These pioneer settlers were allocated lots and sent to work, clearing part of the 70 Mile Bush.
As the land was cleared, farmland was developed and Dannevirke grew to become an important centre for rural communities.
Today, Dannevirke's Scandinavian heritage remains and the Danish flag flies proudly beside the New Zealand flag on the Town Hall and a memorial plaque identifying the original pioneer settlers is situated in Copenhagen Square.
"With changes to farming patterns the economy Dannevirke has changed too - apart from being an important service centre - it has become a popular stopping place for visitors," Mrs Simpkin said.
"We have huge flows of traffic passing through Dannevirke every week, and the aim is to tap into that potential to develop and ensure the continuing growth of our town."
Dannevirke has visitor attractions with a difference, the Fantasy Cave, the Gallery of History museum and an attractive Viking-themed playground.
"Travellers coming into Dannevirke either from Woodville or Waipukurau will be greeted with eye-catching signs inviting them to stop," Mrs Simpkin said.
In conjunction with Dannevirke Promotions and the chamber of commerce, Mrs Simpkin is recommending using iconic images and a memorable slogan to encourage travellers to stop in Dannevirke.
"We'd like to see three Viking figures on High St and Ward St, which will encourage people to stop and take photos," she said.
Suresh Patel, a High St retailer and a member of the Dannevirke Chamber of Commerce, told the Dannevirke News he's enthusiastic about the concept of the Viking theme.
"It'll be great to build on our National Viking Day themed market day and have a point of difference which will encourage people to come and visit and spend money," he said.
Mrs Simpkin said it was important businesses embraced the promotion.
"To promote Dannevirke to its full capability, we need businesses on side and we need to provide additional reasons for traffic to stop and for people to shop," she said. "Creating interesting window displays, having Viking or Scandinavian styled promotions and delivering amazing customer service are all important aspects of the branding.
"We are in a unique position. A marketing strategy for Dannevirke is already inherent in our town and local businesses and is able to be developed to its full potential and used in different forms and contexts to promote retail shopping, events and tourism using an icon that is relevant to our heritage.
"This drive will also encourage the community and businesses in and around Dannevirke to get involved and promote their own respective towns."