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Listen to the Customer: An Interview with the Haypp Group

By: Anna Svensson

 

Young beautiful brunette woman working at the office wearing operator headset smiling with hand over ear listening and hearing to rumor or gossip. deafness concept.

“The closer we become with our customers, the more we will understand their needs across different markets and customer segments. Only then can we be on the customers’ side and create proper change.” These words were spoken by Markus Lindblad, Head of External Affairs for the Haypp Group, when discussing the company’s plans for growing their business even more by the end of 2020.

So far, this strategy and a close relationship with the consumer seems to be working very well for the Sweden-based Haypp Group. Although only formed in 2019, through the merger of Northerner and Snusbolaget, it has already garnered great sales – with its website, NicoKick, selling 80,000 cans of nicotine per month. The Haypp Group is hoping to see an annual turnover of 1.4 billion Swedish Krona by the end of 2020, as well as increasing their sales to one million products per month by the end of 2024. The Group is already well on their way, having experienced a 250 percent increase in sales within the past six months.

Merger Was Key to Growth

Before the merger, Northerner was the largest online store of smokeless tobacco products worldwide, while Snusbolaget dominated the online smokeless tobacco Scandinavian market. Since joining forces, their client base has grown exponentially, to include more than 30 countries of approximately 500 000 customers.

Whereas before their market seemed concentrated on mainly America and Scandinavia, their introduction of nicotine pouches to Europe has seen their products soar within the European market as well. With the EU banning oral tobacco products, it seems that the Haypp Group really has been listening to consumers – as strategized by Lindblad – and provided them with a nicotine alternative to combustible tobacco products.

Another positive aspect of the Haypp Group’s rapid rise within the United States is job creation. As Lindblad states, “In response to this high demand [for our products], we’re creating new American jobs at our distribution centers and commercial offices while continuing to focus on providing a convenient, secure, and high-quality experience to our surging U.S. customer base.”

No Negative Effect from COVID-19

Interestingly, Lindblad mentioned that Covid-19 seems to have had little impact on their business, except for a slight increase of sales within Norway. Therefore, Lindblad is certain that the global pandemic will not stand in the way of achieving their ambitious plans for 2020.

With business not looking set to slow down soon, it seems very plausible that the Haypp Group can expect to reach their target by the final quarter of 2020, while maintaining the promised job creation which will become even more central post the Covid-19 crisis.

All information presented is the author’s own and references to any products or services do not necessarily indicate endorsement by Small Biz Club.
Published: September 11, 2020
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