The Origin Story of Haypp
Nicokick is part of the Haypp Group which was founded in 2009 in Sweden by Henrik Nordström and Linus Liljegren, who were only 19 at the time. In the 12 years since they founded the company, Haypp has developed into a global business spanning thirty countries, with eight e-commerce brands and 500,000 customers worldwide. Not bad for a start-up that began in a garage.
How Haypp was born
Both Nordström and Liljegren were avid snus users, and would often speak about the lack of brand selection available in their local stores. They also felt that the snus available to them was often near, or had already reached, its expiry date. In all, they agreed that the snus market needed a boost.
They decided that e-commerce was the best route, in order to create an easily accessible store with a variety of brands and a guarantee of freshness. Although they had restricted funds to add to their venture, they were able to build the first version of the snusbolaget.se site for 10,000 Swedish crowns. This initial website was the start of everything.
Building a successful business
Considering how successful the Haypp Group is today, it is difficult to imagine that Nordström and Liljegren spent two years building their business without collecting a monthly salary. Although they struggled to make ends meet, they felt it was far more important to prioritize growth and establish a loyal customer base. In their own words, “[to] become a successful entrepreneur…the key is to postpone the reward”.
And the rewards have most definitely come. This year, the Haypp Group has become a publicly traded company, and is set to be worth around 100 million Swedish crowns. Not a bad pay-out for a 10,000 crowns investment in a website. Despite being publicly traded, Nordström and Liljegren have retained 70% of their company, meaning that they can finally collect on that salary they put off for two years.
What’s next for the Haypp Group
When snusbolaget.se first started operating, the company sold snus from less established brands, such as V2 Tobacco and Gotlandssnus. However, with the increased popularity in cessation products, and Haypp’s position as a market leader, the business has expanded to include 8 e-commerce brands and nicotine pouches in markets such as the USA, the UK, Sweden, Norway and Switzerland, among others.
But this success is only the beginning, as the Haypp Group “[wants] the company to continue its journey in order to offer even more smokers better alternatives at competitive prices. We have communicated a goal of net sales of 5 billion by 2025, with good profitability”.
Considering the staggering success they have already achieved in the last 12 years, this goal seems like a drop in the ocean of what is to come.