sellers such as "," "Tape AnderSon," "," Borjomi clothing and footwear sellers, including,,, Puma VASHI Kari, Tom Tailor the chain, "" electronic engineers jewelry Coherent brand and many Pandora others, joined the AliExpress.

{{quote 'Russian sellers and merchandise occupy an increasingly important place on the AliExpress. The Chinese range is still leading, but local stores are confidently competing in terms of delivery time and service level - including advising the client before sale and after purchase. And buyers vote in rubles: for example, on the first day of the summer sale, the turnover of local sellers amounted to a third of the total turnover of the entire platform, and we are sure that this is not the limit, "says Dmitry Sergeyev, CEO of the Russian AliExpress. }}

Mail. ru Group transferred $82 million as the final part of the contribution to the joint venture

In September 2020, Mail. ru Group transferred $82 million as the final part of the contribution to the joint venture.

According to the terms of the transaction, the contribution of Mail. ru Group in the joint venture was supposed to include its e-commerce business Pandao, as well as cash investments in the amount of $182 million, while the company made a contribution of $100 million at the close of the transaction.

The remaining part of the amount was to be paid by the company in the next 12 months after the completion of the transaction under the joint venture.

2019

Completion of joint venture formation AliExpress Russia

The companies Alibaba Group, Megafon, Mail.ru Group and the Russian Direct Investment Fund (RDIF) announced on October 9, 2019 the completion of the transaction to create a joint venture. The transaction involves the integration of key Russian consumer Internet platforms and e-commerce platforms and the launch of a joint venture on social commerce in Russia and the CIS countries, which will operate in full compliance with federal legislation in the field of personal data protection.

The controlling stake in the joint venture AliExpress Russia is owned by Russian parties, and the Board of Directors includes representatives of the Alibaba Group, MegaFon, Mail.ru Group and RDIF. Boris Dobrodeev will become Chairman of the Board of Directors of the joint venture AliExpress Russia. The parties appointed two general co-directors: Liu Wei, head of the Russian AliExpress, and Dmitry Sergeyev, first deputy general director of the Mail.ru Group.

In general, the shares in the joint venture were distributed as follows:

  • the Chinese Alibaba Group - 55.7% of economic rights (a share in the authorized capital) and 49.9% of voting shares;
  • Megafon - 24.3% of economic rights and 30.2% of the vote;
  • Mail.Ru Group - 15% and 18.7%, respectively;
  • RDIF has 5% and 1.2%.

The company is based on the Russian business of Aliexpress and Tmall and will serve cross-border and local online trading platforms. It is assumed that the joint venture creates favorable conditions for entrepreneurs, consumers and Internet users in Russia and the CIS, and also accelerates the development of the growing digital economy of Russia by combining the resources and experience of all shareholders.

Within partnership of JV AliExpress Rossiya and Mail.ru Group concluded the agreement on strategic cooperation which means, in addition, exchange of traffic and grocery initiatives. JV AliExpress Russia will use the platforms of Mail.ru Group to promote its services with the help of exclusive integration solutions and marketing programs. As noted, companies have already begun joint projects. Since February 2019, VKontakte users can purchase goods directly on the VK Apps platform. And in September 2019, the social network and AliExpress introduced the opportunity for users to receive money for reviews of online seller products.

It is noteworthy that Mail.ru seems to have become a spare option for a Chinese partner. Back in 2017, when German Gref made timid attempts to find a partner for the "Russian Amazon," Alibaba was the first to respond beforehand, but the deal never took place. According to The Bell, the authorities recommended that Sberbank choose a national player for the joint venture.

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Alibaba remains focused on fulfilling our mission to "simplify doing business anywhere." The joint venture AliExpress Russia is an important part of Alibaba's globalization strategy and a key step towards our long-term goal of helping 10 million small businesses achieve profitability and serve 2 billion consumers around the world. Together with Mail.ru Group, RDIF and MegaFon, we aim to accelerate the development of the digital consumer economy in Russia and the CIS countries, allowing regional brands and SMEs to find and serve their target consumers thanks to our shopping conditions, "said Daniel Zhang, CEO of Alibaba Group.
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Approval of the Federal Antimonopoly Service for the creation of a joint venture AliExpress Russia

The Chinese Alibaba Group, the mobile operator Megaphone"," Mail.ru Group and the "Russian Direct Investment Fund" () RDIF received approval from the Federal Antimonopoly Service (FAS) to create a joint venture in the sphere - " e-commerce AliExpress." Russia This is stated in the report of the Mail.ru Group of June 5, 2019.

Alibaba Group invests $100 million in a joint venture and will transfer to it the Russian business of AliExpress and Tmail trading platforms belonging to the group. The Chinese group will receive in the joint venture economic interest in the amount of 55.7% and voting in the amount of 49.9%.

Megafon will exchange its economic share of 10% in Mail.ru Group for an economic share of 24.3% in AlExpress Russia. This share is the equivalent of 30.2% of the total number of votes "AliExpress Russia."

Mail.ru Group will transfer its platform for e-commerce to Pandao, and will also invest $182 million in the company. The economic share of Mail.ru Group in "AliExpress Russia" will be 15%, voting - 18.7%.

RDIF will invest $100 million in the joint venture. The Fund will receive a voting share in AliExpress Russia in the amount of 5%, equivalent to 1.2% of the total number of votes.

RDIF has an option to buy an economic stake in AliExpress Russia in the amount of 7.9% from Alibaba Group for $194 million. If implemented, the RDIF's economic share in AliExpress Russia will be 12.9%, voting 9.6%.

Accordingly, if the option is exercised, Alibaba Group's economic share in the joint venture will decrease to 47.8%, voting to 47.6%. The voting share of Mail.ru Group will decrease to 16.3%, the voting share of Megafon - to 26.4%.

In addition, the RDIF has an option to buy another 4% of AliExpress Russia from Megafon. The amount of its implementation is not disclosed.

Thus, Alibaba Group, Mail.ru Group and RDIF will invest $384 million in the new enterprise. RDIF investments may increase by at least $194 million.

A controlling stake in AliExpress Russia was received by Russian shareholders. The company will have two general directors: one of them will be appointed by Alibaba Group, the other Mail.ru Group.

2018: Intention of RDIF, Alibaba Group, Megafona and Mail.Ru Group to create an e-commerce joint venture

The Russian Direct Investment Fund (RDIF), Alibaba Group, Megafon and Mail.Ru Group will create a joint venture to integrate key consumer Internet and e-commerce platforms in Russia.

Alibaba will create a joint venture in Russia with Megafon, Mail.Ru Group and RDIF

Within the framework of the partnership, a joint venture will be formed, including one built at the current AliExpress business in Russia. The parties will combine strategic assets and invest new capital, management, resources and expertise in order to create favorable conditions for retailers, consumers and Internet users of Russia and the CIS, as well as accelerate the growth of the digital economy in Russia, the companies said in a joint statement.

Under the terms of the transaction, the Alibaba Group will make the AliExpress business in Russia part of a new joint venture, which will include the current local and cross-border operational assets of the Alibaba Group in Russia, including the business of the international e-commerce platform AliExpress and the Russian B2C platform Tmall. In the future, Alibaba Group will invest cash and other resources in the joint venture to support its activities.

RDIF will become a strategic participant in AliExpress Russia, acquiring a total share of 13% by investing in capital and acquiring an additional share of the joint venture from Alibaba Group.

Megafon will sell Alibaba Group its 10% stake in Mail.Ru Group in exchange for a 24% stake in AliExpress Russia. Mail.Ru Group, in turn, will transfer to the joint venture its Pandao e-commerce business, cash, as well as distribution in the format of integration with Mail.Ru Group products. The company's share in AliExpress Russia will be 15%.

In addition, AliExpress Russia and Mail.Ru Group will conclude an agreement on strategic cooperation, which implies, among other things, the exchange of traffic and food initiatives.

As part of the joint venture, it is planned to expand the ecosystem and the opportunities for everyday use of the service by investing in other businesses together with Mail.Ru Group, including FoodTech and other areas.

After completing the transactions as part of the conditions for closing the transaction and its approval by all partners in the joint venture, the owners of AliExpress Russia will be Alibaba Group (48%), Megafon (24%), Mail.Ru Group (15%) and RDIF (13%). JV activities will be carried out in all segments of e-commerce, including cross-border and local marketplaces, as well as its own direct sales.

Thanks to a partnership with Mail.Ru Group, AliExpress Russia will get access to a hundred million audience of the Russian Internet platform in social networks, instant messengers, e-mail and online games. Having access to this audience, the joint venture will have the opportunity to create a single platform for social communication, games and purchases.

It is planned that the joint venture will create wide opportunities for Russian small and medium-sized businesses. Domestic companies will have access to a vast ecosystem that allows local entrepreneurs to sell goods at home and abroad. Alibaba platforms are used by more than 600 million consumers; thus, the Russian SMB segment will have access to a market four times the population of Russia, including consumers from China, Southeast Asia, Turkey, Europe, India and other countries.

In addition, the parties believe that due to the unique advantages of each of the parties to the agreement, including experience in the field of e-commerce, in the segment of social networks and digital media, in logistics and in working with the local market, the partnership will help accelerate the development of the digital economy in Russia. It will also contribute to long-term technological cooperation and the construction of commerce infrastructure in Russia and the world.

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This partnership is an important stage in Alibaba's international expansion: it will unite local market leaders with our global ecosystem. The partnership of AliExpress Russia with a leading Russian Internet company will help digitize and transform the retail value chain in Russia, providing unhindered and innovative experience for consumers, as well as providing Russian entrepreneurs and representatives of small and medium-sized businesses with significant growth opportunities in the domestic market and international expansion. Our experience in the market of China and other countries of the world makes us unique specialists in supporting the construction of commerce infrastructure in Russia and the CIS, "said Michael Evans, President of the Alibaba Group.
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The deal is expected to close in the first quarter of 2019.

2015: Meeting of representatives of Roskomnadzor and AliExpress on the implementation of the law on localization of PDN bases in the Russian Federation

Representatives of AliExpress announced in April 2015 an understanding of the legal field of the Russian Federation and a desire to follow the requirements of the legislation applicable to the company. On April 13, 2015, a meeting was held between representatives of Roskomnadzor and AliExpress, the business division of the Alibaba Group, on the implementation by the company of the law on localization of personal databases in the Russian Federation.

The meeting with the deputy head of Roskomnadzor Antonina Prishcheva was attended by the technical director AliExpress Dunbai Go and the director of business development of AliExpress in Russia and the CIS Mark Zavadsky.

LLC "Алибаба.ком (RU)" was registered on May 15, confirmed the director of business development AliExpress in Russia and the CIS Mark Zavadsky. According to him, he was appointed general director of Алибаба.ком (RU), while he still remains the director of business development AliExpress in Russia and the CIS.

Mark Zavadsky: Historically, Alibaba works quite hard with sellers. Especially, if we are talking about some programs, promotion - we are hard enough to knock out the best prices from sellers, we can negotiate with them. We have a turnover margin. We take 5% of the turnover of the store, that's all. Moreover, this cost includes all payment commissions, there Qiwi, Yandex.Money. It is already small, and it can also be reduced by a payment fee.