Power considers closing four company-owned stores in Finland

Power Finland is considering closing its company-owned stores in Lohja, Porvoo, Kotka and Järvenpää. According to a report published by Tekniikka & Talous on 5 October, the review concerns towns that also have independently operated Power stores. This is therefore a potential reduction in the company-owned store network, not an announcement of a complete withdrawal from these locations.

Future of four stores under consultation

Power Finland began restructuring consultations covering four company-owned stores in the week spanning late September and early October. The consultations are due to conclude in October. They could result in more than 60 employees losing their jobs.

The report does not present the closures as confirmed decisions. The company is reviewing the future of its own stores in Lohja, Porvoo, Kotka and Järvenpää, so any closures and their impact on staff must, at this stage, be treated as proposals. The outcome of the consultations cannot be inferred from the maximum potential impact announced.

The distinction between company-owned and independently operated stores is central to the story. Each of the four towns under review also has an independently operated store. The announced consultations therefore do not mean that all Power stores in these towns are facing closure.

For Finland’s franchising community, the situation highlights two parallel structures within the chain’s network: company-owned stores and stores run by independent entrepreneurs under the same brand. The closure review announced concerns the former.

Changes of chain reshaped the local network

According to Power Finland’s managing director, Juha-Mikko Saviluoto, eleven independently operated stores have switched from Gigantti to Power this year. These switches explain why the chain now has independently operated stores in the towns where it is considering closing its own outlets.

The stores that changed chains are in Ylivieska, Kajaani, Kotka, Porvoo, Salo, Klaukkala, Järvenpää, Lohja, Tammisaari, Loimaa and Iisalmi. The Gigantti stores in Ylivieska and Kajaani joined Power in July. All four towns mentioned in the closure review therefore also appear on the list of independently operated stores that changed chains.

However, eleven independently operated stores joining the chain is not the same as eleven entirely new store openings. These are existing stores changing their chain affiliation. This distinction matters when assessing how Power’s local presence and Finnish store network have changed.

The possible closures of company-owned stores and the completed switches by independently operated stores are also at different stages. The switches have been reported as completed, while the future of the four company-owned stores remains under review.

Two store formats of different sizes

According to the report, Power’s Finnish network comprises 33 company-owned stores and 18 independently operated stores. Company-owned outlets therefore still outnumber independently operated ones, although recent switches between chains have expanded the latter network.

The store formats also differ in size. Stores in Power’s franchise model range from 500 to 1,200 square metres, while the chain’s company-owned stores often exceed 2,000 square metres. Saviluoto says the franchise model allows the chain to expand into towns where its company-owned store format would be too large.

According to Saviluoto, the company aims to strengthen its competitiveness and market position cost-effectively. He also stresses that Power is developing its franchise model while continuing to invest in its company-owned stores. The review of possible closures at four stores has therefore not been presented as a decision to abandon the company-owned format in Finland.

These size ranges describe the chain’s two operating models in general. They do not establish the floor area or profitability of any individual store under review, nor the outcome of the consultations. The information released describes the network’s structure, not the individual financial performance of the four stores.

Kemi opening planned alongside closure review

While Power is considering closing company-owned stores, the chain has also announced plans to open a new independently operated store in Kemi in autumn 2026. Changes to the network thus include both potential closures and an announced new opening.

Saviluoto estimates that Power could have around 60 stores in Finland by 2030. This is a projection, not a confirmed list of openings. The figures of 33 company-owned stores and 18 independently operated stores describe the current network as stated in the report.

Power Finland is part of the Nordic Power International AS group, which operates in Finland, Norway, Denmark and Sweden. Alongside its Finnish store network, the chain has an online shop and a central warehouse in Sweden. However, the restructuring consultations announced specifically concern four company-owned stores in Finland.

The overall picture is therefore not simply one of expansion or contraction. Independently operated stores have joined the chain, an opening in Kemi has been announced, and the future of four company-owned stores is under review. These developments need to be tracked separately to avoid confusing proposals with completed changes.

Practical point: Anyone monitoring Power’s local presence should check whether a report concerns a company-owned store or an independently operated outlet. In Lohja, Porvoo, Kotka and Järvenpää, the closure review concerns company-owned stores, and no final closure decisions had been announced at the time of the report.