Zalando once again looks back on a strong quarter, with higher revenue and increased profit. The number of customers is 3.1 million higher than in the second quarter of last year. The German company now serves 52.9 million consumers across Europe. With a new feed, Zalando aims to better engage and retain these users.
Compared to other German-speaking countries, Swiss consumers shop online less frequently. Just 18 percent of them shop online at least once a week. In Germany, for example, that share comes to 28 percent.
Social media is playing a big role in online retail in Germany. A majority of 59 percent of retailers in the country use a profile on social networks to promote their offerings online. And more than a quarter offer consumers the option to place orders in their store via social media.
According to the German government, cancelling an online purchase should be as easy as placing an order. The Ministry of Justice has announced a cancellation button for online purchases of goods, services, and financial products. The perpetual right of withdrawal is being abolished.
“The upswing is here”, writes bevh above a report on online retail spending in Germany. According to the industry association, consumers spent 39.84 billion euros on products online in the first half of this year. This marks a 3.5 percent increase compared to the same period last year. The growth was even stronger in the second quarter.
Smaller online businesses in Germany, Austria, and Switzerland are not benefiting from the restored growth in online spending. On the contrary, their revenue is decreasing. “It is becoming increasingly difficult for smaller online stores to maintain their position in the market.”
German seller of furniture and home decorations Westwing has recently entered three new markets. It has launched in Croatia, Finland and Slovenia. The company is now present in 18 European countries.
Buying second-hand products online has become common in Germany: 55 percent of consumers bought a used product online last year. Additionally, most Germans are active sellers of used products: 52 percent offered something for sale, mainly fashion, books, and electronics.
German online beauty and perfume store flaconi has recently launched in Sweden, Finland, Denmark and the Czech Republic. Next month, it will also launch in Italy. As a result of these launches, the company is now active in 12 countries in Europe.
About You has revamped its marketplace. It has launched a new seller center. The onboarding process for external sellers has been adjusted, making it easier for other companies to sell on the growing platform.
Bevh, the German association for distance sellers, is requesting to reconsider European regulations regarding online platforms. The interest group argues that large platforms are being regulated too strictly and claims that this results in discrimination against these platforms, compared to physical competitors.
With Valued Shops, Europe has gained a new trustmark and review system. It is already active in the Netherlands, but under the name WebwinkelKeur. The company is now launching an international trustmark, in eight languages, with an initial focus on the German market.
Last year, Amazon earned 23.6 percent more from ads in Germany, while the company’s total revenue in the country grew by 'only' 8.7 percent. Amazon continues to capitalize on its reach, outpacing its competitors.
In the first two months after its launch, German consumers have not embraced TikTok Shop in large numbers. TikTok Shop is known by one in three consumers, but only one in forty Germans has made a purchase, according to research by media agency OMD.
In the high-volume world of online retail, the stakes are high when it comes to ensuring seamless logistics. One misplaced parcel or a delayed delivery can tarnish a brand’s reputation and burden operations with costly claims and frustrated customers. For Thomann, a German high-volume online music retailer, solving this challenge has been central to supporting its rapid growth and keeping customer satisfaction high.