Cross-border shopping becoming more and more popular in Switzerland

Tempted by the lure of lower prices, people from Switzerland are heading across the border to shop more often and on a bigger scale than they did a few years ago, according to a new study. 

Cross-border shoppers spend 9 billion Swiss francs abroad each year

The study from the University of St. Gallen looked at the development of cross-border shopping from Switzerland since 2022, conducting a survey of 3.000 respondents in different parts of the country. 

They concluded that so-called “shopping tourism”, both in-store and online, has increased massively in popularity over the last three years, with the total estimated spend up 9,9 percent from 8,43 billion Swiss francs in 2022 to 9,26 billion francs this year. 

Food continues to make up the largest share of the money spent abroad, with approximately 4,1 billion Swiss francs spent on food items abroad this year. 1,8 billion was spent on furnishings, 1,4 billion on clothing, 1,2 billion on medicines and other drugstore products, and 730 million on sporting goods. 

While most shopping tourism continues to take place in brick and mortar stores abroad, the share of online shopping tourism - where people in Switzerland purchase items over the internet from online retailers based abroad - has grown steadily in recent years. Around 7,7 billion Swiss francs are spent in-store each year, leaving around 1,5 billion spent online. 

Cross-border shoppers spending more

The data shows that a slightly smaller share of the population actually travels abroad to shop compared to three years ago, but the overall spending figures have increased because those who do travel are spending more money and covering a large portion of all their shopping needs with these trips. 

The most popular destinations for cross-border shoppers include the German city of Konstanz, which remains the hotspot, alongside Weil am Rhein, Lörrach and Waldshut-Tingen. People in French-speaking cantons tend to head to Pontarlier, while the Italian-speaking destination is Como. 

Price differences abroad are often overestimated

The survey respondents said that lower prices were the main pull of shopping abroad, but they also said that shopping abroad allowed them to buy products not available in Switzerland. Other factors cited included better store opening hours, better service, and friendlier staff! 

Interestingly, the study found that cross-border shoppers tend to overestimate the price differences between Switzerland and its neighbouring countries and therefore the savings they are making. They estimated that the average price in Switzerland was 65,8 percent higher than abroad, although the actual difference is around 39,7 percent. 

Rules on cross-border shopping

Cross-border shopping is allowed in Switzerland but it is subject to strict limits, and goods must be declared at the border. They are not subject to VAT so long as their total value does not exceed 150 Swiss francs. 

Products like alcohol, meat and cigarettes are also subject to different limits.