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Looking at the sheer retail turnover, Germany shows a twelv-year-history of uninterrupted increase. 2020 is forecasted at a level of €557,2 bn retail turnover, equating 6,374 EUR per capita and annum and a further 2.5% growth compared to 2019. Thus the market is important due to it’s overall size, but also due to it’s polycentric structure with prime locations as well as many attractive alternative locations such as thriving major provincials and secondary locations.

However, German retail market’s stability shall not be misunderstood as lack of activity: On the contrary, the retail occupier scene is vivid which impacts the respective real estate markets. The German retail market is one of the most sought-after expansion targets in the world and can boast a high number of new entries by international retail and gastronomy chains every year. 
What is striking in Germany is the coexistence of discount-oriented retailers on the one hand and suppliers of upscale or luxury goods on the other. The discounter was invented in Germany. The food discounters Aldi or Lidl are now represented worldwide with branches. In the textile segment, the discounter kik has not only opened up various European countries, but also operates around 2,600 stores in Germany alone. In addition, there is a corresponding range of international luxury labels in all major German cities. Locations such as the Kö in Düsseldorf, Goethestrasse in Frankfurt, Kaufingerstrasse in Munich or Neuer Wall in Hamburg are also well known outside Germany. In between there is of course an extensive offer from the mass market segment with all well known and hip brands. Another special feature in Germany is the market for fast moving consumer goods, namely food, which is regarded as one of the most competitive ones overall in Europe. After the sold of the 276 real hypermarkets at the beginning of 2020 the concentration process on the German grocery market has become even more intensive again. 

In terms of expansion target locations, Germany offers a wide variety of possibilities: The setting of inner city highstreets stands every comparison with other European countries. Profiled as mass market locations, alternative or high class up to luxury – there is a lot to see for newcomers. Hundreds of shopping centers, many of them up to date and successfully operating add up to this, not to forget performing retail parks and out-of-town locations.

In addition, attractive general conditions in one of the largest and most important retail markets in Europe make Germany a globally sought-after expansion target for international retailers.

While this variety makes Germany such a fascinating market, it also requires examination and involvement. Feel free to discover some basic impressions on the German top shopping metropolises via Understanding Retail Destinations. Once you need to dive in deeper, our colleagues are happy to assist and discuss the best opportunities with you.

Our Top Tip For
New Arrivals

Discover the vital inner-city high-street setting, Germany has to offer. These places either serve commercial but in addition also cultural and residential purposes and often present vivid settings far away from bavarian clichés. You will find a country full of regional specialties, dialects and sites worth to be revealed even off the tourist centers.


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