Market Trends of Germany Express Delivery Industry
International segment experiencing substantial growth in the market
- In Germany's international landscape, online stores outpace marketplaces in exports. Conversely, for imports, the GMV from marketplaces surpasses the net sales from stores. Germany's primary eCommerce export partners are exclusively European. In contrast, its import partners span a broader spectrum, including Switzerland, the U.S., Turkey, and India. Fashion dominates as the leading imported category in German eCommerce, while exports are spearheaded by hobby & leisure, trailed by electronics.
- In 2019, online stores boasted export net sales of USD 2.4 billion, overshadowing the marketplace export GMV, which stood at a mere USD 418 million. Fast forward to 2023, and the export marketplace GMV surged to USD 1.1 billion. While still trailing behind online store net sales, this growth rate of 157% is noteworthy.
- Marketplaces now dominate imports, indicating that international marketplaces, rather than foreign online stores, are generating a higher GMV in Germany. This marks a significant shift from 2019 when foreign online stores outperformed marketplaces.
- In 2019, foreign online stores recorded import net sales of USD 414 million. While this was a mere fraction of that year's export sales, it still eclipsed the GMV from marketplace imports. By 2023, however, international marketplaces not only crossed the USD 1 billion mark in import GMV but also outpaced the import sales of online stores.German online stores excel in exports, bolstered by robust customer relationships and brand trust in neighboring nations.
- In the realm of imports, however, marketplaces are gaining ground. As German consumers increasingly shop beyond their borders, they are drawn to marketplaces for their competitive pricing and robust logistical support. This burgeoning marketplace trend in Germany mirrors the global shift towards marketplace dominance, underscoring their pivotal role in international eCommerce.
- In 2023, Otto led the pack with a cross-border export GMV of USD 573 million. Yet, despite its top position, Otto's export GMV is only about one-third of Amazon.de's leading export net sales, which stand at a hefty USD 1.6 billion. Otto's primary offerings are fashion, trailed by electronics, and its cross-border dealings are limited to Austria and the Netherlands, contributing 4% and 3.8% to its total GMV in 2023.
- On the import front, Galaxus emerged as the frontrunner, amassing an import GMV of USD 327 million in Germany. This figure more than doubles the import net sales of the leading online store, Amazon.com, which stands at USD 118 million. Galaxus, primarily a Swiss multinational marketplace, sees Germany as its second-largest market, accounting for nearly 20% of its total GMV in 2023. As international sales surge, the demand for express delivery in the market rises in tandem.
Understand The Key Trends Shaping This Market
Download PDF
German e-commerce grappled with a downturn in 2023, as consumer spending curtailed
- In 2023, German e-commerce experienced a significant downturn, primarily driven by reduced consumer spending. Gross goods turnover plummeted by 11.8%, settling at EUR 79.7 billion (USD 83.48 billion), down from EUR 90.4 billion (USD 94.69 billion) in 2022 The e-commerce share of total retail (excluding food but including pharmacy revenues) dipped to 10.2%, a drop from 11.8% in 2022.
- While digital services like vacation bookings and concert ticket sales saw a recovery, the momentum weakened. These services grew by 12.7% to EUR 12.7 billion (USD 13.30 billion), a stark contrast to the previous year's 39.9% surge to EUR 11.25 billion (USD 11.78 billion). Consequently, the combined turnover for the e-commerce sector (goods and services) fell below the EUR 100 billion (USD 104.74 billion) mark for the first time since 2020. Total revenues from online trade in 2023, including those generated via telephone, fax, or other means, reached EUR 93.6 billion (USD 98.04 billion).
- Retailers will remember 2023 as a year of significant shifts. Direct-to-consumer (D2C) retailers, despite an 11.1% revenue drop in 2022, have established a more stable long-term growth trajectory, boasting figures 62% above their pre-pandemic 2019 values. Marketplaces and online retailers saw declines of 8.5% and 14.7% respectively, yet both stand 19.0% and 7.0% above their pre-COVID values. Multichannel trading faced the steepest revenue drop at 18.1%, coinciding with a noted resurgence of customers at physical points of sale.
- Online shopping activity waned further in 2023. The proportion of regularly active online customers making purchases in the dipped to 34.3%, a notable decline from the 40% average in 2019 and below the four-year average. As the e-commerce landscape continues to wane, demand for express delivery services has seen a subtle dip.
