Although Yandex backed out of a deal to buy fashion e-tailer KupiVip in July, the tech giant hasn’t given up on the fashion segment, announcing earlier this week at its Yandex Fashion Day conference that its own Yandex.Market platform would be doubling down on fashion category expansion.
Yandex not only has a widespread technology portfolio, which has led to it being called “Russia’s Google”, but the company’s Yandex.Market is also one of Russia’s main e-commerce platform players. Its acquisition of KupiVip, first announced in May, was meant to represent the company’s first serious foray into fashion (the category currently makes up only a one percent share of Yandex.Market’s total gross merchandise volume, or GMV).
That deal’s cancellation, for undisclosed reasons, has caused Yandex to change its tactics, expanding the fashion category on its own marketplace, though the company also said it’s still considering various options, including partnerships and acquisitions.
At Yandex Fashion Day, the company announced it plans to become a “prominent player” in the segment within two years, and increase fashion’s share of its GMV turnover to about 20 percent.
Yandex is throwing its hat into an increasingly competitive arena. Russia’s fashion e-commerce marketplace already boasts strong players, including Wildberries, Ozon, Lamoda, AliExpress and KupiVip, as well as smaller players, such as Bonprix and Westfalika.
Russian tech giant, Yandex, has decided not to proceed with its purchase of fashion e-commerce player, KupiVIP, according to Russian media reports.