Challenges In Germany E-Commerce Logistics Market

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Germany E-Commerce Logistics industry is a developed market driven by the tailwind spend of internet users online. The e-commerce industry sustained growth is indicating how the logistics infrastructure and business model in Germany is evolving. Ingrown domestic demand is leading to higher courier and parcel shipments in country while neighbouring countries orders from Netherlands, Poland and Austria, etc is driving the international e-commerce shipments.

At Ken Research, we’ve been closely monitoring the country’s e-commerce and last mile logistics landscape, and we see areas that are growing well and need improvement to drive this market multi-fold. Read on to learn the key insights of our recent report on what the future of e-commerce logistics spend has in store for Germany in next 5 years.

1. Germany is the 4^thLargest Economy in the World; the High Spending Power of the Population also makes it a Strong Market for E-commerce businesses

1.1. The Internet User Penetration in Germany is 88.2% in 2021, with 78.8 Mn Active Internet Users; the Internet User Penetration is expected to reach 93.8% by the end of 2027.

The Internet User Penetration in Germany is expected to reach 93.8% by the end of 20271. The number of social media users in Germany increased by 13% between 2020 to 2021^.

2. Germany E-Commerce Market Generated a GMV of € 130.1 Bn in 2021 owing to Rise in Social Media Penetration Rate and Convenience of Home Delivery

Growth Drivers

One of the major reasons for consumers to shop online is due to the convenience of home delivery.
24/7 availability of the products is also one of the reasons for the growth of e-commerce retail sales.
The increase in smartphone and social media penetration rate along with social media platforms such as Instagram, Facebook and YouTube are also a major driver for growth.