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Why Glossybox's Business Model is so successful?

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Glossybox’s Company Overview

Glossybox is a beauty subscription service that delivers curated boxes of beauty and skincare products to subscribers' doorsteps on a monthly basis. Launched in 2011, Glossybox has gained popularity for its personalized approach to beauty discovery, allowing users to sample a variety of high-end and niche beauty products before committing to full-sized purchases. GLOSSYBOX is the leading purveyor of luxury beauty samples on a global stage. They provide a monthly box of coveted beauty products to members around the world. Members receive a gorgeous box with 5 luxury beauty products wrapped in our iconic pink box. Their mission is to introduce women to the best of the beauty world, guiding them to beauty products they’ll love. Business Model: Glossybox operates on a subscription box business model, providing beauty enthusiasts with a personalized and convenient way to explore new products. The key components of Glossybox's business model include: Subscription Service: Glossybox offers subscription plans where customers can sign up to receive a curated box of beauty products every month. Subscribers pay a fixed monthly fee for the service, gaining access to a selection of premium and luxury beauty items. Product Curation: The heart of Glossybox's model lies in product curation. The company collaborates with a diverse range of beauty brands, curating a selection of sample-sized and sometimes full-sized beauty and skincare products. This allows subscribers to discover new and trending items in the beauty industry. Personalization: Glossybox emphasizes personalization by tailoring the content of each box based on individual subscriber preferences. Users often fill out beauty profiles or take quizzes to help customize their boxes according to their skin type, hair concerns, and beauty preferences. Branding and Partnerships: Glossybox collaborates with well-known and emerging beauty brands, incorporating their products into the subscription boxes. This model not only benefits subscribers by introducing them to a variety of products but also serves as a marketing and distribution channel for beauty brands seeking to reach a wider audience. Revenue Model: Glossybox generates revenue through a combination of subscription fees, partnerships, and product placements: Subscription Fees: The primary source of revenue for Glossybox comes from subscription fees paid by customers. Subscribers commit to a monthly or annual fee to receive curated beauty boxes delivered to their homes. Pricing tiers may vary based on subscription duration and geographic location. Brand Partnerships: Glossybox forms partnerships with beauty brands looking to showcase and promote their products. These brands often pay Glossybox for featuring their items in subscription boxes, leveraging the platform's reach to connect with potential customers. Limited Edition Boxes: Glossybox occasionally releases limited edition boxes or special collaboration boxes that focus on specific themes or brands. These curated collections may be offered at a higher price point, providing an additional revenue stream. E-commerce Sales: In some cases, Glossybox allows subscribers to purchase full-sized versions of the products they sampled in their boxes directly through the company's online store. This e-commerce component contributes to additional revenue as users make full-sized product purchases. Gift Subscriptions: Glossybox offers gift subscription options, allowing customers to purchase beauty boxes as gifts for friends, family, or loved ones. Gift subscriptions generate one-time revenue while introducing new users to the Glossybox experience. Glossybox's business and revenue model revolves around delivering a curated and personalized beauty discovery experience to its subscribers while creating valuable partnerships with beauty brands. Glossybox has positioned itself as a leading player in the beauty subscription box industry by staying at the forefront of beauty trends and continuously engaging with its audience.

Country: Germany

Foundations date: 2011

Type: Private

Sector: Consumer Goods

Categories: Beauty

Glossybox’s Customer Needs

Social impact:

Life changing: affiliation/belonging

Emotional: rewards me, nostalgia, design/aesthetics, badge value, fun/entertainment, attractiveness

Functional: saves time, simplifies, makes money, reduces risk, organizes, reduces effort, avoids hassles, quality, variety, sensory appeal, informs

Glossybox’s Related Competitors

Glossybox’s Business Operations


Commissions are used in the affiliate revenue model example. Essentially, you resell goods from other merchants or businesses on your website or in your physical store. You are then compensated for referring new consumers to the company offering the goods or services. Affiliates often use a pay-per-sale or pay-per-display model. As a result, the business can access a more diversified prospective client base without extra active sales or marketing efforts. Affiliate marketing is a popular internet business strategy with significant potential for growth. When a client purchases via a referral link, the affiliate gets a portion of the transaction's cost.


The aikido business model is often characterized as using a competitor's strength to get an edge over them. This is accomplished through finding weaknesses in a competitor's strategic position. In addition, it adds to marketing sustainability by exposing rivals' flaws, finding internal and external areas for development, and attracting consumers via specific product offers that deviate from the norm.


Cross-selling is a business strategy in which additional services or goods are offered to the primary offering to attract new consumers and retain existing ones. Numerous businesses are increasingly diversifying their product lines with items that have little resemblance to their primary offerings. Walmart is one such example; they used to offer everything but food. They want their stores to function as one-stop shops. Thus, companies mitigate their reliance on particular items and increase overall sustainability by providing other goods and services.

Curated retail:

Curated retail guarantees focused shopping and product relevance; it presents a consumer with the most appropriate options based on past purchases, interactions, and established preferences. It may be provided via human guidance, algorithmic recommendations, or a combination of the two.

Customer loyalty:

Customer loyalty is a very successful business strategy. It entails giving consumers value that extends beyond the product or service itself. It is often provided through incentive-based programs such as member discounts, coupons, birthday discounts, and points. Today, most businesses have some kind of incentive-based programs, such as American Airlines, which rewards customers with points for each trip they take with them.

Customer relationship:

Due to the high cost of client acquisition, acquiring a sizable wallet share, economies of scale are crucial. Customer relationship management (CRM) is a technique for dealing with a business's interactions with current and prospective customers that aims to analyze data about customers' interactions with a company to improve business relationships with customers, with a particular emphasis on retention, and ultimately to drive sales growth.


Electronic commerce, or e-commerce (alternatively spelled eCommerce), is a business model, or a subset of a larger business model, that allows a company or person to do business via an electronic network, usually the internet. As a result, customers gain from increased accessibility and convenience, while the business benefits from integrating sales and distribution with other internal operations. Electronic commerce is prevalent throughout all four main market segments: business to business, business to consumer, consumer to consumer, and consumer to business. Ecommerce may be used to sell almost any goods or service, from books and music to financial services and airline tickets.

Experience selling:

An experience in the sales model describes how a typical user perceives or comprehends a system's operation. A product or service's value is enhanced when an extra customer experience is included. Visual representations of experience models are abstract diagrams or metaphors derived from recognizable objects, actions, or systems. User interfaces use a range of experience models to help users rapidly comprehend what is occurring in the design, where they are, and what they may do next. For example, a software experience model may depict the connection between two applications and the relationship between an application and different navigation methods and other system or software components.

Fashion sense:

In any customized sense of style, the golden guideline is to buy garments that fit correctly. Nothing ruins an ensemble more than an ill-fitting jacket, shirt, or trouser, regardless of the dress code or the cost of the clothing. Personal Values Sharing as a Brand Identity A significant component of developing a company that fits your lifestyle is growing a business grounded in your beliefs.

Niche retail:

A marketing strategy for a product or service includes characteristics that appeal to a particular minority market segment. A typical niche product will be distinguishable from other goods and manufactured and sold for specialized purposes within its associated niche market. Niche retail has focused on direct-to-consumer and direct-to-business internet sales channels. The slogan for niche retail is Everything except the brand.

Product innovation:

Product innovation is the process of developing and introducing a new or better version of an existing product or service. This is a broader definition of innovation than the generally recognized definition, which includes creating new goods that are considered innovative in this context. For example, Apple launched a succession of successful new products and services in 2001?the iPod, the iTunes online music service, and the iPhone?which catapulted the firm to the top of its industry.


Referral marketing is a technique for acquiring new consumers by advertising goods or services through recommendations or ordinary word of mouth. While these recommendations often occur spontaneously, companies may influence this via the use of suitable tactics. Referral marketing is a technique for increasing referrals through word of mouth, arguably the oldest and most trusted kind of marketing. This may be done by incentivizing and rewarding consumers. A diverse range of other contacts to suggest goods and services from consumer and business-to-business companies, both online and offline.

Regular replacement:

It includes items that must be replaced on a regular basis; the user cannot reuse them. Consumables are products utilized by people and companies and must be returned regularly due to wear and tear or depletion. Additionally, they may be described as components of a final product consumed or irreversibly changed throughout the production process, including semiconductor wafers and basic chemicals.


Resellers are businesses or individuals (merchants) that acquire products or services to resell them instead of consuming or utilizing them. This is often done for financial gain (but could be resold at a loss). Resellers are well-known for doing business on the internet through websites. One instance is the telecommunications sector, in which corporations purchase surplus transmission capacity or take the call from other providers and resell it to regional carriers.


Subscription business models are built on the concept of providing a product or service in exchange for recurring subscription income on a monthly or annual basis. As a result, they place a higher premium on client retention than on customer acquisition. Subscription business models, in essence, concentrate on revenue generation in such a manner that a single client makes repeated payments for extended access to a product or service. Cable television, internet providers, software suppliers, websites (e.g., blogs), business solutions providers, and financial services companies utilize this approach, as do conventional newspapers, periodicals, and academic publications.

Subscription box:

A subscription box is a regular delivery of retail goods to a client. Thus, subscription boxes are both a marketing tactic and a delivery mechanism for products. Subscription boxes are used by subscription-based e-commerce companies, abbreviated subcom, that operates on a subscription-based revenue model. They cater to a diverse client base and address a range of particular demands and interests. Since the subscription box business is still in its infancy, there is little data available. However, between 400 and 600 distinct types of subscription boxes are available in the United States alone, with more known internationally.

Take the wheel:

Historically, the fundamental principles for generating and extracting economic value were rigorous. Businesses attempted to implement the same business concepts more effectively than their rivals. New sources of sustained competitive advantage are often only accessible via business model reinvention driven by disruptive innovation rather than incremental change or continuous improvement.

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