Russians pay less attention to brands when shopping — ministry

Business & Economy February 09, 20:13

According to Director of the Department for Domestic Trade Development at Russia’s Industry and Trade Ministry Nikita Kuznetsov, purchases are being made "less frequently, in smaller quantities, but at slightly higher prices"

MOSCOW, February 9. /TASS/. Russians are paying less attention to product brands when making purchases and are apparently gradually shifting toward so-called rational consumer behavior, Director of the Department for Domestic Trade Development at Russia’s Industry and Trade Ministry Nikita Kuznetsov said.

"An important observation is that brand dependence among our consumers is most likely declining - buyers have become more open to no-name products, new brands, and so on. What cautious conclusion can be drawn from this? There is a possibility that our people are gradually transitioning to what is referred to as rational consumption," he said.

Kuznetsov added that purchases are now being made "less frequently, in smaller quantities, but at slightly higher prices."

According to him, turnover in the food service sector and in retail trade is also growing in Russia, while online sales account for about 20% or slightly more of total retail turnover, by his estimates. Sales of ready-to-eat food are also increasing.

"The category of so-called ready-made meals in retail chains and supermarkets — food that is prepared and can simply be reheated and eaten — is growing at a rapid pace. It is probably one of the fastest-growing categories at the moment," he noted.

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