Coop Ends The Body Shop Franchise in Switzerland

Coop, one of Switzerland's largest retail companies, has announced the termination of its franchise agreement with The Body Shop in Switzerland. The decision comes as a significant shift in the Swiss retail landscape, with the franchise agreement set to expire at the end of May 2025. Coop, which has been operating The Body Shop's Swiss franchise since 2010, cited the loss of the brand's unique market positioning as the primary reason for this strategic decision.

The termination affects 33 Body Shop locations across Switzerland and 108 employees. In a demonstration of corporate responsibility, Coop has committed to offering alternative employment opportunities to all affected staff members within the cooperative. The retail spaces currently occupied by The Body Shop will be repurposed for other specialist retail formats within the Coop Group, ensuring continued utilization of these prime retail locations.

The decision to end the franchise agreement reflects broader changes in the cosmetics retail sector. While The Body Shop's parent company in the UK filed for insolvency in mid-February 2024, the Swiss operations under Coop remained financially independent from these proceedings. The cosmetics market has evolved significantly, with many companies now embracing sustainable and natural cosmetics - a concept The Body Shop pioneered but no longer uniquely owns. This market saturation has diminished The Body Shop's distinctive position in the Swiss retail landscape.

The Body Shop, founded by Anita Roddick in Brighton, UK, in 1976, built its reputation on ethically produced cosmetics and skincare products - a revolutionary concept at the time. The brand's entry into the Swiss market under Coop's management in 2010 marked an important expansion phase. However, as the market evolved and more companies adopted similar ethical and sustainable approaches, The Body Shop's pioneering position became less distinctive in the Swiss market.