Pyaterochka is one of the most recognizable and largest retail brands in Russia in terms of turnover. This corporation, which began its presence in the retail market in St. Petersburg, is now actively developing in Moscow and in many other cities of the Russian Federation. Among its main competitive advantages are the low price of goods, a good level of service, and a large-scale geography of retail outlets. Pyaterochka is an attractive employer as well as a promising franchisor.
The brand is owned by the X5 holding, which owns a number of other major retail businesses and has the most experience in market penetration using a variety of promotion strategies. What are the most remarkable historical facts about the Pyaterochka company? How can I get acquainted with the contact details of the respective stores, as well as discounts and promotions offered by the company?
General information about the Pyaterochka network
The Pyaterochka chain of stores (Moscow, St. Petersburg and other major cities are included in the geography of this brand's presence) is one of the most famous corporations in the retail sector. Pyaterochka is represented by more than 7 thousand stores and is the main business of the X5 holding, which owns the chain. The share of its revenue is about 76% in the corresponding group of companies.
The range of goods offered by Pyaterochka stores in Moscow and other cities totals about 4500 items. The average area of retail outlets that are part of the chain is about 394 sq. meters. It will be useful to get acquainted with the basic information about the X5 holding, which owns Pyaterochka.
X5 holding: launching retail chains and promoting brands
X5 holding appeared on the Russian market in 2006. But by that time, the Pyaterochka network was already functioning. The first trade brand owned by the founders of the respective group of companies was Perekrestok.
In 1995, the first store of this retail network was opened in Moscow, in 1996 it joined the international organization Food Business Forum.
In 1999, the Pyaterochka network was founded. At the same time, the first store under the corresponding brand was opened in St. Petersburg. By the beginning of 2000, 17 stores of the new trade network operated in the city.
As noted in the press, Pyaterochka became one of the first brands developing in the discounter format, which is quite new for the Russian market. The essence of the relevant business model lies in the use of 3 main competitive advantages:
- the use of an optimized business management infrastructure;
- establishing sustainable purchasing channels;
- ensuring high turnovers at the level of specific retail outlets.
This system enables the retailer to significantly reduce management costs as well as reduce purchasing costs. True, in many cases, the corresponding preference is achieved by reducing the range of goods in comparison with a standard grocery store.
The new sales concept proposed by the founders of Pyaterochka became, first of all, competitive in relation to wholesale markets as retail outlets, alternative to more expensive stores and therefore attractive to citizens. At Pyaterochka, many types of demanded goods - for example, tea and coffee - are even cheaper than in the markets. In general, the business model of the trading network did not imply the use of a high mark-up on goods, which made it possible to ensure competitive prices.
As the managers of the corporation noted in their interviews with the media, Pyaterochka, on the one hand, using Western experience as a discounter, was able to provide a wider range of goods than an average foreign discounter. In particular, fresh products were widely presented on the shelves. This feature, which is remarkable, was due to the specifics of the purchasing behavior of Russians: if citizens of Western countries buy in grocery supermarkets on average 1-2 times a week, then Russian buyers sometimes several times a day.
As a brand, Pyaterochka, along with the ability to offer goods at low prices, has become known as a retail chain with a fairly high level of service. For this, the corporation has introduced a special personnel selection system.
The economic situation in the country also contributed to the successful development of the new brand - in the early 2000s it began to improve, consumer demand became more and more dynamic. At the same time, in the conditions of a rather expensive foreign currency, in many cases domestic goods received an advantageous position when selling in retail. This contributed, along with the discounter's pricing policy, to the growth in the dynamics of sales of the corresponding products and the development of local production in Russia.
In 2001, Pyaterochka stores appeared in Moscow. In 2003, this brand also began to develop according to the principle of franchising - further in the article we will consider the features of the corresponding partner programs. In 2004, Pyaterochka stores were opened in Ukraine and Kazakhstan. In 2005, the brand went public with a listing on the London Stock Exchange.
In 2006, the Pyaterochka and Perekrestok chains were merged into the X5 holding. By that time, more than 600 retail outlets had been opened under the respective brands.
In 2007, Pyaterochka stores were opened in the Nizhny Novgorod region. The brand began to actively develop in the Russian regions. In 2010, Pyaterochka appeared in the Tambov region, in 2011 - in Karelia, in the Bryansk, Ivanovo and Smolensk regions. Now the brands of the X5 holding are among the largest in the Russian retail trade.
Pyaterochka stores in Moscow and other Russian cities have gained the highest popularity. At the same time, they are of interest not only to buyers: many entrepreneurs seek to open a business on the franchise model offered by X5. Let's consider its features.
Development of the Pyaterochka brand: franchising
The founders of the X5 holding have been developing franchise programs, as we noted above, since 2003. In accordance with modern concepts for promoting brands belonging to this group of companies, an entrepreneur who has signed a franchise contract with X5 is able to launch a business with high turnover in a short time. The main advantage of this commercial partnership model for the outlet owner is the use of a well-functioning business management model.
Thus, the Pyaterochka franchise gives an entrepreneur the opportunity to:
- use the help of X5 consultants when starting a business;
- use the brand's IT infrastructure;
- use proven marketing schemes, advertising promotion;
- use proven logistic schemes;
- train personnel in various positions.
Another major advantage of X5 franchising is the ability to accept goods for sale. It is also worth noting that the holding does not take royalties from its franchise partners.
In many respects, it is thanks to the abovementioned advantages that Pyaterochka stores in Moscow and other Russian cities open so dynamically. An entrepreneur who has the opportunity to develop a business according to proven schemes, as well as using the infrastructure resources of the largest brand, will only welcome the prospects of interaction with the corporation. And not only him, but, for example, his creditors or co-investors.
One of the remarkable nuances of the development of the trading network in question is rebranding. Let's study its features.
Development of the Pyaterochka retail chain: rebranding
A large-scale rebranding of the Pyaterochka chain was carried out in 2013. The tasks of the managers were to update the appearance of stores, assortment, improve the quality of goods sold, as well as service. As part of new approaches to the development of the network, franchise outlets were also opened. The Pyaterochka logo was also updated.
The change in the concept of brand development was associated with new trends in the market. Customers have become more demanding of retail chains, they began to expect a better assortment and service. As a result of the rebranding, Pyaterochka acquired more fresh types of products and expanded the range of fruits and vegetables. In many regions, the share of locally produced goods in the trade network has increased. Much attention was paid to expanding Pyaterochka's retail space.
Rebranding, according to experts, was necessary for the company also due to high competition. In the cities of the corporation's presence, other major trading firms were actively expanding their activities, capable of offering customers competitive prices and a good level of service.
The vacancies of the Pyaterochka store in Moscow also needed to be made more attractive, both in terms of remuneration and in terms of career prospects. The same can be said about other cities of the brand's presence. Working in Moscow in Pyaterochka stores can be an attractive opportunity to get a job at a retail outlet located relatively close to the employee's home - due to the large-scale geography of the corporation's activities. Of course, the requirements for candidates for certain positions in Pyaterochka can be quite high - since the days of the first stores under this brand, as we noted above, the corporation has been implementing special recruitment programs.
Apart from rebranding, the retail chain under consideration ensures competitiveness in the market by offering customers various discount programs and promotions aimed at increasing customer loyalty. Let's study their features in more detail.
The Pyaterochka brand in the retail market: increasing consumer loyalty
Discounts in Pyaterochka stores in Moscow and other Russian cities where the brand is present, as well as promotions are offered to customers on a regular basis.
Among the most notable offers of this type is a promotion, according to which 0,5% of all purchases on a bank card are returned to customers if it is issued by Sberbank under the Thank You program. A person gets the right to spend the corresponding amount at any outlet that has a partnership agreement with Sberbank.
Another notable program for attracting clients from Pyaterochka is the provision of a discount of 55 rubles per check. This promotion was completed in April 2016. Its essence was that a person, having made a purchase in any Pyaterochka store for an amount of 555 rubles and more, received a special slip to the cashier's receipt. For subsequent purchases, during the validity period of the promotion in question, a person, upon presentation of a slip, received a discount of 55 rubles from 1 check. At the same time, however, it was impossible to pay for the purchase only with the help of slips, and discounts from several were not summed up. It was also impossible to cash them out. In addition, after presentation, each slip was removed by the cashier.
Of course, traditional promotions are also held in the Pyaterochka store. Moscow and many other cities of the brand's presence are characterized by a high level of competition in the retail market, so retail chains have to constantly compete in terms of offering customers low prices. Since it is difficult to constantly keep them below market offers, companies prefer to select from the assortment a certain percentage of promotional products - those that are sold at a discount in a certain period of time. Its value can be tens of percent.
Among the most important factors that can motivate a person to visit the Pyaterochka store are promotions today. Moscow, despite the fact that it is considered one of the most solvent markets, is a city where low prices are an indisputable competitive advantage of any brand present in the retail market. Pyaterochka informs the buyer about current promotions for certain products in various ways - through online catalogs, by distributing printed materials in stores, or through partner organizations.
Pyaterochka brand: opening hours
Customer-friendly retail outlet opening hours are another major competitive advantage for a modern brand in the retail market. For a person planning regular purchases, it is important to know what the operating mode of the Pyaterochka store located next to his house has. Moscow is a city where shopping activity starts quite early and continues until the very late hours. Therefore, it is not surprising that Pyaterochka stores in the capital are open from 8 am to 22 pm.
A Muscovite, therefore, can have time to run in for groceries both before work - if, for example, his working day starts at 9, and at the end of the working day, to the Pyaterochka store located in a convenient place for him. The mode of operation (Moscow in this sense is certainly not a unique city) is a significant competitive advantage of the brand present in the retail market, but an equally significant factor in attracting buyers' interest to the store is its geography. The location of a particular outlet in some cases becomes a key argument regarding a person's desire to visit a particular store.
Geography of brand outlets
Let us examine where Pyaterochka stores are located in Moscow. Their addresses, we note, correspond to the most different areas of the Russian capital. Thus, residents of the outskirts of Moscow have the opportunity to shop at Pyaterochka. For example, there is a retail outlet under the brand in question on the street. Biryulevskaya, 13 building 1. If we talk about the north of the capital - there is a Pyaterochka store in Bibirevo, on the street. Muranovskaya, 12. In Strogino, a retail outlet within the relevant network is located at ul. Tallinn, 26. If we talk about the districts of the capital that are located closer to the center, there is a Pyaterochka store, for example, in the Begovoy district, at st. Raskova, 14.
Of course, this is only a small part of the outlets belonging to the brand. There are shops that are located even closer to the center, there are those that are adjacent to the Moscow Ring Road. There are corresponding retail outlets in both business and residential areas of the capital. Muscovites can buy groceries both directly near work and not far from home.
The location of Pyaterochka stores is quite convenient both in terms of shopping by car and in terms of transport accessibility by metro or, for example, by bus. Thus, we can say that within the framework of a very large-scale geography, Pyaterochka stores are represented in Moscow. You can find out more specifically the addresses of certain retail outlets through the corporation's website or by calling the company's consultants by phone.
Contacts "Pyaterochka": phones
Where exactly to call? It is noteworthy that they are not represented in such a wide range as the addresses of Pyaterochka retail outlets and store phone numbers. Moscow, St. Petersburg or another city can be examined for the location of specific outlets by contacting the corporation's support line via a single multichannel and free phone. The buyer can call Pyaterochka at + 7 800 555 55 05 and ask the consultants the questions he is interested in. If necessary, his call will be redirected to competent specialists. On the phone line of the corporation, you can try to find out, for example, where the nearest Pyaterochka stores in Moscow are located relative to the current location of the buyer, how to get to them by car or using public transport.
Note that the required information can be presented to a person not only in relation to stores in the capital, but also in other Russian cities.
So, we have studied the basic information about one of the most famous Russian retail corporations - the Pyaterochka brand. Opening hours of stores (Moscow, of course, is characterized by a longer duration than many other cities), the location of specific retail outlets, travel details are publicly available on the network, in catalogs distributed by the store, and if necessary, information can be requested by the buyer by company multichannel phone.
Pyaterochka, like another well-known retail brand, Perekrestok, is part of the X5 holding. In the retail market, the company develops using different strategies, including franchising. Within the framework of the corresponding direction of partnership, entrepreneurs have the opportunity to develop their business using consultations and infrastructure resources of the holding.
The Pyaterochka brand ensures its competitiveness through various customer attraction programs. Discounts in the Pyaterochka store today in Moscow and other cities of the Russian Federation are offered to customers of retail outlets on a regular basis. Promotions are another effective tool of loyalty, and are also often held by the company. Brand managers disseminate information about customer acquisition programs in a variety of ways. The buyer can take the printed catalog of the Pyaterochka store in Moscow or any other city when purchasing goods, use online resources, which reflect information on discounts and promotions.
The geography of the brand's presence is very large. If we talk about Moscow, Pyaterochka stores can be found in almost any part of the capital.