Nordisk Film acquires Nordic market leader in the gift card market
Three years ago, Nordisk Film started the process of building a new digital business alongside the company’s core businesses Film, Cinemas and PlayStation. The ambitious goal was to reach a digital turnover of more than one billion kroner. With the acquisition of “Gavekortet.dk” – together with the recent acquisition of “Billetlugen” – the new digital business unit in Nordisk Film, NF Direct, will reach sales of DKK 300 million and 100 employees.
“Nordisk Film’s ambition is to create a new division and growth engine consisting of primarily digital businesses. The first step was to gain a significant position in the event ticket market in Scandinavia. Now we wish to take a similar position in the gift card market, “says CEO Allan Hansen.
As part of the digital growth strategy NF Direct has purchased “Billetlugen” (event tickets in Denmark, Norway and Sweden) and acquired the majority of “Filmweb” (movie tickets in Norway). NF Direct has also organically developed “MinBio” (children’s film app in the four Nordic countries), “Tildigframig.dk” (gift cards in Denmark and Norway), “Frontrow” (B2B event tickets in Denmark).
According to Director of NF Direct Christian Folden Lund there are good reasons to go into the gift card market.
“It’s a growing and developing market. “Gavekortet.dk” has achieved a position as Nordic market leader and we can help to accelerate the growth of the company, “he says, and adds that the Nordic market for gift cards is expected to double over the next five years.
Christian Folden Lund believes that consumers are looking for new ways of giving presents.
“If I ask people when was the last time they gave someone a CD as a gift, most people can’t remember. However, we have not stopped giving each other gifts. There is just a need for new ways to provide music experiences and movie tickets as gifts. We want to develop this new market.”
Nordisk Film and Egmont will be a good owner for “Gavekortet.dk”, says Christian Folden Lund.
“Vouchers for movie tickets are the most popular gift cards followed by gift cards to event experiences. Through the acquisition, we can help our cinemas and our many event organizers to sell more experiences while at the same time creating growth for other customers in “Gavekortet.dk”. We will also use Egmont’s presence in Norway to focus on establishing our business there, “he says and stresses that Nordisk Film is continuously looking for growth opportunities in the gift market.
Henrik Ravn will continue as the CEO of “Gavekortet.dk” and as the manager of the company’s 32 employees.
“We are proud to have created a profitable digital business from scratch. We are well established in Denmark and Sweden, but see potential for significant growth in our newer markets Norway, Finland and Poland. Nordisk Film and Egmont focus on digital growth businesses and have also demonstrated a clear vision within the gift segment. Along with their international presence, we see a strategic fit and a mutual ambition to realize the potential in the growing gift market – locally, in the Nordic countries and globally, says Henrik Ravn.
Nordisk Film will acquire 100% ownership of Gavekortet.dk. The purchase price for “Gavekortet.dk” is not disclosed.