Monitoring of consumer habits in DIY segment Moscow, St. Petersburg

1. Monitoring of consumer habits in DIY segment Moscow, St. Petersburg

Main results
Source: GFK ad-hoc research “Segment Monitoring of Consumer Habits in
DIY Segment – Moscow, St. Petersburg”, September-October 2005
November 2005
Prepared by Natalia Starikova

2. Methodology

Castorama Russia Market Research
Methodology
Representative survey of Moscow and St. Petersburg residents
Telephone interviews (CATI – Computer Assisted Telephone
Interviews)
Random sample – 1026 interviews (Moscow) and 1000 (St. Pet)
Target group: household member, taking part in choice of DIY
products
Fieldwork: September-October 2005
2

3. Management summary

Consumers want wide range, quality (fit for purpose), affordable prices,
brands and services (especially in St. Pet.).
MARKETS are better at price, STORES at range, service and quality.
About 80% of respondents undertook some DIY this year, with 28% using
professional workers too.
Satisfaction levels of visiting outlets are high, but in absence of better
alternatives.
Castorama Russia Market Research
In Moscow KASHIRSKIY DVOR and STARIK KHOTTABYCH are the leaders of
DIY market in 2005: 31% of respondents bought from KD this year
(awareness – 77%), 22% - from SK (awareness – 76%).
In St. Petersburg MAKSIDOM is the absolute leader of the market with
95% awareness and 54% of purchases.
3

4. Management summary

Moscow DIY market. Competitors strengths/weaknesses
Castorama Russia Market Research
Competitor
Strengths
Weaknesses
Kashirsky Dvor
the best known, popular POP, lots of clients
high loyalty index
good at prices and range
good price/range of supplementary services
win in the most part of categories
not very good shopping environment and service
quality
no understandable price tags
doesn’t guarantee high quality of goods
Starik
Khottabych
well known, popular POP, famous store
guarantee high quality of goods
best shopping environment
strong in many categories except garden,
tools, electrical installation, household goods,
lighting
not good at prices
not good at price/range of supplementary
services
has no convenient large parking
OBI
good local awareness
strong at garden, tools, electrical installation,
household goods, lighting, linoleum and
carpeting, sanitary
Leroy Merlin
good local awareness
high loyalty index
highest satisfaction level
good at prices
low awareness
not good at prices
low awareness
not very good at service quality
4

5. Management summary

St. Petersburg DIY market . Competitors strengths/weaknesses
Castorama Russia Market Research
Competitor
Strengths
Weaknesses
Maksidom
absolute leader of the market with 95%
awareness and 54% of purchases.
the best known, popular POP
highest loyalty index
highest satisfaction level
gives good ideas for renovation
nice shopping environment
convenient large parking
win in all categories
not good at prices
inconvenient working hours
problems with queues
Teks/
Stroimaster
good loyalty index
strong in the most part of categories except
garden and kitchen
confusion with two names
Rybinskaya
good loyalty index
affordable prices
large assortment
good price/range of supplementary services
strong in many categories except garden,
kitchen, decorative household goods, linoleum
and carpeting, lighting
not good shopping environment and
service quality
doesn’t guarantee high quality of
goods
no well-known brands
5

6. Content

Castorama Russia Market Research
Moscow & St. Petersburg DIY market
–
–
–
–
–
–
–
–
–
–
Awareness
Purchases
Loyalty
Satisfaction with POP
Assessment of POP
Evaluation of stores & markets
POP image
POP for key categories
Competitors strengths & weaknesses
Consumer behavior
6

7. Moscow DIY market

Castorama Russia Market Research
Moscow DIY market
7

8. Moscow DIY market

Castorama Russia Market Research
Spontaneous awareness of retail POP selling DIY goods
Kashirsky Dvor
Starik Khottabych
OBI
Leroy Merlin
Tvoi Dom
IKEA
Mel'nitsa (41 km MKAD)
Sindika-O (Strogino)
Mytischinskaya Yarmarka
Marktkauf
Moskvorezkyi market
Stroidvor na Voikovskoi
Dmitrovskyi dvor (Altuf'evo)
Superstroi (Pyatnizkoe shosse)
Pokrovskyi (m. Prazhskaya)
Lublunskaya yarmarka stroymaterialov
Nikulino
Yarmarka (m.Timiryazevskaya)
Stroymaterialy na Volgogradskom prospekte
Тrakt-Теrminal (Yaroslavskoe shosse)
Electronyi rai
Аltair (m. Vykhino)
Expostroy, building exhibition
Other
Another shop
Another market
DK/DA/no
14%
5%
4%
10%
4%
10%
3%
10%
3%
8%
3%
8%
2%
5%
2%
5%
2% 4%
1% 4%
2% 3%
1% 3%
1% 3%
2%
1% 2%
1% 2%
1%
1%
1%
1%
1%
1% 2%
11%
9%
4%
0%
10%
23%
41%
33%
15%
1st mention
all mentions
18%
20%
28%
30%
Base: N=1026
40%
50%
Muscovites know lots of DIY POP.
KASHIRSKIY DVOR and STARIK KHOTTABYCH are better known than competitors (41%
and 33%).
Difference between OBI and LM is not critical, in spite of the fact of strong marketing
support from OBI.
8

9. Moscow DIY market

Purchases within the last 12 months and prompted awareness
80%
77%
76%
70%
60%
54%
49%
50%
40%
27%
30%
31%
29%
26%
24%
18%
20%
22%
16%
12%
10%
7%
8%
5%
5%
5%
0%
Castorama Russia Market Research
Marktkauf
Mytischinskaya
Yarmarka
Sindika-O
(Strogino)
Mel'nitsa (41 km
MKAD)
Tvoi Dom
Purchases Within the Last 12 Months
Leroy Merlin
Prompted awareness
OBI
Starik
Khottabych
Kashirsky Dvor
Base: N=1026
Conversion rate
KASHIRSKIY DVOR and STARIK KHOTTABYCH are not the absolute leaders of the market –
prompted awareness is not close to 100% or at least 90%, but they are known better than
others
KASHIRSKIY DVOR and MARKTKAUF have the highest % of people who know and buy
there.
9

10. Moscow DIY market

Castorama Russia Market Research
Awareness in different districts
KASHIRSKIY DVOR and STARIK KHOTTABYCH are the leaders in the most part of districts.
LM and OBI have good local awareness.
10

11. Moscow DIY market

Professionals’ awareness and purchases
60
50
48
45
40
34
34
30
21
20
17
21
17
17
14
17
17
17
14
10
Castorama Russia Market Research
10
7
0
Kashirskij Dvor
Starik Khottabych
OBI
Tvoi Dom
Awareness
Leroy Merlin
Sindika-O
(Strogino)
Mitishinskaja
Yarmarka
Melnitza (41 km
MKAD)
Purchases
KASHIRSKIY DVOR and STARIK KHOTTABYCH are the best known POP amongst
professionals/trade.
But at the same time the open markets (Sindika-O (Strogino), Mitishinskaja Yarmarka,
Melnitza (41 km MKAD) play quite an important role as well.
11

12. Moscow DIY market

Willingness to Recommend POP
100%
35%
31%
90%
30%
26%
25%
70%
22%
60%
20%
16%
16%
50%
15%
40%
12%
11%
10%
7%
Castorama Russia Market Research
5%
80%
4%
7%
5%
3%
4%
7%
30%
8%
20%
5%
10%
0%
0%
Marktkauf
Mytischinskaya
Yarmarka
Sindika-O
(Strogino)
Tvoi Dom
Willingness to Recommend POS
Leroy Merlin
OBI
Purchases Within the Last 12 Months
Starik Khottabych
Kashirsky Dvor
Loyalty index
LEROY MERLIN and KASHIRSKIY DVOR have the highest loyalty index. People are satisfied
with the visit to these POPs and would recommend it to nears and dears.
The main issue for LM is low awareness.
12

13. Moscow DIY market

Satisfaction with POP – top two boxes
4,5
90%
80%
4,4
70%
60%
41%
29%
51%
33%
27%
38%
50%
31%
38%
28%
4,3
21%
40%
4,1
30%
20%
10%
41%
33%
32%
35%
47%
46%
42%
43%
34%
45%
4
3,9
3,8
0%
Kashirskij Leroy Merlin
Dvor
Castorama Russia Market Research
4,2
Marktkauf
Mitishinskaja
Yarmarka
4 Satisfied
OBI
Melnitza (41 Sindika-O
Starik
km MKAD) (Strogino) Khottabych
5 Very satisfied
Tvoi Dom
Strojdrov na
Vojkovskoj
Mean
LEROY MERLIN has the highest overall satisfaction level.
OBI has good marks but mainly “4”, not “5”. There is an opportunity for them to improve.
В5. How satisfied are you in general with the outlet ______? Please, use a 5-point scale, where "5" stands for "completely satisfied" and "1 means "absolutely unsatisfied".
13

14. Moscow DIY market

Consumer Assessment of POP
5
100
90
4,5
80
4
70
3,5
60
3
50
40
2,5
30
20
2
Top 2 boxes (4, 5) for 5-point scale + mean
1,5
10
1
Castorama Russia Market Research
0
Kashirskij Dvor
Starik Khottabych
Price level
Assortment
OBI
Service quality
Tvoi Dom
Marktkauf
Shopping enviroment
Leroy Merlin
Total satisfaction
All marks/grades are rather high (generally more than 4, except for prices).
Range is evaluated high in all POP except SK. Prices are not good at OBI, SK, Tvoi dom.
Service quality is not good at KD and OBI. Shopping environment is not good at KD.
Generally LM is evaluated better than others.
14

15. Moscow DIY market

Evaluation of Stores vs. Markets
Stores
Markets
better assortment
better/lower prices
Castorama Russia Market Research
better quality of goods
better service level
Markets win on price, stores on service and quality. Range is equal. Thus, it’s important to
beat markets on price and we could be a real winner.
15

16. Moscow DIY market

POP image
-10 -9 -8 -7 -6 -5 -4 -3 -2 -1
Customer
0
1
2
KD
famous POS
this POS gives good ideas for
renovation and decoration
this POS has a lot of clients
LM
OBI
Marktkauf
SK
Marktkauf
Castorama Russia Market Research
4
5
6
7
8
9 10 11 12 13 14
SK
Tvoi dom
KD
LM
OBI
Tvoi dom
KD
SK
LM
OBI
Marktkauf
Tvoi dom
KD
understandable price tags
3
LM
SK
OBI
Marktkauf
Tvoi dom
SK is a famous store.
KD has lots of clients but has no understandable price tags.
LM is not associated with “famous POP” statement.
16

17. Moscow DIY market

POP image
-10 -9 -8 -7 -6 -5 -4 -3 -2 -1
Product
affordable prices
Tvoi dom
Marktkauf
OBI
KD
large assortment of DIY goods is
alw ays available / one can find
everything
Castorama Russia Market Research
4
5
6
7
8
9 10 11 12 13 14
OBI
Marktkauf
SK
OBI
Marktkauf
LM
SK
LM
Tvoi dom
KD
LM
Tvoi dom
KD
this POS guarantees high quality
of goods
3
2
1
KD
SK
availability of w ell-know n
brands
0
OBI
Marktkauf
LM
SK
Tvoi dom
KD is strongly associated with affordable prices and large assortment, but does not
guarantee high quality of goods.
on the contrary, SK wins on quality, but is not associated with “affordable” POP.
17

18. Moscow DIY market

POP image
Services/Staff
af f ordable price of supplementary
serv ices
av ailability of
supplementary serv ices
(deliv ery , saw cut, design, etc.)
conv enient working hours
no queues, f ast serv ice at pay desk
-10 -9 -8 -7 -6 -5 -4 -3 -2 -1 0
1
LM
OBI
Tvoi dom
Castorama Russia Market Research
5
6
7
8
9 10 11 12 13 14
Marktkauf
KD
SK
LM
Marktkauf
Tvoi dom
OBI
KD
SK
LM
OBI
Marktkauf
Marktkauf
OBI
Tvoi dom
Marktkauf
Tvoi dom
KD
polite and f riendly staf f
4
KD
SK
Tvoi dom
LM
KD
competent staf f
3
2
LM
OBI
KD
SK
SK
SK
LM
OBI Marktkauf
Tvoi dom
KD is strongly associated with good availability and prices of supplementary services, in
contrast to SK.
No POP is characterized as POP with competent and polite staff.
Tvoi Dom has the most convenient working hours.
18

19. Moscow DIY market

POP image
Shopping
environment
-10 -9 -8 -7 -6 -5 -4 -3 -2 -1
SK
0
2
1
5
6
7
8
9 10 11 12 13 14
LM
OBI
Marktkauf
Tvoi dom
KD
conveniently reachable by
public transport
LM
OBI
Tvoi dom
KD
easy to orientate oneself in
a POS
KD
neatness inside the POS
and its neighborhood
Castorama Russia Market Research
4
KD
convenient large parking
KD
nice shopping environment /
nice to be in POS
3
SK
Marktkauf
SK
LM
OBI
Marktkauf
Tvoi dom
SK
LM
OBI
Marktkauf
Tvoi dom
SK
LM
OBI
Marktkauf
Tvoi dom
SK has the best shopping environment except convenient large parking, in contrast to KD
19

20. Moscow DIY market

Where people buy the key product categories
Categories
Building
Deco
Castorama Russia Market Research
Flooring
Garden
Competitor #1
Competitor #2
Competitor #3
Construction materials (dry mixtures, filling
material, priming material)
Kashirsky Dvor
Starik Khottabych
Mel'nitsa (41 km
MKAD)
Wood (timber, lining, chipboard, window-sills,
plywood)
Kashirsky Dvor
Sindika-O (Strogino)
Mel'nitsa (41 km
MKAD)
Decorative household goods (sofa pillows,
curtains, photo frames, etc.)
Kashirsky Dvor
Starik Khottabych
Marktkauf
Finishing materials (wallpaper, paints)
Kashirsky Dvor
Starik Khottabych
OBI
Household goods (ironing boards, baskets for
linen, etc.)
OBI
Marktkauf
Kashirsky Dvor
Lighting (chandeliers, lamp-brackets, lamps)
Kashirsky Dvor
OBI
Tvoi Dom
Ceramic tiles (for walls, floor)
Kashirsky Dvor
Starik Khottabych
Leroy Merlin
Linoleum or synthetic carpeting
Kashirsky Dvor
Starik Khottabych
OBI
Parquet, laminate, doors
Kashirsky Dvor
Leroy Merlin
OBI, Starik Khottabych
Garden plants and equipment
OBI
Kashirsky Dvor
Marktkauf
Electric and hand tools, hardware
Kashirsky Dvor
OBI
Sindika-O (Strogino)
Electrical installation (wires, sockets)
Kashirsky Dvor
OBI
Tvoi Dom
Kitchen
other stores
Leroy Merlin
Starik Khottabych
Sanitary ware and plumbing (e.g. bathtub, tubing,
faucets, toilet, etc.)
Kashirsky Dvor
Starik Khottabych
OBI
Hardware
Showrooms
20

21. St. Petersburg DIY market

Castorama Russia Market Research
St. Petersburg DIY market
21

22. St. Petersburg DIY market

Castorama Russia Market Research
Spontaneous awareness of retail POP selling DIY goods
Maksidom
Stroimaster
Rybinskaya
Iskrasoft
Domovoi
Dom Laverna
TEKS
Stroitel
IKEA
Petrovych
Stroitorg
RIK
O'key
Lenta
Metrika
Season
Saturn
Starik Khottabych
Metro
Elis
other store
other open market
other
DK
-1%
35%
9%
7%
2%
5%
2%
4%
4%
1% 3%
1% 3%
1% 3%
1% 3%
1% 2%
58%
19%
19%
13%
12%
11%
10%
9%
1st mention
2%
2%
1%
1%
1%
1%
1%
all mentions
19%
38%
1% 2%
1%
Base: N=965
3%
5%
9%
19%
29%
39%
49%
59%
MAKSIDOM is an absolute leader with 58% spontaneous awareness. It has great level of
first mention – 35%.
Other POPs are not so popular.
22

23. St. Petersburg DIY market

Purchases within the last 12 months and prompted awareness
100%
95%
90%
78%
80%
76%
70%
60%
54%
57%
56%
50%
50%
40%
30%
22%
25%
21%
20%
19%
14%
13%
12%
10%
5%
9%
3%
2%
Castorama Russia Market Research
0%
Maksidom
Rybinskaya
Stroimaster
Iskrasoft
Dom Laverna
Purchases Within the Last 12 Months
TEKS
Prompted awareness
Petrovych
Stroitorg
Metrika
Conversion rate
MAKSIDOM is the absolute leader of the market – prompted awareness is close to 100%.
In spite of high level of prompted awareness of ISKRASOFT and DOM LAVERNA people
don’t buy there.
23

24. St. Petersburg DIY market

Professionals’ awareness and purchases
80
69
70
60
59
49
50
54
51
46
36
40
28
30
23
23
18
18
20
13
10
10
Castorama Russia Market Research
0
0
0
8
8
5
0
0
3
0
0
Maksidom
Ry binskay a Stroimaster
TEKS
Petrov y ch
Stroitel
Awareness
Domov oi
Dom
Lav erna
Iskrasof t
Stroitorg
Metrika
Saturn
Purchases
MAKSIDOM and RYBINSKAYA are the best known POS amongst professionals/trade. But in
terms of purchases TEKS is also one of the most popular POP.
But at the same time the storehouses like PETROVICH and SATURN play quite an
important role as well (share of trade there is about 30%).
24

25. St. Petersburg DIY market

Willingness to Recommend POP
100%
60%
54%
90%
50%
80%
70%
40%
37%
60%
50%
30%
22%
40%
21%
19%
20%
30%
14%
11%
12%
11%
5%
Castorama Russia Market Research
20%
8%
10%
5%
4%
3%
2%
1%
10%
1% 2%
0%
0%
Maksidom
Rybinskaya
Stroimaster
Iskrasoft
Willingness to Recommend POS
Dom Laverna
TEKS
Petrovych
Purchases Within the Last 12 Months
Stroitorg
Metrika
Loyalty index
MAKSIDOM has the highest loyalty index. People are satisfied with the visit to this POP.
Other POPs (RYBISKAYA, STROIMASTER, METRIKA) have very good loyalty indices (50%)
as well.
25

26. St. Petersburg DIY market

Satisfaction with POP – top two boxes
4,5
50
45
4,4
40
35
4,3
26
30
4,2
25
4,1
20
15
8
10
5
8
4
9
4
20
7
9
1
1
8
2
0
Castorama Russia Market Research
Maksidom
TEKS
Stroimaster
Stroitorg
4 Satisfied
Rybinskaya
2
Petrovych
5 Very satisfied
1
1
Metrika
6
Iskrasoft
3
3,9
6
3,8
Dom Laverna
Mean
MAKSIDOM has the highest satisfaction level.
The levels of satisfaction of TEKS, STROIMASTER, RYBISKAYA are on the same level, but
much lower than MAKSIDOM level.
В5. How satisfied are you in general with the outlet ______? Please, use a 5-point scale, where "5" stands for "completely satisfied" and "1 means "absolutely unsatisfied".
26

27. St. Petersburg DIY market

Consumer Assessment of POP
100
5
90
4,5
80
4
70
60
3,5
50
3
40
2,5
30
2
20
Top 2 boxes (4, 5) for 5-point scale + mean
10
1,5
0
1
Castorama Russia Market Research
Maksidom
Stroimaster
TEKS
Price level
Assortment
Petrovych
Rybinskaya
Service quality
Stroitorg
Metrika
Shopping enviroment
Dom Laverna
Iskrasoft
Total satisfaction
All marks are rather high (generally more than 3,5, except prices).
Shopping environment is evaluated highly in all POS except PETROVICH and RYBINSKAYA.
Prices are not good at MAKSIDOM, STROITORG, DOM LAVERNA, ISKRASOFT. Service quality
is minimum at PETROVICH and RYBINSKAYA. Range is not good at METRIKA, but it could be
because of low awareness about this POP. Prices are evaluated differently in RYBINSKAYA
and METRIKA (but in reality they are equal).
Generally MAKSIDOM is evaluated better than others.
27

28. St. Petersburg DIY market

Evaluation of Stores vs. Storehouses
Stores
Storehouses
better
assortment
better/lower
prices
Castorama Russia Market Research
better quality of
goods
better service
level
STOREHOUSES win on price, STORES on service and range. Quality is equal. Thus it’s
important to beat storehouses on price, provide better services and we could be a real
winner.
28

29. St. Petersburg DIY market

POS image
-8
Product
-7
-6
-5
-2
-3
-4
-1
0
3
2
1
4
5
6
Maksidom
Metrika
Rybinskaya
Teks
Stroimaster
availability of well-known brands
Castorama Russia Market Research
large assortment of DIY goods is
always available / one can find
everything
this POS guarantees high quality
of goods
9
10
11
Stroimaster
Maksidom
Metrika
Maksidom
Stroimaster
8
Rybinskaya
Teks
affordable prices
7
Teks
Rybinskaya
Metrika
Maksidom
Rybinskaya
Stroimaster
Metrika
Teks
RYBISKAYA is strongly associated with affordable prices and large assortment, but does
not guarantee high quality of goods and does not have well-known brands.
STROIMASTER also is associated with affordable prices.
MAKSIDOM has no affordable prices.
29

30. St. Petersburg DIY market

POP image
-8
Services/Staff
-7
-6
-5
-4
-3
-2
-1
0
1
2
3
4
5
6
7
8
9
10
11
Maksidom
Rybinskaya
affordable price of supplementary
services
Teks
Stroim aster
Metrika
Maksidom
availability of
supplementary services
(delivery, saw cut, design, etc.)
Rybinskaya
Teks
Stroim aster
Metrika
Maksidom
Rybinskaya
convenient working hours
Teks
Stroim aster
Metrika
Maksidom
Rybinskaya
no queues, fast service at pay desk
Teks
Metrika
Stroim aster
Maksidom
Rybinskaya
Castorama Russia Market Research
competent staff
polite and friendly staff
Teks
Stroim aster
Metrika
Maksidom
Rybinskaya
Teks
Stroim aster
Metrika
RYBINSKAYA is strongly associated with good availability and prices of supplementary
services, in contrast to SK.
No POP is characterized as POP with competent and polite staff.
MAKSIDOM has the most INconvenient working hours and problems with queues. It’s an
opportunity for us to beat them.
30

31. St. Petersburg DIY market

POP image
Shopping
environment
-8
-7
-6
-5
-2
-1
Stroimaster
Rybinskaya
conveniently reachable by public
transport
0
1
2
4
5
6
7
8
9
10
11
Maksidom
Teks
Maksidom
Teks
Maksidom
Rybinskaya
Teks
Metrika
Stroimaster
Stroimaster
Maksidom
Rybinskaya
nice shopping environment / Rybinskaya
nice to be in POS
3
Metrika
Metrika
easy to orientate oneself in a
POS
Castorama Russia Market Research
-3
Rybinskaya
convenient large parking
neatness inside the POS and its
neighborhood
-4
Teks
Stroimaster
Metrika
Maksidom
Teks
Stroimaster
Metrika
Generally RYBINSKAYA has the worst shopping environment.
MAKSIDOM is characterized by large parking and nice shopping environment.
Other POP have no specific attributes.
31

32. St. Petersburg DIY market

Where people buy the key product categories
Categories
Building
Competitor #1
Competitor #2
Competitor #3
Construction materials (dry mixtures, filling
material, priming material)
Maksidom
TEKS/Stroimaster
Rybinskaya
Wood (timber, lining, chipboard, window-sills,
plywood)
Rybinskaya
Maksidom
TEKS/Stroimaster
Decorative household goods (sofa pillows,
curtains, photo frames, etc.)
Maksidom
TEKS/Stroimaster
Dom Laverna
Finishing materials (wallpaper, paints)
Maksidom
TEKS/Stroimaster
Rybinskaya
Household goods (ironing boards, baskets for
linen, etc.)
Maksidom
TEKS/Stroimaster
Dom Laverna
Lighting (chandeliers, lamp-brackets, lamps)
Maksidom
TEKS/Stroimaster
Dom Laverna
Ceramic tiles (for walls, floor)
TEKS/Stroimaster
Maksidom
Rybinskaya
Linoleum or synthetic carpeting
Maksidom
Iskrasoft
TEKS/Stroimaster
Parquet, laminate, doors
Maksidom
Rybinskaya
TEKS/Stroimaster
Garden plants and equipment
other POP
Maksidom
Electric and hand tools, hardware
Maksidom
TEKS/Stroimaster
Rybinskaya
Electrical installation (wires, sockets)
Maksidom
TEKS/Stroimaster
Rybinskaya
Kitchen
other POP
Maksidom
Sanitary ware and plumbing (e.g. bathtub,
tubing, faucets, toilet, etc.)
Maksidom
TEKS/Stroimaster
Castorama Russia Market Research
Deco
Flooring
Garden
Hardware
Showrooms
Rybinskaya
32

33. Moscow vs. St. Pet DIY market

Castorama Russia Market Research
Consumer behavior
33

34. Moscow vs. St. Pet DIY market

POP Choice Criteria
96
97
w ide assortment
95
96
guaranteed high quality of goods
93
good choice of w ell-know n brands
77
sales, discounts on certain goods, special offers
85
competent staff
93
83
convenient w orking hours
90
82
79
81
availability of supplementary services
polite staff
92
80
easy to orientate oneself in a POS / good inner space organization
78
no queue, fast service
78
nice shopping environment
74
proximity to home
64
conveniently located (in a place you usually pass, on the w ay)
91
81
70
69
conveniently reachable by public transport
87
80
72
conveniently reachable by car, convenient parking
Castorama Russia Market Research
95
94
95
affordable prices
68
74
70
62
61
close to other stores (part of a mall / shopping center)
0
10
20
Moscow
30
40
50
60
70
80
90
100
St. Pet
The most important choice criteria in both cities: assortment, quality, brands, prices. Then
follow special offers, staff, services. So the first four is a must, but higher rating for staff and
services are very important to get the customers.
In St. Pet STAFF and SERVICE are more important than in Moscow.
34

35. Moscow vs. St. Pet DIY market

Renovation within 12 months
Professional involvement
60%
28%
50%
40%
30%
20%
72%
10%
0%
Major reconstruction of
apartment
Renovation
Small renovation
jobs
Castorama Russia Market Research
Moscow
Design
improvement jobs
None of the above
Yes
No
St Pet
About 80% of respondents made renovation within the last 12 months.
Only about 30% made renovation with professionals’ help (in Moscow and St. Pet).
11% plan to make renovation during next 3 months in Moscow and 27% in St. Pet.
35

36. Moscow vs. St. Pet DIY market

Renovation works at dacha (last 12 months)
60%
Dacha ownership
55%
50%
6%
8%
43%
40%
Moscow
30%
42%
50%
19%
20%
10%
St. Pet
14%
12%
16% 14%
12%
9% 7%
6%
42%
15%
52%
0%
House or sauna
construction
Repairs in a
house or in
sauna
Home or sauna Construction of
improvement
supplementary
jobs
buildings
Castorama Russia Market Research
Moscow
Repairs of
supplementary
buildings
None of the
above
Yes
No
Refuse to answer
St Pet
There are more dacha owners in Moscow.
But in St. Pet people made more renovation works at dacha.
36

37. Moscow vs. St. Pet DIY market

Usage of supplementary services offered by POP
25%
Loading / delivery
7%
7%
Purchase on credit
Wood cutting and saw ing
11%
5%
2%
Designer services
4%
4%
3%
Serger (carpet edging)
3%
2%
Textile cutting / curtain sew ing
Baguet w orkshop
Castorama Russia Market Research
31%
1%
1%
Worktops production
1%
Coloring (paints mixing)
1%
0%
4%
6%
5%
10%
15%
Moscow
20%
25%
30%
35%
St. Pet
DELIVERY is the most popular service in both cities. PURCHASES ON CREDIT is #2.
Generally all services are more popular in St. Pet than in Moscow.
37

38. Moscow vs. St. Pet DIY market

Car ownership and Car usage for DIY purchases
70%
60%
50%
62%
60%
51%
40%
44%
46%
42%
32%
25%
30%
20%
5%
10%
8% 8%
5%
3%
5%
0%
Yes
No
Refusal
yes, very
frequently
yes, sometimes,
w hen I need to
buy a lot
no
Car Usage for DIY Purchases
Car ow nership
Castorama Russia Market Research
yes, very
seldom, in
exceptional
cases
Moscow
St. Pet
Most of respondents in Moscow have a car, and 50% - in St. Pet.
Almost each respondent, who has a car, uses it for DIY purchases. So car parking is a
critical success factor.
38

39. Moscow vs. St. Pet DIY market

Leaflets delivered to mail box and attitude towards leaflets
60%
57%
56%
51%
50%
43%
40% 40%
35%
40%
30%
24%
19%
20%
21%
9%
4%
10%
0%
Yes
No
DK / DA
I read these leaflets I read these leaflets I never read these
and use information
leaflets
from them
Castorama Russia Market Research
Leaflets Delivered to Mail Box
Attitude tow ards Leatlets
Moscow
St. Pet
About 50% of respondents in both cities receive leaflets.
In Moscow they are mostly from IKEA, OBI, SK. In St. Pet – from MAKSIDOM, IKEA,
ISKRASOFT.
Generally the attitude towards leaflets is positive.
39

40. Moscow vs. St. Pet DIY market

Spending for DIY goods
30%
25%
20%
15%
10%
5%
0%
3 001 1 000 - 3 000
10 000 RUR
RUR
10 0001 20 000 RUR
more than
50 001 20 000 50 000 RUR 100 000 RUR 100 000 RUR
Castorama Russia Market Research
Share of the group Moscow
DK/ NA
Share of the group StPet
Average spending is about 19 800 RUR in Moscow and 16 700 RUR in St. Pet.
Consumers, which spend >20 000 RUR, make more than 73% of total spending. Thus
market is driven by projects not individual purchases (Moscow and St. Pet).
40

41. Moscow vs. St. Pet DIY market

Category purchases within the last 12 months
Lighting
Finishing materials
Sanitary w are and plumbing
Decorative household goods
Electrical installation
Construction materials
Household goods
Ceramic tiles
Electric and hand tools
Linoleum or synthetic carpeting
Garden plants and equipment
Parquet, laminate, doors
Wood
Kitchen
Castorama Russia Market Research
None of the above
0%
10%
20%
30%
Moscow
40%
50%
60%
70%
St. Pet
The most popular purchased categories are LIGHTING and FINISHING MATERIALS.
In St. Pet these categories are more popular than in Moscow, as well as CONSTRUCTION
MATERIALS.
DECORATIVE HOUSEHOLD GOODS are more purchased in Moscow
41

42. Moscow vs. St. Pet DIY market

Category spending, median RUR
780
969
1882
2802
2961
2867
1440
4092
460
978
988
1970
943
1495
3813
Lighting
Finishing materials
Sanitary w are and plumbing
Decorative household goods
Electrical installation
Construction materials
Household goods
Ceramic tiles
1450
Electric and hand tools
Linoleum or synthetic carpeting
2893
3644
8060
5475
850
1070
Garden plants and equipment
5900
Parquet, laminate, doors
2719
Wood
8423
8275
21000
Castorama Russia Market Research
Kitchen
0
5000
10000
15000
Moscow
20000
25650
25000
30000
St. Pet
Respondents in Moscow spend more money for CERAMICS TILES and FLOORING than in St.
Pet, as well as for DECORATIVE HOUSEHOLD GOODS and WOOD.
The most expensive category is KITCHEN.
42

43. Moscow vs. St. Pet DIY market

Category share of spending
70%
60%
50%
40%
30%
20%
10%
12%
10%
11%
9%
8%
6%
0%
Castorama Russia Market Research
Kitchen
Wood
Parquet,
laminate,
doors
1%
1%
Garden plants
and
equipment
Moscow Share of purchases
10%
7%
Linoleum or
synthetic
carpeting
4%
4%
Electric and
hand tools
St. Pet Purchases
13%
10%
Ceramic tiles
12%
5%
3%
2%
Household
goods
St. Pet Share of spending
6%
Construction
materials
3%
2%
Electrical
installation
13%
9%
16%
10%
7%
4%
3%
Decorative
household
goods
Sanitary w are
and plumbing
Finishing
materials
Lighting
Moscow Share of spending
In spite of the fact that the most popular categories is LIGHTING, it gives only 4-7% and of
total spending for category.
The most valuable categories are CERAMIC TILES, KITCHEN, FLOORING, SANITARY and
FINISHING MATERIALS.
The difference between Moscow and St. Pet is DECORATIVE HOUSEHOLD GOODS – in
Moscow it is more valuable category; SANITARY and FINISHING MATERIALS is more
valuable in St. Pet.
43

44. Appendix

Castorama Russia Market Research
Appendix
44

45. Moscow DIY market

Sample description
Gender
Household Size
Education
3% 4%
13%
3%
9%
8%
28%
55%
31%
3% 2%2%
10%
16%
44%
56%
Occupation
1%
2%
7%
10%
34%
37%
5%
18%
1 person
2 persons
male
secondary
3 persons
4 persons
5 and more persons
female
DK/ NA
Castorama Russia Market Research
20%
uncompleted higher
higher
DK/ NA
Children in Family
Age
secondary vocational/specialized
3%
Moscow Districts Covered
3%
10%
16%
32%
28%
53%
10%
35%
self-employed
top manager
middle manager
specialist with higher education without managing functions
office-worker without higher education
qualified worker / foreman, master
unskilled worker, general worker
pensioner (non-working)
housewife, incl. maternity leave
temporarily unemployed, looking for a job
DK/ NO
Income per capita
3%
10%
19%
7%
11%
14%
9%
9%
8%
10%
7%
16%
13%
14%
6%
7%
14%
10%
2%
25-30 y.o.
31-40 y.o.
41-50 y.o.
51-60 y.o.
1
2
3
none
DK/ NA
North
North-West
West
South-West
South
South-East
East
North-East
Central
Zelenograd
less than 3,000 RUR
3000 - 6,000 RUR
6000 - 8,000 RUR
8000 - 10,000 RUR
10.000 - 12,000 RUR
12.000 - 15,000 RUR
15.000 - 20,000 RUR
20.000 - 30,000 RUR
more than 30,000 RUR
DK / NA
45

46. St. Pet. DIY market

Sample description
Gender
Household Size
Education
5% 4%
4%
3%
5%
3%
3%
1%
1%
13%
Occupation
12%
20%
8%
1%
7%
10%
44%
56%
23%
21%
36%
3 persons
4 persons
5 and more persons
DK/ NA
female
Children in Family
Age
14%
4%
1 person
2 persons
male
24%
32%
46%
incomplete secondary
secondary
secondary vocational/specialized
incomplete higher
higher
academic degree
refuse
St. Pet. Districts Covered
Businessman / self-employed / farmer
Top manager/Head/owner of a firm
Middle manager
Specialist with higher education without managing functions
Employee with secondary education
Skilled blue collar/unslilled blue collar
Retired, invalid
Housewife, incl maternity leave
Student, pupil
Unemployed,looking for a job
Refuse
Income per capita
Castorama Russia Market Research
6%
24%
16%
28%
29%
32%
6%
6%4% 5%
9%
4%
2%
10%
9%
58%
6%
7%
1%
2%
25-30
31-40
41-50
51-60
1 child
2 children
3 children
4 and more
None
refuse
0%
1%
2%
3%
6%
4%
8%
10%
1%
24%
8%
2%
3%
6%
1%
29%
Admiraltejskij
Vjiborgskij
Vasileostrovskij
Kalininskij
Kirovskij
Krasnogvardejskij
Kolpinskij
Krasnoselskij
Kronshtadskij
Kurortnij
Moskovskij
Nevskij
Petrogradskij
Primorskij
Petrodvorzovij
Pushkinskij
Frunzenskij
Central'nij
15%
14%
below 3000 rbl
from 3000 to 6000 rbl
from 6000 to 8000 rbl
from 8000 to 10.000 rbl
from 10.000 to 12.000 rbl
from 12.000 to 15.000 rbl
from 15.000 to 20.000 rbl
from 20.000 to 30.000 rbl
over 30.000 rbl
DK/refuse
46