Short overview of the local food service players.

1. Saint-Petersburg food service overview
In the current year volume of local food service was low
than year ago…
Saint-Petersburg is considering in a relatively low level of able to pay demand
Food service turnover, billion rubles
It can be explained as a no increase of customers income
Actual wages per capita, % to previous
month
It is high level of social stratification by income…
Average wages per capita, rubles
In fact, most of the consumers have low income per capita
Source: PetrostatSource: Petrostat

2. Saint-Petersburg food service overview
It is complex situation
with liquid premises in
the center of Saint-
Petersburg.
And rent rates are more
competitive in shopping
and business centers.
It is expected new
openings of shopping
malls in Saint-Petersburg
in 2014.
Another problem aspect
of food service market is
high employee turnover
and deficit of competent
personal.
Considering these facts
we can assume several
factors that can help to
choose appropriate
companies on Saint-
Petersburg food service
market.
Actual state of business: Сonclusions:
• Developing through food courts, business
centers and off-center formats
• Minimal requied personal per café. No waiters
• Segments: Fast food, Fast casual
• No waiters. Free flow service
• No liquid separate lease premises
• Deficit of qualified staff
• Low purchasing power
• Time limitation of consumers
Average rental rate, rubles per sq.metre
Plan to open shopping mall in 2014
7
Methods of staff retention
• Strong HR brand
• Flexible working hours
• Human development plan
• Financial incentives
Trends in commercial real estate:
• Increasing share of longterm rental contracts
• Active housing supply turns food chains to off-center
• Regional development
The most sustainable position in the near future will continue to hold democratic
concepts - fast casual and fast food segments
Source: personal assessment, BNP Paribas Real Estate, gvasawyer.ruSource: personal assessment, BNP Paribas Real Estate, gvasawyer.ru

3. Teremok (Russian fast food)
The Russian fast food
market shows
permanent growth.
Saint-Petersburg is one
of the top cities where
demand is not satisfied.
Teremok is a leader by
number of point of sales
in Saint-Petersburg as a
local player.
For the last year Teremok
has shown significant
growth in sales to 2,3
billion of rubles( ~5% of
market share).
Besides comparing with
competitors Teremok has
flexible business model
which allow to work in
different forms and open
new segments.
Teremok has a strong stand on fast food market in Saint-Petersburg
Formats: Teremok Emelya Tea Spoon Kr. Kartoshka SushiWok SushiShop
Street Food 1 1 0 0 0 0
Food Court 1 1 1 1 0 0
Café 1 1 1 1 1 1
Addition formats:
Coffee Shop 1 0 0 0 0 0
Banquet 0 1 0 0 0 0
Total number of fast food point of sales
Future key growth factors:
• New shopping centers
• Expansion in regions near SPb
• New segments
Sales volume, bln rub
Number of point of sales in
Saint-Petersburg, 2014
Source: personal assessment, rbc research, VedomostiSource: personal assessment, rbc research, Vedomosti

4. Marketplace (fast casual, free flow)
Marketplace has some
advantages in comparing
with fast food companies.
It provides comfort self-
service with wide
assortment of food for
the democratic prices.
There are no many
competitors in that niche
in Saint-Petersburg, but
it has a lot of analogues
in other cities.
Marketplace business
model requires
permanent flow of
consumers.
We can divide
Marketplace locations on
two main groups: tourist
center and business
centers.
The company already has
3 cafes in business
centers and it can expand
successfully in this field.
Marketplace has a good opportunity to build business in Saint-Petersburg
Specifications of format: Fast Food
Using your own blanks
Fast service
Reasonable price meals, special offers
Democratic atmosphere
The assortment of dishes and regular
updating of positions
Returnable dishes
Interior
Healthy food
Average bill (rubles) 300-400 * 250
Year of foundation 2012
Number of cafes 7
Location
Mostly in center area near
business and tourists places
Competitors in format Obed Bufet ( Ginza Project)
Analogues in other
cities:
Company Overview:
Location
Tourist Area Business Area
• 3 cafes in center
• 1 café in south area
• Good opportunities to grow through
business centers…
New business-centers
Source: site of the company, * - personal assessment, bsn.ru, rbc research