The Clothing Retail Industry in Ålesund: Current Status and Outlook

The clothing retail industry in Ålesund has shown both strength and vulnerability in recent years. With 110 registered companies in the municipality and a total workforce of over 600 employees, the industry is an important part of the local business scene. Well-known names such as H&M and New Yorker have permanent locations in Ålesund, while smaller companies such as Modo and Kappahl also have a presence. Although sales experienced a sharp decline in 2025 and 2026, the industry has largely remained stable with an average EBITDA margin of 7% and a high gross profit margin of over 3400%. This shows that clothing stores in Ålesund have a solid foundation to compete in the market, even though there are challenges ahead.

Sales development for clothing stores in Ålesund has been variable in recent years. From 2016 to 2024, sales showed stable growth, peaking at 614.8 million NOK in 2024. This was followed by a sharp decline of 30.7% in 2025 and an even sharper decline of 97.9% in 2026. This is a serious decline that may be due to various factors such as economic pressure or changes in consumer behavior. Employee numbers have been more stable, with an average growth of 2.9% per year, although there have been small declines in certain years. In 2026, the industry had 504 employees, showing that there is still a significant workforce in the industry.

Ålesund has a wide range of clothing stores, from international brands such as H&M and New Yorker to local companies such as Modo and Kappahl. The most well-known companies often have multiple stores in the municipality, while smaller companies such as Brn Best Retail Norge As and Bik Bok Thon Senter Moa Avd J11 focus on specific markets. Most companies are organized as AS, showing a standardized structure in the industry. There is also a mix of older companies such as H&M (established in 1995) and newer companies such as New Yorker (established in 2016), showing a dynamic industry with both established and emerging companies.

Ålesund is the capital of the clothing retail industry in the municipality, with 64 companies and 504 employees. Brattvåg has a smaller presence with only one company and four employees, but it has a lower sales volume of 8.3 million NOK. Ålesund has a higher sales volume of 636.8 million NOK and a higher EBITDA margin of 7% compared to Brattvåg. This shows that Ålesund is an important economic hub for the industry, with a higher degree of industrial activity and more stable economy.

The industry has shown itself to be relatively stable in terms of bankruptcy and economic challenges. Only two companies, Junkyard Thon Senter Moa Avd Y41 and Junkyard Thon Senter Moldetorget Avd Y47, have reported zero sales and EBITDA, which may indicate economic problems. However, they are not marked as bankrupt, showing that they are still operating, although they have very low sales. Most companies have a positive EBITDA and a stable economy, showing that the industry has a good degree of resilience and ability to adapt to market conditions.

Outlooks for the clothing retail industry in Ålesund are mixed. Although there has been a sharp decline in sales in 2025 and 2026, the industry has shown stable growth in recent years. This may indicate that there is a good market opportunity for new companies, even though there are challenges ahead. There is also a competitive industry with a wide range of companies, from international brands to local companies. This can provide opportunities for new companies wishing to establish themselves in the municipality, but it is also important to be aware of the decline in recent years and possible economic pressure.

Creative, arts, and entertainment activities are a broader industry that includes clothing stores, shoe stores, and knitting stores. This industry had a higher sales volume of 762.3 million NOK in 2024 compared to the clothing retail industry. There are also more companies in this industry, showing that it is a more diversified economy. The most well-known companies in this industry are Monark Skomagasin As and Jens Hoff Garn Og Ide, which have higher EBITDA and sales compared to clothing stores. This shows that creative, arts, and entertainment activities are a more stable and competitive industry compared to the clothing retail industry.

The clothing retail industry in Ålesund has shown both strength and vulnerability in recent years. With stable growth in sales and employees, as well as a good degree of resilience, the industry is an important part of the local business scene. However, it is important to be aware of the decline in recent years and possible economic pressure. This can provide opportunities for new companies wishing to establish themselves in the municipality, but it is also important to be aware of the decline in recent years and possible economic pressure. SmartGrunder can help entrepreneurs find good addresses in Ålesund for clothing stores, and provide a detailed analysis of market outlooks and competitiveness.