The electronics retail chain Power continues to push hard in Sweden. The goal is to double the number of stores in the country over the next five years to get closer to customers. However, such an offensive requires strength in the supply chain, and now it is clear that the company is making a massive investment in its Nordic central warehouse in Skillingaryd, Småland.
The existing warehouse, which initially measured 63,000 square meters, will now be expanded for the third time. When the new stage is completed, the total warehouse area will be just over 165,000 square meters. This means that the facility will be almost three times larger than it was originally, equivalent to 23 football pitches under one roof or almost the same area as the Liseberg amusement park.
We are growing rapidly, and this is an important part of being able to support the expansion rate we have planned for the coming years. We want to be where people live, and a store is never better than the warehouse behind it. Now we are building for the future, says Magnus Kreuger, CEO of Power Sweden.
Hit the ceiling for what the building could handle
The new extension comprises 55,000 square meters and will be built directly adjacent to the south of the current warehouse. To enable the project, property owner Prologis has purchased adjacent land. The ground will be broken in early 2027 and the new warehouse section is expected to be completed in early 2028.
On site in Skillingaryd, the expansion is long-awaited. The rapid growth has pushed the existing logistics suit to the limit.
We have grown with the chain and reached the ceiling for what today's building can handle. With the new building, we are prepared for the future, says Ulrika Onselius, Site Manager at Power International Logistics.
Won historic contract on home turf
The fact that the central warehouse is located in Skillingaryd in Vaggeryds municipality has recently proven to be a strategic success in more ways than just logistics. As recently as October Power won its first public procurement ever when the company signed a four-year agreement to deliver household appliances to Vaggeryds municipality.
The expansion of the central warehouse is further proof of the strong momentum that the chain is experiencing in the Swedish market right now. In addition to the physical and logistical expansion, Power's marketing manager Eddie Hernandez was recently awarded as Sweden's best marketing manager in the consumer electronics category for the seventh time.