Home Market

The main activity of the company is retail trade and other in non-specialized stores.

History

2021: Store Chain Closures

In mid-December 2021, it became known about the closure of the Home Market chain of home goods stores. According to Kommersant, the company warned of the termination of outlets from January 1, 2022. The retailer's website says about the "liquidation of stores," in which goods are sold at a 40% discount.

Experts interviewed by the publication noted that it is difficult for retailers to develop the format of discounters in non-food retail.

This requires large purchases, developed logistics, constant and effective rotation of the assortment, experience and competencies in working with suppliers from China, as well as a portfolio of own brands, which Home Market did not have, "said Mikhail Burmistrov, CEO of Infoline Analytics.

Potanin-related Home Market Home Goods Network Closes

According to him, the assortment sold at Home Market, buyers can find on the Internet at comparable prices with a wider choice. The expert gives an example with Fix Price, where prices for most items are significantly lower than on marketplaces, and part of the assortment is unique. Home Market's business was hurt by the active development of Magnet Cosmetics, a network of discounters in the drogery segment. By the end of 2021, this network unconditionally wins at the price of non-food products, the head of Infoline Analytics notes.

According to the managing partner of Vanchugov & Partners Alexei Vanchugov, Home Market repeats the fate of the closed Moskhoztorg, but in the democratic segment, since the network could not achieve high turnover of low-margin categories of goods.

Vanchugov predicts that the areas occupied by Home Market stores may move away from Fix Price and Familia Home, as well as regional players like Hosmax.

By mid-December 2021, the Home Market chain had 111 stores, most of which were in Moscow and the Moscow Region. The network belongs to the Winter Capital Partners fund associated with Interros billionaire Vladimir Potanin.^[1]

Notes