Axfood faces market share challenges at Willys

Axfood is navigating a period of shifting market dynamics as its discount chain, Willys, continues to lose market share. Analysts from Handelsbanken suggest that Willys has underperformed the market over the last two quarters, a trend expected to continue as food prices decline.

While Willys faces pressure, Axfood’s Hemköp brand has shown strength, outperforming the market in recent quarters. The company is implementing tactical measures to drive short-term growth and regain lost ground.

Competition remains intense, with rivals such as Ica and Coop launching price campaigns to compete with the discount segment. Coop recently announced broad price reductions in its Stora Coop stores to remain competitive. Investors are closely monitoring Axfood’s comparable sales development and the potential for rising food prices toward the end of 2026 and into 2027.