Household goods stores have begun to close in Russia

In half of Russian cities with a population of one million, the number of stores specializing in household goods is decreasing. Kommersant reports this with reference to data from the Yandex Maps service as of October 1.

For example, in Perm their number decreased by 14.3 percent in annual terms, to 113 points, in Krasnodar - by 9.4 percent, to 182 points, and in Krasnoyarsk - by 8.4 percent, to 119 points. In St. Petersburg, the dynamics are less significant - minus 1.8 percent (423 stores), while in Moscow there is an increase of 0.4 percent (950 stores).

In Russia as a whole, the increase in outlets with this category of goods was 1.5 percent (15.2 thousand), but costs in them are falling. Vyacheslav Katsegorov, director of strategic development at Magazin Magazin, indicated that consumer spending on furniture and household goods decreased by six to seven percent over the year.

Analysts from the OFD Platform (fiscal data operator) added that the growth of the average bill for everyday tools, decor and storage products remains below the inflation rate, which indicates the propensity of consumers to save in this segment.

However, Vyacheslav Katsegorov, director of strategic development at Magazin Magazin, points out that mostly small non-chain stores close to home and in street retail are closing, while large chains are still coping and optimizing their work.

However, the expert adds, stagnation in the housing market affects the market for furniture and home improvement goods, because the fewer apartments and houses are sold, the less demand for related categories of goods. In turn, the operating director of the Cozy Home household goods chain, Artem Yaskov, attributes the dynamics to the redistribution of demand towards marketplaces and a general decrease in traffic in shopping centers.