Good practice:

Ukko Schnapps, a union of high technology and traditional handicraft

Ukko Schnapps produces a range of products that are used for drinking coffee and alcoholic drinks and for preparing food, all made of stainless steel. In its products the company combines cutting-edge technology, traditional craftsmanship, minimalist Finnish design, Finnish folklore and the spirit of the wilderness, combined with timelessness and a masculine twist. Ukko Schnapps also refreshes the image and use of Finnish folklore and brings modern masculinity to Finnish handicraft, which traditionally has had a more feminine emphasis.

The strategic combination of cutting-edge technology and traditional handicraft in production is notable.
- Designing products is accomplished using 3D-design application. Once the design is made, it is sent to the subcontractors of Ukko Schnapps for prototyping activities.
- The materials are firstly undergone the CNC metalwork and then laser-welded. Laser-welding is a unique technique in manufacturing.
- The products are finally encased in leather pieces that are handmade in Kauhava (Finland). Leather elements modelled on a wooden template and manually machine sewed.
- The wooden parts such as sauna scoop and schnapps cubes are finished by sanding and surface treatment.

- The company has only one worker, the owner.
- Subcontracted production and design.
- Ukko Schnapps has received external development funding from public funders focusing on SMEs, company development and innovation, one of which is Business Finland.

- The creation of a new type of stainless steel (instead of traditional tin) flask renew the flask concept.
- Ukko Schnapps sells products to many countries, including Japan, Sweden, Australia, Germany, Norway and Russia.
- In the past 3-4 years, revenue has gone up from approximately 400 000€ to 1 000 000€ in 2020. The revenue corresponds to sales of about 1000 orders.
- Substantial following on social media: Facebook – 77451 likes, Instagram – 7042 followers.

- The higher price, as much as ten times higher than competitors, can be a challenge if customers do not perceive the added value.
- Operating only as an online store makes finding customers more difficult.
- Bringing together product design and manufacturing using multiple subcontractors.

All elements of Ukko Schnapps are transferable to another region.
It has five main elements in its operational model that have enabled its growth:
1. Combining cutting-edge technology and handicraft to create a unique concept. The concept is in the core, and this combination is a vehicle to deliver it.
2. External value networks in production. Everything is subcontracted. This requires a strong internalisation of the brand by the owner, external producers, and subcontractors. In addition, it requires a strong sense of productisation by the company.
3. A strong and appealing brand linked to multiple levels of lifestyle.
4. External funding in product development.
5. Strong and consistent presence in social media.