Digitec Galaxus

Digitec Galaxus AG[2] is the biggest online retailer in Switzerland.[3] It operates the digitec and Galaxus online shops as well as ten stores in the German- and French-speaking parts of Switzerland.[4]

Digitec Galaxus
IndustryRetail
Founded1 April 2001
HeadquartersTechnopark Zürich,
Zürich
,
Switzerland
Number of locations
10
Area served
Switzerland, Germany (November 2018)
Key people
Florian Teuteberg (CEO, President of the board of directors)

Oliver Herren (CIO, board of directors) Martin Walthert (CMO) Thomas Fugmann (CFO) Johannes Cramer (COO) Hendrik Blenken Blijdenstein (CPO)

Stefan Mueller (CTO)
Services10 stores, telephone orders and online distribution
RevenueCHF 1.146 billion (2019)[1]
Number of employees
Roughly 1300 (January 2019)
ParentMigros
WebsiteOfficial website Official website
digitec shop Technopark Zürich

Revenue

In January 2020, Digitec Galaxus AG reported a revenue growth of 16%, increasing it to 1.146 billion Swiss francs.[5] (2018, 992 million Swiss francs.[6] 2017: 861 million Swiss francs[7], 2016: 725 million Swiss francs.[8])

Product range

Digitec Galaxus AG showcases more than a million products in its range (in January 2018).[9]

While the Galaxus online warehouse stocks the full Digitec Galaxus AG range, digitec specialises in consumer electronics.[10]

The Swiss online retailer operates the following categories: «Home», «Interior», «DIY + Garden», «Sports + Leisure», «Toys», «Pet Supplies», «Baby + Child», «Health + Beauty», «Watches + Jewellery», «Office», «Media and Digital». (in January 2018).[11]

Since October 2016, Galaxus has been using a marketplace model that allows external retailers to sell their products via galaxus.ch. External retailers include Qualipet and the Swiss department store Globus.[12]

Stores and collection options

Digitec Galaxus AG has ten stores in the German- and French-speaking parts of Switzerland. These stores act as showrooms, collection and return points for products as well as places to purchase and ask questions about them. Therefore, the company is not purely an online retailer. Digitec Galaxus AG follows an approach that is known as a multichannel or omnichannel strategy in the industry.

The company has stores in Basel, Bern, Dietikon, Geneva, Kriens, Lausanne, St. Gallen, Winterthur, Wohlen (AG) and Zurich.[13]

The Migros-pickup-service PickMup with its hundreds of locations is also available for Digitec and Galaxus clients.[14][15]

Logistics and delivery

Digitec Galaxus has its own warehouse in Wohlen (AG). The building was last expanded in September 2017 when it was also partly automated. It now spans 46,500 square metres. The warehouse hosts more than 100 kilometres of shelving for up to 1,5 million products.[16]

More than 300 members of staff work in the Digitec Galaxus logistics department (as at September 2017).[17]

The company works with Swiss Post to coordinate deliveries.

Digitec Galaxus delivers to customers in Switzerland and Liechtenstein.[18]

When a customer places an order before 5 p.m. (Monday to Friday) for a product that is in stock at the Digitec Galaxus warehouse, it is sent out the same day. This means it should reach the customer the following morning (except on Sundays). The website shows availability for each product in real time.[19]

History

Digitec was launched in April 2001 by the three young entrepreneurs Oliver Nägeli (now Oliver Herren), Florian Teuteberg and Marcel Dobler under the name Nägeli Trading & Co.[20]

On 13 June 2005, they converted the company into an Aktiengesellschaft (corporation). The business then traded under the name Digitec AG until 2014. (The official spelling is digitec AG with a lower-case ‘d’.)

Fast-forward to May 2012 and Digitec AG was taking its Galaxus e-commerce site online to expand its product range beyond consumer electronics. Extending their product line to include day-to-day items was the company's response to shrinking margins and meagre growth in the electronics trade.

In June 2012, Migros acquired a 30% share in Digitec for an estimated 42 million Swiss francs.[21][22] And since 2015, Migros has been a majority shareholder in Galaxus AG with a stake of 70%.[23][24][25]

Meanwhile, August 2014 saw the relaunch of the company's website after going through a public test phase as Digitec beta. And the underlying ERP was developed in-house. There used to be a highly modified access database handling goods management. However, sheer growth stretched this to its limits.[26]

On 2 September 2014, Digitec AG changed its name to Galaxus (Schweiz) AG. And on 28 July 2015, Digitec Galaxus AG was born, thereby making a clear link between the two brands digitec and Galaxus.

In April 2017, Digitec Galaxus AG started focusing on gamification, making it the first Swiss online retailer to do so.[27]

As of August 2017, Digitec Galaxus AG extended the time customers have to return products from 14 to 30 days.[28]

Meanwhile, September 2017 saw Digitec Galaxus AG decide to expand its warehouse.[29]

October 2017 marked a milestone for the company when it was announced Galaxus would be expanding to Germany in 2018. The exact launch date has not yet been confirmed.[30] This move ensures the company has access to the Digital Single Market.[31] If Digitec Galaxus AG has success in Germany, it intends to expand to other countries.[32]

In November 2017, the company launched a recommerce feature. This allows customers to resell products purchased from Digitec Galaxus products through Digitec Galaxus.[33]

In January 2018, Galaxus.ch featured approximately 24,000 Globus products on its e-commerce site. Thanks to the new Globus department, Galaxus now has exceeded the million mark in the number of products in its range.[34]

In November 2018, Galaxus announced the launch of its German online shop galaxus.de.[35]

In March 2019, the company announced that its digitec and Galaxus sites would now accept 10 different types of cryptocurrency including Bitcoin, Bitcoin Cash, Ethereum and Bitcoin SV as payment for purchases totalling more than 200 Swiss francs. Co-founder Oliver Herren called cryptocurrencies "fascinating" and said Digitec Galaxus “want to support” the development of the new technology.[36]

Awards
  • Digital Commerce Champion 2018[37]
  • Swiss Poster Award 2017 in the category "Commercial National"[38]
  • Digital Marketer of the Year 2018[39]
  • Swiss Marketing Society (GfM) marketing prize 2017[40]
  • Swiss E-Commerce Award 2017[41]
    • Galaxus: Swiss E-Commerce Champion 2017
    • Galaxus: Winner of the B2C - Home & Living category
    • Galaxus: Winner of the Curation, Social and Content Commerce category
  • Best of Swiss Web Award 2015: Swiss Web Award[42]
  • Third place in the SVC enterprise award 2011 for Zurich[43]
  • Swiss Economic Award 2008[44]
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References
  1. (in German). aargauerzeitung.ch. 2020-01-10 https://www.aargauerzeitung.ch/wirtschaft/onlinehaendler-digitec-galaxus-knackt-2019-umsatzmilliarde-136203442. Retrieved 2019-01-14. Missing or empty |title= (help)
  2. https://www.galaxus.ch/de/Wiki/528
  3. Sergio Aiolfi (2018-01-10), "Einkaufstourismus ist im Schweizer Detailhandel eine feste Grösse | NZZ", Neue Zürcher Zeitung (in German), ISSN 0376-6829, retrieved 2018-01-10
  4. "Standorte - Galaxus" (in German). Retrieved 2018-01-10.
  5. "Onlinehändler Digitec Galaxus knackt 2019 Umsatzmilliarde | Aargauer Zeitung" (in German). 2020-01-10.
  6. "Digitec Galaxus kratzt an der Umsatzmarke von 1 Milliarde Franken | NZZ" (in German). 2019-01-09. ISSN 0376-6829. Retrieved 2019-01-14.
  7. sda/stric;horm, "SRF News: Migros-Tochter im Hoch – Digitec Galaxus wächst stark", Schweizer Radio und Fernsehen (SRF) (in German), retrieved 2018-01-10
  8. Digitec Galaxus AG (2018-01-08). "Digitec Galaxus Pressemitteilung" (PDF) (in German). Retrieved 2018-01-10.
  9. Blick, Onlinehandel: Fast ein Fünftel mehr Umsatz für Digitec Galaxus (in German), retrieved 2018-01-10
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  14. "Häufig gestellte Fragen zu PickMup - Galaxus" (in German). Retrieved 2018-01-10.
  15. "Pickupfinder" (in German). Retrieved 2018-01-10.
  16. "Jetzt holt auch der Roboter deine Päckli!" (in German). Retrieved 2018-01-10.
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  19. "Lieferung und Abholung - Galaxus" (in German). Retrieved 2018-01-10.
  20. https://www.digitec.ch/de/Wiki/528
  21. Bilanz: Digitec-Kauf durch Migros - 42 Millionen für die Gründer
  22. Carpathia: Die Hintergründe zum Digitec-Migros-Deal: Das Interview mit der Geschäftsleitung
  23. http://www.nzz.ch/wirtschaft/newsticker/migros-neuer-mehrheitsaktionaer-von-digitec-und-galaxus---berninghaus-wird-vrp-1.18527519
  24. Inside-IT: Migros steigt bei Digitec ein
  25. "Finanz und Wirtschaft Migros neuer Mehrheitsaktionär von Digitec und Galaxus". Archived from the original on 2015-07-01. Retrieved 2018-03-23.
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  27. "Digitec macht Kunden zu Gamern" (in German). Retrieved 2018-01-10.
  28. "Digitec und Galaxus verdoppeln Rückgabefrist" (in German). Retrieved 2018-01-10.
  29. www.20minuten.ch, 20 Minuten, 20 Min, www.20min.ch, "Das Digitec-Lager macht sich selbstständig", 20 Minuten (in German), retrieved 2018-01-10CS1 maint: multiple names: authors list (link)
  30. "Digitec Galaxus wagt Deutschland-Abenteuer". 20 Minuten (in German). Retrieved 2017-10-05.
  31. "Geoblocking-Verbot: Online-Shopping ohne Grenzen auch bald in der Schweiz?". Luzerner Zeitung (in German). Retrieved 2018-01-02.
  32. awp/stric; galc, "SRF News: Schritt nach Deutschland – Onlineshop Galaxus testet Chancen im Ausland", Schweizer Radio und Fernsehen (SRF) (in German), retrieved 2018-01-10
  33. Walter Oberli (2017-11-03), "Re-Commerce - Gebrauchte Produkte auf Digitec Galaxus wiederverkaufen | Carpathia Digital Business Blog", Carpathia: E-Business, E-Commerce, Cross-/Omni-Channel, Digital-Transformation Blog (in German), retrieved 2018-01-10
  34. Globus bringt Sortimente online auf Galaxus In: handelszeitung.ch am 3. Januar 2018, abgerufen am 8. Januar 2018.
  35. "Galaxus celebrates its launch in Germany". www.digitec.ch. 2018-11-01. Retrieved 2019-01-14.
  36. Hämmerli, Alex. "Cryptocurrencies now accepted on digitec and Galaxus". Digitec.ch. Retrieved 20 March 2019.
  37. "Galaxus ist «Digital Commerce Champion 2018»". www.galaxus.ch (in German). 2018-05-24. Retrieved 2019-01-14.
  38. "Swiss Poster Award: Kampagne "Soziale Kontakte" ist Poster of the Year", HORIZONT (in German), retrieved 2018-03-23
  39. Digitec Galaxus wird Digital Marketer of the Year 2018 – iab Switzerland (PDF) (in German), 2018-02-01, retrieved 2018-02-06
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  41. Thomas Lang (2017-05-31), "Swiss E-Commerce Awards 2017: Galaxus.ch ist neuer Champion | Carpathia Digital Business Blog", Carpathia: E-Business, E-Commerce, Cross-/Omni-Channel, Digital-Transformation Blog (in German), retrieved 2018-01-10
  42. "- Best of Swiss Web" (in German). Retrieved 2018-01-10.
  43. Bekanntgabe SVC Unternehmerpreis Wirtschaftsraum Zürich 2011.
  44. http://www.swisseconomic.ch/archiv/award/item/digitec-ag Archived 2012-09-18 at the Wayback Machine Porträtseite
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