Douglas Adapts to Changing Consumer Behavior with Digital Investment

## Douglas Faces Challenges in Key Markets Germany-headquartered beauty chain retailer Douglas has reported a decline in sales and adjusted EBITDA for the third quarter of its financial year 2025/2026. The company cited weak dynamics in Germany, France, and the Netherlands, as well as ongoing price competition in the European beauty sector, as contributing factors to its performance. According to Douglas, the European premium beauty market continues to expand, but Germany, France, and the Netherlands are lagging behind more dynamic markets such as Poland, Spain, and Italy. Consumer demand for premium beauty declined year-on-year in Germany and the Netherlands, while remaining broadly flat in France. Central and Eastern Europe, however, continues to be a key growth engine for the Group. ## E-commerce Growth in Key Regions In contrast to the decline in sales in some regions, e-commerce grew at a double-digit rate in Central and Eastern Europe, Southern Europe, and France. This strong performance highlights the growth potential and accelerating momentum of the online channel as consumers increasingly shift their shopping online. The online channel accounts for up to one-quarter of total sales in some regions. ## Digital Investment and Omnichannel Transformation To adapt to changing consumer behavior, Douglas is continuously reviewing its pricing strategy and accelerating its omnichannel transformation. The company plans to shift its investment focus towards elevating its digital offering and the shopping experience for its customers. This includes driving assortment exclusivity and cross-channel services, which have shown significant sales growth. Douglas expects the balance between store and online sales to shift further in the coming years. As a result, the company intends to place even greater emphasis on e-commerce. This will involve reviewing stores critically with regard to profitability targets and adjusting the balance between digital and stationary business to match prevailing customer footfall. ## CEO's Perspective According to Douglas CEO Sander van der Laan, the competition for share of wallet is fierce. He emphasized the need for the company to adapt to changing consumer behavior and invest in its digital offering. Van der Laan highlighted the importance of elevating the digital shopping experience and driving assortment exclusivity and cross-channel services. The company has confirmed its guidance for the financial year, and it remains to be seen how its digital investment and omnichannel transformation will impact its performance in the coming months. As the beauty retail landscape continues to evolve, Douglas is taking steps to stay ahead of the competition and meet the changing needs of its customers.