Ecommerce in Germany
Germany is Europe’s largest economy and after Russia it’s also Europe’s most populous country. After World War II Germany was divided into two different states: West Germany (officially called the Federal Republic of Germany) and East Germany (the German Democratic Republic). The western part sought established links with other Western European countries, while the communist GDR was more connected with countries like the Soviet Union, Hungary and Poland. As of July 2013 it’s estimated 81.1 million people live in Germany, of which 42% is between 25 and 54 years old.
|Population||80.2 million people|
|– % internet users||85%|
|Online sales||€59.7 billion (2015)|
|Online stores worth mentioning:||Otto, Zalando, Mediamarkt|
- Ecommerce customers in Germany
- The ecommerce market in Germany
- Big online stores in Germany
- Latest ecommerce news from or about Germany
Ecommerce customers in Germany
Online shoppers in Germany (47 million in 2015) are keen on using invoice, as it is their preferred online payment method. According to a 2013 survey almost six in ten online customers in Germany pay afterwards whenever they ordered something online. But it’s not only invoice that’s popular, 34% of the German customers use credit cards (MasterCard, VISA or American Express). Other often used online payment methods are PayPal, ELV, GiroPay, Sofort Überweisung , RatePay and cash on delivery.
Another study, one from BITKOM, suggests that with 63% invoice is the most important payment method in Germany, followed by online payment services such as PayPal (56%), debit (46%), credit card (29%), immediate transfer/Giropay (26%), payment in advance (24%), cash on delivery (9%).
Online fashion is the most popular product category in Germany, followed by consumer media and electronics. Especially in the categories ‘consumer electronics & computers’ and ‘media’ (books, music, movies, video games) German consumers are more keen on shopping online instead of shopping offline. According to a study from BITKOM, 65% of German citizens have shopped online during 2012, up from 53 percent in 2008. The current European average is 45 percent. In Germany, 85% of the people have access to the internet.
The ecommerce market in Germany
In May 2016, the Ecommerce Foundation shared some interesting statistics about ecommerce in Germany. The market was worth 59.7 billion euros in 2015 and is expected to reach 66.9 billion euros in 2016. And wwd.com thinks it’s expected to grow 12 percent yearly through 2017, faster than any other Western European country. It’s expected ecommerce revenue will account for 53% of the total gross domestic product in Germany by 2017. The estimated share of online retail in Germany in total retail is 6,6% at the moment.
And according to a study from Deutsche Card Services, the east-west difference in German online retailing has vanished. In terms of purchasing activity nowadays there is virtually no disparity between the western and eastern parts of Germany any more. And data from the Centre for Retail Search shows us that online sales in Germany account for 8% of total retail sales.
Big online stores in Germany
Ecommerce in Germany seems all about two big players: American retailer Amazon and German-founded Otto. They own almost half of the online market, so it’s pretty clear that it’s quite hard for smaller merchants to make a difference. The 10 largest online retailers in Germany, by turnover in 2015, are: Amazon (€7,790 million), Otto (€2,300mn), Zalando (€1,031mn), Notebooksbilliger.de (€610mn), Cyberport (€404mn), Bonprix (€484mn), Tchibo (€450mn), Conrad (€433mn), Alternate (€376mn) and Apple (€369mn).
Latest news about Germany
Deutsche Post DHL has reached an agreement to buy UK Mail for approximately 242.7 million pounds, or 281.6 million euros. With the acquisition, DHL will further strengthen its position in the European postal market, while putting more pressure on competitor Royal Mail in the United Kingdom.
Amazon, Otto and Zalando are the biggest online stores in Germany. Together, these ecommerce companies account for almost as much revenue as the numbers 4 to 100 in the ranking of biggest online stores in Germany.
The British fashion retailer New Look want’s to further benefit from the German market and has launched a local online shop. The company wants to get a share of the online fashion market in Germany with its wide product range and a daily selection of new styles.
Shopware, the German provider of ecommerce software, has launched Shopware Connect. Now other ecommerce software systems and major suppliers can also access the system. In other words, it allows retailers to add products from other merchants, suppliers & manufacturers.
Last update: September 2016