Success Across Key European Markets: Germany

As a leading global marketplace marketing agency, we are passionate about expanding brands into regions worldwide. This series, "Success Across Key European Markets," will explore in depth five different countries and the various aspects that will help drive success in those specific markets.

We have broken our analysis out into three different categories for every market: Brand Positioning, Media Considerations, and Shipping & Logistics. Each market will be benchmarked against the UK for a consistent point of reference. 

Stay tuned for the coming markets, as we are eager to help you unlock growth worldwide. 

Next up, Germany! 

Brand Positioning 

We are defining "brand positioning" as anything under the umbrella of market fit, trust, and customer expectations. 

• Market Maturity: Amazon UK is a saturated, advanced marketplace, while Amazon Germany is among the most mature in Europe—highly competitive and compliance-heavy.
• Product Messaging: In the UK, Amazon shoppers prioritize value and convenience, while German consumers emphasize functionality, quality, and reliability.
• Trust & Reviews: UK shoppers rely on reviews to guide purchases, whereas German buyers analyze both the number and depth of reviews before deciding.
• Compliance & Packaging: In the UK, English packaging is generally acceptable with localization as a plus, while in Germany, strict requirements demand German labeling, manuals, and full compliance with CE and eco standards.

Summary

Germany is not just one of the most mature Amazon retail markets (it launched in 1998), but by most measures second only to the US in scale. This means that while there’s plenty of opportunity and consumers, there’s also a high level of competition and a deeply established landscape in most categories. That makes understanding the scale and nature of the opportunity for any new brand or product critically important, and Podean has a wealth of experience helping businesses not just enter the market but succeed.

Marketplace Media Considerations

We are defining "marketplace media considerations" as anything under the umbrella of advertising and marketing tools, including language and ad performance. 

• Ad Performance: In the UK, ads face high CPCs but benefit from quick feedback loops in a mature ecosystem, while in Germany, CPCs are competitive with a data-driven, performance-focused approach.
• Cultural Preferences: UK shoppers are price-conscious and comparison-driven, valuing strong trust signals, while German shoppers respond best to logical structure, detailed features, and compliance-focused messaging.
• Language & Copy: UK copy favors English spelling and a direct tone, while German copy requires precise, formal language with native translations. 

Summary

Forgive us leaning into the stereotype, but in this case it checks out - when it comes to Amazon ads, it’s all about efficiency in Germany. The maturity of the market, the level of competition, and the wealth of domestic digital media capability means you’ll need world-class strategy and execution. Podean has both, with Amazon Ads Advanced Partner status globally to give you the best possible chance at winning in the most competitive environments.

Retail Logistics 

We are defining "retail logistics" as anything under the umbrella of fulfillment, customs, delivery expectations, and returns. 

• Fulfillment Options:  UK FBA is dependable but restricted post-Brexit, whereas Germany’s FBA is central to the Pan-EU network and built for scale coverage.

• Customs & Duties: In the UK, imports require customs clearance and VAT registration, while within the EU, the OSS system streamlines reporting though German VAT registration is still required.

• Delivery Expectations:  UK shoppers expect fast Prime delivery within 1–2 days; similarly, German buyers demand rapid, precise delivery with 2 days as the norm.

• Returns: Free and effortless returns are standard in the UK, but in Germany, thorough return options are the key to meeting customer expectations.
  

Summary

For brands looking to expand into the region, the interconnectedness of Europe provides both an opportunity and a complex set of challenges to navigate. Brexit, needless to say, has complicated things even further when you add the UK into the mix, and logistics is at the heart of this. For the unwary and unprepared, it’s frighteningly easy to drift into unprofitability when shipping in and around Europe, but it doesn’t have to be that way. Podean has helped countless clients to demystify European Amazon logistics, by breaking down costs and evaluating the different approaches in a tailored, business-focused way, whether you’re looking to enter Germany alone or sell throughout the whole continent.

Did You Know?

The Podean Intelligence team breaks down the market, top categories and brands, preferred product attributes additional areas of growth opportunity. 

The ecommerce market in GERMANY

Amazon Germany (amazon.de)

• Amazon officially launched its German marketplace on October 15, 1998
• Together with the UK, Germany was among the first two European countries to have a dedicated Amazon site

ECOMMERCE MARKET IN GERMANY

• 2020 (€83.1 billion), 2021 (€97.1 billion), 2022 (€101.6 billion), 2023 (€109.7 billion), 2024 (€114.3 billion), 2025 projection (€118.6 billion)

• The German ecommerce market grew 37.6% from 2020 to 2024, which reflects an 8.3% CAGR during that period
• The most substantial jump occurred between 2020 and 2021, when GMV surged by approximately 16.9 %. This reflects a strong pandemic-driven boost in online shopping, which was seen across other global markets.

ECOMMERCE PENETRATION RATE

• Online retail share in Germany reached 15–20% in 2024 and is projected to remain somewhat similar in 2025

• This positions Germany above Spain (10–15%) and France (11–14%), and closer to the UK (25–30%)

• Amazon is by far the dominant marketplace in Germany and holds the largest market share in the country’s ecommerce

• eBay continues to hold relevance, particularly for secondhand and niche categories

• Otto is the primary domestic challenger to Amazon

• Zalando, a leading European fashion marketplace founded in Germany, is the country’s fourth-largest online retailer
• Shein and Temu are disrupting the market with their ultra-low price points and direct-from-factory supply chain

AMAZON IN GERMANY

• Amazon led German marketplaces with a GMV of €51.4 billion, a 10.9 % YoY increase

• Amazon's total share of the German ecommerce is around 60-63%, further showing that it’s the go-to marketplace in the country

• The platform’s top-selling categories include Household Goods, Beauty & Personal Care, Fashion, Office Supplies, Food & Beverages, Electronics, and Health & Fitness.

• Within these, Fashion, Health & Fitness (due to health-conscious trends), Beauty & Personal Care (fueled by premium skincare and cosmetic products), and Electronics (demand for smart home devices, gaming, and wearables) are projected to see the strongest growth in the coming years.

How Podean Can Help