What: Local label Holzweiler has introduced a new retail concept in Oslobukta, the city's new creative hub, while more than USD 33 million was invested to revamp Oslo's luxury department store Steen & Strøm.

Why it is important: While Norway is coming out of the pandemic with one of the most robust economies in the world, Steen & Strøm result so far is double-digit growth in terms of both visitors and turnover since stores were allowed to reopen in Oslo last May.

Local consumers are shopping confidently, international shoppers are slowly but surely returning, and there’s an array of new developments across Oslo, from new museums to the new arts and culture center Oslobukta. This has created a newfound appetite for luxury fashion, still a relatively new market for Norway — and both local and international labels are reaping the rewards.

There are major retail developments: Promenaden has pumped more than USD 33 million into revamping Oslo’s luxury department store Steen & Strøm, bringing major international beauty and fashion names into the country for the first time and aspiring to “own luxury” in Norway. At the same time, some of the city’s independent labels are seeing impressive growth against the odds, and grabbing international attention.

The family-run brand Holzweiler is one such name. Despite the pandemic, the label managed to grow both its e-commerce and wholesale business by 176 and 49%, respectively. The label also caught the attention of global retailers like Net-a-porter, Harrods, Selfridges and Browns while continuing to develop its presence at home since shining a spotlight on Oslo remains a priority.

That’s why the label is investing back into its hometown with Holzweiler Platz, a new retail concept and “dream project” for founders Andreas and Susanne Holzweiler. It’s slated to open in September. The new space blends food, art and fashion with a new restaurant dubbed Café Platz, yearly artist collaborations, and a striking design concept all about curved lines, open space and Scandi minimalism.

The ambitious revamp of department store Steen & Strøm, which happens to be the longest-operating department store in the world, is also helping make the city’s luxury retail scene more vibrant and turn Oslo into an important destination for luxury brands. Real-estate manager Promenaden has invested in the store to create a new beauty hall; new entrance onto Karl Johans gate, the city’s busiest shopping street, and launch brands and concepts that have been missing in Norway — and Scandinavia as a whole.

The ambitious redevelopment project includes a new interior layout to improve the store’s flow; a French luxury corner; the first men’s grooming space in Norway; the first Dior Beauty boutique in the Nordics, and new tech features to enable customers to try on makeup digitally in the beauty hall. There are also continuing efforts to broaden the retailer’s brand mix and help bring major fashion names to the Norwegian market, as local customers have developed a stronger appetite for international labels.

Norway Builds Its Luxury Retail Scene