Polish retailer LPP Group opens largest Reserved store in Russia

April 4, 2016 | By RetailME Bureau

Polish retailing company LPP – that owns six clothing brands Reserved, Tallinder, Cropp, House, Mohito and Sinsay – has recently opened the largest clothing store of its flagship brand Reserved in Russia at Galeria shopping centre in St. Petersburg.

It is the largest investment made by the company in the Russian market this year. In 2016, the company plans to expand its network of stores in Russia by another 10%.

“Our presence in Russia is important for the development of LPP,” says Sławomir Łoboda, vice president of LPP responsible for development and investments. “We are one of the industry leaders in Central and Eastern Europe. The opening of such a large store in the best shopping centre in St. Petersburg is a signal that in 2016 we will strengthen our position in this market.”

LPP Group began its operation in Russia in 2002, and over the past four years the surface area of its stores in the country quadrupled. Currently it operates 280 stores in Russia, which in 2015 recorded sales revenue of PLN836 million, accounting for 16% of LPP Group total revenue.

Key shopping malls play a pivotal role for the success of fast fashion brands in the Russian market. “It is, therefore, no coincidence that our new, record-breaking in terms of surface area, Reserved shop is located at the Galeria shopping mall in St. Petersburg,” observes Anna Pilugina, LPP Group director in Russia.

In fact Russian consumers increasingly prefer to shop at malls rendering street retail less attractive from a business perspective. “We want to be where our collections are selling best. A good example is the Galeria shopping mall again where our Cropp store records high sales,” Pilugina explains.

The LPP Group will continue developing and conquering new markets. In 2014, the company debuted in Germany; in 2015 it opened its first stores in Egypt, Kuwait, Qatar and Saudi Arabia; and in 2016 in the UAE. This year LPP Group plans to open a franchise network of its stores in Belarus and Kazakhstan.



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