Nordic Ecommerce Unleashed: Latest Trends & Stats You Need to Know!

Welcome to the dynamic world of Nordic ecommerce! We’re about to dive into the latest trends and statistics that are shaping the Nordic ecommerce arena. Whether you're a local merchant or a cross-border business venturing into the Nordic market you've come to the right place to uncover customer preferences and stay updated on the ecommerce trends. And don’t be fooled by the term ‘Nordics’ - each country has its own unique characteristics and preferences, so to stay on top of everything, you’ll need to go deep into the details.?

?? Would you like to learn more? Apply for a 30-minute free consultation now with our team of Nordic payment experts!

Denmark

Velkommen til Danmark! Nestled in Northern Europe, this captivating kingdom is known for its beautiful villages, charming canals and the legendary city of Copenhagen. When it comes to ecommerce, Denmark is thriving with a perfect blend of innovation, convenience, and consumer-driven trends. Danish consumers wholeheartedly embrace the seamless experience offered by ecommerce platforms, from mobile commerce to the dominance of local payment methods.

• Explosive Growth: The Danish ecommerce market is growing with a projected compound annual growth rate (CAGR) of 9.8% from 2023 to 2027. The market volume that's set to hit a whopping US$14,649.1 million. It's like an online shopping rocket that shows no signs of slowing down.
• Economic Powerhouse: While the ecommerce wave surges, Denmark's GDP is riding high too. Denmark's GDP grew 0.2% in the first quarter of 2023 compared to the previous quarter, fueled by reduced reliance on fossil fuel imports. It’s clear that they’re navigating the energy market disruptions like pros and moving towards a greener future.
• The Cross-Border Shopper's Paradise: When it comes to cross-border traveling and shopping, Denmark is the 4th most popular destination in Europe. It's a land where international shoppers come to indulge their retail cravings. And guess who's on top? Lego! It's no wonder—those colorful bricks can build dreams and make childhood memories come alive.
• Social Commerce: Social commerce is the name of the game in Denmark. With an expected CAGR of 27.5% between 2022 and 2028, the value of social commerce is projected to increase to a staggering $3,955 million in 2028.
• Top Ecommerce Segments: Denmark's top ecommerce segments are fashion, accounting for a stylish 31%, closely followed by electronics and media, claiming an impressive 29%. Seems like Denmark is a digital paradise for all the fashion-forward tech enthusiasts out there.

• Payment Power Plays: In Denmark, paying with cards is the most popular choice, with a huge 49% of shoppers preferring this convenient method. Wallets come in a close second, claiming 26% of the market share. Cash? Who needs it? Only 1% of the Danish population still clings to the traditional way of payment. Time to wave goodbye to those dusty old bills!

• Cross Border Ecommerce: Denmark is a country that thrives on breaking boundaries, especially when it comes to online shopping. A remarkable 22% of the total ecommerce pie comes from cross-border transactions. And guess what? 55% of Danish online shoppers enjoy venturing beyond their borders to countries like Germany, Sweden, and even China, in search of that perfect purchase.
• Local Payment Methods for the Win: In Denmark, after card-based payments, the most commonly used local payment methods are Klarna, Trustly, MobilePay and ApplePay, offering convenience, security, and seamless transactions.

Finland

Let’s step into the captivating realm of Finland, a land where breathtaking natural wonders and cultural treasures blend together. Finland's ecommerce dynamics are a testament to its forward-thinking approach and tech-savvy population. With a steady growth rate and a focus on digital innovation, Finnish consumers have embraced the convenience and accessibility of online shopping.

• Ecommerce on Fire: There's an ecommerce explosion in Finland! By 2025 the market is estimated to be worth 11.84 billion euros with 4 million+ people shopping online.
• Dance of the GDP: The Finnish GDP is expected to reach 277 billion euros in 2023. Even though there are some concerns about a possible recession on the horizon, Finland has a knack for weathering storms and bouncing back even stronger!
• Tori.fi: The Digital Oasis: The ecommerce crown in Finland is worn by none other than tori.fi. It's the go-to marketplace destination for Finnish eshoppers, where treasures are bought, sold, and discovered with a click.
• Toys, Hobbies & DIY Take the Stage: Finland sure knows how to have fun! The top ecommerce segment is Toys, Hobby & DIY, captivating shoppers' hearts and imaginations with a fantastic 31% share. And not far behind, Electronics & Media light up the scene with an impressive 23%.

• Payment Power Play: In the Finnish payment realm, bank transfers take center stage, commanding a 31% share. Card-based payments also make a strong entrance, with a 26% presence.
• Cross-Border Commerce: Finland loves to explore beyond its borders, with a remarkable 22% of total ecommerce flowing from cross-border transactions. 61% of Finnish online shoppers have embarked on cross-border shopping adventures, with Germany, Sweden, and China leading the way.

• Visa & Mastercard: The Card Kings: When it comes to card schemes, Visa and Mastercard are the kings of the game in Finland. In Finland, 55% of the population uses Visa, whereas Mastercard is utilized by 45% of Finnish shoppers. These iconic card giants make their presence known, enabling smooth and secure transactions for Finnish shoppers.
• Farewell to Cash: Finland is on the fast track to becoming a cashless society. The Bank of Finland predicts that banknotes will bid their final farewell by 2029. This way, Finland leads the way into a cashless future!
• Local Payment Methods: In Finland, people love using local payment methods like Klarna, Trustly, Zimpler, and Paysafecard. These popular options are the top choices for Finnish shoppers, providing convenience, security, and smooth transactions.

Norway

Norway offers a unique voyage unlike any other, where majestic fjords and vibrant cities offer a perfect blend of modernity and history. When it comes to its ecommerce dynamics, it showcases a thriving digital landscape fueled by innovation and consumer preferences. The tech-savvy population and widespread internet access contribute to the success of ecommerce in the country. Frictionless payments are in high demand, driving the need for seamless and convenient transaction options.

• Ecommerce Growth: Norway's ecommerce revenue is expected to hit 14.21 billion EUR by 2027 with a growth rate of 9.5%. Get ready for a skyrocketing ecommerce scene in Norway!
• Tech-Savvy Titans: Norwegians are tech-savvy and highly literate in ecommerce, making them a force to be reckoned with in the online shopping arena. Norway is a playground for digital enthusiasts, where the possibilities are endless.
• Internet for All: In Norway, 98% of the population has internet access, and 92% are using it for shopping. Moreover, 35% of Norwegian shoppers make purchases more than 6 times in just 3 months. The internet is their gateway to retail bliss.
• Energized Economy: While Norway appears well positioned to avoid the energy crisis hitting the rest of Europe, it's still dealing with inflation. The average inflation of Norway in 2023 is 6.67%.
• Finn.no: The Ecommerce Champion: When it comes to ecommerce websites, finn.no takes the crown in Norway being the go-to destination for Norwegian shoppers.
• Fashion Takes the Spotlight: Norwegian shoppers have a great sense of style, with fashion capturing a 27% slice of the ecommerce pie. Following closely, Electronics & Media takes the place with 23%.

• Card-Powered Payments: Card-based payments win the competition with 42% of shoppers using cards for their purchases. Clearly, Norwegians like tapping, swiping, and embracing the convenience of card transactions.
• Crossing Borders with Confidence: Norway has a thriving cross-border ecommerce market, accounting for 25% of the total ecommerce activity. 59% of Norwegian online shoppers have embarked on cross-border adventures, with China, the US, and the UK being the top destinations.
• Local Payment Methods: Klarna, Trustly, VIPPS, and Paysafecard steal the show as popular local payment method options, ensuring seamless transactions and peace of mind.
• The Local Card Schemes: Norwegians tend to use BankAxept as a local scheme instead of Visa & Mastercard. In fact, Visa is used by only 7% of the population, while Mastercard is preferred by 11%. Good to keep in mind!

Sweden

From its breathtaking forests to sparkling lakes, Sweden is very well known for its rich nature and cultural heritage. Just like the other Nordic countries, Sweden's ecommerce scene is all about innovation and meeting customer preferences. With a notable growth rate, Swedish shoppers are diving into online shopping with enthusiasm. Sustainability is a top priority, and seamless payment options are in high demand for shoppers of all ages.

• Ecommerce Boom: With a projected market volume of 21.79 billion EUR by 2027, driven by a 9.4% (CAGR 2023-2027), the Swedish ecommerce market is leaving its mark on the industry!
• Sustainability Revolution: Sustainability is very important for Swedish shoppers, especially women aged 65 to 79 prioritize eco-friendly choices. Indeed, 60% of this age group always keep sustainability in mind when shopping online.
• Frictionless Payments: Frictionless payments steal the show for a seamless shopping experience. Across all age groups, Swedish people are craving hassle-free and smooth payment options.
• Revolutionary Payments Services: The Swedish central bank, Riksbank, launched RIX-INST—a groundbreaking service enabling real-time, 24/7 payments between banks.
• The Digital Wonderland: blocket.se: Seems like blocket.se is the most popular ecommerce website in Sweden where Swedish people enjoy online shopping.
• Dominating Segments: The ecommerce scene is dominated by the fabulous world of fashion, accounting for 31% of the market. But that's not all -Electronics & Media steal the spotlight with a dazzling 23% share.

• Card Payments on Fire: Swedish people are up for the convenience and security of card payments, commanding a 32% share. On the other hand, cash payments are only used by 1% of the society.
• Mastercard to Go: When it comes to card payments, Mastercard takes the crown as the most commonly used card scheme, capturing a dominant 61% share. Visa follows closely behind, making its mark with a strong 38% presence.

• Venturing Into Cross-Border Markets: 49% of Swedish online shoppers are diving into the world of international shopping, exploring products from China, Germany, and the UK.
• Local Payment Methods: From the convenience of Klarna and Zimpler to the simplicity of Swish and Paysafecard, there's an option to suit Swedish people’s preferences. Trustly and Paysafecash join the lineup, offering secure and seamless transactions.

?? Would you like to learn more? Apply for a 30-minute free consultation now with our team of Nordic payment experts!

How Finaro is Fueling the Growth of Businesses In the Nordics

Finaro leads the charge when it comes to fueling business growth in the Nordics. Our recent partnerships speak volumes about our dedication to the payment landscape in that region. Together with our partners, we are forging new paths for development and expanding our presence across all four countries. Allow us to share some exciting highlights:

• We teamed up with Mastercard, Northmill, and NMI to introduce a top-notch Cloud Commerce solution to small and medium-sized businesses in Sweden, Norway, and Finland. This European Cloud Commerce solution will help merchants in these countries improve their online sales and operations. By harnessing the power of cloud-native software-based acceptance, we are revolutionizing the payment experience for businesses operating in the Nordic markets.

“With the Nordic region being one of the most advanced eCommerce markets in Europe, merchants there are familiar with mobile commerce and mPOS terminals, but this new offer takes Nordic payments to the next level.” – Ruben Nielsen VP of Sales & Business Development at Finaro

• Freepay and Finaro partnered to strengthen Freepay's position as a payment provider in Denmark. This collaboration offers businesses a comprehensive online payment solution, including card payments, across different platforms. Freepay becomes a one-stop payment supplier, helping companies find the right payment solution for increased profitability. Together, we empower businesses in Denmark with seamless and profitable payment options, simplifying their payment processes and unlocking growth opportunities.

“Looking into scalability and innovation, we have chosen to partner with FreePay (a part of Freeway Group) to provide international acquiring infrastructure, add new Visa and Mastercard products on the eCommerce gateway, and go further into changing the payment landscape with new unique products and services to challenge the market. As Finaro continues to grow in the Nordics we are excited about the opportunity to work with the team from Freepay, with brilliantly simple payment solutions.’’ – Ruben Nielsen VP of Sales & Business Development at Finaro

• With our gateway partner Ginger, we aim to empower fintechs to provide comprehensive payment services and enhance customer experiences with alternative payment methods (APMs). Our payment solutions are specifically designed to deliver exceptional payment services that cater to the unique needs of merchants in the Nordics area. With our collaborative efforts, merchants can confidently navigate the payment landscape and offer exceptional payment experiences to their clientele.

“Finaro’s smart acquiring services, robust gateway platform and exceptional track record in boosting transaction approval rates will elevate Ginger’s presence in the Nordics, enabling them to offer transformational PSP services that will open up access to new markets and opportunities for all parties involved.” – Achiya Fried , CCO at Finaro

• With Finaro, companies entering Europe or the Nordics gain access to international markets using the same infrastructure immediately. If you’d like to learn more about how Finaro empowers fintechs in the Nordics, read our article from Nordic Fintech Magazine!

Unlock Success in the Nordic Ecommerce Arena

The Nordic ecommerce landscape is a vibrant and evolving realm of opportunity. From increasing growth rates to sustainability-driven consumer preferences, the Nordics offer a dynamic market for merchants to thrive. If you need further help, reach out to our team for more information.

The Nordics await and the possibilities are endless.

* Special thanks again to PPRO for providing the latest stats through their research.