What do we know about the Danish consumer?
Denmark has a total population of 6 million people, 88% of which reside in urbanized regions. The latest recorded Gini Index (2001) was 24.8 with ‘0’ representing complete equality and 100 standing for total inequality. It in fact has the lowest inequality rate out of all Organisation for Economic Co-operation and Development (OECD) countries.
Due to great improvement in the condition of Denmark’s economy, consumer confidence and spending has increased over the last few years. Internet retail still continues to show record growth and health is like a newfound religion for the Danish people. This has led to the emergence of the healthy fast food trend in Denmark.
What does Denmark import?
- Machinery and equipment
- Raw and semi manufactures for industry
- Grain and Food stuff
- Consumer goods
Which are Denmark’s most favourite import partners?
- Germany (15.7%)
- Sweden (11.5%)
- Netherlands (5.7%)
- Norway (6.9%)
- China (4.1%)
- UK (6.5%)
Major cargo airport
Billund Airport is Denmark’s top cargo airport
Major container port
Copenhagen is Denmark’s top container port
Importing to Denmark
The following are the main points involved in the import process to Denmark:
- Import duty and taxes will be required to be paid if you want to import to Denmark from outside of Europe.
- Taxes are payable using the CIF value.
- The Danish Customs handle all of the imports and the rate range from 0 to 17%.
- The Standard VAT rate for importing item is at 25%.
- As part of the SAFE standards that the World Customs Organization advocates, the European Union will set up a new system of Import Control System or ICS to secure the flow of goods at the time they enter the European territory. This new Union Customs Code will take full effect in May 2016.
What is the distribution structure in Denmark?
Denmark has an efficient distribution channel. The entire country serves as a business hub facilitating trade between the Baltic Sea, Scandinavia and Northern Europe. Copenhagen Airport is a vital travel destination that serves as the main hub for export to and from the Baltic and Nordic countries. Denmark has a well-made and actively functioning infrastructure which allows one to easily travel whether by land, air or sea.
Danish hypermarkets and supermarkets are largely located in the outskirts while the mini markets are in the main town area. For specialised sales locations, departmental stores are strategically placed in town. Other options include discount stores and small specialised local shops. Many Danes prefer to purchase products such as meat, cheese, flowers and vegetables from the smaller outlets as they prefer the personalised service and quality of their purchases.
In fact due to Denmark’s highly refined country data on distribution and sales points, it is a popular choice for a centralised distribution centre catering to all of Europe.