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OR Group and Cainiao will cooperate in developing parcel terminals network

26 January 2021

OR Group (Obuv Rossii Group) and one of the world's largest IT and logistics operators Cainiao (Cainiao Network is a part of Alibaba Group) signed a cooperation agreement. As part of the partnership OR Group's sale outlets will place parcel terminals where AliExpress orders can be received. Initially, parcel terminals will be located in 98 outlets of OR Group in such cities as Novosibirsk, Yekaterinburg, Krasnoyarsk, Omsk, Tyumen, Kazan, Nizhny Novgorod, Chelyabinsk and Ufa with the prospect of increasing the number of parcel terminals to 200 within a year.

Cainiao became the first partner of OR Group to place parcel terminals at the retailer's stores.

“Our company is implementing the strategy of integration into logistic infrastructure of the Russian e-commerce market, developing pick-up points in our retail chain. The opening of parcel terminals in retail outlets and cooperation with Cainiao and Alibaba Group is a new stage in the implementation of this strategy, which will allow us to offer another modern service to our customers and attract additional traffic to our stores,” comments Natalya Kulikova, Head of the Financial Services Group in OR Group. “Since 2018, we have also been developing project of partner pick-up points. At the moment, we already have 12 partners, more than 2300 pick-up points are operating in our stores”.

“Obuv Rossii Group is our long-time partner. The company is one of the largest sellers in the local segment of AliExpress. It actively uses the logistics services of Cainiao, therefore we decided to start the regional development of the parcel terminals network on the basis of OR Group. Our parcel terminals will become a point of attraction for online clients, also because the category of apparel and footwear is in the top 5 in terms of deliveries to Russia. In addition, the expansion of the parcel terminals thanks to Obuv Rossii stores will help us reduce the average delivery time to the most important cities of the country; the chain will become the first nationwide non-food retailer to develop the Cainiao parcel terminals”, comments Ksenia Kiyantseva, Head of Strategic Development of the Cainiao parcel terminals network in Russia.

OR Group is expanding the pool of suppliers for the project of partner pick-up points, so that the company increases the monthly volume of issued parcels. In December 2020, this indicator amounted to more than 308 thousand parcels, which is 44% higher than the amount of deliveries in November (215 thousand). For 12 months of 2020, the company delivered more than 1.2 million parcels through stores. In December, the traffic of customers who come for online orders accounted for 20.6% of the total store traffic, and the conversion to purchase of such customers reached 5.3%. By the end of 2021, the Group plans to increase the amount of parcel delivery to 500 thousand per month.