Russia is the eighth largest market for luxury goods, even though trade with the West is expected to taper with the political turmoil. However, global brands have a chance create a foothold if they build a relationship with Russian consumers offline and online. L2’s Digital IQ Index: Russia Luxury assesses the digital efforts of 73 global and five local brands in the Russian market, across the categories of Fashion, Beauty, and Watches & Jewelry. The report finds the checkout experience on Beauty and Fashion websites in Russia leaves much to be desired.
The Beauty category excels in certain areas but lags behind fashion in others. For example 90% of Beauty and Cosmetics brands offer promotion codes, double that of fashion brands. But only half provide a shipping date estimate compared to 73% of fashion brands.
Payments, however, are an area in which Beauty has a clear advantage. All Beauty brands in the study that had e-commerce portals accept Russia’s most popular payment form, Cash-on-Delivery, vs. just 46% of Fashion brands.