1. people are increasingly shopping online
While retail sales are likely to fall by nine to ten percent this year, e-commerce sales are expected to increase by 17 percent. 91 percent of Germans with Internet access research online and 83 percent will also make a purchase. Activity on e-commerce domains increased by eight to nine percent in Q2 compared to the previous year.
2. use of emerging platforms
Connected TV (CTV) and games consoles have clearly gained in importance since Covid. As Germans spent more time at home, they increased their use of digital devices in March and April. While online activity on desktop PCs/laptops and mobile devices increased during these weeks, there was also a strong investment in CTVs and games consoles. While many online activities are returning to pre-Covid levels, CTVs and games consoles are still being used more (23% and 16% respectively compared to pre-Covid levels).
3. mobile will be an even bigger factor this Christmas season
Mobile has also grown by more than 19% this year and now accounts for 5% of retail spending in Germany. Almost 35 million Germans made at least one purchase via a mobile device in 2020. Contrary to popular belief, 45-year-olds make up a significant proportion (43%) of these mobile shoppers - although younger adults are still 1.3 times more likely to shop via mobile devices.
4. fewer and fewer offline visits to be expected
Germany was one of the first countries in Western Europe to introduce a lockdown to contain the coronavirus pandemic. This lockdown lasted almost two months and had an interesting impact on consumers' shopping behavior: initially, they turned to online shopping platforms for even the essentials. However, over the summer, safety and convenience led many consumers to make online shopping an integral part of their daily routine. In the early stages of the pandemic and lockdown, only 21% of Germans preferred online shopping to in-store shopping. By the end of April, this figure had risen to 46% and remained at this level in the following months.
5. holiday shopping times have shifted
The length of the Christmas shopping season has increased in Germany over the last two years. Consumers are starting to do their research earlier and are spreading their purchases over a longer period of time. This trend is only set to continue at an even faster pace. The pandemic has put financial pressure on many people, so they are looking even more carefully for the right products at the right price. While extensive research can begin as early as mid-October, the spending window for many consumers is likely to be even more limited then. Overall, we are likely to see a seven percent drop in buying interest in November and December compared to the previous year.
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