Online store expansion to Ukraine
Hunger for goods from the west
With more than 40 million people, Ukraine represents a vast market with plenty of opportunities for expanding online shops to succeed. The Ukrainian market has finally stabilized, with the expectation that e‑commerce will grow rapidly in the coming years due to the low levels of competition. Expanding your online store into the unoccupied Ukrainian market therefore represents an opportunity not to be missed.
WHY EXPAND INTO UKRAINE?
Despite the country’s level of development, e‑commerce in Ukraine is relatively advanced, with the country regularly topping European e‑commerce growth charts. In 2016, it was the absolute number one. The economic setbacks of recent years have not dampened the population´s growing appetite for the use of payment cards and the Internet. Nearly 10 million people regularly shop online, with that number growing constantly. The local e‑commerce market is therefore growing faster than in most other European countries, with growth of 23-25% expected in the years to come.
WHAT SHOULD YOU TAKE INTO CONSIDERATION WHEN EXPANDING INTO UKRAINE?
At present, the most significant risk in Ukraine is probably the political situation. No‑one can predict the developments on this front. The advice is to monitor the situation and proceed with caution.
Knowledge of foreign languages is very low among Ukrainians. Of the 32 European countries, Ukraine finished 28th in 2018. The overwhelming majority of the population does not speak any foreign language. However, the situation with regards to their native language is also ambiguous. While 70% of the population consider Ukrainian to be their native tongue, 30% consider this to be Russian. This 30% not only includes the Russian ethnic minority, but also Ukrainians themselves. Online store operators should therefore be prepared for this linguistic inconsistency by translating their online shop into both languages.
In terms of customer support, it is necessary to operate a Ukrainian telephone number with a native speaker of Ukrainian. Ukrainians always appreciate the opportunity to communicate in their native language. As a result, your reputation and the impression that the online shop is local will be enhanced.
Should you require more in‑depth information on what to look out for when expanding your online store into Ukraine, we can conduct foreign market research as part of our service.
SERVICES FOR YOUR EXPANSION TO UKRAINE
Ukraine represents an exciting opportunity for foreign online shops to expand, an opportunity that will not repeat itself any time soon. The relatively low number of online stores in the country and the growing willingness of Ukrainians to shop online are an attractive mix for many foreign e‑commerce players. If your local e‑commerce market is already limiting your prospects and you are considering expansion, Ukraine is a good choice.
At NK Expand, we can help you with everything you need for your expansion into Ukraine. Contact us and let our specialists help you expand your online shop into Ukraine as well.