Here to stay

Traditionally, Germany, with its market structure influenced by medium-sized companies and its high density of competition, has made it hard or even impossible for foreign retail businesses to gain a foothold. Not even Wal-Mart made it. The last DIY store operator (before Screwfix, which isn't a real DIY concept) that tried was Catorama; in 2000 this French company moved out again after ten years.
But now Germany seems to be strongly attracting its neighbours from the north. Two years ago, Clas Ohlson arrived in the major northern German city of Hamburg and has since opened four locations, and now the next Swede wants to conquer Germany: the retail chain Rusta opened two stores in autumn 2017.
The fact that this is not the end of Rusta's expansion plans in Germany was made clear by CEO Göran Westerberg when opening the second German location: "Regardless of the success of our second store, it is clear for us that more will follow in Germany in the next year. We are here to stay." They wish to "significantly increase the rate of expansion" and at least double it, and that in all markets.

According to a report by the professional journal Lebensmittelzeitung, the company intends to open up to 500 stores in Germany. There are currently 87 stores in Sweden and 19 in Norway. Sales in 2017 have grown by 15 per cent and are expected to reach more than five billion SEK. 
The Swedish retail chain has been offering a range of products for the home and garden for more than 30 years. The entrepreneurs Anders Forsgren and Bengt-Olov Forssell are still active majority owners.
Rusta sees itself primarily as a furnishings store which offers a range of DIY products. The concept is based on low prices and locations with around 2 000 m² retail space in smaller cities.
In order to concentrate on its core business and the expansion, Rusta has sold its logistics centre in Norrköping, in which the entire warehouse management is cumulated and which is being extended by 46 000 m², to a property management company and will rent it in its entirety.