Zalando launches Fulfillment Solutions to provide fashion brands access to its logistics infrastructure and know-how

BERLIN, Germany, 2017-Jun-20 — /EPR Retail News/ — The company announced during Playday that it successfully launched Zalando Fulfillment Solutions recently, giving fashion brands access to its logistics infrastructure and know-how. Through the new service, Zalando takes over the order fulfillment for partners from inbound to return, with simple and individual solutions catered to their specific needs. This new initiative complements digital services already offered by the Zalando platform such as Brand Solutions or Zalando Media Solutions and will help to further improve the frictionless fashion experience for customers across Europe.

“The Zalando platform is an operating system for the fashion world, with multiple ways of integrating all sorts of fashion contributors and stakeholders, catering to their specific needs. It offers not only digital services such as analytics or advertising but from now on also fulfillment solutions and thus, becomes the business strategy for brand and retail partners”, explains Jan Bartels, VP Logistics Product at Zalando.

With a logistic network that will soon consist of 8 fulfillment centers in 5 countries, Zalando sets high service standards for European customers and is piloting new offerings such as same-day delivery, geo-localised delivery or return on demand. Available in 5 of the European markets where the Zalando Partner Program is active, Zalando Fulfillment Solutions enables partners to improve customer satisfaction and to scale their business internationally, without worrying about the increasing service demand and corresponding logistics complexity.

“Zalando has set industry-wide delivery standards and keeps developing innovation for the last mile. Moreover, within the last six years, we built up a strong logistics network and gained deep logistics expertise. All of that is now accessible for external partners”, concludes Jan Bartels.

5 partners are already using Zalando Fulfillment Solutions, including Bestseller, Elvi, EVITA, Motion Fashion and Surf4Shoes.

ABOUT ZALANDO
Zalando (https://corporate.zalando.com) is Europe’s leading online fashion platform for women, men and children. We offer our customers a one-stop, convenient shopping experience with an extensive selection of fashion articles including shoes, apparel and accessories, with free delivery and returns. Our assortment of almost 2,000 international brands ranges from popular global brands, fast fashion and local brands, and is complemented by our private label products. Our localized offering addresses the distinct preferences of our customers in each of the 15 European markets we serve: Austria, Belgium, Denmark, Finland, France, Germany, Italy, Luxembourg, the Netherlands, Norway, Spain, Sweden, Switzerland, Poland and the United Kingdom. Our logistics network with four centrally located fulfillment centers in Germany allows us to efficiently serve our customers throughout Europe, supported by warehouses in Northern Italy and France with a focus on local customer needs. We believe that our integration of fashion, operations and online technology give us the capability to deliver a compelling value proposition to both our customers and fashion brand partners. Zalando’s shops attract over 200 million visits per month. In the first quarter of 2017, more than 68 percent of traffic came from mobile devices, resulting in 20.4 million active customers by the end of the quarter.

CONTACTS:
Matteo Bovio
Corporate Communications
matteo.bovio@zalando.it
+49 (0)176 127 591 35

Source: Zalando

X5 announces development and optimization of its logistics infrastructure in north-west Russia and opens distribution centre in St. Petersburg

St. Petersburg, 2016-Sep-08 — /EPR Retail News/ — X5 Retail Group (“X5” or the “Company”), a leading Russian food retailer (LSE ticker: “FIVE”), announces the development and optimization of its logistics infrastructure in the north-west of Russia and the opening of a distribution centre (DC) in St. Petersburg.

With over 27,000 sq m of space, the St. Petersburg – Yug logistics facility will supply 889 Pyaterochkas in eight regions: St Petersburg plus the Leningrad, Arkhangelsk, Vologda, Novgorod, Murmansk and Pskov regions, as well as the Republic of Karelia. The DC covers a total of 298 cities, towns and villages in the Northwestern Federal District. Featuring five storage zones, each with distinct temperature zone, the facility is designed to accommodate all categories of goods.

St. Petersburg – Yug marks a new milestone in the development of X5’s logistics infrastructure in the north-west of Russia, with the aim of optimising the number of DCs in the Federal District while also increasing capacity and capabilities. This is the first in a series of multi-format, next-generation DCs the Group will use to ensure the availability and freshness of products during Pyaterochka’s rapid expansion, while also cutting logistics costs.

X5 Retail Group invited managers of over 60 suppliers from St Petersburg, the Leningrad, Pskov, Novgorod and Vologda regions to take part in the ceremony. The launch of the new logistics facilities offers them vast opportunities to develop cooperation with X5’s retail chains, materially reducing logistics costs and boosting supplies to X5 stores, including through wider geographic reach.

At its full capacity, St. Petersburg – Yug will be able to process and handle products from over 200 local suppliers. Currently, the share of local supplies in the offering of Pyaterochka stores in the north-west of Russia stands at 27%, while in some categories (like bread and bakery) it reaches as much as 95%.

This advanced logistics facility is X5’s second DC to open in St. Petersburg this year and the sixth one launched across Russia in 2016. Previously, X5 opened five distribution centres with a total area of 164.5 thousand sq m: one each in St Petersburg, the Moscow region and Chelyabinsk, and two in the Republic of Adygea.

The opening of St. Petersburg – Yug has helped create almost 500 additional jobs in the region.

Contact:

Oleg Poletaev
Head of PR
E: pressa@x5.ru
E: oleg.poletaev@x5.ru
T: +7 (495) 662-88-88, ext. 22-209

Source: X5 Retail Group

X5 Retail Group opens two distribution centres in the Republic of Adygeya to develop its logistics infrastructure in the South of Russia

Maykop, Russia, 2016-Aug-23 — /EPR Retail News/ — X5 Retail Group N.V. (“X5” or the “Company”), a leading Russian food retailer (LSE ticker: “FIVE”), announces the opening of two distribution centres (DC) in the Republic of Adygeya as part of the Company’s strategy to develop its logistics infrastructure in the South of Russia. The state-of-the-art logistics facilities, Yuzhny and Adygeya, will boost the efficiency of X5’s supply chain and encourage more local sourcing.

X5’s Chief Executive Officer Igor Shekhterman said: “We have now opened four distribution centres year to date: in St. Petersburg, in Moscow Region and two in the South of Russia. Our logistics infrastructure is now more than just a platform to support the development of our own retail chain. With each new DC, we also provide more and better sales opportunities for our partners, especially local food producers.”

Spanning over 33,000 sq m, the Yuzhny logistics facility will support supplies to 245 Pyaterochkas in 105 towns and cities of the Krasnodar and Stavropol Territories, and the Republics of Adygeya and Karachay-Circassia.

Yuzhny DC, Pyaterochka’s second DC in the Southern Federal District, will support the retail chain’s continued rapid growth in the South of Russia. The new DC will handle part of the traffic which is currently dealt with by Rostov DC in Rostov-on-Don. The launch of Yuzhny will shorten the DC-to-store distance by over 1.5 times for each of the two DCs. Featuring nine storage zones, all with a specific temperature band (from -21 to 25°С), Yuzhny can accommodate all categories of goods.

The Adygeya logistics facility (13,500 sq m) is meant to service Perekrestoks and Karusels in the Krasnodar and Stavropol Territories and in the Rostov Region. The DC will ensure smooth delivery to 27 Perekrestok supermarkets and two Karusel hypermarkets in the South of Russia.

The DC opening ceremony was attended by Aslan Tkhakushinov, Head of the Republic of Adygeya, Olga Naumova, CEO of Pyaterochka, and Denis Shulga, Logistics Director of Perekrestok. They discussed the benefits for the region derived from the continued development of X5’s logistics operations. The opening of the Yuzhny and Adygeya Distribution Centres created over 240 new jobs in the region.

X5 also invited managers of over 50 supplier companies from the Krasnodar and Stavropol Territories, the Rostov Region and the Republic of Adygeya to take part in the ceremony. The launch of the new logistics facilities offers them considerable new opportunities to develop their cooperation with X5’s retail chains, materially reducing logistics costs and boosting supplies to X5 stores, including by taking advantage of X5’s expanded geographic footprint. More than 30 local suppliers are already capitalising on the opportunities offered by the new X5 facilities.

This supply chain centralisation will also increase the share of local suppliers in the product mix of X5’s stores in the region. The share of locally produced items in the Pyaterochka, Perekrestok and Karusel stores stands at around 30%, while in some categories (such as bread and bakery) it reaches as much as 95%.

X5 started implementing its logistics separation strategy in 2013 with a view to splitting product flows for convenience stores, on the one hand, and supermarkets and hypermarkets, on the other hand. Single format DCs are instrumental in maximising product traffic centralisation, streamlining deliveries and in-store product ranges. The logistics split across X5’s retail chains is scheduled for completion this year.

Note to Editors:

X5 Retail Group N.V. (LSE: FIVE, Fitch – ‘BB’, Moody’s – ‘Ba3’, S&P – ‘BB-’) is a leading Russian food retailer. The Company operates several retail formats: the chain of proximity stores under the Pyaterochka brand, the supermarket chain under the Perekrestok brand, the hypermarket chain under the Karusel brand and Express convenience stores under various brands.

As of 30 June 2016, X5 had 7,936 Company-operated stores. It has the leading market position in both Moscow and St. Petersburg and a significant presence in the European part of Russia. Its store base includes 7,164 Pyaterochka proximity stores, 493 Perekrestok supermarkets, 89 Karusel hypermarkets and 190 convenience stores. The Company operates 35 DCs and 1,469 Company-owned trucks across the Russian Federation.

For the full year 2015, revenue totalled RUB 808,818 mln (USD 13,268 mln), Adjusted EBITDA reached RUB 59,413 mln (USD 975 mln), and net profit for the period amounted to RUB 14,174 mln (USD 233 mln). In H1 2016, revenue totalled RUB 483,244 mln (USD 6,878 mln), EBITDA reached RUB 36,498 mln (USD 519 mln), and net profit amounted to RUB 13,004 mln (USD 185 mln).

X5’s Shareholder structure is as follows: Alfa Group – 47.86%, founders of Pyaterochka – 14.43%, X5 Directors – 0.06%, treasury shares – 0.01%, free float – 37.64%.

Forward looking statements:

This announcement includes statements that are, or may be deemed to be, “forward looking statements”. These forward-looking statements can be identified by the fact that they do not only relate to historical or current events. Forward-looking statements often use words such as “anticipate”, “target”, “expect”, “estimate”, “intend”, “expected”, “plan”, “goal”, “believe”, or other words of similar meaning.

By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, a number of which are beyond X5 Retail Group N.V.’s control. As a result, actual future results may differ materially from the plans, goals and expectations set out in these forward-looking statements.

Any forward-looking statements made by or on behalf of X5 Retail Group N.V. speak only as of the date of this announcement. Save as required by any applicable laws or regulations, X5 Retail Group N.V. undertakes no obligation publicly to release the results of any revisions to any forward-looking statements in this document that may occur due to any change in its expectations or to reflect events or circumstances after the date of this document.

Contact:

Maxim Novikov
Head of Investor Relations
Tel.: +7 (495) 502-9783
e-mail: Maxim.Novikov@x5.ru

Andrey Vasin
Investor Relations Officer
Tel.:+7 (495) 662-88-88 ext. 21-456
e-mail: Andrey.Vasin@x5.ru

Source: X5 Retail Group N.V.

X5 Retail Group commissioned six new distribution centres in 2015

Moscow, Russia, 2016-Feb-08 — /EPR Retail News/ — X5 Retail Group commissioned six new distribution centres (DCs) with a total area of 142 thousand sq. m. in 2015. The DCs service X5’s retail network across a number of high-potential geographies: the Kaluga, Voronezh and Chelyabinsk regions, as well as Moscow and Tatarstan.

Four of the new DCs are new-builds being leased by X5, one was added under a thirdparty logistics (3PL) contract, while the DC in Moscow was relaunched following complete renovation. The new DCs in St. Petersburg, Voronezh and Kazan provide safe storage across all temperature bands, reducing stores’ overall cost of delivery, as a full range of products can be shipped from a single DC.

X5’s new logistics centres strengthen the connection between food producers and shoppers, and help to increase levels of sourcing from local suppliers. Strengthening distribution infrastructure is a priority for X5 over the next five years. The Company plans to increase the pace of development of its logistics infrastructure in 2016.

X5’s total warehousing capacity increased by more than 82 thousand sq. m. in 2015. During the year, X5 put more new DCs into operation than any other major Russian retailer, and ranked second by total warehousing space added (data from analytical agency Infoline).

X5’s distribution centres serve more than 7,000 stores, ensuring seamless logistics operations for the Company and its suppliers. As of 31 December 2015, X5 operated 35 distribution centres and owned a fleet of 1,561 trucks.

Note to Editors: X5 Retail Group N.V. (LSE: FIVE, Fitch – ‘BB’, Moody’s – ‘Ba3’, S&P – ‘BB-’) is a leading Russian food retailer. The Company operates several retail formats: the chain of proximity stores under the Pyaterochka brand, the supermarket chain under the Perekrestok brand, the hypermarket chain under the Karusel brand and Express convenience stores under various brands.

As of 31 December 2015, X5 had 7,020 Company-operated stores. It has the leading market position in both Moscow and St. Petersburg and a significant presence in the European part of Russia. Its store base includes 6,265 Pyaterochka proximity stores, 478 Perekrestok supermarkets, 90 Karusel hypermarkets and 187 convenience stores. The Company operates 35 DCs and 1,561 Company-owned trucks across the Russian Federation.

For the full year 2014, revenue totaled RUB 633,873 mln (USD 16,498 mln), EBITDA reached RUB 45,860 mln (USD 1,194 mln), and profit for the period amounted to RUB 12,691 mln (USD 330 mln). In 9M 2015, revenue totaled RUB 578,701 mln (USD 9,763 mln), EBITDA reached RUB 41,780 mln (USD 705 mln), and net income amounted to RUB 12,084 mln (USD 204 mln).

X5’s Shareholder structure is as follows: Alfa Group – 47.86%, founders of Pyaterochka – 14.43%, X5 Directors – 0.06%, treasury shares – 0.02%, free float – 37.64%.

For further details please contact:
Maxim Novikov
Head of Investor Relations
Tel.:+7 (495) 502-9783
e-mail: Maxim.Novikov@x5.ru