The world’s oldest continuously running department store, Steen and Strøm (S&S), is celebrating a record year of sales, with the store’s owners highlighting the impact of a new wave of international shoppers from Asia, the US and the Middle East.
Steen and Strøm, which first opened in 1797 and is widely regarded as Norway’s answer to Le Bon Marche, Selfridges-London, Rinascente-Milan – increased year-on-year sales by 6.9% in 2024, achieving record takings for a second consecutive year.
Key to this success has been improvements to S&S’s layout and customer offering. In 2024, the store opened two new fashion floors and Norway’s first-and-only ‘Tech Hall’.
The 7,500sq ft space is home to over 600 brands as well as photo, video and sound studios, with a year-long programme of events.
S&S also invested heavily in its e-commerce platform, helping lift online sales revenue by 115% year-on-year (YoY).
Norway’s tax-free shopping policy has also been credited with the record trading figures. Sales revenue from overseas customers jumped by 122% YoY, with luxury shoppers increasingly turning to the Norwegian capital as an alternative to Milan, Paris or London.
S&S, which is home to over 1,000 brands, was most popular amongst Chinese shoppers, who made up 16% of all tax-free sales, marking an increase of 64% on their contribution in 2023. This number is expected to grow throughout the year, after Hanain Airlines announced it will be restarting direct flights from Beijing to Oslo in March.
The next largest groups amongst the 117 nationalities that shopped tax-free at Steen & Strom were:
Country | 2024 share of tax free transactions | Growth on 2023 total |
China | 16% | 64% |
United States | 10% | 14% |
United Kingdom | 6% | 7% |
United Arab Emirates | 3% | 16% |
Germany | 4% | -14% |
Thailand | 4% | 41% |
Switzerland | 2% | 22% |
Indonesia | 2% | 27% |
India | 3% | -14% |
Singapore | 3% | 10% |
Others | 47% | 9% |
Source: Global Blue
Promenaden Management, which manages the building and its surrounding shops for on behalf of its parent company MARK Capital Management, cites the growing appeal of Oslo to the cooler climate, known as the as the ‘coolcation’ effect, where holiday-goers including luxury shoppers are seeking cooler destinations; growing business appeal; and the contagion effect, where the success of major brands in the area has encouraged others to follow suit or expand their footprint.
David Wilkinson, Steen & Strøm’s executive director at Promenaden Management, said: “Oslo has been somewhat of a sleeping giant in the world of luxury retail but that’s beginning to change as Europe-bound brand obsessives, drawn by a uniquely Scandinavian chic and promise of year-round cool weather, take advantage of competitive tax-free shopping. This can be seen in last year’s trading figures for Steen & Strøm, the department store’s best-ever in its 228-year-long history, with shoppers also providing positive feedback on the new ‘Tech Hall’, e-commerce platform and enhanced contemporary fashion and streetwear offering.
Our plans for 2025 include the introduction of a new luxury and footwear concept, pop-ups for emerging brands, and a reimagining of the restaurant and event spaces.”
Oslo’s growing popularity amongst the world’s leading luxury brands is seen clearly on Steen & Strom’s surrounding streets. S&S sits on the Nedre Slottsgate, a 109m street
described as ‘The Bond Street of Oslo’ and now home to nine of the ten most valuable luxury brands in the world.
Gucci, Bottega Veneta, Burberry, Saint Laurent, Moncler, Chanel, Louis Vuitton, Prada and Dior all occupy premises on the street, having been introduced by Promenaden Management, which was acquired by MARK Capital Management fund in 2016 and oversees 76.000 sqm of prime retail and office space in central Oslo.
In Q3 last year, Promenaden Management unveiled Europe’s largest luxury watch emporium, Bjerke House in Eger Quarter. Bjerke House, set over 3,590 sq. m. across three floors, will be home to brands such as Patek Philippe, Cartier, OMEGA, Tudor, Panerai, IWC Schaffhausen, Blancpain, Longines, Hublot and Breitling. The space will also act as the headquarters of Urmaker Bjerke, with six different entrances for the store’s most well-known brands.
Urmaker Bjerke will be Eger quarter’s largest occupier. The wider redevelopment will see the arrival of standalone stores, a restaurant, a lifestyle concept store, and high-quality office space.
In line with the heightened demand for experiential shopping experiences, Bjerke House will feature a dedicated events space on its second floor, as well as in-store workshops and the first physical Bjerke Vintage & Pre-Owned concept store.
The store forms a key part of Promenaden Management’s extensive revamp of Oslo’s Eger shopping gallery, which was originally built in the 1850’s. Promenaden Management, which is wholly owned by pan-European real estate investment manager MARK Capital Management, worked with Oslo city’s municipality as part of a meticulous five-year reconstruction project to create a modern luxury retail offering while paying homage to the site’s history.
Annette Lund, CEO, Promenaden Management, said: “Oslo is gaining real momentum as a luxury shopping destination, not just because of its thriving retail scene, but because it offers something different to other destinations on the international stage. The climate plays a role in this, but so too does Oslo’s distinct take on luxury; defined by quality, craftsmanship, design, and a vibrant cultural scene – qualities which are grounded in the city’s deep connection to its surrounding natural landscape.
“Oslo is solidifying its status as one of the world’s most well-renowned luxury shopping destinations. The carefully curated Promenaden district, through the successful execution of intensive asset management initiatives, is at the forefront of this transformation.”
