06 June 2019, 10:17 / Business

Perekrestok will sell food on credit

With the help of a virtual installment card, he wants to support demand Natalya Ishchenko

Evgeny Razumny / Vedomosti

The largest Russian retailer X5 Retail Group and BKS Bank have agreed to launch a digital installment card for customers of the Perekrestok supermarket chain. The parties signed a corresponding agreement at the St. Petersburg International Economic Forum (started on Thursday, June 6).

It is expected that the virtual card will allow consumers to make purchases at Perekrestok on credit with a grace period, the companies said in a statement. Such cards will be issued in all supermarkets using your passport upon approval of the credit limit.

The Perekrestok virtual card will only work for contactless payment in stores of this chain; it will not be possible to pay with it in other stores, representatives of the bank and the chain emphasized.

An installment card is “a rational alternative to credit cards for buyers with a high credit load,” noted X5 Chief Financial Officer Svetlana Demyashkevich (her words are quoted in a statement from the retailer and the bank).

“People are starting to go to stores less often.” The main thing from the interview with the executive director of X5 Retail Group

Business / Trade and services

When asked why Perekrestok clients need to buy groceries on credit, an X5 representative replied: “When real incomes of the population are declining, such an instrument makes it possible to facilitate consumers’ access to funds (installment plans can be arranged in a few minutes).” This, he continues, helps maintain demand for everyday goods.

Over the past year, according to a Romira study published at the end of May, the number of Russians who do not save on anything has dropped to 17% and returned to the levels of two years ago. The share of those saving increased to 83%. Almost a quarter of those surveyed by Romir (24%) reported saving on food; Since last year, the share of such respondents has increased from 17%.

Until now, Perekrestok offered customers only co-branded debit and credit cards with Alfa Bank and Tinkoff Bank. One of X5’s group competitors, the Dixie , has a similar “installment card” combined with a convenience store loyalty card; It is published by Renaissance Credit. However, holders of such cards can also pay with them as with regular cards in any stores, not just in Dixie .

According to the bank's research, the introduction of installment cards gives an increase in sales of up to 10%, and also contributes to an increase in the average bill and frequency of purchases, notes Dmitry Peshnev-Podolsky, Chairman of the Board of BKS Bank . Today, according to him, such digital installment cards for individual networks are issued only by BKS Bank. “At the same time, we are preparing similar digital installment products for other large Russian retailers: signings are planned with networks operating in other segments - clothing trade, gas stations, etc.,” he added.