Retail trade turnover in Ukraine in December 2021 increased by 5.1% compared to the same month in 2020 in comparable prices, while in November the growth was 5.8%, the State Statistics Service reported. According to its data, in December, compared to November 2021, retail trade turnover increased by 19.3%.
The agency reported that in 2021, compared to 2020, retail trade turnover increased by 10.7%, to UAH 1.443 trillion.
The largest growth in the retail trade turnover of enterprises (legal entities and individual entrepreneurs) in 2021 compared to 2020 was recorded in Chernivtsi (by 25.7%), Ternopil (by 23.2%), Zakarpattia (by 20.7%), Vinnytsia (by 18.5%), Lviv (by 17.3%), Poltava (by 15.1%), Rivne (by 15%), Zhytomyr (by 14.2%), Cherkasy (by 13.3%), Chernihiv regions (by 12.4%). According to the State Statistics Service, the leaders in absolute terms of retail turnover in 2021 were Kyiv city (UAH 279.124 billion), Dnipropetrovsk (UAH 132.258 billion), Kyiv (UAH 120.074 billion), Odesa (UAH 107.05 billion), Kharkiv (UAH 97.838 billion) and Lviv (UAH 89.465 billion) regions.
The turnover of retail trade in Ukraine in November 2021 compared to the same month in 2020 in comparable prices increased by 5.8%, while in October the growth was 5.7%, the State Statistics Service reported.
According to its data, in November compared to October 2021, retail turnover increased by 0.1%.
In January-November 2021, compared to January-November 2020, the retail trade turnover increased by 11.2%, to UAH 1.29 trillion.
The largest growth in retail trade turnover of enterprises (legal entities and individual entrepreneurs) for the 11 months of 2021 compared to the same period in 2020 was recorded in Chernivtsi (by 27.6%), Ternopil (by 24.4%), Zakarpattia (by 20.3%), Vinnytsia (by 19%), Lviv (by 18.1%), Poltava (by 17.5%), Rivne (by 15.3%), Cherkasy (by 13.3%), Khmelnytsky (by 13%), Odesa (12.6%), Ivano-Frankivsk and Chernihiv (12.4%), Kyiv (12%), Mykolaiv (11.5%) regions.
According to the statistics department, the leaders in absolute indicators of the volume of retail trade in 11 months ending November 30, 2021 were: Kyiv city (UAH 248.785 billion), Dnipropetrovsk (UAH 118.223 billion), Kyiv (UAH 108.185 billion), Odesa (UAH 95.664 billion), Kharkiv (UAH 87.153 billion) and Lviv (UAH 79.974 billion) regions.
The State Statistics Service said that the turnover of retail enterprises (legal entities) in November 2021 compared to November 2020 grew by 6.4%, compared with October 2021 – by 0.1%, amounting to UAH 92.464 billion.
At the same time, in January-November this year, the retail trade turnover of enterprises increased by 11.4% (compared to January-November last year), to UAH 933.435 billion.
The wholesale turnover of enterprises (legal entities) in January-November 2021 compared to the same period in 2020 fell by 7% and amounted to UAH 3.006 trillion.
The State Statistics Service reminds that the data are given without taking into account the temporarily occupied territories of the Autonomous Republic of Crimea, the city of Sevastopol, part of Donetsk and Luhansk regions.
The Arsenal insurance company (Odesa) in January-September 2021 collected UAH 11.063 million in net premiums, which is 19.4% more than in the same period in 2020.According to a company’s report, posted in the information disclosure system of the National Securities and Stock Market Commission, its gross premiums for this period increased by 31.7%, to UAH 14.624 million. Some UAH 3.715 million was transferred to reinsurance (more by 67.5%).Over nine months, the company paid UAH 330,000, which is almost 50% less than in the same period a year earlier.Company’s administrative expenses amounted to UAH 2.452 million (more by 7.8%), and sales expenses – UAH 908,000.Gross profit amounted to UAH 10.733 million (more by 24.2%), net profit UAH 7.503 million, while in the same period a year earlier it was UAH 7.732 million.As reported, in October 2021, Vostok Capital LLC (Kyiv) became a new shareholder of the company with a block of 80.741% of shares, the main shareholder of which is PrJSC Fozzy Group.Fozzy Group is one of the largest Ukrainian retailers with nearly 690 points of sale throughout the country. As of 2019, the total area of its stores exceeded 1 million square meters.
RETAIL TURNOVER IN UKRAINE BY REGIONS IN JAN-AUG 2021 (UAH MLN)
The COVID-19 pandemic has accelerated the merger of retail and warehouse real estate, leading to the emergence of a new hybrid store model of interest to both investors and tenants, according to a study by CBRE.
According to its data, disruptions in commodity supply in 2020 brought the concept of omnichannel to a new level – hybrid store models have emerged that allow shoppers to make purchases both offline in a physical store and online. Thus, retailers need multiple logistics channels to meet demand.
At the same time, transportation costs for direct shipments to consumers are high costs for the retailer, which stimulates the use of physical stores, including as distribution centers and pick-up points, the study notes. According to CBRE Supply Chain Advisory, typical online ordering costs exceed in-store costs by 10-15%.
“In order to meet today’s consumer demands, supply chains have evolved into a network of speed-optimizing facilities that increase capacity and minimize overall costs. Retail chains now have more distribution centers linked to smaller warehouses and distribution points to ensure the best inventory management, delivery and return of customer goods,” the report says.
According to CBRE experts, despite the growth of e-commerce, physical stores remain a sought-after asset, although they require a different development strategy, including the closure of inefficient locations, resizing stores, optimizing rental costs, and reducing delivery costs through the introduction of self-pickup services.
“This approach will allow us to preserve the traditional retail experience, while ensuring the growth of their e-commerce platforms in a single coherent ecosystem,” the study reads.
RETAIL TURNOVER IN UKRAINE BY REGIONS IN JAN-MARCH 2021 (UAH MLN)