Large Russian online retailer strengthens its IT teams | Volga, Technology & innovation MarchmontNews.com

Central regions | Technology & innovation

Large Russian online retailer strengthens its IT teams

28 Jan '22
Wildberries is strengthening IT teams the number of developers has grown from 530 to 700 in 2021. The company plans to further actively develop internal projects, so the company opened 160 more vacancies in 2022.

The main focus of IT is aimed at developing its own software and unique technological solutions:

A fault-tolerant infrastructure that provides 24x7 instant response for tens of millions of users and can easily scale to new challenges
Development of AI in Wildberries services: digitalization of the contact center, increase in the speed of processing user requests, automation of promotions and settlements, improvement of search
Uberization of HR: own IT solutions for attracting performers, digitalization of personnel workflow and areas of interaction with employees and performers
FinTech: integration of new payment systems, development of software for payment transactions
Mobile First concept: mobile traffic is already around 90%, so IT teams are working on new and existing mobile applications and a mobile site for users

In 2022, Wildberries will continue to work on in-house projects to improve user experience, including the implementation of projects to further reduce the bureaucratic burden on entrepreneurs - for example, tax reporting automation, paperless transportation, etc.

Main indicators

GMV turnover (net turnover from sales of goods and services, including returns) in 2021 increased by 93% to RUB 844 billion. In 4Q 2021, sales reached a new all-time high reached in 3Q 2021 and amounted to RUB 304.8 billion, up 101% year-on-year.

According to Wildberries forecasts, profit by the end of 2021 will be about 18 billion rubles. (before tax), which will be invested in the further development of the company: the construction of new logistics complexes, improving the quality of service, expanding the range.

Bookings reached 808.6 million (+146% 2021/2020), peaking in December 2021 at about 3.5 million daily.

Customers purchased over 1 billion items through Wildberries, up 81% from 2020.

The largest sales volumes by category:

Clothing, footwear and accessories: 336.5 billion rubles. (+55% 2021/2020)
Children's goods: 115.7 billion rubles. (+63%)
Goods for home and summer cottages: 114.6 billion rubles. (+111%)
Household appliances and electronics: 76.4 billion rubles. (+64%)
Cosmetics and perfumery: 71.5 billion rubles. (+90%)

Highest sales growth rates:

Jewelry (+304% 2021/2020)
Construction materials (+282%)
Large home appliances (+260%)
Recreation and camping (+228%)
Auto accessories (+222%)

In 2021, the Wildberries consumer audience reached 113 million users (MAU)

Wildberries built 350 thousand square meters. m of new warehouse space in 2021, their total area exceeded 720 thousand sq m, which made it possible to speed up the delivery of goods to the regions of the country and optimize the costs of business partners for logistics

New opportunities for Russian business

In 2021, Wildberries continued its transformation from an online retailer to an online platform that brings together Russian entrepreneurs to sell goods and provide services:

Over 410 thousand new entrepreneurs came to the online platform - more than in the entire 17-year history of the company. At the beginning of 2022, over 500 thousand entrepreneurs and companies were registered on Wildberries, over 80% - from the small business sector and self-employed
Launch of the sales model Marketplace from the warehouses of entrepreneurs, delivery of goods by sellers. This made it possible to optimize the partners' costs for logistics and commission, to expand their offer to Wildberries
Development of a partner network of points of issue. Entrepreneurs can open branded pickup points not only in Russia, but also in Belarus, Kazakhstan, Armenia and Kyrgyzstan. In 2021, a subsidy program was in place to open new distribution points.
Launch of partner logistics and joint distribution centers. Small businesses can provide cargo transportation services through WB Drive, as well as earn money by receiving and storing goods in partner distribution centers

Expansion of the geography of work

In 2021, Wildberries entered the markets of 11 new countries - the USA, Great Britain, Germany, France, Italy, Spain, Moldova, Lithuania, Latvia, Turkey and Estonia. The geography of the online retailer already covers 19 countries. Thanks to this, Russian entrepreneurs selling goods through Wildberries were able to enter new markets and increase their own export sales.