Pigu.lt Marketplace after 5 years: spectacular growth and trust of customers

PHH Group Marketplace, the Baltic e-commerce leader, which operates under the name of Pigu.lt in Lithuania, celebrates its 5 years anniversary. Over this period, Marketplace fulfilled 8,5 million customer orders and grew its sales to more than EUR265 million. It now offers more than 4.3 million products and great prices for Baltic and Finish customers as well as the bestselling conditions for the sellers.

The best place to sell and buy online

"We remain true to our strategy of being the best online Marketplace – a convenient shopping experience for our customers and a successful trading experience for our sellers in the Baltic States and Finland. We continue to invest in creating value for our customers – good prices, a wide range of products and fast delivery. We provide sellers with a convenient infrastructure, end to end service of each individual order in 5 languages, exceptional trading conditions and the opportunity to grow their sales in foreign markets," says Jakub Stefański, Head of PHH Group Marketplace.

This year, Marketplace has brought many new benefits for both customers and sellers. For example, the company offered customers in Estonia and Latvia free delivery, while sellers in all countries saw a significant reduction in commissions and Fulfillment by Pigu fees. "By introducing a new commission calculation model for sellers, we have become the cheapest place to sell online in Baltics and Finland," says Mr Stefański.

Furthermore, Marketplace is currently introducing a new logistic method linking sellers directly with customers, accelerating delivery times. As of November 2024, sellers will be able to drop-off parcels to Omniva, Itella Smartpost and LP Express (Unisend) warehouses in Vilnius, Kaunas, Riga and Tallin or to their lockers – more than 3000 – across whole Lithuania, Latvia and Estonia. The same logistic possibilities will be available in Finland from next year.

The updated commission system encourages sellers to expand their product range and offer customers well-known premium products at competitive prices. "At the same time, we are giving our clients the opportunity to find both economy products and well-known premium brands at a better price on our virtual shelves. Today, Marketplace customers can choose from a wide range of products – from pencils for school to e-bikes, saunas, gazebos, furniture, investment gold bars and computer equipment. The fact that some bought items cost up to €6,000 means that customers feel safe, trust the Marketplace, the quality of the goods and the delivery," says Mr Stefański.

Growth and expansion

According to Mr Stefanski, the fact that PHH Group's Marketplace grows by 60-70% every year, both in terms of sales and revenue, shows that the company is on the right track.

"We are about to enter the busiest trading period of the year - the Christmas sales. So, here's an example of how sales volumes have grown during that period: in the first year of operations – December 2019 Marketplace's sellers received 1737 orders, the second year's Christmas – 79971 orders and the last one in 2023 – almost  half a million orders! The growth is spectacular," says the Head of PHH Group Marketplace.

According to him, Marketplace, which 5 years ago became a lifeline for businesses constrained by the COVID-19 pandemic and quarantine restrictions, today serves as a tool for sellers to expand their activities into new markets.

"Having opened the gateway to trading in different markets, we are delighted that more and more sellers are taking advantage of this opportunity. More than 90% of our sellers sell crossborder across Lithuania, Latvia and Estonia with just 1-click enabling international expansion from 1 to 3 locations. Today, our e-commerce solution is the most convenient for sellers wanting to reach the Baltic and Finnish markets," says Mr Stefański.

According to him, one of the most important steps was the Marketplace launch in Finland in 2023. Today more than 500 sellers successfully sell on the Finnish Marketplace. "It has never been easier to sell online and reach customers in foreign markets and we feel that we have directly contributed to this change," says Mr Stefański.

Looking ahead, Stefanski says that the company will continue to focus on expanding the number of sellers, especially targeting foreign sellers, expanding the product range, maintaining its market leadership in the Baltic States and strengthening its position in Finland.