The grocery retail industry in Finland is characterized by an oligopolistic market operated by two retail trade groups: S Group and K Group. As of 2022, the S Group holds the largest market share with roughly 47 percent of Finnish grocery retail. The share of the K Group, also known as Kesko, amounts to approximately 35.2 percent. The third largest player in the Finnish grocery sector is Lidl. The German discount supermarket chain entered the Finnish grocery retail market in the early 2000's, and by 2022, Lidl has managed to acquire nearly one-tenth of the
Lidl steadily increased its market share
The S Group has four major supermarket chains: the hypermarket Prisma, the supermarket S-Market, as well as the smaller supermarkets Alepa and Sale. The K Group primarily operates
the grocery store chains K-citymarket, K-supermarket, and K-market, which generate the majority of the group's sales revenue. The
grocery sales revenue of Lidl reached over two billion euros in 2022. Of the three grocery retailers, the K group had the largest amount of grocery stores, with 1,220 in 2022.
Grocery stores belonging to the S Group amounted to 1,073. At the same time, the number of stores operated by the discount store chain Lidl has increased to 200.
Sales growth of plant-based organic food products
From 1996 to 2022, the average
value of a grocery shopping basket in Finland increased from 14 euros to 24.7 euros. Overall, general consumption trends related to well-being, natural ingredients and responsibility have been on the rise in recent years. These changing needs of the consumers are also reflected in the sales growth of plant-based and
organic food products in supermarkets. In light of the COVID-19 pandemic, Finnish consumers have increasingly been looking for ecologically and domestically produced food. According to a survey from May 2020, 40 percent of the respondents said that they preferred food products made in Finland. As most people were shopping less often in physical stores,
online shopping for groceries almost doubled in Finland during the coronavirus (COVID-19) outbreak in April and May 2020. However, while online grocery shopping is becoming more mainstream, only a small percentage of Finns bought groceries online often prior to the pandemic.
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