BERLIN — Glossybox is in the pink. The Berlin-based beauty subscription service reported Monday that it closed 2014 with a “seven-digit euro” profit, and was profitable in every month of last year. The firm also said its customer base rose by 25 percent, despite the fact that it reduced spending on marketing by 33 percent at the same time.
Glossybox is active in 10 countries — the U.S., U.K., France, Germany, Sweden, Norway, Switzerland, Austria, Ireland and Canada. The boxes, priced at $21, are delivered monthly to 200,000 global subscribers; more than six million Glossyboxes have been sold, according to the company. Its 600 brand partners range from Nivea to Lush to Chantecaille.
“In 2013, we saw that within the huge structure we had, a business which spanned more than 20 countries, we didn’t have the ability to focus on the most important things: our product and our customers,” said Charles von Abercron, Glossybox global chief executive officer. “We went back to school to make sure our brand was sustainable and that our brand-communication strategy was working on all channels. We stopped growing for the sake of growth; we closed and sold certain markets and refocused on our strongest countries, with a renewed focus on quality and customer satisfaction.”
Germany’s Rocket Internet, which also owns online retailer Zalando, holds a majority stake in the beauty sampling company. Glossybox went through a major revision in 2013, cutting distribution range and staff to hone in on key markets.
For 2013, Glossybox reported sales of 31 million euros, or $41.2 million at average exchange for the period. No sales figures have been provided for 2014.
Those who’ve partnered with Glossybox like the results. “The exposure Obsessive Compulsive Cosmetics received from our partnership with Glossybox was incredible,” said David Klasfeld, ceo and creative director of Obsessive Compulsive Cosmetics. “Black Dahlia Lip Tar quickly sold out through all of our points of distribution, far eclipsing all projections.”