In 2023, business performance in the clothing, furniture and appliances segments improved

Tinkoff Business, within the framework of the Tinkoff Data analytical project, summed up the results of the offline retail business in 2023. Experts analyzed how the number of purchases and offline business turnover in retail have changed.

Calculations were made on the basis of anonymized data on transactions of almost 40 million individual clients and on the turnover of business clients Tinkoff, working in the field of retail sales and service at retail outlets. The study draws on retail business data across 36 categories.

The number of purchases and growth in turnover in all offline retail

In 2023, consumer demand in offline retail has increased significantly. The number of purchases increased by 8% compared to 2022. For comparison, in 2022 the growth was only 2% compared to the previous year.

Retail outlet turnover in 2023 increased by 3% compared to 2022. In 2022, compared to 2021, the drop in turnover was 9%.

Offline retail segments with negative dynamics in terms of the number of purchases and turnover growth

At the end of 2023, compared to the previous period, the number of purchases of household appliances, furniture and clothing decreased by 7%, 12% and 2%, respectively.

During the same time, the turnover of hardware and furniture stores fell by 5% and 15%, respectively. Clothing retail turnover fell by 4%.

Farid Kamalov, General Director of Concept Group LLC (Tinkoff partner):

“At the end of 2023, Concept Group sales increased by 34% compared to 2022. We not only opened about 100 new stores, but also worked on options for entering new segments and niches.

Another question is that the buyer’s focus periodically shifts from offline online or vice versa. Therefore, it is extremely important to take an omnichannel approach to business development.

As statistical data and our own observations show, the buyer has become more discerning and demanding. Nowadays people tend to make rational purchases, preferring higher quality items. The trend towards “disposable” things is definitely going away. At the same time, the mass consumer, for obvious reasons, is not ready to pay too high a price for this.”

Leonid Nazarov, head of product management at Tinkoff Business:

< i>“At the end of 2023, we see that offline trade continues to grow and develop. Offline retail businesses are looking for new opportunities and quickly adapting to market changes and customer behavior. The trend towards omnichannel and diversification of risks associated with seasonality and changes in consumer behavior patterns turned out to be especially striking — by combining online and offline business formats.

Another trend for 2023 was the connection of several methods of accepting payments. This allowed sellers to adapt to different scenarios of buyer behavior, both in retail outlets and on online platforms, and ensured the stability of sales.”