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Allegro.pl enters Bulgaria and Romania


2007-06-28

Allegro.pl, the largest Polish online auctioning service, is planning foreign expansion and is considering acquiring online stores in Poland.
At the moment, the company operates in the Czech Republic, Hungary, Russia and Ukraine and is considering Bulgaria and Romania. The Czech website, Aukro.cz, is the market leader in terms of the number of users, and the Hungarian site (Teszvesz.hu) is in a race with one of its competitors for pride of place. The Russian and Ukrainian sites have only 110,000 users in total, but there is virtually no competition on these markets. Romania is considered by QXL Poland, the Allegro.pl owner, as a particularly attractive market, as there are six million internet users of a total population of 22m and there is only one online auctioning service. In Bulgaria there is no such company. The trial versions of Aukro.bg and Aukro.ro were launched in June, and the company has explained that they will be gradually developed to match the functionality of Allegro.pl.
The firm stated that it is not going to expand in the Western European countries, as there are portals owned by the parent company, QXL Ricardo, which operate there. However, the press speculates that Allegro.pl might acquire online stores in Poland, as it has recently purchased iStore.pl, a platform for the construction of such stores. The company refuses to comment on that issue, although it admits that the online auctioning services in the Western countries account for only 20% of online retail turnover. In Poland this share still stands at 50%. At the moment Allegro.pl has over 6.5 million users, and turnover in the auctions in 2006 was around PLN 2.5bn (€657.9m).


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