Expo Market Doraly, one of the largest players on the wholesale market in Romania, turned 25 years of business. Doraly has started in 1993 as a family business at first and has gradually turned into a real estate business renting commercial premises to wholesale retailers.
“Over these 25 years, we have grown from 3,500 square meters to 80,000sqm, maintaining our distribution and wholesale profile for the entire country,” said Alexandru Rusu, CEO Doraly.
Doraly hosts 550 tenants from such countries as R. of Moldova, China, Turkey, Pakistan, India, Iran, Iraq, Syria, Sudan, Saudi Arabia, Albania, Ukraine, Georgia, Bulgaria, Libya and Romania, putting up for sale over 550,000 products. Over 10 per cent of the retailers have been in Doraly for over ten years. The total turnout of the companies operating in Doraly has mounted to over EUR 780 million in 2017, 8.5% more as against the previous year.
The business park is stretching on a 280.000sqm area on both sides of the Bucharest-Urziceni road in Afumati.
Now, Doraly has taken to the next level, deciding to replicate the offline business on the Internet and to open its own marketplace platform, doraly.ro (operational for several months), which is currently listing 45,000 products. “Our aim is to increase the number to 100,000 by the end of this year and to two million items in the next three years,” said Doraly CEO.
“We are pioneers in the e-wholesale market and our objective is to lead this market in 10 years, both in Romania and in the neighbouring countries,” Rusu added.
Moreover, Doraly Expo Market intends to expand in and outside Bucharest, namely in Iasi and Cluj, while envisaging investments of up to EUR 12 million by 2020.
The future is online
Doraly has conducted a market survey that showed over 80% of the Net surfers prefer to do most of their shopping online, while over 90% of the customers of an expo-market are also shopping online.
In terms of shopping frequency, 43% of the respondents admitted they buy things online at least once a month. The most frequently ordered products online are electronic devices and household appliance, but also gifts, clothes and footwear and home items.
Doraly.ro has been launched in April-end this year and during the summer more than a third of the turnover of the platform (37%) came from wholesale orders from clients in Bucharest, Timisoara and Vrancea.
There are currently 160 retailers listed on the marketplace, who are selling overall 45,000 items in 13 categories, most of them being the electric devices and DIY. Each product listed has four categories of prices, with the lowest one ranked first, and customers can pay only one delivery price and receive one single parcel, regardless of the number of retailers who order.
Besides, the platform is developing a new service, Doraly Sharing, which will allow customers to pay less for one item depending on the number of people joining that order. Therefore, more clients can join to make only one order, and each of them will benefit of consistent discounts.
The retailers who go online on the platform also enjoy discounts, with the help of the e-fulfillment solution. More precisely, retailers will be able to store their merchandise in the Doraly warehouses, thus minimizing the transport costs. Doraly will also provide companies eager to enter the local market with a fronting benefit, meaning they will have all services included.
As for the online shopping trends in the future, the Doraly representatives believe they will remain mobile first and that the Romanian e-commerce market will continue the growing pace by at least 30% every year.
EUR 12 M expansions and EUR 2 M investment in online products
doraly.ro aims at increasing and diversifying the product offer, while counting on electronic devices, household appliance and IT, but also on automotive items or toys.
The plan is the products listed on the platform mount to 100,000 by the end of 2018 and to two million items in the next three years. Doraly also expects that 10 pc of the offline sales will come from the doraly.ro platform by 2020.
As for the commercial park expansion, the company is putting EUR 12 million in building one more business premise in Bucharest, while also analyzing the markets in Cluj and Iasi, to cover the two traditional regions, Moldavia and Transylvania. The renting area is set to expand by 8,000sqm up to 92,000sqm overall.