Hagkaup Supermarket, Kópavogur, Iceland

One of Iceland’s oldest retail brands, Hagkaup is a supermarket icon. But changing trends in shopper behaviours as well as a 50% reduction in its 7500sqm anchor store footprint meant it was time for a flagship overhaul.

Customer journey specialists M Worldwide stepped in with a redesign that emphasises the brand’s ‘happy shopping’ brand promise – delivering an experience that encourages longer and repeat visits.

The Smaralind store has been 
so successful
 that Hagkaup is currently applying the concept to another anchor site store.

The design is a departure from traditional ‘friction-free’ in-and-out supermarket designs, and responds to the fact that customers shop more frequently for fewer items, and want innovative, compelling spaces to dwell in when they shop. Its vision is less supermarket, more department store.

The new ‘one-stop shop’ is divided into four distinct worlds: Food for Now, Food for Later, Non-food and Grocery. These are linked together by an avenue flanked by market stall tables that can be used for flexible or seasonal visual merchandising.

The design is simple, and incorporates natural, honest materials. Hagkaup’s bright brand colours accent and highlight, while wayfinding and graphics are integrated into the look and feel of each world.

In addition to ‘best of department’ show-rooming, customers experience ‘happy shopping’ moments that occur within the various journeys. These include a cosmetics and makeover area, a theatre-heavy Krispy Kreme factory/cafe and a sushi bar, as well as popular third-party brands.

Despite the halved footprint, sales have exceeded the previous year’s, and traffic has also increased.