Downtown Demand

Urban Retail Comeback

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  • Why it matters

    Why it matters

    • Overall, German retailers have reason to be optimistic, but things don’t look so sunny for rural shops and some food producers.
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  • Facts

    Facts

    • In 2015, customers spent more in Germany’s retail stores than at any time during the last 20 years.
    • The German Retail Federation expects further growth of 2 percent this year.
    • While retail space at the centers of 82 German cities increased by about 7 percent over four years, more and more supermarkets in less populated areas are closing.
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    Audio

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German retailers enjoyed blockbuster sales revenue in 2015, and the national trade association predicts further growth of 2 percent this year.

The assessment from the German Retail Federation (HDE) comes as the retail sector is transitioning. Online shops are eating into brick-and-mortar stores’ market share, it says.

Meanwhile, retailers increasingly are looking to locate new outlets in downtown areas, according to the EHI Retail Institute in Cologne.

Germans appear to be in a spending mood. In 2015, German shoppers bought more furniture, bicycles, electronic and other retail items than at any time during the last 20 years, the HDE announced last week in Berlin. The association’s report confirmed initial estimates made by the Federal Statistical Office in Wiesbaden.

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