The cleaning of premises in Kiev is becoming more and more interesting not only for the local businessmen, but even for the foreigners – this year the first European company start working at Ukrainian market. The experts are sure, that thanks to the growing demand and free space in the industry the process will be mass. However the deficit of staff and damping of the small competitors may break the illusions of the new one.

Cleaning with Accent

The capital market of cleaning services, which has been demonstrated a record growth thanks to the growing interest of local investors (10-20 specialized enterprises a year), paid attention of the foreign cleaners to itself. Lately the native company Griffin Group claimed about creating the joint venture with one of the biggest polish cleaners Impel S.A. (the staff is about 40 thousands of people, the turnover in 2007 is EUR800 millions). According to the words of general director of Impel Griffin Group Vitalij Opanasiuk, the authorized capital of the new enterprise is EUR400 thousands. Until 2009 it’s planning to occupy 15-20% of Ukrainian cleaning market, increasing its part twice.

Explaining the reasons of the interest of the foreign investors to our country, Mr. Opanasiuk says first of all, that for today more than 50% of the segment is already filled.

“This is a really good time for the companies to fill the indubitable territory”, he thinks. In his opinion, the foreigners will occupy our market. Amongst the potential candidates for cleaning sphere he names the specialized firms from Europe and USA.

“I don’t think that they are going to fill our market by absorption of local enterprises. The thing is, there’re not so many interesting enterprises for buying”, the expert forecasts.

Iryna Kladko, the marketing specialists, thinks that the foreign capital will not affect our market in the nearest time.

“Today the main features of this business are job experience, reputation and wide lists of performed projects, the forming of which is just a question of time, not only the question of money”, she assures.

At the same time Ms. Kladko assures the high interest of Western enterprises to our market, telling about the offers of collaboration made by European specialized enterprises to her company.

Clients Were Cleaned

The capital market of cleaning services becomes more interesting for business each year. According to the information of the cleaning company Mojdodyr, the demand on the premises cleaning has grown on 30% during the last season. Vitalij Opanasiuk assures that cleaning enterprises has already occupied about 70% of Kiev commercial objects. The dynamic growth of demand is explained by appearing of new enterprises in the capital, by changing the existing methods of business for European ones, when the non-profile works are given for outsourcing. Besides, the cleaning in the most of shopping mall and business centers is made by managing company, which is looking a specialized company for each kind of cleaning works.

As a result, for today the client base of big enterprises consists of the corporative customers (more than 80%; these are trade and office centers, banks, food chains etc.), government institutions (15%), international representatives, consulates and private people (only 5%). The smaller enterprises, according to the information of Mojdodyr, get 60% of profit from the private people’s orders, just 40% – from the corporative orders. At the same time the experts notice, that lately the dynamic of demand growing start going down: less and less capital inhabitants trust cleaning of their apartments to the cleaning companies. If earlier the group gave about 40% of profit, right now it’s less than 15%. At the same time the category of corporative clients is growing with a big speed.

“Lots of capital inhabitants, even rich ones, prefer to invite an old lady for cleaning; very rarely they also order the general cleaning of the house. Except for wish of economy, the clients explain their choice, that they don’t want to let the strangers into their cottage or apartment”, the representative of Mojdodyr explained.

As the private customers are leaving the market, the cleaning service is getting more expensive – for a year the prices have grown for 20%. For example, the prices for cleaning after construction start from 15 grivnas for square meter, the general cleaning – from 10 grivnas for square meter, the dry cleaning – from 50 grivnas for one piece etc.

“But the real prices may be two or three times higher, depending on the specificity of the object”, the representatives of Mojdodyr tells.

The representatives of the specialized enterprises admit: the services, which are difficult to fulfill just by oneself, are ordered more often. This is the cleaning after construction, washing of windows and showcases, dry cleaning of carpets, care of different kinds of floor coverings, natural stone and facades. It necessary to notice, that the cleaners get good money for the last fashionable tendencies of interior design. According to Mr. Opanasiuk, this year the demand on the natural stone care service has grown, because it’s recommended by architects.

“Soup” Records

According to the Vitalij Opanasiuk, more than 150 enterprises, doing the cleaning service, work in the capital today. At the first sight, this quantity is enough for satisfying of market’s demand. But just 10-15 of those are able to do the whole list of jobs qualitatively. That’s why the satiation of segment isn’t coming soon. A small enterprise in the sphere may be opened for minimal price (from $20 thousands), the presence of the free space attracts the new businessmen it the sphere, including those who used to be an employee of the cleaning company. The Mojdodyr representative says that the new ones are desperately damping the prices, offering 20-30% of discount. In cleaners opinion, the inflation in the country and growing of price of support consumables caused the growing of cleaning jobs price for 30-40%, at the same time the cleaning companies could raise the prices for 20% only.

“The fight for the client is generally in the price plane. It’s easier to do a low price of the service, than improving the quality, spent money on the staff education, uniform, technique and support consumables”, Iryna Kladko adds.

By the way, some companies are not able to keep the necessary level of quality, and the market bum caused a problem of staff for them. In Ms. Kladko opinion, the staff problem is threatening to become the main obstacle for the foreign companies.

“You may bring top-management, equipment and the newest technologies with you, but the staff will be Ukrainian. Right now we observe not only a lack of specialists, but also an absolute unwillingness of potential candidates to work. To get over it, you should spend lots of time, forces and money”, she sums up.

Source: “Delovaya stolitsa”