The Danish retailing market is undergoing significant change driven by changing consumer behaviours, an upmarket shift in demand, and the rapid rise of internet retailing. Changing consumer shopping habits are leading to a focus on the development of urban formats in grocery retailing, while store-based non-grocery specialists are having to adapt rapidly to the growing popularity of e-commerce by building on the unique qualities of the store environment and developing their own online activities.
Modern consumer lifestyles have become increasingly hectic, as developments such as the ubiquity of digital devices have allowed work to spill out beyond set hours and leisure and entertainment opportunities have increased. In many markets, the fast pace of modern living is driving a shift away from regular, large-scale out-of-town shopping trips to frequent, smaller but less regular local shopping.
Having completed the reacquisition of Dansk Supermarked in the previous year, Salling Foundation changed the company’s name to Salling Group and gained the lead in the Danish retailing market in 2018. Salling Group operates across a wide range of channels within modern grocery retailing, as well as in department stores and internet retailing.
A number of factors underpin internet retailing’s ongoing dynamism in the Danish market, including the strong demand for convenience amongst busy consumers, competitive pricing and the capacity for price comparison, the increasingly important role of smartphones in consumers’ everyday lives, and the development of more flexible and efficient delivery services. This latter factor is set to play a significant part in internet retailing’s further development, as Danish consumers consider the price, flexibility and speed of delivery to be key factors in differentiating between internet retailers.
The Danish retailing landscape is set to see ongoing rapid evolution over the forecast period, with the most notable development being the continued dynamic expansion of internet retailing, and particularly mobile internet retailing. Indeed, internet retailing is forecast to be the key driver of overall retailing growth in Denmark over 2018-2023, as more retailers commit to the development of e-commerce operations and consumers move online for a growing range of products.
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This industry report originates from Passport, our Retailing market research database.