Ecommerce in Germany is growing slower than expected

Ecommerce in Germany is growing slower than expected

Ecommerce in Germany was growing slower than expected last year. Still, it’s especially the fashion shops that are losing sales to online retailers. But German trade association HDE still believes in local purchasing.

Ecommerce in Germany grew 9.1% in 2018

Handelsverbands Deutschland released the latest edition of its online monitor. It shows that ecommerce in Germany has increased by 9.1 percent last year, which is slightly weaker than expected. And just like last year, the growth drivers can mainly be found within the FMCG, DIY & Garden and Home & Furniture sectors.

Online fashion cannibalizes brick-and-mortar sales

According to HDE, the weak economic conditions in the fashion and consumer electronics sectors in the retail industry have an impact on the ecommerce. “In the sectors Fashion, Consumer Electronics and Home & Furniture ecommerce is increasingly cannibalizing brick-and-mortar retail.” Spending on fashion and accessories online for example grew 8.1 percent last year, but at the same time, sales among physical fashion retailers fell by 3.1 percent.

Ecommerce in Germany: 53.3 billion euros in 2018

Across all sectors, ecommerce grew by 9.1 percent, while the absolute sales growth lies somewhere around 4.4 billion euros. About 53.3 billion euros were transacted in German ecommerce last year. The online share of retail sales is now at 10.8 percent, the German trade association estimates.

Development of online sales in Germany.
Development of online sales in Germany. Source: HDE

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