“We track over 360 thousand products everyday!” Elena Sushkova, OZON.ru
OZON.ru is one of the leading Russian online stores that has a turnover of tens of billions rubles a year. Everyday OZON.ru offers about 4 mln different products to its customers. One of the store’s key value is “Everything you need”. We asked Elena Sushkova, Head of Market Intelligence department, about how the company manages to successfully control and manage its pricing policy.
- To maintain Brand Values: “Everything you need, at the best price, convenient, trust and individual approach.”
- To grow the number of loyal customers, who trust the OZON brand.
- Increased number of products that comply with the promise “Best price”.
OZON.ru is one of the giants in the online Russian retail market and the main issue that every business of that size faces is processing an enormous amount of information. Different data are collected and analyzed with certain purposes - permanent assortment expansion and compliance with the brand value - “Everything you need”. This exact principle makes it necessary for the company to regularly update and expand its assortment. That is why the number of products suggested on OZON.ru’s “shelves” increases by 20-30 thousand items every week.
The second key principle is “Best prices”. As Danny Perekalsky, CEO of OZON Group, says: “Buyers are comparing prices all the time. They have the possibility to do it at any moment… Prices are going to be the most competitive factor for all market players”.
In fact, according to the Retail Systems Research, carried out in June 2015, 55% of participating retailers indicate an increased buyer’s price sensibility as one of the TOP-3 difficulties in running a business.
To successfully maintain the company’s brand values and continue to win customer’s loyalty, everyday OZON monitors and compares its own prices with market trends, analyzes the policy of cost prices and instantaneously implements corrections in the pricing policy. Considering the numbers, to be able to offer the best prices on the market, the retailer tracks over 360 thousand products on a daily basis, with the help of Competera Price Intelligence and other partners, processing up to 12 000 000 data points a day.
An instantaneous response to pricing changes helps OZON firmly keep the top spot in online retail. As of year-end 2015, OZON.ru sales have increased by 30%. That is undeniable evidence of the fact that assortment and pricing offered by OZON.ru satisfies customers and the company is viewed as the best shopping place: customers know OZON takes care of their spending, that as a result allows the company to grow and attract even more new loyal customers.