What is Ozon? Ozon Review

Basic Introduction

Ozon was founded in 1998 and initially only sold books. Later, the platform categories gradually developed and improved. By 2012, the platform had 14.5 million registered users and annual revenue of US$250 million. Today, Ozon has nearly 10,000 active small and medium-sized enterprises, with sales of US$1.1 billion in 2019, a growth rate of 93%.

Categories covered

Ozon.ru has a richer range of sales categories than other Russian e-commerce platforms, including books, electronics, clothing, household, children, beauty, food, pets, sports and other product categories, giving sellers more distribution options.

About Ozon

1. Distribution: Ozon covers 2,100 locations in 130 cities in Russia, delivering goods to 75% of the Russian population. Ozon operates the largest warehouse facility in Eastern Europe, second only to Amazon's German warehouse.

2. Payment method: 80% of Ozon's sales are paid by cash on delivery, while only 10% are paid by credit card.

Advantages

1. The only multi-category e-commerce platform in the Russian market

Ozon.ru has richer sales categories than other Russian e-commerce platforms such as WILDBERRIES and CNTNANHK, covering books, electronics, clothing, household, children, beauty, food, pets, sports and other product categories, giving sellers more distribution options.

2. Highest spontaneous brand awareness

Ozon.ru has the highest spontaneous brand awareness in the Russian e-commerce sector. It sells a wide range of products, is easy to use, and has simple search and ordering operations. It enjoys a high reputation among Russian consumer groups. Russians often use "universal", "comfortable" and "trustworthy" to evaluate Ozon.ru.

3. APP and PC work together

The Ozon platform is mainly oriented towards consumers through the APP, but customers can also browse through the PC. It focuses on customer experience, provides care and support to merchants, and improves the logistics system.

4. Various promotion tools to increase sales

Ozon has a variety of ways to promote its stores, such as Flash sales (limited time sales), Gifts in Purchase, Loyalty card, 2+1 (buy two get one free), Promo codes, and Early started sale for loyal customers (old customers can participate in the event earlier).

Entry requirements

1. Business license, legal person ID card

2. The Amazon or AliExpress store has been in business for at least 2 years

3. Product prices including logistics are no higher than other Russian e-commerce platforms (Yandex, Joom, AliExpress Russia)

4. Ability to provide Russian customer service (introduction machine translation)

Development History

In 2000, Baring Vostok acquired a majority stake in Ozon and invested approximately $3 million in Ozon.

In 2005, Ozon had sales of approximately $19.3 million.

In 2007, nearly a thousand suppliers were signed and all categories of the platform were gradually improved.

In 2009, a 120,000 square meter warehouse was opened in the Tver region, where mobile applications were launched.

In September 2011, Ozon invested $100 million in its four main businesses: online retailer Ozon.ru; shipping company O-courier; Ozon; and travel, shoes and accessories retailer Sapato.ru.

In 2012, Ozon had 14.5 million registered users and $250 million in revenue, 750,000 daily viewers, 2.2 million SKUs, and employed 1,700 people.

In 2013, Ozon had 3 million products and revenue of $700 million.

In 2014, 4,000 pickup points were established in more than 100 cities in Russia, and it has the largest warehouse in Eastern Europe.

In 2015, he launched the SCAN IT shopping mobile app, which won the Runet Book Award.

In 2016, warehouses in Yekaterinburg and Kashan District were officially put into operation.

Financing

In April 2007, Ozon.ru raised $18 million in venture capital funding from Holtzbrinck Venture Partners, Index Ventures, and Baring Vostok.

In 2011, Ozon.ru raised $100 million, which will be used for company development, including reshaping Russia's postal service. http://capital.cyzone.cn/article/215933/

In May 2014, it received a second round of financing of US$150 million from Sistema and its mobile operator subsidiary MTS.

FAQ

1. What are the language, pictures, pricing, etc. requirements for uploading listings?

Product information must be displayed in Russian, high-quality product images must be uploaded, and pricing must be expressed in rubles;

2. What is the platform commission?

Commission 5-10%, depending on the category, no other fees;

3. What are the payment methods and payment cycles?

LianLian payment is adopted, and the platform payment cycle is 30 days;

4. What are the logistics methods and time requirements?

The merchant chooses the logistics method by himself, and the logistics time is required to be 10-20 days. The logistics costs are borne by the seller;

5. System docking method, ERP?

API, CSV;

6. What are the SKU requirements?

The SKU quantity requirement is 5,000;

7. How long does it take to open an account?

Within 1 week after going online, qualifications need to be reviewed in September and October, which takes about 2-3 weeks;

References

• 1. 25 companies worth watching and their financing in 2014: Alibaba Cloud [cited on 2015-01-11T16:00:00.000Z]
• 2. Ozon Company Introduction: Global E-commerce Network [Reference Date 2018-05-06T16:00:00.000Z]