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NorgesGruppen & Norwegian retail

This Scandinavian group has built a hugely profitable model using various store brands and the high standard of living of consumers. For over 20 years, Norway (with its 5.5 million inhabitants) has ranked among the nations with the highest Human Development Index (HDI) in the world, always in the company of Iceland and Switzerland.

It stands out worldwide for its natural wonders (especially fjords and waterfalls), safety, quality of life, social stability, civic sense and scrupulous attention to the environment. While the climate at these latitudes is harsh, the mass distribution market is well-maintained by the hard-working operations of NorgesGruppen, a company based in Oslo, founded in 1994 and currently holding the largest national market share (over 43%). The remaining competitors, which share the domestic market, are Coop Norge (29%), Rema 1 000 (almost 24%) and Bunnpris (4%).

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Some significant data NorgesGruppen serves 8.3 million consumers daily, has 2 109 stores and employs 45 245 people. The latest operating income was NOK 118 billion (up 5.2% year-on year), equivalent to approxi mately €10 billion (about 195 billion South African rand). This is not a negligible figure, as this instructive economic indicator expresses and measures the profitability of core activities (before considering interest and taxes) and determines the level of efficiency a company is capable of achieving. In 2020, NorgesGruppen’s operating income stood at NOK 102 million: after four years, it had grown by 16 million, thus significantly increasing its effective capacity to generate value, along with its commercial prowess on the market and its ability to distinguish itself as a healthy and prosperous player.

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The strategic orientation Runar Hollevik, born in 1963, CEO of NorgesGruppen. Runar Hollevik, CEO of NorgesGruppen, had articulated a specific development plan at the beginning of 2025, outlining the path he believed would be crucial to maintaining (and, if possible, even enhancing) the commercial prestige. The plan was, in fact, consistent with what had been implemented.

Digital simplifications The key investment in digital solutions was ‘Trumf Pay’. Specifically, it’s a mobile payment solution that allows customers to pay for groceries and earn Trumf bonuses (the name given to the institutional loyalty program) in a single transaction. It’s available to Trumf members nationwide and aims to revolutionise the shopping experience at NorgesGruppen stores. With Trumf Pay, customers no longer need to carry physical loyalty cards; they can pay via mobile phone and automatically earn the Trumf bonus at participating stores (KIWI, SPAR, MENY, Joker, Nærbutikken, Jacobs and CC Mat).

KIWI is the brand that characterises the Group’s discount division, SPAR and Joker serve the niche of local convenience, MENY is the brand that handles the ‘supermarket’ format; Nærbutikken supports local producers; Jacobs and CC Mat pride themselves on high quality ingredients and skilled professionals. Since its launch, 70% of Norwegian bank custo mers have been able to access this service, but it will be extended to other banks in the near future. The new Trumf app is available for download and is compatible with both manned and self-service checkouts at points of sale.

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" We are moving toward a specific goal: simplifying customers’ daily lives. This purpose must be achieved through attractive and pleasant-to-visit stores across the country! We know that consumer needs are changing, so we must be open and flexible to adapt to them. Competition in the food market remains aggressive, and everyone expects us to offer low prices, excellent services, and a wide selection of items on the shelves.

Norges Gruppen’s value chain is therefore forced to operate as efficiently as possible at all times, to reduce costs and keep prices low. Nonetheless, although optimism seems to be grow ing again, only the discount segment is truly standing out. All things considered (at least in Norway), supermarkets are also maintaining sales expectations, and local shops are making great strides in renewing their approach, also recording good performances. The different situations and changing consumer purchasing habits are challenging both our concepts and our ability to adapt. We will invest decisively in better shopping experiences, in physical stores and online, for both food-on-the-go and fast shopping. " ....Hollevik observed

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