X5 Group

In 1995, the first Perekrestok store was opened in Moscow. In 1999, Pyaterochka retail chain was founded and the first store was opened in Saint Petersburg. In 2005, Pyaterochka completed an IPO on the London Stock Exchange.

X5 was founded in May 2006 after the merger of the Pyaterochka and Perekrestok retail formats.{{cite web |url=https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=22277447 |title=Company Overview of Pyaterochka Holding N.V. |publisher=Bloomberg L.P. |access-date=June 17, 2018 |language=en}} In 2008, X5 acquired the Karusel hypermarket chain.{{cite web

|url = https://www.reuters.com/article/x5-karusel-idUKL2549664720080625

|title = Russia X5 says paid $940 mln for Karusel

|author =

|language=

|date = June 25, 2008

|publisher = Reuters

|access-date = May 18, 2022

}}

Other major acquisitions included: 82 Paterson supermarkets (2009),{{cite web |url=https://www.marketwatch.com/story/x5-retail-group-buys-paterson-supermarket-chain-2009-11-25 |title=X5 Retail Group buys Paterson supermarket chain |date=25 November 2009 |publisher=MarketWatch, Inc |access-date=June 17, 2018 |language=en}}{{cite web |url=https://www.indiaretailing.com/2009/12/04/retail/x5-retail-group-completes-aquisition-of-paterson/ |title=X5 Retail Group completes {{as written|aquis|ition [sic]}} of Paterson |date=3 December 2009 |publisher=IndiaRetailing.com |access-date=June 17, 2018 |language=en}} more than 660 Kopeyka stores (2010),{{cite web |url=https://www.indiaretailing.com/2010/12/06/retail/x5-retail-to-acquire-kopeyka-discounter-chain/ |title=X5 Retail to acquire Kopeyka discounter chain |date=5 December 2010 |publisher=IndiaRetailing.com |access-date=June 17, 2018 |language=en}} 103 Pokupochka stores in the Samara region (2014),{{cite web |url=http://www.ceeretail.com/news/236582/x5-completes-integration-of-over-100-pokupochka-stores-into-the-pyaterochka-chain |title=X5 completes integration of over 100 Pokupochka stores into the Pyaterochka chain |date=14 July 2017 |publisher=PMR Ltd. Sp. z o.o. |access-date=June 17, 2018 |language=en}}{{cite web |url=http://www.new.acort.ru/en/press-room/news2/891-x5-successfully-completes-integration-of-acquired-pokupochka-stores-into-the-pyaterochka-retail-chain.html |title=X5 successfully completes integration of acquired Pokupochka stores into the Pyaterochka retail chain |publisher=ACORT |access-date=June 17, 2018 |language=en}} 104 stores owned by the Rosinka Group in Southwest Russia{{cite web |url=http://www.ceeretail.com/news/247214/x5-retail-group-acquires-more-than-100-stores-in-southwestern-russia |title=X5 Retail Group acquires more than 100 stores in southwestern Russia |date=14 July 2017 |publisher=PMR Ltd. Sp. z o.o. |access-date=June 17, 2018 |language=en}} and 100 stores owned by the Soseddushka retail chain in the Orenburg region{{cite web |url=https://www.esmmagazine.com/x5-retail-group-announces-acquisition-of-100-soseddushka-stores/18188 |title=X5 Retail Group Announces Acquisition Of 100 Soseddushka Stores |date=29 July 2015 |publisher=European Supermarket Magazine |access-date=June 17, 2018 |language=en}}{{cite web |url=http://www.instore.ba/newsarticle/newsarticle/X5-Retail-Group-preuzela-100-Soseddushka-radnji |title=Svijet: X5 Retail Group preuzela 100 Soseddushka radnji |publisher=Altermedia d.o.o. |access-date=June 17, 2018 |language=bs}} (2015) and 99 Polushka stores in Bashkortostan (2018),{{cite web |url=https://www.esmmagazine.com/x5-russia-acquisition-99-ufa-stores/57912 |title=X5 Continues Russian Expansion With Acquisition Of 99 Ufa Stores |date=3 April 2018 |publisher=European Supermarket Magazine |access-date=June 17, 2018 |language=en}}{{cite web |url=https://markets.ft.com/data/announce/detail?dockey=1323-13588850-5B0BLLAGFP04UQK1449GBNFRNT |title=X5 acquires 99 stores in Bashkortostan |work=Financial Times |access-date=June 17, 2018 |language=en}}{{cite web |url=http://www.1prime.biz/news/0/%7B79F75176-8A86-4BF2-8033-8C2CF6EA72BD%7D.uif |title=Russia's X5 Retail Group buys 99 stores of Ufimsky Gastronom |publisher=PRIME |access-date=June 17, 2018 |language=en}} as well as 85 stores Telezhka, Tverskoy kupets and Volny kupets in four regions (2019).{{cite web |url=https://russiabusinesstoday.com/economy/food-retail-x5-to-open-85-new-stores-across-central-russia/ |title=Food Retail X5 to Open 85 New Stores Across Central Russia |work=Russia Business Today |date=4 May 2019 |access-date=April 18, 2020 |language=en}} In 2018, X5 GDRs started trading on the Moscow Exchange.

X5’s shareholder structure is as follows: CTF Holdings S.A.,47.86%; Intertrust Trustees Ltd (Axon Trust), 11.43%; X5 directors, 0.10%; treasury shares, 0.01%; shareholders with less than 3%, 40.60%.{{cite news |title=X5 announces Q4 and FY 2021 financial results |url=https://www.x5.ru/wp-content/uploads/2022/03/x5_q4_2021_financial_results_eng.pdf |access-date=March 12, 2022 |language=en}}

In 2017, the Company approved its dividend policy.

The key principles of the dividend policy are as follows:{{cite news |title=Russia's X5 Retail Group approves dividend policy |url=https://www.reuters.com/article/brief-russias-x5-retail-group-approves-d/brief-russias-x5-retail-group-approves-dividend-policy-idUSFWN1M20OB |work=Reuters News Agency |publisher=Thomson Reuters |access-date=June 17, 2018 |language=en}}{{cite web |url=https://markets.ft.com/data/announce/detail?dockey=1323-13372177-2LR246JG1OB8RF1A9TDG6G4UM5 |title=X5 Supervisory Board approved dividend policy |work=Financial Times |access-date=June 17, 2018 |language=en}}

1) The dividend policy sets a target payout ratio of at least 25% of X5 Retail Group’s consolidated IFRS net profit, provided that the Company’s financial position allows for it.

2) When considering a dividend proposal to the General Meeting of Shareholders, the Supervisory Board will be guided by a target consolidated net debt/EBITDA ratio of below 2.0x, in line with the Company’s financing strategy.

The ultimate decision on payment of dividends will always be subject to approval of the General Meeting of Shareholders.

2017 dividends amounted to RUB 21.6 bn and 2018 dividends amounted to RUB 25 bn, whereas the planned figure for 2019 is RUB 30 bn.{{cite news |title=Dividends, X5 Retail Group: history, profitability, cut-off dates |url=https://smart-lab.ru/q/FIVE/dividend/ |work=smart-lab.ru |access-date=April 26, 2020 |language=ru}}

In 2012, Stephan DuCharme was appointed the Company’s CEO and the Chairman of the Management Board.{{cite news |title=DuCharme, Stephan |url=https://in.reuters.com/finance/stocks/officer-profile/PJPq.L/1334634 |archive-url=https://web.archive.org/web/20180617192723/https://in.reuters.com/finance/stocks/officer-profile/PJPq.L/1334634 |url-status=dead |archive-date=June 17, 2018 |work=Reuters News Agency |publisher=Thomson Reuters |access-date=June 17, 2018 |language=en}}{{cite news |title="I did not come here to do cosmetics" - Stefan DuСharme, CEO of X5 Retail Group |url=https://www.vedomosti.ru/newspaper/articles/2014/03/25/ya-prishel-syuda-ne-zanimatsya-kosmetikoj-stefan-dyusharm |work=«Vedomosti» newspaper |access-date=June 17, 2018 |language=ru}}

In 2015, {{ill|Igor Shekhterman|ru|Шехтерман, Игорь Владимирович}} was appointed as the Company’s CEO and Stephan DuCharme appointed as the Chairman of Supervisory Board.{{cite web |url=https://www.esmmagazine.com/x5-retail-ceo-stephan-ducharme-resigns-upon-finishing-turnaround/19296 |title=X5 Retail CEO Stephan DuCharme Resigns Upon Finishing Turnaround |date=8 September 2015 |publisher=European Supermarket Magazine |access-date=June 17, 2018 |language=en}}{{cite web |url=http://retailanalysis.igd.com/News/newsarticle/t/x5-nominates-a-new-ceo/i/10263 |title=X5 nominates a new CEO |publisher=The Institute of Grocery Distribution and IGD Services |access-date=June 17, 2018 |language=en}}{{cite web |url=http://www.rttnews.com/2549392/x5-retail-group-ceo-stephan-ducharme-to-step-down-quick-facts.aspx |title=X5 Retail Group CEO Stephan DuCharme To Step Down |publisher=RTTNews |access-date=June 17, 2018 |language=en}}

Each of the Company’s brands offers a unique customer value proposition and targets key parts of the Russian consumer population. This multifaceted strategy enables X5 Retail Group to capture a significant portion of the growth that is forecast for each of the three largest segments of Russia’s food retail market.

File:Pyaterochka new concept 2019 Moscow.jpg

{{Main|Pyaterochka}}

Pyaterochka is a retail chain of proximity food stores.

Pyaterochka launched a new store refurbishment program in 2019. The new Pyaterochka will offer almost twice as many fresh products in a selling area of around 150 sq m, which is about half of the sales floor. Vegetables, fruits and some of the perishable items are laid out in the dedicated fresh zone. On top of that, the rebranded Pyaterochka sells a wide assortment of foods to go and ready-to-eat meals and has a special area where customers can have coffee or fresh orange juice and charge their gadgets. An in-house bakery made it possible to expand the offering of bread and pastry.{{cite web |url=https://markets.ft.com/data/announce/detail?dockey=1323-14234909-7T7OG5LP9JCCL6GRNCH7NR6T5C |title=Pyaterochka presents new concept |work=Financial Times |access-date=April 18, 2020 |language=en}}{{cite web |url=https://www.josdevries.eu/news-en/proud-to-present-the-first-pyaterochka-supermarket-in-a-new-retail-network-concept/ |title=Pyaterochka |work=JDV Russia |access-date=April 18, 2020 |language=en}}

In 2019, the Pyaterochka retail chain consisted of 15,354 stores with a turnover of RUB 1.37 trn.{{cite web |url=https://x5.ru/ru/PublishingImages/Pages/Investors/ResultsCentre/X5_Q4_2019_Financial_Results_ENG.pdf |title=X5 reports 13.2% revenue growth in 2019 |publisher=X5 Retail Group |access-date=2020-04-18 |language=en}}

File:Perekrestok new concept 2020 Moscow.jpg

{{Main|Perekrestok (supermarket chain)}}

Perekrestok is a retail chain of food supermarkets.

In May 2019, Russia’s biggest and most up-to-date smart kitchen was launched for producing semi-prepared foods for stores, allowing a 2.5-fold increase in the ready-to-eat and ready-to-cook range under the Perekrestok Chef brand in the company’s supermarkets and also boosted quality.{{cite news |title=X5 Retail Group Unveils 'Smart Kitchen' as Ready-to-eat |url=https://russiabusinesstoday.com/agriculture/x5-retail-group-unveils-smart-kitchen-as-ready-to-eat/ |work=Russia Business Today |access-date=April 26, 2020 |language=en}}

In February 2020 Perekrestok has begun the roll-out of new store concept. Among the highlights of the new concept are updated interior and exterior designs, and a selection of new services offered in-store. The new Perekrestok concept is designed to meet the needs of today's customers, including frequent purchases of ready-to-eat and ready-to-go products. About 50% of the selling space will be dedicated to fresh categories (fruits, vegetables, dairy products, cheese, deli meats, as well as fresh fish and meat) or salad bars, bakeries and cafés. A special area will be focused on the health foods category.{{cite web |url=https://markets.ft.com/data/announce/detail?dockey=1323-14431329-67C74MH0QU2MC324OANLKJURRL |title=Perekrestok updates brand and starts roll-out of new concept for 25th anniversary |work=Financial Times |access-date=April 19, 2020 |language=en}}

File:Karusel new concept 2018 St. Petersburg.jpg

Perekrestok is Russia’s largest supermarket chain, consisting, at 2019 closing, of 852 supermarkets with a turnover of RUB 273 bn.

Karusel is a retail chain of food hypermarkets.

In 2019, Х5 Retail Group announced its decision to transform the Karusel hypermarket chain within two years:

- 34 stores to become large format supermarkets managed by the Perekrestok retail chain by the beginning of 2021;

- 20 stores to close by 2022;

- 37 hypermarkets to continue operating under the Karusel brand.{{cite news |title=X5 Retail Group reveals new strategy for Karusel |url=https://www.kriq.eu/contentindex/newsdetails.aspx?id=1523365 |work=Kantar Retail |access-date=April 26, 2020 |language=en}}

At the close of 2019, the Karusel retail chain had 91 hypermarkets with a turnover of RUB 87 bn.

In October 2020, X5 Group launched a new hard discounter “Chizhik” in Moscow and in Balashikha with expectations of its federal expansion.{{Cite web|url=https://www.x5.ru/en/Pages/Media/News/291020.aspx|title=X5 opens hard discounter Chizhik|work=X5 Group |date=2020-10-29|publisher=X5 Retail Group}} A year after, 27 Chizhik hard discounters were opened in Moscow and in Moscow Oblast with 70 expected, in regions as well, by the end of the year 2021. In 2022, X5 Group announced 3000 Chizhik stores to be opened in 3 years, despite so called “cannibalization” which means audience loss in other stores of X5 group, attracted by Chizhik.{{Cite news|url=https://www.vedomosti.ru/business/news/2021/09/27/888430-x5-group-planiruet-otkrit-3-000-diskaunterov-chizhik-v-blizhaishie-tri-goda|title=Сеть жёстких дискаунтеров Чижик станет второй по выручке в стране|language=ru|date=2021-09-27|newspaper=Ведомости}}

In addition to the retail chains, X5 Retail Group manages the Perekrestok.ru online supermarket and the Dostavka.Pyaterochka and Perekrestok.Bystro food and 5Post parcel delivery services.

File:Dark-store Perekrestok.ru Moscow.jpg

In 2017, the Perekrestok.ru online store was introduced in Moscow{{cite news |title=X5 identifies 'dark store' opportunity |url=https://retailanalysis.igd.com/news/news-article/t/x5-identifies-dark-store-opportunity/i/18416 |work=IGD Retail Analysis |publisher=The Institute of Grocery Distribution |access-date=April 26, 2020 |language=en}} and, in October 2018, in St Petersburg.{{cite news |first=Jean |last=Reyes |title=X5 rolls out Perekrestok online supermarket in St. Petersburg |url=https://www.spglobal.com/marketintelligence/en/news-insights/trending/fw7urvgyuungkvmyybelrg2 |work=S&P Global |access-date=April 26, 2020 |language=en}}

A dark store combines features of a traditional store and a warehouse: it is not intended for making purchases but the merchandising display is similar to that of a store. In contrast to a traditional warehouse, a dark store services online orders and goods are displayed individually.

As of 31 December 2019, the online supermarket had two dark stores in Moscow and one dark store in St Petersburg.

The Dostavka.Pyaterochka express delivery service was launched in 2019; orders are collected at Pyaterochka stores. For the project, the company developed its own software covering all the project’s operational and auxiliary processes. The IT system is integrated into the Х5 Retail Group infrastructure, allowing new stores to be hooked up to the service in just a few hours and goods balances to be monitored virtually in real time. There is a patented system operating for collecting orders at a store; this cuts assembly time considerably and optimises staff work. As of April 2020, the service was live in Moscow, Skhodnya, Lyubertsy and Kazan.{{cite news |title=X5 Retail Group reveals fast growth for Pyaterochka express delivery |url=https://www.kantarretailiq.com/ContentIndex/NewsDetails.aspx?id=1529307 |work=Kantar Retail |access-date=April 26, 2020 |language=en}}

The Perekrestok.Bystro express delivery service was started up in 2020, with orders being collected at Perekrestok supermarkets. The software is similar to the IT system used by the Dostavka.Pyaterochka service. As of April 2020, the service was operating in Moscow.{{cite news |title=X5 launches express delivery pilot at Perekrestok |url=https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/FIVE/14510062.html |publisher=London Stock Exchange plc |access-date=April 26, 2020 |language=en}}

5Post is a subdivision of X5 Retail Group, a developing service for delivering orders from online stores and marketplaces to the company’s stores. In the summer of 2018, the subdivision started opening the first lockers and order collection points.

In June 2019, X5 Retail Group and the Unitrade customs broker developed an end-to-end service for foreign online stores. Partners pick up orders from the online store warehouses in China, bring them to Russia, clear them through customs and deliver them to the X5 distribution centre in Novosibirsk. Then 5Post delivers the parcels to stores.{{cite news |title=X5 Partners With Unitrade To Provide Services To Foreign Online Retailers |url=https://www.esmmagazine.com/supply-chain/x5-partners-with-unitrade-to-provide-services-to-foreign-online-retailers-76672 |work=European Supermarket Magazine |access-date=April 26, 2020 |language=en}}

At the end of 2019, 5Post was managing 12 sorting facilities at Х5 Retail Group distribution centres and 8,000 postamats and order collection points. During 2019, over five million parcels were delivered to clients.

The company’s market share by revenues at the close of 2019 was 11.5%. The closest competitor was Magnit, with a food retail market share of 7.6% (together with non-food and non-retail business – 9.6%).{{cite web |url=https://www.magnit.com/upload/iblock/093/magnit_ar19_eng_FINAL.pdf |title=From field to plate. Annual Report 2019 |publisher=PAO Magnit |access-date=2020-04-27 |language=en }}

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As of 31 December 2019, the Company operated 16,297 stores, including 15,354 Pyaterochka proximity stores, 852 Perekrestok supermarkets and 91 Karusel hypermarkets, the Perekrestok.ru online supermarket (two dark stores in Moscow and one dark store in St Petersburg) and the 5Post delivery service for online store and marketplace orders (8,000 postamats and order collection points).

In 2013, X5 Retail Group kicked off a programme to attract sublessees, and by the end of 2017, over 29,000 retail outlets were opened in X5 stores by 5,500 private enterprises.{{cite news |title=5,5 тысяч партнеров X5 разместили в магазинах компании 29 тысяч торговых точек (Over 29,000 retail outlets were opened in X5 stores by 5,500 private enterprises) |url=https://rns.online/press_releases/55-tisyach-partnerov-X5-razmestili-v-magazinah-kompanii-29-tisyach-torgovih-tochek-2017-08-29/ |publisher=Rambler News Service |access-date=June 17, 2018 |language=ru}}{{cite news |title=Субарендаторы открыли в магазинах X5 более 29 тысяч точек (Over 29,000 retail outlets were opened in X5 stores ) |url=https://www.retail.ru/news/144841/ |publisher=Retail.ru |access-date=June 17, 2018 |language=ru}} With 5,000 sublessees, Pyaterochka leads the way in the number of partners accounting for over 8% of its total selling space. More than 3,000 of them are farmers and small and medium-sized enterprises selling food and children’s goods and providing everyday services near the cash desks outside Pyaterochka’s shopping area or inside as a shop-in-shop.

In April 2017, X5 Retail Group launched a cooperation project with the Central Union of Consumer Societies of the Russian Federation (Centrosoyuz).{{cite web |url=http://www.4-traders.com/X5-RETAIL-GROUP-NV-EDR-4006552/news/X5-Retail-EDR-Centrosoyuz-project-may-open-up-to-1-000-new-stores-over-next-three-years-24198959/ |title=X5 Retail EDR : Centrosoyuz project may open up to 1,000 new stores over next three years |publisher=Surperformance |access-date=June 17, 2018 |language=en |author1=4-Traders }}{{cite web |url=http://www.rttnews.com/2762647/x5-retail-in-cooperation-deal-with-centrosoyuz-to-open-up-to-1000-new-stores.aspx |title=X5 Retail In Cooperation Deal With Centrosoyuz To Open Up To 1,000 New Stores |publisher=RTTNews |access-date=June 17, 2018 |language=en}}{{cite web |url=http://www.lebensmittelzeitung.net/european-view/X5-Retail-Group-Russian-X5-Plans-1000-Franchised-Stores-by-2020-128519 |title=Russian X5 Plans 1,000 Franchised Stores by 2020 |publisher=Deutscher Fachverlag GmbH |access-date=June 17, 2018 |language=en}} The COOP-Pyaterochka format has the potential to add up to 1,000 stores over a three-year period. The parties have also agreed to open up to 5,000 Pyaterocka-based shop-in-shop corners by 2021 to sell farmers’ and consumer cooperatives’ products.

In November 2021, X5 Group and Alfa-Bank launched joint financial service “X5 Bank”, 49,99% each held by the retailer and by the bank with 0,02% owned by “Alfa Investments”. X5 Bank is a part of X5 Group strategy to be represented at every step of customer journey from product to purchase.{{Cite web|url=https://www.interfax.ru/business/803141|title=Х5 и Альфа-Банк создали дочку для реализации финсервиса Х5 Банк|language=ru|date=2021-11-15|publisher=Интерфакс}}

Х5 entered the innovations market in 2017: by July 2019, Х5 innovations had drawn in over 800 start-ups. Four hundred solutions underwent thorough assessment by business experts and some of them progressed to the business modelling phase. More than 100 start-ups advanced to the prototype/pilot phase and 14 projects were implemented. Х5 considers technological solutions for four key retail spheres: customer experience, operations in stores, supply chain and back office. Х5 is focusing particularly on smart shelving projects, flexible pricing systems, robotisation, automation of quality and freshness control for foodstuffs, and goods tracking.{{cite web |url=https://russiabusinesstoday.com/technology/x5-focuses-on-innovation-as-technology-becomes-important-in-retail/ |title=X5 Focuses on Innovation as Technology Becomes Important in Retail |date=8 November 2018 |publisher=Russia Business Today |access-date=April 26, 2020 |language=en}}{{cite web |url=https://gotechinnovation.com/x5-interview-babaev/ |title=X5 Retail Group: startups from Europe have a positive attitude to the Russian market |date=4 September 2019 |publisher=Fund IT Innovations |access-date=April 26, 2020 |language=en}}{{cite web |url=https://www.themoscowtimes.com/2020/02/27/russias-top-retail-and-tech-companies-join-forces-to-hunt-for-innovations-a69439 |title=Russia's Top Retail and Tech Companies Join Forces to Hunt for Innovations |date=27 February 2020 |publisher=The Moscow Times |access-date=April 26, 2020 |language=en}}

{{Hidden begin |title=Developing innovation |border = 1px solid grey}}

In June 2017, X5 Retail Group and the Internet Initiatives Development Fund (IIDF) launched a specialised retail accelerator, with the Petrovich and Sportmaster chains among its partners.{{cite web |url=https://www.x5.ru/en/Pages/Media/News/020217.aspx |title=X5 Retail Group announces strategic partnership with IIDF |work=X5 Retail Group |access-date=June 17, 2018 |language=en}}{{cite web |url=https://en.baker-group.net/articles/news-of-the-confectionery-world/8419-x5-retail-investiruet-v-umnyjj-mgzin-i-innovcii.html |title=X5 Retail invests in "smart shop", and Innovation |publisher=Baker-Group.Net |access-date=June 17, 2018 |language=en}}{{cite web |url=http://bitobi.org/en/posts/9120-v-12-i-akselerator-frii-voshli-32-kompanii.html |archive-url=https://web.archive.org/web/20180617192631/http://bitobi.org/en/posts/9120-v-12-i-akselerator-frii-voshli-32-kompanii.html |url-status=usurped |archive-date=June 17, 2018 |title=In the 12th Accelerator FRII included 32 company |publisher=BiToBi |access-date=June 17, 2018 |language=en}} Start-up companies joining the IIDF accelerator programme are able not only to attract from RUB 2 mn to RUB 25 mn of investments from the fund, but also to get advice from X5 experts and test their business ideas on X5’s anonymised database of over 3 bn purchases.

In May 2018, X5 and Innopolis University launched joint work on scientific research projects, in particular on a pilot store for the future project.{{cite web |url=http://www.akm.ru/eng/news/2018/may/29/ns6036099.htm |title=X5 launches cooperation with Republic of Tatarstan |publisher=AK&M Information Agency |access-date=April 26, 2020 |language=en}} In March 2019, X5 became a resident of the Innopolis Special Economic Zone and opened an X5 Development Centre.{{cite web |url=http://tatarstan.ru/eng/index.htm/news/1426896.htm |title=Rustam Minnikhanov holds a meeting of the Supervisory Board of the Innopolis Special Economic Zone |publisher=Official Tatarstan |access-date=April 26, 2020 |language=en}}

In October 2018, Х5 Retail Group opened a laboratory store at a Pyaterochka proximity store for testing the possibility of introducing new technologies. At the store, technologies for ESL, video analysis, smart shelves, digital information panels, self-scanning and payment scenarios, and other smart store technologies are all being tested under "field conditions".{{cite web |url=https://www.esmmagazine.com/technology/x5-launches-lab-store-to-test-new-technologies-66136 |title=Russia's X5 Launches 'Lab Store' To Test New Technologies |date=11 October 2018 |publisher=European Supermarket Magazine |access-date=April 26, 2020 |language=en}} In November 2019, a second laboratory store was opened at a Perekrestok supermarket.{{cite web |url=https://www.esmmagazine.com/technology/x5-sets-up-lab-in-perekrestok-store-to-test-new-technologies-82872 |title=X5 Sets Up Lab In Perekrestok Store To Test New Technologies |date=21 November 2019 |publisher=European Supermarket Magazine |access-date=April 26, 2020 |language=en}}

In June 2019, X5 Retail Group, together with the Israel-Russia Chamber of Commerce (IRCC), launched the X5 Retail-Tech Challenge start-up competition.{{cite press release |url=https://www.globenewswire.com/news-release/2019/08/01/1895747/0/en/Anagog-Wins-X5-Retail-Tech-Challenge-for-Retail-Innovation.html |title=Anagog Wins X5 Retail-Tech Challenge for Retail Innovation |date=August 2019 |publisher=GlobeNewswire, Inc. |access-date=April 26, 2020 |language=en}} In July 2019, X5 started selecting start-ups from Estonia, Latvia and Lithuania. In October 2019, X5 Retail Group summed up the results of a competition of start-ups held jointly with the Spanish Institute for Foreign Trade (ICEX).{{cite web |url=https://www.retail.ru/news/x5-retail-group-ishchet-innovatsii-vmeste-s-ispanskimi-startapami-1-oktyabrya-2019-187088/ |title=X5 Retail Group seeks innovation with Spanish startups |publisher=Retail.ru |access-date=April 26, 2020 |language=ru}}

In July 2019, the Sberbank venture fund, Fort Ross Ventures and X5 Retail Group signed an agreement on strategic partnership in innovation, exchange of technologies and looking for start-ups.{{cite web |url=https://www.sberbank.ru/en/press_center/all/article?newsID=c7ef1999-defb-4f43-812e-e5a0c5c31fd7&blockID=1539®ionID=77&lang=en&type=NEWS |title=Fort Ross and X5 conclude strategic partnership agreement |publisher=Sberbank |access-date=April 26, 2020 |language=en}} In December that year, X5 Retail Group and start-up accelerator Orange Fab started a joint programme for seeking and introducing innovations in Russia.{{cite web |url=https://medium.com/@frenchtechmoscow/a-new-accelerator-orange-fab-11801bcb0b14 |title=A new accelerator: Orange Fab |date=6 April 2020 |publisher=Medium |access-date=April 26, 2020 |language=en}}{{cite web |url=https://orangefab.ru/en/call-for-projects-x5-en/ |title=Call for Projects – Program with X5 Retail Group |work=Fab Russia |publisher=Orange Fab |access-date=April 26, 2020 |language=en}}

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In April 2019, X5 launched a digital parcel delivery platform. The solution used information systems to bring together postamats, sorting facility and warehouse equipment. For deliveries within Russia, online stores and marketplaces deliver to the X5 distribution centres, while the retailer picks up cross-border deliveries at the Customs. The platform has a capacity of up to one million dispatches a day.{{cite web |url=https://www.retail-insight-network.com/news/company-news/x5-ozon-pyaterochka-stores/ |title=X5 and Ozon to open 4,000 Pyaterochka parcel pick-up points and lockers |work=Retail Insight Network |date=30 April 2019 |publisher=Verdict Media Limited |access-date=April 26, 2020 |language=en |last1=Venna |first1=Srivani }}

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In November 2017, X5 introduced machine learning to bolster targeted marketing at the Perekrestok supermarket chain, and developed personalised offers for all members of the Perekrestok Club loyalty program.{{cite web |url=https://www.esmmagazine.com/x5-retail-targeted-marketing-tech/51280 |title=X5 Retail Develops Targeted Marketing Technology |date=November 2017 |publisher=European Supermarket Magazine |access-date=July 24, 2018 |language=en}}{{cite web |url=https://retailanalysis.igd.com/retailers/x5-retail-group/news/news-article/t/russia-x5-magnit-and-lenta-round-up/i/17894 |title=Russia: X5, Magnit and Lenta round up |publisher=The Institute of Grocery Distribution and IGD Services Limited |access-date=July 24, 2018 |language=en}}

In December 2017, Mail.Ru Group and X5 launched a partnership in online advertising targeting and assessing its impact on offline sales in certain stores. MyTarget platform clients gain access to X5’s anonymised data on consumer behaviour with a view to enhancing the accuracy of ad targeting and linking ad impression data with sales performance at the Pyaterochka, Perekrestok and Karusel chains.{{cite web |url=https://www.lebensmittelzeitung.net/european-view/X5-Retail-Group-X5-Retail-Group-and-Mail.ru-Team-up-133352 |title=X5 Retail Group and Mail.ru Team up |publisher=Deutscher Fachverlag GmbH |access-date=July 24, 2018 |language=en}}{{cite web |url=https://www.retail-insight-network.com/news/x5-mail-ru-patner-measure-targeted-online-advertising-impact/ |title=X5 and Mail.Ru patner to measure targeted online advertising impact |date=15 December 2017 |publisher=Verdict Media Limited |access-date=July 24, 2018 |language=en}}

In June 2018, X5 started implementing video analytics and computer vision technology based on neural networks and artificial intelligence. It speeds up control of store layouts and the number of products on shelves by a factor of ten, and reduces the number of people leaving the store without a purchase and shrinkage levels by 10% and 20%, respectively.{{cite web |url=https://www.esmmagazine.com/x5-roll-computer-vision-technology-support-planogram-control-process/60688 |title=X5 To Roll Out Computer Vision Technology To Support Planogram Control Process |date=7 June 2018 |publisher=European Supermarket Magazine |access-date=July 24, 2018 |language=en}}{{cite web |url=https://retailanalysis.igd.com/retailers/x5-retail-group/news/news-article/t/x5-retail-group-and-magnit-announce-strategic-moves/i/19084 |title=X5 Retail Group and Magnit announce strategic moves |publisher=The Institute of Grocery Distribution and IGD Services Limited |access-date=July 24, 2018 |language=en}}

In May 2018, X5 successfully completed a large-scale project to automate the processes of demand and replenishment planning at both stores and at Perekrestok and Karusel distribution centres. To this end, the Company redesigned its core logistics, marketing and sales processes, and introduced an end-to-end system of supply chain management, boosting forecast accuracy by 17% and increasing on-shelf availability of products by 5%. The Company also reduced inventory levels by 13%.{{cite web |url=https://www.esmmagazine.com/x5-retail-group-introduce-automated-planograms-boost-sales/59972 |title=X5 Retail Group Introduces Automated Planograms To Boost Sales |date=22 May 2018 |publisher=European Supermarket Magazine |access-date=July 24, 2018 |language=en}}{{cite web |url=https://retailanalysis.igd.com/retailers/x5-retail-group/news/news-article/t/x5-invests-to-optimise-stores/i/19004 |title=X5 invests to optimise stores |publisher=The Institute of Grocery Distribution and IGD Services Limited |access-date=July 24, 2018 |language=en}}

In May 2018, X5 introduced automated detailed planogramming for hypermarkets. It factors in store equipment characteristics, customer preferences, historical data on inventory turnover by type of product, assortment by category, packaging size and type, etc. After three months of its use, the system boosted sales by up to 10.5% in some categories.{{cite web |url=https://www.esmmagazine.com/russias-x5-retail-group-introduces-automated-supply-chain-solution/59749 |title=Russia's X5 Retail Group Introduces Automated Supply Chain Solution |date=15 May 2018 |publisher=European Supermarket Magazine |access-date=July 24, 2018 |language=en}}

In the summer of 2019, X5 Retail Group started producing self-service cash registers. The company developed the device and the software itself: the machines are equipped with a multi-touch screen, 2D barcode scanner, stereo speakers, a microphone for audio apps and voice services, and a 3D camera. At the second stage, X5 added a goods weighing platform and there are plans for a rapid payment system using QR codes and Face ID technology.{{cite web |url=http://www.retailtimes.co.uk/x5-rolls-out-self-service-tech-made-in-house-across-all-geographies/ |title=X5 rolls out self-service tech made in-house across all geographies |publisher=RetailTimes |access-date=April 26, 2020 |language=en}}

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In February 2018, X5 launched an online service that helps real estate owners to calculate the average rent at any location where Pyaterochka has a presence. The service also enables landlords to offer premises or a property for lease or sale instantly, if the property meets all the criteria for store opening, or offer a land plot for building a store.{{cite web |url=https://www.thefreelibrary.com/Russian+Federation+%3A+Pyaterochka+to+provide+rent-calculation+tool+for...-a0529427931 |title=Russian Federation: Pyaterochka to provide rent-calculation tool for 63 regions |publisher=SyndiGate Media Inc. |access-date=July 24, 2018 |language=en}}

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X5 started implementing its logistics separation strategy in 2013, with a view to splitting product flows for convenience stores, on the one hand, and supermarkets and hypermarkets, on the other hand.

As of 31 December 2019, X5 Retail Group operated 42 distribution centres spanning 1.2 million sq m, including 31 centres catering to Pyaterochka and 11 centres serving the super- and hypermarket formats (Perekrestok and Karusel).

As of 31 December 2019, X5’s fleet comprises 4,124 owned trucks.

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• {{Official website|http://www.x5.ru/en/}}

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