Service logics of providers in the forestry services sector: Evidence from Finland and Sweden

• We examine forestry service markets in two countries from the viewpoint of service-dominant logic.
• The concentrated market structure is hindering development towards a service orientation.
• Changing needs of NIPF owners should be included in new service business development.

Non-industrial private forest (NIPF) owners are the most significant ownership group in both Finland and Sweden. Meeting the industrial requirements for a stable roundwood supply has traditionally dominated the services targeted at them, but changes such as urbanization and a higher level of education have diversified the NIPF owners' service demands. Therefore, it seems that the traditional ‘roundwood supply approach’ may no longer match the service needs of all customer groups.Based on the concept of service-dominant logic, the empirical objective is to better understand the challenges presented by the ongoing market renewal in Finnish and Swedish forestry services. Using a qualitative approach and data from 17 thematic expert interviews carried out within Swedish and Finnish forestry service organisations, we aimed to identify potential opportunities and barriers with respect to creating new services in NIPF owner markets.According to the results, concentrated markets dominated by a small number of players are challenging the surroundings for new enterprises to evolve in. The lack of dynamic middle-sized companies in the sector coupled with difficulties in adopting a more cooperative mindset is proving to be hindrances.