Health and beauty business is b(l)ooming at Galaxus
Switzerland is increasingly buying health and beauty products online: Galaxus has already increased sales by 40 and 60 per cent respectively this year. Premium brands are particularly popular on the online department store.
Galaxus is increasingly overtaking traditional cosmetics stores and drugstores: in 2022, the online department store sold several million health and beauty products. Growth is continuing this year too. From January to October, Galaxus customers in Switzerland ordered 62 per cent more beauty products and 39 per cent more health products than in the same period in 2022.
In the coronavirus year of 2020 there was a particularly strong increase in demand in percentage terms. Driven by disinfectants and protective masks, customers bought more than six times as many healthcare products as in the previous year. Since stores were closed, consumers were also much more likely to buy beauty products online.
Since then, the boom has continued, with growth rates of more than 30 per cent. For comparison: Galaxus and Digitec generated almost 9 per cent more sales in 2022 than in 2021. Nicole Schütz, Category Management Leader for the health and beauty range, forecasts an average growth of around 45% in both areas across 2023.
Premium brands guarantee great sales
Nicole says the continuously high demand is down to the rapidly growing selection: «We’re offering our customers an ever-expanding range directly from our warehouse.» For example, thanks to our collaboration with a pharmacy, Galaxus has recently been able to expand its dermocosmetics range: «Because we offer specialist advice over the phone, we were able to acquire premium brands such as La Roche Posay, CeraVe, Eucerin and Vichy,» says Nicole.
Nicole and her team also see a lot of growth and even more potential in high-quality beauty products, which should appeal to a clientele willing to pay. It was another cooperation which also helped the breakthrough: since summer 2022, Galaxus has been operating a beauty lab in Zurich together with the beauty service provider En Vogue Coiffure. For many premium brands the offline world of experience is a prerequisite for Galaxus to be able to sell their products online. The move has paid off: Galaxus already generates more sales with premium hair products, facial care, cosmetics and perfumes than with products aimed at the mass market.
«However, we’re also seeing increased demand for everyday products,» says Martina Tatavitto, who as Business Manager is responsible for the health and body care ranges. This summer of records, for example, Galaxus customers bought more sun cream than ever before. Martina and her team were also able to significantly increase sales in the dental care, feminine hygiene and wet shaving product ranges.
The strongest beauty trend currently at Galaxus centre around eyebrows. This year, sales of eyebrow gels and eyebrow pencils are up 143 and 136 per cent respectively – albeit at a relatively low level. Blusher and hair accessories, clips and ribbons have also gained popularity. The latter appealing particularly to girls – whose favourite sets are those from Barbie, Gabby and Frozen.
Among health and hygiene products, online sales of wound care and dressings in particular have boomed, followed by products for [oral care](https://www.galaxus.ch/en/s6/producttype/oral-health-3422. In addition, more and more people in Switzerland are apparently blowing their nose into tissues they bought online.
Less surprising are the top sellers – in the beauty products range, shampoos, deodorants and shower gel take the lead and in the health products range it’s toothpaste, plasters and manual toothbrushes.
Digitalisation in beauty and health
The liberalisation of the sale of over-the-counter medicines will drive the business too: online retailers will also be allowed to sell over-the-counter medicines from 2026 at the latest. «That’ll be very exciting for us,» says Martina.
She also expects that retailers and brands will increasingly find ways and means of advising customers online. One example is the brand Anastasia Beverly Hills: Via the QR code in the product images, customers are directed to a website that uses a photo to determine the perfect eyebrow shade. Another example is Galaxus itself: since the end of 2020, the online department store has also been offering a sustainability filter for health and beauty products. If you use the filter, you’ll see in just two clicks which products are natural cosmetics, for example, or which have been developed without animal testing.
*What do you think of the health and beauty range at Galaxus? Which brands do you recommend? Which brands are missing from our selection? Let us know in the comments section!
At Digitec and Galaxus, I’m in charge of communication with journalists and bloggers. Good stories are my passion – I am always up to date.