Online commerce in Switzerland continues its rise, but not without respite for Swiss companies. With over CHF 18 billion in revenue generated by 2024, nearly a third comes from major foreign retailers like Amazon or Chinese players. Swiss consumers, despite their high purchasing power, are increasingly attracted to these competitively priced platforms. To learn more about the success criteria of these foreign players in Switzerland, let's analyze the 5 largest foreign companies that have built lasting success on the Swiss market in recent years.
Zalando, the Swiss' favorite fashion site
The Berlin-based company Zalando is undoubtedly the most resounding foreign success story in Switzerland in recent years. Founded in 2008 in Germany, initially as an online shoe retailer, Zalando entered the Swiss market in 2011 (Zalando.ch), during the first wave of expansion in Germany. In just a few years, Zalando has become a key player for Swiss consumers looking for clothing, shoes, and accessories online. The number one B2C e-commerce company in Switzerland for many years, Zalando has achieved exceptional sales figures: €1.65 billion in 2024, €1.65 billion in 2023, and more.
Zalando's Success Criteria
Zalando has successfully connected a young and enthusiastic audience with an offering that didn't exist in Switzerland in 2010: a one-stop online fashion shop, bringing together hundreds of brands (from major international labels to local brands). This same positioning has allowed it to sell its products at attractive prices, often lower than those available in Switzerland (despite import fees). The company has continually expanded its assortment, offering beauty and sports products. In 2018, Zalando opened a giant warehouse in Lahr (southern Germany) which, although outside Switzerland, has accelerated deliveries to Swiss customers.
Zalando's impeccable customer experience (imported from its German model), free delivery and returns, with no minimum purchase (a major obstacle for Swiss people hesitant to buy clothes without trying them on), and its marketing power have also contributed to its success. This policy of unlimited free returns (a pioneer at the time), which Zalando has made its trademark, has attracted many Swiss consumers, influencing the Swiss market.
Amazon – (Re-)Conquers Switzerland
Despite the fact that Amazon does not have a Although a local domain in Switzerland (amazon.ch redirects to Amazon.de), its impact is felt beyond its neighboring borders. Since the mid-2000s, many Swiss people have been ordering from Amazon.de or Amazon.fr, despite customs and delivery hurdles. To facilitate its sales, Amazon has softened its approach to entering the Swiss market: integrating VAT upon ordering (no surprises with customs clearance), improving cross-border logistics (distribution centers close to the border and collaboration with La Poste for delivery), etc.
And it's working! Amazon holds a 10.5% market share in terms of brand awareness among Swiss online shoppers by the end of 2024. With nearly €852 million in revenue in 2023, this giant is now one of the leading players in the market.
What are the reasons for Amazon's success in Switzerland?
With its lower prices and huge product range, Amazon is making its assets appreciated by consumers. Swiss. The lack of a website initially hampered its expansion. Then Amazon removed the barriers: offering delivery to Switzerland from Germany, an interface in three languages (French, German, and English), displaying prices in CHF, automatic calculation of import fees at checkout, and easy returns. Logistics partnerships with the Swiss Post also contribute to its discreet implementation.
The arrival of Amazon Prime and its complementary services (Kindle, Audible, etc.) represent a formidable marketing lever for streaming enthusiasts. Moreover, the brand certainly needs no introduction, which further facilitates its expansion.
AliExpress (Alibaba Group) – The Chinese e-commerce platform that has won over the Swiss
Over the past 10 years, AliExpress has established itself in Switzerland. Launched in 2010 by the Chinese giant Alibaba, the platform allows consumers around the world, including Switzerland, to buy from Chinese manufacturers and merchants at unbeatable prices. Between 2015 and 2016, Swiss Post was already registering 20,000 packages per day. The purchase of electronic gadgets, smartphone cases, accessories, and small household appliances quickly won over a portion of the public. With approximately 1.5% market share in terms of brand awareness, it is among the top 10 most visited online marketplaces.
Reasons for AliExpress's Success
The prices and a huge product catalog! But also the zero or minimal shipping costs, despite the relatively low product price, have been convincing. China has been able to take advantage of highly advantageous international postal arrangements, encouraging impulse micro-purchases by Swiss customers. Around 2016-2017, faced with the explosion in parcel volumes, Swiss Post had to adapt (automating customs clearance for small shipments, managing volume). Finally, as of January 1, 2025, the Swiss authorities amended the VAT law to tax small orders. Despite fierce competition from other new Chinese platforms such as Wish and Shein, and more recently Temu (2023), and thanks to the 2020 pandemic, AliExpress has gained further popularity.
Temu, a Chinese platform already propelled to the top of the rankings
Despite its late arrival on the Swiss market, 4.6% of Swiss consumers already consider it their primary destination, placing Temu in fourth place. Similar to other Chinese platforms, it offers low-cost products, gadgets, clothing, and accessories. However, Temu has adopted a more aggressive sales strategy, often lowering prices than competitors.
Temu's strengths
From the outset, the brand is investing $2 billion in advertising on Instagram and Facebook by 2023. The interface is more fun, with more promotions and rewards to encourage purchases. This gamified user experience fills the gaps of other platforms, which will eventually make up for lost time. Logistics are optimized; shipments are made directly from China, reducing intermediaries and costs. VAT is included to comply with Swiss regulations. Free delivery offers continue to attract consumers.
IKEA, sought-after Swedish furniture
Established in Switzerland in 1973, IKEA generates approximately $1.2 billion in annual sales. With its self-assembly concept and low prices, IKEA brings a significant amount of innovation to the market. But this appeals to customers. This new approach offers many advantages in terms of transportation and logistics. But Ikea is even more surprising with its omnichannel model. And yet, when you know you have to assemble the furniture yourself, a short DIY video is never too much.
What are Ikea's success factors?
This same omnichannel approach allows Ikea to offer its customers a seamless, even flawless, experience. Its second positive point is its affordable prices. Furthermore, Ikea has invested more than EUR 2.1 billion in 2024 to support consumers during difficult economic times. This same investment has led to an increase of more than 3% in-store traffic and a 28% increase online. The number of online orders has increased by 9%.
Its sustainable commitment, ecological initiatives, and social responsibility have continued to strengthen the loyalty of Swiss and European customers.
Two Competing Models
Ultimately, the large companies that have succeeded in Switzerland rely on two models: an attractive offering, with quality products at low prices that conquer the Swiss market, or the success of Chinese platforms, with their unbeatable pricing model.
Zalando and Ikea, each in their own way, bring a concept that appeals, but not only in Switzerland. However, more was needed to win over the market. Zalando's free returns are a perfect example of a strategy that successfully won over their customers.
Online Sales: The 5 Best Foreign Companies That Have Succeeded in Switzerland