As the current figures from the consumer study by the Federal Association of E-Commerce and Mail Order Germany e.V. (bevh) show in the third quarter of 2020, strong growth can still be observed, especially for everyday goods. When Motor of trade All in all, online retail for the third quarter of 2020 grew by 13.3 percent, again more strongly than in the corresponding quarter of the previous year (plus 12.3 percent).
Cumulatively, e-commerce sales have increased by 10.6 percent to 56,034 million euros since the beginning of the year compared with the first nine months of 2019. Because of the Corona-related burglary In the first quarter, especially in the clothing sector, the growth accrued in 2020 is still slightly below the average for previous years.
Current winners and losers in online trading
From July to September 2020, the industry recorded 19,329 million euros including sales tax in online retail (3rd quarter 2019: 17,063 million euros including VAT). In the interactive trade (online and traditional mail order business) in the 3rd quarter of 2020, German consumers bought goods for 19,650 million euros including VAT (3rd quarter of 2019: 17,467 million euros). According to this, online retail now has a share of 98.4 percent of total interactive retail sales. The digital services such as electronic tickets, downloads and hotel bookings continued to lose massively and, with sales of 1,702 million euros including VAT, only achieved a third of the previous year’s figure of 5,099 million euros including VAT.
“Although all shops have reopened since July, many consumers continue to rely on the resilient delivery structures of online and mail order businesses. A comparison of the sales channels once again made it clear that the pure distance retailers were able to attract most of the market growth in e-commerce, ”commented Christoph Wenk-Fischer, General Manager of bevh.
Cocooning: Daily needs and facilities drive growth
The online volume of the “Daily Needs” product group cluster has risen by 34 percent and, with total sales of EUR 1,733 million including VAT (Q3 2019: EUR 1,294 million), is at the peak of growth, as in the 1st and 2nd quarters . The food segment achieved 633 million euros including VAT in the third quarter of 2020, an increase of more than half compared to the previous year (plus 52.9 percent compared to 414 million euros in the third quarter of 2019).
In the third quarter, too, Germans were happy to invest the money that could not be used for travel in home and garden furniture. The “furnishings” cluster increased by 19.5 percent to 3,205 million euros including VAT (3rd quarter of 2019: 2,682 million euros). Germans also ordered their medication online more than average. This product group grew from EUR 220 million including VAT in the 3rd quarter of 2019 to EUR 312 million in the 3rd quarter of this year.
Online trade: “Clothing” product group cluster back on course for growth
With a growth of 12.2 percent to 5,042 million euros including VAT, e-commerce sales in clothing and shoes (product group cluster “clothing”) have returned to their normal growth rate (3rd quarter of 2019: 4,496 million euros incl . USt). If you only look at online clothing retail, i.e. without shoes, it rose slightly above average in the third quarter by 13.9 percent to 3,962 million euros (Q3 2019: 3,477 million euros). Since the beginning of the year, sales in the clothing cluster have accumulated at EUR 13,868 million including VAT (Q1-3, 2019: EUR 12,899 million) and thus a growth of 7.5 percent.
Online trade: “Leisure” product group cluster
The leisure sector was also able to gain ground with above-average growth. The entire online sales of the product group cluster rose in the 3rd quarter of 2020 to 2,274 million euros including VAT (3rd quarter of 2019: 2,024 million euros), a growth of 12.3 percent. Do-it-youself products and car and motorcycle accessories were particularly robust with a plus of 17.5 percent and 14.4 percent.
Online trade: “Entertainment” product group cluster
The “entertainment” cluster developed significantly weaker than the overall market, growing by only 6.1 percent to 6,079 million euros including VAT (3rd quarter of 2019: 5,730 million euros). The video and music downloads could also be decoupled here as a substitute for cinema and concerts. This category increased online by 18.7 percent to 717 million euros (Q3 2019: 605 million euros).
Online shops of stationary retailers lag behind the market
The online shops of stationary retailers were only able to increase by 6.7 percent. They achieved a total of 2,692 million euros including VAT (3rd quarter 2019: 2,522 million euros) and thus represent just under 14 percent of e-commerce. On the other hand, the online marketplaces increased by a little more than 1.1 billion euros to a total of 9,075 million euros including VAT. In percentage terms, this is a growth of 13.9 percent compared to the same quarter of the previous year (7,965 million euros).
In percentage terms, the shops of the classic mail order companies again saw the strongest growth. They reached 3,495 million euros including VAT, 17.3 percent more than in the third quarter of 2019 with 2,980 million euros. With a jump in growth of 10.9 percent to 2,957 million euros (Q3 2019: 2,688 million euros), the online retailers only just missed the 3 billion euros mark in the third quarter, but were also slightly below market growth.
Online retail will break the 80 billion euro mark in 2020
Despite the dent in the first quarter, e-commerce sales with goods alone will reach the 80 billion euro mark in 2020, according to the bevh. The bevh is anticipating growth of 10 percent to around 82 billion euros gross for the overall market for interactive trade in physical goods.
“Depending on how things develop over the next three months, all of e-commerce, including services, can still jump over the EUR 90 billion mark. As soon as trips and events are booked online again, the market volume of e-commerce with end consumers will surely reach more than 100 billion euros including sales tax, ”predicts bevh Managing Director Christoph Wenk-Fischer.
About the methodology of the study: In the consumer survey “Interactive Retailing in Germany” from January to December, 40,000 private individuals from Germany aged 14 and over were asked about their spending behavior in online and mail-order retailing and their consumption of digital services. The end result of the Beyondata GmbH The study carried out will be published in early 2021 after the survey is completed. The current figures are based on the evaluation of the months July to September 2020.
Of the Federal Association of E-Commerce and Mail Order Germany e.V. (bevh) is the industry association of interactive retailers (i.e. online and mail order retailers). In addition to the senders, service providers are also connected to the bevh. After merging with the Federal Association of Food Online Retailers and the Federal Association of German Mail Order Booksellers, bevh represents the industry interests of all members vis-à-vis the legislature and institutions from politics and business. (sg)
Also read: E-commerce sales: online trade on growth course again after corona-induced slump