Why Sweden?

• Appetite for new retail concepts
• Strong retail sales growth for more than a decade
• Natural first entry base for expansion in Scandinavia and Northern Europe
• Attractive retail space available
• Steady population growth, solid rise in disposable income
• Recognized as a trend-setting country

Opportunity for new international retail concepts

Among both consumers and property owners there is a welcoming attitude to new international concepts that add diversity to the retail market structure. The Swedish well-travelled and trend-sensitive consumers embrace new international brands and shopping experiences. There is today some 130 international retail chains present Sweden, majority originating from Scandinavia, Germany and UK. More than 30 percent of the foreign retailers have at least 20 outlets in Sweden.

Strong retail sales growth

The Swedish retail sector is one of the strongest in Europe in terms of growth, fuelled by steady population growth and rising disposable incomes. The retail industry - the largest in Scandinavia - has shown a positive growth for fourteen consecutive years.  

The retail sales measured in current prices increased by 3.7 percent in 2010 to 617 billion SEK (€68 billion). Until 2020 the retail sales is expected to grow by 30 percent according to the Swedish Trade Federation.

The development has been particularly strong in out-of-town shopping centers - retail destinations that are particularly keen to introduce new store concepts. Other retail concepts experiencing growth are franchising, e-shopping and cross border shopping along the national borders with Denmark, Finland and Norway.

Increasing online sales

More than two-thirds of Swedish households use mail order or e-shopping at least once a year and 20 percent at least once a month. Clothes, electronics CD's and DVD's top the list. Increasingly, traditional store retailers complement store sales with inline sales.   

Good supply of retail space

Extensive retail space is available, due to on-going and planned expansion of retail parks as well as a number of city center renewal projects. Out-of-town shopping centers account for a third of annual retail sales. Property owners and developers welcome international concepts, as they serve to differentiate their retail offering.

Franchising well established

Sweden’s franchising industry, which is dominated by domesticconcepts, presents ample opportunities for international franchisors. The industry recorded turnover growth of 180 percent in since 2002. The retail trade accounts for a large share of franchising concepts presently on the market.