Systembolaget - a unique entity in Sweden that defies some norms

I haven't come across any retailer that enjoys a monopoly yet does not want to sell as much as it actually can. I haven't also come across any shop that sells alcohol but closes at 15:00 on Saturdays and is completely closed on Sundays.

But in Sweden, there's a unique entity that defies these norms - Systembolaget.

Suppose you are in Sweden, and you feel like buying a bottle of wine or some beer cans on a Saturday afternoon. You can't do that because here regular stores do not sell alcoholic drinks stronger than 3.5% by volume and Systembolaget is the only shop that sells that. The shop closes at 15:00 on a Saturday and is completely closed on Sundays due to the government's regulations and the company's commitment to responsible alcohol consumption. If you want to buy alcohol, you have to plan ahead. This makes Systembolaget a rare example of a monopoly that does not exploit its market position. In other words, it sells alcohol in a monopoly market but without a profit motive.

Systembolaget's unique approach is not just interesting, it's impactful too. the company, in most advertisements, focuses on negative side effects of drinking and encourages moderate alcohol consumption instead of encouraging people to drink more.

All Systembolaget outlets look luxurious, neat, and clean. The staff are super cool, highly service-minded and surely know what they are selling. They assist the customers in buying the right one for the day.

There are Systembolaget three outlets here in Luleå.

In Sweden, you can drink if you are over 18, but Systembolaget will not sell it to you unless you are 20. You must be over 20 to buy alcohol from here. The staff ask for an ID card if they feel the customer is below 20. This approach however brings smiles to a lot of faces since people well over 25 find it flattering and as a form of compliment that they look younger. One staff tells me that people, aged around 30, often post on their social media that they were asked to show their ID card at a Systembolaget shop.

Systembolaget staff also refuse to sell alcohol to customers if there's a suspicion it's being bought for someone underage 18 or for people already drunk.

I asked a Swede how she sees Systembolaget's policy. She said Systembolaget is like a hot potato, sometimes she loves it, sometimes she hates it (she does not like the long lines that pile up in front of the stores on Saturday afternoons).

Public opinion on Systembolaget is quite positive, and I am not surprised. A study conducted by David Karlsson and Lennart Weibul in 2023 showed that 59% of Swedes support Systembolaget's approach and policy. In another study, conducted by Kantar Sifo on behalf of Systembolaget, it came out that 75,2% of the Swedish population support Systembolaget and its monopoly. And according to the Trust Barometer's 2022 report, Systembolaget is the most trusted company in Sweden.

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