The beauty and personal care e-commerce industry in Germany has seen rapid growth in recent years, almost
since 2017. This has been aided by technological developments which have made it easier for consumers to order items online. Furthermore, social media has allowed products from all over the world to be easily discovered by those passionate about beauty, and some influencers have dedicated their career to finding and promoting products that they believe bring something new to the market.
What is dominating the market?
Personal care, which includes items like hair care, shower, and bath products, was the segment under beauty and personal care that generated the highest revenue. In 2023, it amounted to almost
2.6 billion euros, an increase compared to the 2.45 billion euros in the previous year. Another noteworthy category to mention, however, is skincare. Skincare is something used by almost everyone, even those who are not fond of cosmetics. The total value of the
German skincare market, including online and offline retail, is around 5.8 billion euros. Of this figure, around 1.7 billion euros came from
online sales. Perhaps unsurprisingly, the most profitable subsection of the online skincare market was facial products. The sharing of daily skincare routines has become a popular trend on TikTok, with some people using various cleansers, scrubs, and serums in order to achieve young-looking and ‘glowy’ skin. However, not everyone has a process involving so many products, and some people are content with simply washing their face and using a good moisturizer.
Brands and new trends
One of the most popular beauty stores in Europe, Douglas, was founded in Germany. The company has thousands of stores spread over different European countries, but has also expanded its online platform. In 2023, their website was the most visited, with almost
eight million visits in December alone. Other popular brands included Flaconi, Parfumo, and Rituals. A new trend that more and more consumers are opting for when purchasing cosmetics online is a subscription model, almost
40 percent of consumers in Germany stated that they had some type of beauty subscription. There are several variations as to how this works exactly. One way is that the consumer picks an item that they use frequently and has the desired item delivered at a frequency of their choosing. Another way is that a monthly fee is paid, and a selection of products is delivered. The most established company with this model is
Glossybox. With a subscription, customers receive a mystery box with five beauty and wellness products each month. In Germany, Glossybox has also seen a lot of success, with their revenue almost doubling since 2015. This is, however, just one trend, and the personal care and particularly beauty e-commerce market will continue to develop over the coming years. One area of the industry that will probably see a big change and become more popular is
beauty tech.
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