Sweden leads spirits sales in Nordic monopolies

The long-term spirits sales declines in the Nordic monopoly markets slowed in 2015, with Sweden showing 2.2% total sales growth, according to Altia Corporation figures.

Sweden is leading spirits sales in the Nordics, according to Altia Corporation

Analysis released with the Finnish state-owned drinks group’s full-year 2015 financial results showed that increased interest in whisky, rum, liqueurs and gin drove growth in the Swedish market.

In Finland, spirits sales, particularly vodka, brandy, Cognac and liqueurs were “significantly lower” than in 2014, while Cognac and brandy showed the “sharpest declines” in the Norwegian market.

According to Altia’s own estimates, the overall market changes in Estonia, Latvia and Denmark were not significant, while interest in lighter, lower-alcohol beverages was a uniting trend across the region.

The total sales volumes (litres) of alcoholic beverages in Finland, Sweden and Norway, as published by the monopolies (Alko, Systembolaget and Vinmonopolet).

Cross-border spirits retail, a traditional driver due to price differences, declined over the course of the year.

According to Altia, spirits sales at the Finland-Estonia, Denmark-Germany and Sweden-Germany borders all saw 2015 sales fall.

Estonia’s importance as a purchasing location for Finns turned to decline, due to increases of alcohol taxation in Estonia, which has balanced price differences in the markets, and the introduction of import restrictions in July 2014.

EU citizens were previously unrestricted on the volume of alcohol they could bring into Finland from other EU countries. However, from 1 July 2014 this has been capped at 110 litres of beer, 90 litres of wine (of which a maximum of 60 litres can be sparkling wine, cider or alcopops) and 10 litres of hard liquor.

E-commerce sales continue to grow in the Nordics region, despite “unclear legislation” slowing down the shift to online, says Altia. Price-sensitive consumers and those looking for special products are largely driving the market.

In open markets such as Denmark, e-commerce is seeing “strong” growth, with traditional retailers’ online stores and specialist alcohol retail websites serving the market.

Altia saw its operating profit increase substantially in 2015, despite a sharp 10.7% sales decline.