Switzerland E-Commerce Market Size
|Study Period||2018 - 2028|
|Base Year For Estimation||2022|
|Market Size (2023)||USD 14.51 Billion|
|Market Size (2028)||USD 27.58 Billion|
|CAGR (2023 - 2028)||13.71 %|
*Disclaimer: Major Players sorted in no particular order
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Switzerland E-Commerce Market Analysis
The Switzerland E-Commerce Market size is estimated at USD 14.51 billion in 2023, and is expected to reach USD 27.58 billion by 2028, growing at a CAGR of 13.71% during the forecast period (2023-2028).
Internet penetration is high in Switzerland, with 95% of the population between 16 years to 65 years using the internet regularly, and 90% of these make online purchases at least once. The country is also one of the top three markets in Europe for cross-border investments because of its outward-facing solid economy and favorable tax regime, and custom policies that it creates on its own since it lies outside the EU. Due to Switzerland's advantageous labor laws compared to other European countries and the availability of a competent workforce, U.S. businesses choose this country over others.
The procurement, production, and sales of products and services considerably impacted over half of Swiss businesses during COVID-19. 20% of companies reported difficulty finding domestic suppliers and shipping to consumers abroad. The Swiss economy was making significant investments in digital technology like robots, big data applications, and artificial intelligence to accelerate the graph of this flat economic era.
In July 2022, Swiss Textiles, Swiss Fair Trade, and Amfori jointly launched an apparel program called Sustainable Textiles Switzerland (STS30), supported by the State Secretariat for Economic Affairs (SECO). The program promoted fair wages, decent work, and innovative business models toward a circular economy. The program envisioned a significant decrease in greenhouse gas emissions in the textile industry.
In June 2022, Swiss Retailer Migros started a survey to know people's preference for the brand to begin selling alcohol. Migros regional cooperative members unanimously voted that the retailer should not start selling alcohol.
The aggressive digitalization of e-commerce may incur expenses for consumers. For instance - Elite developed mattresses equipped with motion and pressure sensors that accurately record the effective occupancy of each bed. This invisible sensor was named Smart Lease. Elite supplied these mattresses to its clients in the hospitality industry, and payment depended on the occupation of each bed. However, the hospitality players spending on these tech mattresses would bill their clients for the same.
Switzerland E-Commerce Market Trends
Food and personal care holds high demand in the country
Because of the socioeconomic restrictions imposed by COVID-19, a severe health crisis was born. As a result of confinement and isolation, people's lifestyles changed drastically. People's concerns about their health, diet, and way of life increased as the pandemic spread. Everyone took their health more seriously and consumed less sugar. The Swiss government's push for consumers to finish less sugar was a primary focus, and they encouraged the retailers to supply sugar-free products.
The average daily sugar intake for the Swiss population is 100 grams, or 25 sugar lumps, which is double the WHO recommendation. To provide consumers with healthy food, Swiss companies have agreed to lower sugar in various products like soft drinks, cereal, and dairy products they produce or sell.
Private labels are becoming more popular among Swiss consumers as they shop. 40% of FMCG value sales come from private labels. Consumers think about enhanced quality at the best price, healthier options, and improved customer impression of private label offers before purchasing.
The Swiss company has been producing cosmetics from purely natural ingredients, and many Swiss restaurants, hotels, and enterprises serve these Soeder products. The company recently launched the "Foerst" line for amenity kits at SWISS First.
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Internet usage is driving the e-commerce industry
High internet usage surges the demand for E-commerce in Europe. At the beginning of 2023, when internet penetration was 98.4%, there were 8.63 million subscribers in Switzerland, as reported by Kepios analysis.
To support automation in financial processes, the Swiss Govt introduced the concept of the QR bill, which enables data digitalization leading to more efficient processing and monitoring of payments.
According to a survey conducted by DPD, the delivery company, 15.6% of purchases are made online in Switzerland. 68% of clothes, 61% of shoes, and 49% of books are shopped online by Swiss people.
Swissis prefer shopping online, as 63% of regular e-shoppers think it is less stressful than in-store shopping.
E-retailers are looking for new ideas to increase their online user base. For instance, Zalando, the online fashion retailer, launched Adaptive Fashion, catering to disabled persons with different impairments. The clothes are stitched to fulfill the special needs of these consumers to offer seated designs for wheelchair use, sensory-friendly fabrications, pieces with easy closures, and styles that accommodate prosthetics or bandages.
Switzerland E-Commerce Industry Overview
The Switzerland E-Commerce market is highly competitive due to the strong presence of many players. Grocers need a strategic plan that supports curbside pickup and same-day home delivery as e-grocery sales soar. Retailers are making significant investments in AI and IoT technology to automate their business framework and achieve time by reducing manual interventions. However, the market is dominated by players such as ZurRose Group, Nespresso, Digitec Galaxus AG, Microspot.ch, and so on. These automation providers collaborate with retailers to automate their business framework and achieve profitability.
In March 2023, Microspot.ch, part of Swiss retailer Interdiscount collaborated with Salesforce for a smart service platform to offer three-language customer support to consumers with an omnichannel experience.
In November 2022, an estimated 45% of French people composted one or more forms of biowaste at home, and consumer demand for compostable packaging is rising. Keeping consumer sentiments and choice of product in mind, Nespresso introduced the world's first paper-based home compostable capsule that delivers high-quality coffee. These capsules are made using 80% recycled aluminum and are recyclable.
Switzerland E-Commerce Market Leaders
Digitec Galaxus AG
*Disclaimer: Major Players sorted in no particular order
Switzerland E-Commerce Market News
- March 2023: Autonomous driving skills can soon be seen in the food delivery industry. Migros, in partnership with Loxo and Schindler, has developed an autonomous delivery service called Migronomous. The trails have been started, and the van can carry up to 64 shopping bags. The eco-friendly van runs on an electric motor, reducing emissions. The upsurge in online orders in recent years compelled the brand to adopt this AI technology.
- February 2023: Switzerland's Spar and Avia launched Spar Express, an autonomous C-store that will be operational 24 hrs. Customers can also find hygiene products, car accessories, and perishable items like baked goods, fruit, vegetables, dairy products, meat, and beverages. This will be a fully automated store where customers scan a QR code with their smartphone at the entrance, scan chosen items with their mobile, and pay for their purchases using a card or any payment wallet like Apple Pay.
- January 2023: To give a new look to its website and influence its consumers, Zalando shopping club introduced a new brand identity called Lounge by Zalando. The new app comes loaded with a gem click that showcases the offers once users log in. To attract more online consumers, Lounge by Zalando launches fresh campaigns, everyday lavishing huge discounts.
Switzerland E-Commerce Market Report - Table of Contents
1.1 Study Assumptions and Market Definitions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness-Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Buyers/Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Impact of COVID-19 on the e-commerce sales
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 High Dependency for booking of Hotels and Flights
5.1.2 Penetration of Internet and Smartphone Usage
5.2 Market Restraints
5.2.1 Evolving taxation landscape and custom regulations has increased the complexity of trade
5.2.2 Digitization of e-commerce may incur expenses for consumers
6. MARKET SEGMENTATION
6.1 By B2C ecommerce
6.1.1 Market Segmentation - by Application
22.214.171.124 Beauty & Personal Care
126.96.36.199 Consumer Electronics
188.8.131.52 Fashion & Apparel
184.108.40.206 Food & Beverage
220.127.116.11 Furniture & Home
18.104.22.168 Others (Toys, DIY, Media, etc.)
6.2 By B2B ecommerce
6.2.1 Market size for the period of 2018-2028
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Zalando Group
7.1.2 Digitec Galaxus AG
7.1.3 Amazon.com, Inc.
7.1.4 Nestlé Nespresso SA
7.1.8 Apple Inc.
7.1.9 Coop Group
7.1.10 Zur Rose Group AG
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
Switzerland E-Commerce Market Research FAQs
How big is the Switzerland E-Commerce Market?
The Switzerland E-Commerce Market size is expected to reach USD 14.51 billion in 2023 and grow at a CAGR of 13.71% to reach USD 27.58 billion by 2028.
What is the current Switzerland E-Commerce Market size?
In 2023, the Switzerland E-Commerce Market size is expected to reach USD 14.51 billion.
Who are the key players in Switzerland E-Commerce Market?
ZurRose Group, Nespresso, Digitec Galaxus AG, Microspot.ch and Zalando Group are the major companies operating in the Switzerland E-Commerce Market.
Switzerland E-Commerce Industry Report
Statistics for the 2023 Switzerland E-Commerce market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Switzerland E-Commerce analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.