Russian grocery chains shift online as physical store expansion slows

Russian grocery retailers are increasingly shifting toward online sales as the pace of new store openings slows, with rising costs, higher debt burdens and the growing importance of e-commerce weighing on physical expansion.

By the end of June, the growth rate in the number of new grocery stores had fallen to 4.9% from 10.8%, while the total number of chain retail outlets reached 104,700, according to Infoline data, Caliber.Az reports via Russian media. 

Experts said retailers face higher capital expenditure and debt costs, while expanding online businesses requires investment in separate logistics and infrastructure.

Vkusvill has been among the retailers most actively moving away from physical stores. The company began closing outlets last spring while placing greater emphasis on online retail.

In June 2026, Vkusvill also announced plans to close its stores in Kazakhstan, while continuing to sell products there through Russian marketplaces and local market operators.

Meanwhile, Lenta expanded its store network by 27.5%, partly following the acquisition of the Molniya retail chain and O’Key hypermarkets.

In contrast, the number of Svetofor discount stores fell by 6%, while Vkusvill’s physical network declined by 5.5%.

By Sabina Mammadli