Many of Axfoods brands have been around for a long time. But in recent years, the Axfood family has gained several smaller companies, all part of a clear strategy to develop new areas within the group. Klas Balkow, CEO and Group CEO, shares his perspective on these new acquisitions.
Many of Axfoods brands have been around for a long time. But in recent years, the Axfood family has gained several smaller companies, all part of a clear strategy to develop new areas within the group. Klas Balkow, CEO and Group CEO, shares his perspective on these new acquisitions.
In the past few years, five new companies have been incorporated into Axfood. CEO and Group CEO Klas Balkow sees great value in diversifying the group's operations and investing in smaller players.
“When we look back in 40-50 years, some of these 'seeds' will be large companies, while others will be very niched. That's the charm and, above all, the strength of having such a diverse range of concepts.”
Mat.se - a dedicated online store
The online store Mat.se has quickly established a strong position in the online grocery market. The store offers a full range of groceries along with inspiring recipes, weekly menus, and the option to hand-pick personalized food bags. The company also develops new ideas and services to simplify customers' daily lives. Since the beginning of 2017, Mat.se has been part of Axfood.
"With Mat.se, we have greater flexibility to rapidly develop our online food retail without having to consider physical stores and their assortments. We have the opportunity to be innovative and develop new services to meet the needs and demands of online consumers. We can learn from this and transfer insights to the rest of the family", says Klas Balkow.
Urban Deli - restaurant, food hall and store
Urban Deli is a combination of restaurant, food hall and store with four locations in Stockholm: Nytorget, Sickla, Sveavägen, and The Central Station. Additionally, Urban Deli operates its own production kitchen. Axfood acquired 50% of Urban Deli in 2014, but increased ownership to 90% in 2018.
"Urban Deli is our fantastic mix of café, restaurant, and retail, where consumers increasingly move between these areas. Through their expertise, we can develop meal solutions and test them in a restaurant environment before selling them in the deli. Here, we have the opportunity to explore new types of dishes and how we can develop the concept of meal solutions for Axfood as a whole."
Apohem - health and well-being online
The online pharmacy Apohem offers a wide range of pharmacy products online at a low price and aims to create a unique customer experience through fast and secure deliveries and innovative ancillary services. In addition to medications, Apohem also sells health-related products for the body, health, and well-being. Apohem was founded in 2017 and is owned by Axfood and Axel Johnson's investment company, Novax.
"Medications and pharmacy products are very well-suited for online sales. With our own online platform, we can not only offer these products to all consumers within the Axfood family of companies but also be part of the development in an area with strong growth potential."
Middagsfrid - ready-made meal kits
Middagsfrid was founded in 2007 and is Sweden's first company for home delivery of pre-planned meal kits. Their vision is a better food world where more people value homemade meals based on real ingredients that also consider health, nature, and the climate. Menus change weekly and are based on fresh, climate-smart, and additive-free food. Middagsfrid delivers to over 300 locations in Sweden and has been part of the Axfood family since 2017.
"Pre-planned meal kits have experienced significant growth in the Swedish market. With Middagsfrid, we have an edge within this area. Their skilled meal developers and excellent recipes allow us to not only develop meal kits but also the concept of meal solutions to be implemented across all companies within the Axfood family."
Eurocash - a strong border chain towards Norway
Eurocash consists of stores located along the border to Norway. The company aims to be the best grocery chain at the border, offering high-quality products at prices consistently lower than their competitors. Axfood acquired Eurocash in 2016, and it is now the second-largest grocery operator along the Norway-Sweden border. Approximately 80% of their customers are Norwegians who cross the border to buy groceries.
"We see significant ongoing potential. With Eurocash, we have a strong and clear position in the grocery trade between Sweden and Norway, which is a valuable and strong addition to the Axfood family", concludes Klas Balkow.