Ekaterina Lobacheva, President of X5 Group (the operator of “Pyaterochka,” “Perekrestok,” and “Chizhik”), has confirmed a significant shift in Russian consumer behavior. Faced with declining real disposable incomes, shoppers are mass-migrating to “austerity mode,” opting for the most affordable alternatives to everyday products.
One of the most striking indicators is the explosive demand for biscuits, which has increased nearly 2.5 times. Lobacheva explains that consumers are seeking affordable ways to trigger “happiness hormones,” replacing expensive chocolate and premium confectionery with cheaper baked goods.
Key Retail Trends in 2026:
- Discounter Boom: Revenue for the “Chizhik” hard-discounter chain grew by 67% (reaching 417 billion rubles), and it is projected to outpace the flagship “Pyaterochka” in growth rate;
- Private Labels: Shoppers are increasingly choosing the retailer’s own brands, which are priced lower than goods from independent manufacturers;
- Basket Restructuring: Significant growth in essential categories and the most budget-friendly positions.
Notably, the shift in economic priorities is reflected elsewhere: drones and UAVs are now being purchased even by institutions far removed from technical fields, such as the Moscow Academy of Choreography and kindergartens in the Tyumen and Perm regions. In these curricula, drone piloting is framed as an “additional developmental activity.”
Analytical Summary
The statement from the head of X5 is a direct signal of the severe erosion of public purchasing power. The transition to a “survival model,” where biscuits replace chocolate and hard discounters become the primary shopping destination, suggests that official inflation figures may not fully capture the reality of citizens’ wallets. The 67% growth of “Chizhik” amid the stagnation of more expensive formats confirms that the middle class is dissolving, moving into the “economy” and “ultra-economy” segments.
Retailers are attempting to adapt by expanding private labels and altering their product mix. However, the “sociological portrait” painted by Lobacheva is concerning: a focus on large families forced to save on everything but the bare essentials creates a long-term risk for the retail industry’s profit margins. In 2026, a retail chain’s success depends almost entirely on its ability to sell “cheap calories” to a rapidly impoverishing population.