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Purpose – The present paper aims to extend an ongoing study of Swedish trade journal's, PrivataAffärer, recognition of the “bank of the year.”

Design/methodology/approach – The information used in this paper came from Privata Affärer, which annually recognizes a “best” bank in Sweden. Each issue containing the annual recognition provides the rationale for selecting the specific bank as well as interviews with their CEOs. The data base is robust – every bank in Sweden is surveyed, so results come not from a sample, but a census of banks and banking practice; 17 year's selections are now available.

Findings – Results are interpreted in terms of Porter's five forces model and Stabell-Fjeldstaad value model. For eight of the last 11 years, new entrants have dominated the award; in fact, in the last five years one winner was a virtual bank and another was a subsidiary of a retail grocery chain.

Research limitations/implications – It is tempting to extend results to the USA and elsewhere in the industrialized world, but of course results relate only to Sweden. Nevertheless, it is suggested that competitors who enter with significantly new services can, and do, become popular leaders in this industry.

Practical implications – Sweden tends to be a leader in service theory and development. Consequently, a model exists for developing a competitive edge in other countries.

Originality/value – This paper provides an independent confirmation of service models of competition, which generally are lacking in the literature.