Department Stores in Germany 2016-2020
About Department Stores in Germany
The retail industry can be divided into two broad segments on the basis of the channel of operation: brick-and-mortar retail format (or, store-based retail formats/offline retail format), and online retail format. Online retail is a part of B2C e-commerce and typically refers to commercial activities over the Internet. The retail industry is also classified into traditional retail and organized retail, on the basis of the business structure and retail space formation. Major retail formats of the organized retail sector are specialized stores, department stores, supermarkets, and hypermarkets
Technavio’s analysts forecast the department stores in Germany to grow at a CAGR of 0.69% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the department stores in Germany for 2016-2020. To calculate the market size, the report considers the revenue generated from the retail sales of products to individual customers by the department stores in Germany.Technavio's report, Department Stores in Germany 2016-2020, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.
Technavio Announces the Publication of its Research Report – Department Stores in Germany 2016-2020
Technavio recognizes the following companies as the key players in the Department Stores in Germany: Breuninger, C&A, GALERIA Kaufhof, Karstadt Warenhaus, and Woolworth
Other Prominent Vendors in the market are: Galeries Lafayette, Peek & Cloppenburg, Hema, Ludwig Beck, Müller, Apropos, Marimekko, Zara, Mitsukoshi, Manufactum, and Strauss Innovation
Commenting on the report, an analyst from Technavio’s team said: “It is estimated that four among every five people buying fashion products like clothes and shoes in the country still make physical in-store purchases. However, the shoppers in the country are increasingly combining traditional and online channels while making purchases. Thus, the importance of omnichannel retailing in attracting consumers is increasing. Leading department stores in the country such as GALERIA Kaufhof are trying to build online presence, improve their digital profiles, and attract customers with the launch of mobile and web-based services. GALERIA Kaufhof is integrating department stores and e-commerce by equipping in-store staff with tablet and computers for online ordering.”
According to the report, micro-location factors play a more significant role in shaping the success of most retail properties than macro-location factors. This is also true for department stores. However, micro-locations with unfavorable macro locations do not appeal to consumers. In Germany, department stores are mostly located on popular streets. These streets are well-equipped with infrastructure and are, thus, easily accessible by consumers. Thus, the micro-location factors of most department stores in Germany are favorable and attract consumers.
Further, the report states that vertically integrated international brands like Primark, Uniqlo, Forever 21, and Reserved are opening stores in the country's prime locations. These brands are impressing consumers with their retail experience, service, and quality. They are able to do this as they have complete ownership of their overall manufacturing and distribution process. Department stores are lagging behind these brands mainly in the fields of product display, the positioning of assortments, maintenance of latest stock and replacement stock. Thus, while these retailers are gaining market share, the sales of department stores are declining
Breuninger, C&A, GALERIA Kaufhof, Karstadt Warenhaus, Woolworth, Galeries Lafayette, Peek & Cloppenburg, Hema, Ludwig Beck, Müller, Apropos, Marimekko, Zara, Mitsukoshi, Manufactum, Strauss Innovation
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