Are you establishing your e-commerce business in the Nordics? Read this first!
Where does a better tomorrow starts?
It starts with the curious ones. With the eyes, seeing things differently. It starts with the ones getting things done. Regardless of where you are on your journey, we’ll make sure your launch in your new market becomes successful. With over 30 years of experience, we have improved web experience for some of the world’s most successful companies. Founded in Gothenburg, Sweden we’re now active in 14 countries and can help you with your do’s and don’t in the Nordics. Up here, we’re quite proud of doing things differently and with strong digital first companies such as Spotify, Klarna and Daniel Wellington founded here, we know that the Nordic business model is working. To help you get started, we’ve cleared out some facts about e-commerce business in the Nordics:
1. Get your payments in order
Welcome to the land of invoices. In the Nordics, the consumers are questioning why they should pay for something before they’ve received it and we have a strong culture of paying with invoice, this has even gone to physical retail with Klarna and today, more than 50 % of the Swedish consumers is requesting a more flexible way of paying rather than card. Swish has a strong growth during 2019 among Nordic e-commerce businesses and the trend looks like it will continue on for 2020. The sum of all of this is to get your payments in order, to understand that the Nordic payment landscape differs quite a lot in comparison to Europe where card and PayPal continues on being strong players.
2. You will not make a profit out of Logistics
As said before, the logistics in the Nordics can be challenging and making a profit out of your logistics in the Nordic is not something you should expect. Instead, you should find ways to offer different shipping models that fits your business and your customer. In the Nordics, 8 our of 10 consumers thinks it’s important they got to choose how the product should be delivered. In fact, they even think this is more important than that the delivery being fast, so it gives you room to play with as long as there is choice.
3. Christmas is celebrated on the 24 and July is for holidays
The Nordic population is quite known for being hard effective works, but we’re also quite known for generous parental leave, health care and annual leave systems. Do not, I repeat, do not try to start something up in July as most people will be on vacation in their archipelago summerhouses, this is not the moment for innovative startups, this is the moment for fika on the porch. Good to know as well is that Christmas is celebrated on the 24th so you better get started with that sale a bit earlier. Know your audience and know when they will be most willing to listen to your message. To summarize this, to establish your e-commerce business in the Nordics comes with some challenges, all for you to overcome, so don’t let that hold you back. The successful companies can look forward to one of the most e-commerce mature markets where e-commerce growth stands for over 55 % of the total retail turnover. Get in the game.
*Source: E-barometerns årsrapport. Read e-barometern here: e-Barometern-arsrapport-2019.pdf (Swedish)
And, if you need a local partner on your journey, get in touch with us. We’re here for you.
Sofie Hedman, Project Manager & Business Analyst, Unified Commerce Sigma
+46 (0)73 723 79 55