We see opportunities for further growth. Investing in logistics, network expansion, and e-commerce development

17.04.2025

Olga Shevchenko, CEO of EVA

The full-scale war has been ongoing for three years now. During this time, businesses have faced various challenges. Looking back at each year of the war, which one was the hardest for your business and you as a leader?

— The most difficult was, of course, the first year of the war, especially its beginning. I wouldn’t say we were completely unprepared. Despite strong internal resistance, we realized that this could happen. We took certain steps: purchased materials to protect our stores, planned staff coordination, and worked on communication processes.

Our network essentially operates via the internet, as over 1,000 stores require constant connectivity. We prepared for possible disruptions, considering ways to transmit information and maintain communication.

However, we didn’t expect everything to escalate so rapidly. In just one day, the entire southern region of the country was under threat, and we lost access to stores. In some cases, we couldn’t even contact people, such as in Mariupol. The first days and months were the most terrifying, with the collapse of the transportation system and logistics. At the time the war started, our shipments were at sea, heading from China to Odesa, and we had to urgently resolve these issues. But the most important thing was that we maintained communication with regional managers and employees from the central office, many of whom were also working remotely. We quickly and flexibly found solutions to keep the network running.

EVA is actively expanding its presence in Ukraine, opening new stores and introducing updated formats such as "Women’s Energy" and EVA BEAUTY. What results have these innovations shown, and how have they impacted customer experience and business performance?

— "Women’s Energy" is essentially the familiar EVA in a new, stylish, and more attractive design because staying the same for 10 years is impossible.

The product assortment hasn’t changed significantly. However, we see that customers love the new design. When we open a renovated store next to a regular one, people often switch to the updated one because it feels more comfortable and appealing. That’s why we now open most new stores in the "Women’s Energy" design while gradually updating existing ones.

As for EVA BEAUTY, this is indeed a new format focused on expanding the segment of professional care, dermo-cosmetics, and premium products. It’s a store exclusively for beauty products, without household chemicals. We already have three of them: two in Kyiv and one in Lviv. They are showing excellent results— the average purchase amount is nearly three times higher than in regular stores. Additionally, we created a separate loyalty program for this format, and interestingly, 10% of its registered customers had never shopped with us before.

So, we successfully attracted a new audience, which was one of our goals.

How has Ukrainian consumer behavior changed over three years of full-scale war?

— Consumer behavior hasn’t changed drastically, but there have been notable trends.

For example, at the beginning of the war, when many people were displaced, we recorded a sharp increase in demand for long-term use items: cosmetic accessories, manicure sets, bags, umbrellas, and slippers. People left their homes without these essentials and later had to buy them again in new cities.

There was also a surge in demand for men’s products as they headed to the front lines. At that time, the supply system wasn’t yet fully organized, and many items had to be purchased independently. Over time, the market stabilized, and we returned to more predictable trends, but consumer sentiment undoubtedly changed.

By 2023, we saw a significant increase in perfume and makeup sales. This aligns with a stable trend: consumers, especially women, became more open to experimentation, eager to try new products, and preferred professional and dermo-cosmetic brands. This shift may be linked to a desire to replace salon treatments with more affordable at-home options. Observing these trends, we actively expanded our product offerings in relevant segments.

We understand that people’s incomes are not rising rapidly and, in some cases, are even decreasing.

Recent studies show that 36% of consumers can no longer afford to buy the same products as before the war, and 12% have had to completely give up certain categories. That’s why we are actively expanding our mid-range and affordable price segments, with private label products playing a crucial role.

In 2024, private label products accounted for 36.1% of our total sales volume, compared to 33.9% in 2023. Every second decorative cosmetics item sold at EVA is a private label product. Private label diapers make up over 50% of unit sales. Additionally, EVA and EVA.UA consistently offer various promotional deals, which remain a key part of our strategy.

What type of advertising is most effective for your company?

— We focus on promotional offers and special sales mechanisms. Advertising works comprehensively: it’s in the metro, sent via Viber and Telegram, and appears on social media. We use television only for major holiday campaigns, such as Valentine’s Day, New Year, or Black Friday. Meanwhile, digital advertising runs continuously throughout the year.

How do you assess competition in Ukraine’s e-commerce sector, and what competitive advantages does EVA.UA have over other market players?

— Competition in both online and offline segments is intense, especially considering the shrinking population and reduced market capacity. Our main competitors in e-commerce are Rozetka and Makeup in the beauty category, as well as various marketplaces operating in multiple product segments.

Our competitive edge lies in our brand reputation, 8 million loyalty program members, and the largest network of pick-up points in the country—over 1,100 locations. We also continuously improve our assortment and work on shortening delivery times.

Our broad product range allows customers to make comprehensive purchases: in addition to cosmetics, we offer home care products, baby items, vitamins, healthy food, and even some over-the-counter medical supplies.

In 2024, EVA's revenue grew by 28%, reaching 27 billion UAH. What were the key factors driving this growth, especially amid economic instability?

— We are constantly developing both offline and online channels. In 2023, we opened 65 new stores, expanded our assortment, and introduced new services. Online, we added over 30,000 new SKUs, improved site functionality, increased its speed, and simplified the payment process.

A major achievement was our mobile app, which now accounts for 33% of all purchases.

In our stores, we are increasing the number of professional consultants and implementing VISUAL by EVA digital mirrors for testing makeup and hair dye. More than 200 stores are already equipped with these devices. We also have skin and hair analyzers to help customers choose personalized care products. We strive to make shopping both comfortable and informative.

Last year, online sales accounted for 14% of the company’s total revenue. What steps were taken to achieve this, and what are the plans for further online development?

— In 2024, we launched a marketplace on EVA.UA. This means we now sell not only our products but also items from third-party merchants. Our website already features over 100,000 SKUs from external sellers, and this number is growing. This expansion provides our customers with even more choices.

EVA is known for its social initiatives and charitable projects. What key projects were implemented in 2024, and what are the plans for 2025?

— In 2024, together with our customers, we directed over 33 million UAH toward defense and humanitarian aid. Nearly 3 million UAH were used to purchase intensive care beds and an operating table for a children’s cardiology center damaged in the attack on "Okhmatdyt."

We also provided 19 million UAH in aid to the military, including vehicles, drones, and electronic warfare systems. Additionally, we support mobilized employees and provide full meal services for recovering soldiers at a hospital in Dnipro.

What new projects or initiatives are planned for 2025, and how will they impact the company's development? Will there be further expansion?

— In 2025, we plan to develop EVA.UA by adding at least 50,000 new SKUs and attracting more merchants. We also intend to open 60–65 new stores, including several EVA BEAUTY locations.

We see opportunities for further growth. Investing in logistics, network expansion, and e-commerce development.