THE WHAT? Douglas Group has confirmed its full-year guidance despite a 2% decline in third-quarter sales, as the premium beauty retailer responds to weaker demand in key European markets and an accelerating consumer shift towards e-commerce.
THE DETAILS Sales fell 2% year-on-year to €987.8 million in Q3 FY2025/26, while adjusted EBITDA declined 19.4% to €127.5 million. Performance was affected by weaker premium beauty demand in Germany, France and the Netherlands, which together account for around 60% of the group’s business, alongside heightened price competition. Douglas is responding by increasing its focus on e-commerce, reviewing its pricing strategy and assessing stores against profitability and footfall targets. The retailer will continue selective store openings, particularly in Eastern Europe, while investing in technology, digital experience and cross-channel services. Exclusive brands, including about-face, Lolavie, Morphe and Balmain Paris, remained a growth area, with sales rising at a double-digit rate during the quarter. Douglas plans to provide an update on the evolution of its “Let it Bloom” strategy in Q4 2026.
THE WHY? The changes point to a significant evolution in Douglas’ omnichannel beauty retail strategy, with investment increasingly moving towards digital as consumer purchasing behaviour shifts online. For beauty brands, the retailer’s greater emphasis on e-commerce, exclusive assortments and store profitability could influence future distribution, brand partnerships and visibility across one of Europe’s largest premium beauty retail networks.
Source: Douglas Group
