Hardware Association Ireland`s (HAI) recent study tour, on Wednesday 1st & Thursday 2nd October, took participants to the vibrant heart of Scandinavia, Stockholm. The capital of Sweden and home to approximately 2.5 million inhabitants in the greater metropolitan area.
Sweden’s DIY and Trade retail landscape (total annual turnover approx. €15.5b) offers a particularly compelling environment for exploration, driven by three standout factors:
- Strong Building Activity
Sweden is witnessing a sustained construction boom. With a homeownership rate of 65% and nearly 90% of the population living in urban areas, demand for renovation, home improvement, and building solutions remains high. These dynamics make Sweden an excellent benchmark for future DIY trends. - A Market Anchored in Sustainability
As a leading Nordic country, Sweden sets the tone for an environmental conscious retail environment. Swedish consumers increasingly expect sustainable, eco-friendly solutions, a trend that has deeply influenced the product strategies and position of local DIY retailers. - Distinctive and Resilient Retail Brands
The Swedish market is characterised by strong domestic players that have carved out clear identities. These retailers, whether independent, franchise-based models or specialised stores, have successfully held ground against major international players like Bauhaus and Hornbach.
During the study tour, the group were immersed in this dynamic ecosystem. They engaged with a diverse range of retail formats: from strictly trade (B2B), DIY retailers and franchise models to niche operators and independent stores. This journey featured rich insights into how Sweden’s DIY and Trade sector continues to evolve in response to urbanisation, sustainability demands, and competitive pressure.
INTRODUCTION TO THE STORES
Over the course of the two days, the program centered around three distinct types of visits: dedicated DIY retailers, professional trade & building suppliers, and specialised concept stores:
Day One began with a welcome from HAI President, Paul Candon, to all those attending and a brief introduction from our tour guide, colleague and contributor to The Hardware Journal through his ‘A View From Europe’ articles, Thierry Coeman. First stop was to Beijer Byggmaterial, a leading Swedish chain of builders’ merchants. It operates through stores with an extensive and well-assorted product range for both professional and DIY customers. All stores in the Beijer chain have been called Beijer Byggmaterial since 2002. The chain was acquired by STARK Group in 1990.
It was established in 1866 and operates 113 stores throughout Sweden. It is one of the largest retailers and distributors of building materials in the Nordic region with operations in Norway, Denmark, Sweden, Finland and Greenland. Beijer supplies both construction professionals and DIY’ers with high-quality building materials, tools and services. The turnover is approx. €10bn and it employs more than 2,000 people.
Our second visit on day one was to Nordströms, a familyrun builders merchant founded in 1908 in Stockholm which operates from 13 stores throughout the country. Nordströms caters strictly to the professional builders’ market (B2B) (no consumer business), suppling general contractors and carpenters in particular. With a turnover of €145m, Nordströms employs 300 people. The company is recognised and respected for its climate-neutral policy and ongoing investments in reducing its carbon footprint. Our colleague Thierry Coeman focuses on this company in his ‘A View from Europe’ feature where he does a deep dive on their strategy, see pages 58 & 59.
Ahlsell – close by, was our next port of call. They are again a strict B2B operation selling Electrical, Insulation, Tools & Machinery, Heating, Ventilation & Plumbing and Personal Protection products. They offer next day pickup for a product that is out of stock and also offer advice and installation tips. Ahlsell operates in Sweden, Norway, Finland, Denmark, and Estonia. They have a group turnover of €4.9b and currently have more than 4,000 employees at Ahlsell Sverige AB. Ahlsell’s stated strategy is to become the market leader in all their chosen product areas in each market. They aim to achieve this through both organic growth and acquisitions.
Next up was Bygg Ole – The Beijer Group acquired this familyowned business in 2018. Bygg Ole is respected for its vision on circularity. It operates out of 116 stores throughout Sweden. It supplies both construction professionals and DIY’ers with high-quality building materials, tools and services. The turnover is about approx. €1b.
Our final visit on day one was to Byggmax. Considered a leading Nordic retail group with a strong focus on discount retailing in building materials and DIY products. Byggmax operates all over Scandinavia (four countries) with 211 stores, amongst them are 137 stores in Sweden. The company was launched in 1993. The components for the Byggmax Business model are: a self-service, a drive-in, a very low-cost store staffing and cost structure, a EDLP strategy (Every Day Low Pricing), a pricing strategy where retailers offer consistently low prices on products without relying on sales or promotions) and a curated or pre-selected assortment of 6,000 SKUs. E-commerce accounts for approx. 21% of the turnover. Byggmax is listed on Nasdaq Stockholm.
Day Two began with a visit to Optimera. Optimera is a builders providers catering mainly to the trade operating in 70 stores around Sweden. Optimera is wholly owned by the French company Saint-Gobain and is part of Saint-Gobain Distribution Nordic. Optimera hold a significant market position in the Nordic and Baltic countries with sales of building materials and timber – in addition to wholesale activities and sales to the industry. Optimera has 160 outlets in the Nordic Region and more than 3,000 employees.
The group then travelled to visit Bauhaus. A German retailer, established in 1960. Bauhaus is one of the largest privately owned (Family Baus) home centre companies in Europe. Bauhaus operates in 19 countries with 280 stores and 18 of them in Sweden. The Bromma store visited is on two levels and opened just two years ago with a total surface of 12.500m², including a drive-in, garden center and expo show room department.
Clas Ohlson was the after-lunch visit on the Thursday. Founded in 1918 as a mail order business, today the company operates in Sweden (100 stores), Norway (96 stores) and Finland (38 stores) with a global turnover of approx. €10b. The company is listed on Nasdaq Stockholm and employs 5,000+ people.
Happy Homes was next on the list. It was established in 1962 and operates 80 painting stores all over Sweden. The Värmdö store visited is one of the oldest in the country. Happy Homes is Sweden’s oldest voluntary paint store chain all with local roots. Their individual retailers have a broad product knowledge and experience, sometimes from several generations. Happy Homes has been in its current guise since 2010 but was founded as a voluntary specialist chain back in 1962, then under the chain name Färgsam. They stock a large selection of paint, wallpaper, flooring, tools and accessories from wellknown brands. Many of their stores also offer expert services such as colour scheme and façade inspection.
The final stop on the study tour was to Nacka Byggnadsvard AB. This was a very unique store for specialising on renovation, repair and vintage products. There customers can find lots of different product offerings from cast iron urns, water pumps, outdoor furniture and water barrels to valves, valve grilles and old and renovated wood stoves.
Some stand outs from the trip:
- The positive attitude, openness, and friendliness of all the people that the group met.
- The cleanliness and tidiness of both the shopfloors and the warehouses – we also seen this in our tour of Belgium/ Netherlands a few years ago. It must help with efficiency.
- Competitive strategy – they are very focused on their specific market segment – they are not generalists.
- How few employees there were in each of the businesses – possibly linked to points 2 and 3 above.
- The €1,000 per year spend on workwear per tradesperson, managed by contact with the merchant – very interesting for that category – there are 171,000 working in construction in Ireland.
- The €5,000 tax write-off per household for spend on home maintenance/improvement products with approved tradespeople.
HAI CEO Martin Markey spent a couple of days after the tour in Stockholm. After miles of walking around Central Stockholm and taking a bus tour around the city he did not see one derelict building anywhere!
Some positive comments from the group included:
Robert Cleary, Topline Clearys Kilcock
It was a really enjoyable and valuable few days, the businesses were well chosen and gave great insights into how businesses in our sector are operating in Stockholm.
The key takeaways for me was the focus, efficiency, and tidiness of the stores we saw throughout. They were very impressive, and I’ve come away with some ideas to explore within our own business.
Peter Lawless, Goodwins, Lucan
We gained lots of new ideas on this great trip. Keep up the good work.
David Fitzpatrick, SIKA
Thank you to HAI for their hospitality last week, the trip was very good, and it was great to see the different aspects of the business in another country.
HAI would like to thank Monica Björk from the Swedish Trade Association for her valuable support and Thierry Coeman for his organisation and practical assistance before, during and after the event.
