Verkkokauppa.com expands to Sweden and changes its name abroad

Consumer electronics chain Verkkokauppa.com says it will expand to Sweden in cooperation with American e -commerce giant Amazon.

The Finnish company plans to start a large-scale consumer trade at Amazon’s Swedish marketplace during the spring.

CEO of Verkkokauppa.com Panu Porkka describes the start of consumer trade in Sweden as a significant milestone for the company. So far, Verkkokauppa.com has worked mainly in Finland.

“The Swedish market is attractive. The market area is almost twice as big than Finland, and has evolved better in recent years than the Finnish market, ”says Porkka.

According to Verkkokauppa.com, the Amazon partnership is a fast and “cost-effective” way to expand to a large market area. Amazon is by far the most visited of Swedish marketplaces, says Verkkokauppa.com.

The collaboration will bring more than 10,000 most popular products to Swedish consumers. The products are delivered from Verkkokauppa.com in Finland and they distribute the company’s postal and logistics partners to Swedish customers.

On Verkkokauppa.com There are no numerical goals in the Swedish extension. The company has stated that during the 2024-2028 strategy period, it is seeking growth from outside Finland through various partnerships.

Last year, the company started deliveries in Tallinn with Wolt, a food disposal company. Previously, it has collaborated in Sweden with CDON.com.

Verkkokauppa.com will move to use the Verk.com name in outside Finland. VerK is the company’s trading ID on the Helsinki Stock Exchange.

“The change was a very pragmatic and a few seconds, because the e -commerce store doesn’t tell anyone outside Finland,” Porkka says.

Finnish The consumer electronics market has been more or less difficult almost throughout the 2020s.

The Koronapandemia home and teleworking boom made Finns buy consumer electronics full of cabinets. Since then, consumers’ purchasing power has been reduced by increased interest rates, electricity bills and increased living on mortgages.

Porkka estimates that the Swedish market is more stable than Finland. In Sweden, consumption is not as sensitive to interest rates and the population is wealthier.

The Swedish market is also attractive because competition there is not as tough as in Finland.

Historically, Sweden has had one big player: the market leader is Elkjøp with Gigant in Finland–Elgiganten belonging to the Group. The rest of the market is distributed to several players.

In Sweden, the consumer electronics trade is more store -driven than Finland and there is no big e -dealer.

Online store.Com’s cooperation with Amazon is somewhat surprising, as stock analysts and financial media have occasionally discussed the scenario how to go to Verkkokauppa.com if the American e -commerce giant expands to Finland.

Does the company follow the saying that friends must be kept close and enemies closer?

“This is purely strategic advancement to us, but undeniably expanding is attractive the table has turned (Changing parts) or David and Goliath arrangement, ”Porkka says.