Business career
When the glassworks started sales operations in Helsinki in 1858, Stockmann was appointed manager of its first retail branch at Market Square. The store was expanded into what was described as a "country store in the middle of the city", selling fabrics, household goods and hardware. In 1862, Stockmann purchased the business and renamed it G.F. Stockmann. He broadened the product range to include cotton and woollen goods, porcelain, ironware and agricultural machinery, and also began importing goods from abroad and engaging in wholesale trade. By the early 1870s, the firm was one of the largest commercial enterprises in Helsinki.[2]
An important factor behind Stockmann's growth was Helsinki's rapid expansion: the city's population increased sixfold during Stockmann's active years there (1858–1906). The building boom particularly benefited the hardware trade, which from the 1870s became Stockmann's primary line of business.[2]
In 1880, Stockmann moved his store to a building on the corner of Senate Square, later known as the "Kiseleff Bazaar". The premises represented a new style of retail architecture with large display windows, separate cash registers and an internal telephone system. At the time of the move, the company had 12 employees; by the end of the century, the number had grown to 32. From 1883, the company began distributing printed product catalogues.[2]
During the 1890s, Stockmann was hit hard by a serious crisis in the construction industry. As a major supplier of building materials, the company suffered significant losses, and several properties came into the company's possession, including Helsingfors Ångbageri Ab (Helsinki Steam Bakery). Nevertheless, expansion continued in parallel: Stockmann opened dedicated shops for Arabia factory products and for sporting goods – with bicycles as the main product – as well as a branch for building materials in Kallio in 1897.[2]
In 1902, Stockmann reorganized his business into a limited liability company and divided it between himself and his sons Karl and Frans. His eldest son was simultaneously appointed managing director.[2]
