Russia’s largest online retailer, Wildberries, is facing major disruption after Ukrainian drone strikes damaged key warehouses across the country. The attacks have severely affected deliveries and placed growing pressure on thousands of small businesses that depend on the platform.
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One Moscow franchise owner, Vasily Klimov, said his once-profitable pick-up point has become loss-making within weeks. He is now trying to sell the business after customer deliveries dropped sharply.
Businesses Report Sharp Decline in Sales
Klimov operates one of nearly 98,000 Wildberries collection points across Russia and neighbouring countries. He said daily deliveries have fallen from around 400 parcels to about 150 since July 18.
According to him, monthly sales have dropped by nearly 50%, leaving the business unable to cover operating costs. When Reuters visited his outlet, no new packages had arrived.
Satellite imagery reviewed by Reuters showed that drone strikes damaged or destroyed at least 1.18 million square metres of warehouse space, representing more than one-fifth of Wildberries’ storage capacity.
Retail Sector Feels the Impact
The warehouse damage has disrupted Wildberries’ nationwide logistics network and affected tens of thousands of independent sellers.
Ukraine said it targeted infrastructure linked to Russia’s war effort. Moscow and Wildberries denied supplying military equipment to the armed forces.
Wildberries remains one of Russia’s largest e-commerce companies, handling goods and services equal to about 8.5% of the country’s economy.
Economic Concerns Grow
Russia’s central bank is monitoring whether supply disruptions will increase inflation. Economists warned that continued logistics problems could delay future interest rate cuts.
Sberbank also warned that weaker business conditions may increase loan losses after hundreds of online retailers sought debt restructuring.
A source close to the Kremlin said many businesses unrelated to the war could face bankruptcy if disruptions continue.
Franchise Owners Seek Support
More than 3,100 Wildberries pick-up points are currently listed for sale on Russia’s Avito marketplace.
Wildberries said it has introduced discounts, deferred payments and started compensation for affected sellers. However, several business owners remain uncertain about receiving full financial support.
Fashion retailer Finn Flare reported losing goods worth more than 100 million roubles after one warehouse fire. Other small businesses also reported significant losses following the attacks.
