Following attacks on Wildberries warehouses in Russia, revenue at order pickup points began to decline, - Russian media
Owners of pickup points for the Russian marketplace Wildberries are reporting a sharp drop in revenue following a series of strikes against the company’s logistics infrastructure. Industry insiders warn that some of these locations may become unprofitable.
According to Censor.NET, Russian media outlets, including The Moscow Times, have reported on this.
Revenue has fallen up to 40%
According to the Russian Federation’s Association of E-Commerce Market Participants, due to a decline in the number of orders and delivery delays, owners of pickup points may begin to delay paying salaries to employees and making payments to landlords.
The Russian Chamber of Commerce and Industry reported that in some regions, the revenue of pickup point owners fell by 15–20% year-over-year in July, with the decline reaching 30–40% on certain days.
"The profitability of most outlets is currently around 5–10%, and in some cases, they are operating with minimal profits or are operating at a loss," said Roman Samoilov, director of the "Consumer Sector and Agro-Industrial Complex" practice at Strategy Partners.
15% of pickup points may close by the end of the year
Market participants are proposing that property owners reduce rent by 50% for six months or implement a rent holiday to support business owners.
At the same time, the Russian Chamber of Commerce and Industry predicts that about 15% of Wildberries pickup points may cease operations by the end of the year.
More than a quarter of warehouse capacity has been hit
According to Russian media reports, since July 18, about 20 Wildberries logistics centers have been hit, including those in Elektrostal, Krasnodar, Nevinnomyssk, Voronezh, Yekaterinburg, and St. Petersburg.
As of early August, the total area of damaged warehouses exceeded 1.5 million square meters, accounting for about 27% of the marketplace’s total warehouse capacity.
