《Hahn Gruppe：2024-2025年德國哈恩零售房地產業報告（英文版）（91頁）.pdf》由會員分享，可在線閱讀，更多相關《Hahn Gruppe：2024-2025年德國哈恩零售房地產業報告（英文版）（91頁）.pdf（91頁珍藏版）》請在三個皮匠報告上搜索。

1、Creating value with real estateIn cooperation with:RETAIL REAL ESTATE REPORT19 2024 2025HIGHLIGHTS 2024|20250203Green Leases on the advance 2023/2024 HIGHLIGHTS2024 2025Yet another turnover record in retailQuick Commerce business model on the descentDiscount focus among consumers continuesBricks-and

2、-mortar retail continues to gain market share against online retail ESG firmly established in the retail and investment marketsGermany as an investment location with solid results by European comparisonRestrained activities on the property investment marketRetail store segment and high-street proper

3、ties favouredPrime yields have peakedCreating value with real estateCONTENTEconomy and retail 121.1 Economic recovery doubts remain 141.2 Overall retail development 221.3 Development of the food retail sector 28 DIGRESSION Market shake-up for food retail delivery services 481.4 Non-food retail in Ge

4、rmany 52 DIGRESSION Temu and Shein 561.5 The textile retail trade 601.6 The shoe retail trade 681.7 DIY and garden centres 74 DIGRESSION BAUHAUS vs.OBI 821.8 Electronics stores 861.9 Non-food discounters 921.10 Sports and outdoor retail 98 DIGRESSION ESG:Social sustainability of retail properties 10

5、21.11 Retailer survey 2024 106The retail investment market 1202.1 Restrained activities on the German property investment market 1222.2 The retail property investment market is growing in importance 1242.3 Lower momentum with portfolio transactions with a stronger focus on the top 7 cities 1272.4 Re

6、tail store segment and high street property transactions characterise the retail property market 1362.5 German investors dominate the market 1402.6 Prime yields have peaked 143 2.7 Outlook 1452.8 Structure of German retail trade 1462.9 Green leases as a building block on the way to ESG-compliant pro

7、perties 1562.10 Investor survey 2024 16206 Foreword by the Hahn Gruppe08 Foreword by bulwiengesa AG10 Foreword by CBRE 174 Glossary178 Imprint1.02.00405CONTENTLittle has changed in summer 2024 as compared to the previous year at first glance.The retail sector continues to struggle with difficult eco

8、nomic condi-tions and subdued consumer attitudes.At the same time,property investors remain cautious in the face of rising interest rates.This has caused a persistent lull in the property investment market.The last three years doubtlessly have seen a chal-lenging market phase.However,those who have

9、been working in the business or property sector for a long time are aware that not only are such consolidation phases unavoidable,they are even necessary to ensure healthy market developments in the long term.The downturn will be followed by an upswingEconomic wisdom has it that every downturn will

10、be followed by an upswing.As we are preparing the new HAHN Retail Real Estate Report,we are happy to report that we have come a good deal closer to this upturn compared to the previous year.Economic experts predict that the increased pur-chasing power of consumers will lead to a revival in retail tu

11、rnover at the latest by 2025.The mood among investors is looking up as well:They see only limited downside potential in the current property valuations.More than 80%of the investors who participated in our expert survey expect that yields have peaked for the moment.This constitutes a significant inc

12、rease on the previous year,when only 30%were of this opinion.Many challenges remain in spite of this improved outlook.They range from geopolitical and economic uncertainties to regulatory and cost-related burdens and the typical imponderables of operating retail property.However,such risks are now o

13、ffset by a reasonable yield that offers investors an attractive performance outlook with a significant yield gap to the risk-free interest rate.Resilient retail parksA sub-segment that characterised by stability and resilience for many years may be attractive for investors who find the usual risks o

14、f retail property investments too great:Retail parks and retail stores.These property formats are,for the greatest part,immune to the challenges of online retailing,incon-sistent shopping behaviour,and subdued consumer attitudes since they primarily serve the inelastic demand,ensuring basic supply o

15、f the population.FOREWORD BY THE HAHN GRUPPEThus,it does not come as any kind of surprise that retail parks once again are strongly favoured by retailers and investors over other property types such as shopping centres this year.Our cooperation partnersOnce again,we have compiled the HAHN Retail Rea

16、l Estate Report 2024/2025 in close co-operation with our valued partners CBRE,bulwiengesa,and the EHI Retail Institute.In the first chapter,bul-wiengesa will analyse the economic conditions for private consumption and take a detailed look at de-velopments in the various food and non-food retail sect

17、ors.Chapter 2 will be dedicated to the property investment market,with CBRE examining,amongst other things,the relevance of“green leases”on the way to ESG-compliant retail properties.The report is supplemented by two informative expert surveys conducted in the summer.Together with the EHI Retail Ins

18、titute,we have asked retail expansion managers about their expectations.A second survey was targeted at property investors and financial institutions,meaning to learn about their assessment of the investment markets.We hope that this market report will once again provide some valuable insights for a

19、ll players in the property and retail sector!Thomas KuhlmannChairmanHahn GruppeThomas Kuhlmann 0607FOREWORD BY THE HAHN GRUPPEFOREWORD BY BULWIENGESANew turnover records in retail,but not in real application.Retail cannot escape the challenging environment.Concepts represented by phrases like urbani

20、sation,supply chains,mobile working,migration,digitalisa-tion,and energy efficiency require retailers to keep adapting to new framework conditions under high cost pressure.This isnt actually anything new.The slogan“Trade means change”has always been true.There is some change,however:The expansion we

21、 have seen in the last two decades seems to have ended.Cities are losing a massive number of retail outlets as entire shopping centres are moving or being abandoned.The large chain stores are opti-mising their store networks and focusing on what they consider to be the optimal locations for them.Spa

22、ce requirements are being reconsidered as well.Large chain stores have had to file for insolvency or are undergoing insolvency proceedings at the moment.Owner-managed businesses are going out of business,amongst other things due to a lack of succession plans.Demand for retail space is generally decl

23、ining,increasing the pressure on rent levels in turn.This presents local authorities with new,far-reaching challenges.Once well-functioning shopping streets are now marked by high vacancy rates.Property values decline,making many cities less attractive in turn.What about the retail parks and retail

24、locations,then?They seem almost immune to this development.Retail stores and retail locations with a positive signWhile administrators,politicians,urban planners,city managers,and many other stakeholders are looking for solutions that are not yet in sight,retail parks and retail locations with their

25、 food anchors appear to be offering a solution.The typical retail store operators continue to report highly stable visitor frequencies and enjoy a predom-inantly positive or stable turnover development.In particular food retailers,drugstores,DIY stores,and non-food discounters focus on bricks-and-mo

26、rtar retail.They are stable consumers of space,as shown by the retailer survey in this report once more.Urban shopping streets are facing some challengesThe plethora of advantages that many city centres have enjoyed due to expansive trade are suddenly facing reversal.Many players say that concepts m

27、ust be rethought,though the how and where to go with this remain entirely unanswered.One thing is clear,however:the situation trade-ori-ented urban development brought about is likely gone for good.Something else must follow in its tracks.Residential and catering-based development components will be

28、come more important,but it will be a slow and difficult path that will require a great deal of patience from all stakeholders.The new Hahn Retail Real Estate Report offers a comprehensive discussion of the familiar retail sec-tor topics in Germany.The effects of the COVID-19 pandemic are waning.Deal

29、ing with an increased inflation rate is becoming more routine and new challenges are coming into focus.As always,retail is going to master this phase as well,in spite of temporary stagnation.This being said,we hope that you will enjoy reading this issue.Ralf-Peter Koschny Dr.Joseph FrechenCRE FRICS

30、Division manager Director Retailbulwiengesa AGRalf-Peter KoschnyDr.Joseph Frechen0809FOREWORD BY BULWIENGESAFOREWORD BY CBREThe German retail sector continues to face some major challenges due to the economic downturn.As a result,the sector is fighting a large number of business closures in several

31、areas,not least in the segment of department stores.Even though the sit-uation appears quite gloomy in many places,some silver linings have appeared on the horizon.The Handelsverband Deutschland expects consumption to gain significant momentum over the remainder of the year.It maintains its forecast

32、 of a nominal increase in turnover of 3.5%as to the previous year.The main shopping streets are also increasingly frequented again and consumers once more appre-ciate the benefits of bricks-and-mortar retail that also plays a central and systemically relevant role in terms of its magnetic function f

33、or a sustainably vibrant city with its diverse neighbourhoods.The prerequisite for this is that retailers understand how to offer consumers tangible added value when shopping and a higher quality of service than online retailers.German market remains at the investors focusThe continuing relevance of

34、 the German retail sector from the perspective of national and inter-national investors is reflected in the investment volume rising continuously in the course of the last three quarters.As at mid-2024,retail proper-ties accounted for the highest share of the total investment volume allocated nation

35、wide at just under two thirds,also due to a number of very large-volume transactions and faster repricing than some other asset classes are seeing.Accordingly,investors continue to highly favour food-anchored retail stores and retail parks.They now account for more than two thirds of the total retai

36、l-relat-ed transaction volume the highest figure ever measured and thus play a key role in diversifying risk in property investors portfolios.Rising rents are a supporting factor here,with both prime and average rents increasing by more than 25%in nominal terms over the last ten years.This develop-m

37、ent is contrary to the general trend in retail rents.Rents in prime locations and in shopping centres are stagnating at the moment while rents in the best areas as well as in the retail store segment have risen continuously year on year.The years of the COVID-19 pandemic 2020/2021 also saw a signifi

38、cant downward adjustment in rents,likely in particular due to the cessation of retailers expan-sion activities in that period as well as the months-long lockdowns with their resulting significant loss of turnover and subsequent insolvencies.The system-relevant retail sector for retail parks,on the o

39、ther hand,is predominantly anchored in the retail park sector.This has had little or no impact here due to its local and basic supply task.ESG matters are growing in importanceIn light of the intense debate on sustainability,the matter of ESG is growing increasingly important across all retail prope

40、rties.Our surveys show that virtually every single property investor pursues some targeted measures to implement sustaina-bility strategies.The main focus remains on the“E”component,retrofitting existing buildings to comply with the requirements.Some other favoured methods include the possibility of

41、 on-site solar power generation or,increasingly,the installation of charging stations for electric vehicles.We believe that green leases are another building block on the way to ESG-compliant retail property.This approach is going to be extended to ESG leases in the medium term in order to consider

42、social and corporate govern-ance aspects as well.Even if the decision-making processes are growing more time-consuming and complex,it is important to boldly utilise the many opportunities retail offers at the moment.In addition to reliable partners,the right information and insights into the multifa

43、ceted market are essential.We are happy to be able to advise you with this report.We hope that the read will be useful.Kai Mende Dr.Jan LinsinCEO Germany Managing Director Head of ResearchCBREDr.Jan LinsinKai Mende1011FOREWORD BY CBRE ECONOMY AND RETAILbn Retail turnover 2023649Million sq m sales ar

44、ea in Germany38.8Turnover increase in%for drugstore centres 202310.6 Purchasing power in Germany is steadily increasing Food retail and drugstores are seeing significant turnover increases Consumer and drugstore centres are gaining market share Non-food discounters continue down the fast lane in fur

45、ther expansion Online retail remains behind bricks-and-mortar business1.013120.1%.A quarterly increase in GDP in one quarter was followed by a decline in the next in eight quarters,adjusted for seasonal and calendar effects.The expected economic recovery will,therefore,be impaired once again.The sea

46、sonally adjusted number of people in em-ployment and the number of employees subject to social insurance contributions continued to rise.Following increases of+9,000 in both March and April,the number of employed workers rose by an-other 20,000 in May.Adjusted for season,46.04mil-lion people were em

47、ployed in May,corresponding to an increase of 0.3%as compared to the previous year.The number of employees subject to social insurance contributions rose by 0.5%as compared to the previous year.Every third employee is currently working in part-time employment.The number of part-time employ-ees incre

48、ased disproportionately by 2.0%,while the number of full-time employees only increased by The German economy is showing some initial signs of recovery from the crisis.However,the vast majority of companies continue to rate the cur-rent situation as poor.Nevertheless,expectations regarding developmen

49、ts in the next few months have improved in all economic sectors since the start of 2024.While general industry is supporting the economy with its export business,the construc-tion industry is expected to continue its downward trend.The available economic indicators do not yet show any change in priv

50、ate consumption.The purchasing power of private households is expected to improve during the remaining part of the year to bring about an overall economic recovery.The forecast for the price-adjusted gross domestic prod-uct is as follows:An increase of 0.1%is expected for the current year and an inc

51、rease of 1.0%for upcoming one.ECONOMY AND RETAILThe course for the remainder of the year is generally set for recovery.The attitude among companies has improved since the beginning of the year and expectations regarding developments in the com-ing months have also brightened in all economic sectors.

52、Gradual improvement in the climate on the German sales markets and the associated hope of rising new orders in the manufacturing industry are also likely to have contributed to this development.Restrained development during the yearFollowing a decline in economic output of 0.5%as compared to the pre

53、vious quarter,an increase of 0.2%was recorded in the first three months of 2024.The increase in economic output is primarily attributable to the construction industry being able to produce more than usual at this time of year due to the mild weather.The manufacturing industry,trade,and certain servi

54、ce sectors were also able to slightly increase their value added.However,greater increase was prevented by insufficient demand for goods and services.The latest results for the second quarter of 2024 show further decline in GDP of THE GERMAN ECONOMY IS SHOWING SOME INITIAL SIGNS OF RECOVERY FROM THE

55、 CRISIS.ECONOMIC RECOVERY DOUBTS REMAIN1.114150.1%.The increase in employment is exclusively due to foreigners from the European currency area,Switzerland,and other third countries.In contrast,the number of Germans in employment subject to social insurance contributions decreased by 96,000,or 0.3%.D

56、emographic change and the associated ageing of the German working-age population are key factors in this development.The number of registered jobs dropped by 11,000 on a seasonally adjusted basis in June.This continues the previous months trend,with declines of 6,000 and 9,000 jobs recorded in May a

57、nd April respectively.The moving annual total from June 2023 to June 2024,compensating for seasonal and random fluctu-ations,decreased by 177,000 jobs to a total of 1,557,000.The vacancy period rose from 144 to 154 days in a year-on-year comparison.This develop-ment illustrates the issues many compa

58、nies have in finding adequate labour in a timely manner.The situation is particularly tense in the areas of nursing and medicine,construction,and skilled trades as well as IT.The BA job index1 reflects a slight decline in demand for labour on a seasonally adjusted basis.An index value of 107 points

59、was recorded in July 2024,corresponding to a decline of 12 points as compared to the same month of the previous year and 31 points compared to the all-time high two years ago.A deterioration in the ifo business climate was evident in July 2024.The index dropped from 88.6 points to 87.0 points.Howeve

60、r,the current situation is assessed as slightly improved.Expectations have deteriorated again in the last two months following several months of recovery.The results for GDP growth in the second quarter and the current sen-timent do not suggest a rapid or stronger recovery.A cautious mood can also b

61、e observed within the individual economic sectors.The retail and con-struction sectors remain highly sceptical about the future even though business expectations in the manufacturing and service sectors have improved in the last few months.The ZEW Indicator of Eco-nomic Sentiment shows a similar tre

62、nd to the ifo Business Climate surveys.The current situation is predominantly perceived as negative,although the majority of ZEW respondents are positive about the future economic situation.The positive development within the sectors is particularly evident in informa-tion technologies(+57.8 points)

63、as well as in con-sumption/trade(+24.2 points).Vehicle construction,on the other hand,is a lot more pessimistic about the future,reaching a value of-42.4 points.Increased savings ratesConsumer spending reduced slightly at the start of the year,which is surprising given the positive trend in real inc

64、ome in the last few quarters.Initially,consumption did not increase any further,with more money flowing into current accounts instead.This led to an increase in the savings rate to 12.4%.This shows that the ECBs restrictive monetary policy has the desired effect.The increase in real interest rates m

65、eans that private households prefer to put their money aside instead of consuming it.This reduces pressure on consumer prices.Relatively weak growth rates in retail turnover in the sec-ond quarter permit the assumption that consumer spending was low as well.Consumer spending is expected to reduce in

66、 2024,in particular in light of the weak development in the first half of the year,while an increase is expected for 2025 again,in particular in light of increasing real incomes.Development of wages and salaries in Germany in the last few years has been characterised by significant increases.In 2023

67、,employees effective monthly earnings rose by a remarkable 6.2%.This constitutes the greatest increase in more than three decades.The increase was 2.6 percentage points higher than the increase in wages agreed in collective bargaining.Increase in the minimum wage to 12 per hour in October 2022 was a

68、 key factor in this exceptional growth.This led to disproportionately high wage increases in the lower income bracket,both for full-time and part-time employees.Premiums to compensate for inflation and permanent wage increases were paid earlier in sectors not covered by collective agreements.This al

69、so increased growth in the higher income groups.Increase in gross wages and salaries per employee continued with a seasonally adjusted rise of 2.2%in the first quarter of 2024.The increase is primarily due to the strong development of wages agreed in collective bargaining.However,it can be assumed t

70、hat this effect will reduce in the course of the year,to remain at a low level in 2025.This is due to the fact that wages agreed in collective bargaining are rising and the influence of inflation adjustment pre-miums is decreasing.In spite of the clear real wage losses in the preceding years,it can

71、be assumed that nominal wages will once again increase more quickly than consumer prices in the coming years.This will noticeably increase employees purchasing power.The HDE consumer barometer has recovered from its low at 84.14 points in October 2022 and stood at 97.76 points in July 2024(January 2

72、017=100.0).Propensity to save money remains at a high level,while propensity to buy remains weak.Surveys do not lead to expectations of any significant change in consumer behaviour until July.However,recovery in consumer spending and thus GDP growth is to be expected if income and economic expectati

73、ons increase in the coming months.Private households currently act sceptical regarding a recovery,which also explains the increased savings rate.The(multi-)crises of the last few years have clearly left a mark on consumers.1 The BA Job Index,or BA-X for short,has been available for Germany since spr

74、ing 2007.The BA-X is the monthly job index published by the Federal Employment Agency(BA).It is the most up-to-date job index in Germany and is based on specific job applications submitted to the BA by companies.The index reflects development of labour demand on the primary labour market and thus si

75、gnals the willingness of companies in Germany to hire new staff.The reference figure is the annual average for 2015=100.CONSUMER SPENDING IS EXPECTED TO REDUCE IN 2024,WHILE AN INCREASE IS ANTICIPATED IN 2025,PARTICULARLY IN LIGHT OF RISING REAL INCOMES.1617ECONOMY AND RETAILInflation rate declines

76、significantlyInflation in Germany and the eurozone as a whole has seen a remarkable development in the last few years.It responded to a number of influencing factors.In 2023,an inflation rate of 6.0%was recorded(5.9%in accordance with the Federal Statistical Office),which was well above the target o

77、f 2%set by the European Central Bank.The high inflation rate primarily is caused by rising energy prices and supply bottlenecks,which have been exacerbated by geopolitical tensions and the impact of the COVID-19 pandemic.A significant decline in the inflation rate is forecast for 2024.The forecast a

78、ssumes a drop of inflation to 2.4%,which is close to the ECBs long-term target.The decline is due to several factors:The first factor to be named here is stabilisation of energy prices,which is easing the pressure on consumer prices.Secondly,supply chain issues that developed during the pandemic and

79、 the subsequent recovery have mostly been resolved.This helps normalise production and distribution costs.Core inflation,which looks at price trends excluding energy and food prices,also shows a downward trend.This is significantly influence by the devel-opment of wages and salaries.A more moderate

80、increase is expected for the coming years due to the strong wage increases in 2023.As a result,cost increases cannot be passed on in full to consumers.Further reduction in the inflation rate to 2.0%is forecast for 2025.This projection is based on the assumption that energy prices remain stable and n

81、o new geopolitical or economic shocks occur.It is also assumed that the ECBs monetary policy measures,including interest rate cuts and discontinuation of bond purchase programmes,will have unfold in-tended effect and contribute to further stabilisation of price levels.Following the interest rate cut

82、 in June 2024,the first interest rate turnaround since July 2022,the ECB has left open whether it will make another rate cut at its meeting in September.As in the past,the intention is to act in a data-de-pendent manner and thus keep all options open.All in all,one can say that the trend in inflatio

83、n has eased considerably compared to the highs of the last few years.Lower energy prices,normalisation of supply chains,and more moderate wage growth will help to bring the inflation rate closer to the ECBs target of 2%in the coming years.This should also strengthen consumers purchasing power and co

84、ntribute to more stable economic development,including in the form of increased consumer de-mand.Rising real income bringing up hopes for the eurozoneIn accordance with the latest forecasts,the euro-zone economy is set to grow by 0.8%in 2024 and by 1.4%next year.The European Commissions predicted gr

85、owth rates thus have been revised downwards as compared to the autumn 2023 fore-cast.Germany once again carries the red lantern in a European comparison.No country in the eurozone is forecasting a lower growth in 2024 and 2025.It can be assumed that Germany will also suffer from demographic changes

86、in the forecast period.The potential labour force is declining,which is having a negative impact on potential growth in this country.The high unemployment rate has been an issue in the eurozone that has not affected Germany for many years.The unemployment rate has fallen from 9.2%(2015-2019)to 6.6%(

87、2023)in the last few years.However,unemployment in the eurozone remains relatively high by international standards.The unemployment rate in the USA is at 3.6%,in the UK 4.0 at%and in Japan at 2.6%.The southern European countries in particular have been able to reduce their unemployment rates,some of

88、 which are considerable,over time among the eurozone countries,however.Nevertheless,Spain(12.2%)and Greece(11.1%)continue to have the highest unemployment rates in the eurozone in 2023.Consumer prices in the eurozone and Germany will rise at roughly the same rate over the next two years.There were n

89、o significant deviations in previous years.Average inflation was slightly above inflation in the eurozone.It can be assumed that consumer prices in all eurozone countries will approach the ECB target in large steps in 2024,following the double-digit inflation rates in some cases in 2022 and 2023.An

90、inflation rate of less than 2%is forecast for some countries as early as 2024.Consumer spending is expected to increase in 2024 and 2025 since real wage increases are anticipated.On the other hand,consumers have increased their savings rates in the last few years,which leaves them with saved purchas

91、ing power at their disposal.Some of this is likely to be consumed during the next economic upturn as uncertainty subsides.Germany traditionally has a higher sav-ings rate than other European countries.Both the German and European savings rates have risen in comparison to the historical average in th

92、e last few years.Germany has the highest savings rate by comparison to other countries in the eurozone or the EU.AN INFLATION RATE OF LESS THAN 2%IS FORECAST FOR SOME COUNTRIES AS EARLY AS 2024.1819ECONOMY AND RETAILThe European Economic Sentiment Indicator(ESI),compiled and calculated by the Europe

93、an Commis-sion,measures the current economic sentiment in EU countries2.The current index value for the eu-rozone is 95.8 points.The index has remained at a constant level for several months.The development within the sub-indices is relatively homogeneous.The mood is slightly restrained in industry

94、as well as among consumers,service providers and retailers.A positive mood based on historical standards cur-rently is only evident in the construction sector.This development may come as a surprise from a Ger-man perspective,but construction activity in many eurozone countries has by no means decli

95、ned to the same extent as in Germany.A look at the results for Germany also reveals a homogeneous picture between the individual sub-sectors.Sentiment is slightly below average compared to the eurozone with an index value of 92.3 points.Slightly positive expectations Growth impulses from consumption

96、Several factors must be considered when assess-ing future developments.Forecasts are,of course,subject to uncertainty,and the forecast interval for the following year has increased further compared to the current year.However,there are also some explicit risks that need to be pointed out.Particu-lar

97、 attention must be paid to this area due to the strong dependence of GDP growth on consumption.An expected increase in real incomes and the high savings rates at the moment lead to the assump-tion that consumption will expand in the second half of the year and beyond and serve as a growth stimulus.I

98、f this impulse does not materialise due to rising inflation rates,lower than expected income increases,or general economic uncertainty,growth is expected to be significantly lower,which would result in another downward revision of the forecast.Escalation of the armed conflicts in Ukraine or the Gaza

99、 Strip and an accompanying increase in polit-ical uncertainty is possible as well.On top of this,freight rates from China to Europe have more than doubled in recent weeks due to the Houthi attacks in the Red Sea.The alternative route via the Cape of Good Hope leads to higher costs and longer dis-tan

100、ces,which can lead to delays.Price increases are expected for many companies that source a large proportion of their goods from the Far East.They will either lower margins or increase prices for con-sumers.This may lead to the European Central Bank refraining from its planned interest rate cuts,whic

101、h could put additional pressure on the economy.2 The European Economic Sentiment Indicator(ESI)reflects how companies and consumers assess the economic situation in the eurozone.A value above 100 suggests that companies and consumers are more optimistic than pessimistic.01 Development of the economy

102、 in Germany and the eurozone Change compared to the previous year in%202220232024e2025eGDP(real)Eurozone3.40.40.81.4GDP(real)Germany1.8-0.30.11.0CPI(consumer price index)eurozone8.45.42.52.1CPI(Consumer Price Index)Germany8.76.02.42.0Private consumer spending(real)Eurozone4.20.51.11.5Private consume

103、r spending(real)Germany3.9-0.70.60.9Unemployment rate Eurozone6.86.66.66.5Unemployment rate Germany3.13.13.13.1IT IS ASSUMED THAT CONSUMPTION WILL ACT AS A GROWTH STIMULUS DUE TO THE EXPECTED INCREASE IN REAL INCOMES AND THE CURRENT HIGH SAVINGS RATES.2021ECONOMY AND RETAILreal decline with a simult

104、aneous nominal increase in turnover is the sharp rise in food prices,which in accordance with the Federal Statistical Office have risen by around 12.9%on average in 2023.In spite of the repeated turnover reduction(down 3.9%in real and 0.4%in nominal terms compared to the previous year),distance sell

105、ing is still ben-efiting from the high turnover growth during the COVID-19 pandemic.Although turnover in 2023 was lower than in the previous year for the second year in a row,it was still 22.8%higher than in 2019.The retail sector in Germany is also expected to see a slight increase in real turnover

106、 for the first four months of 2024 due to reducing inflation in Ger-many,with turnover rising again in nominal terms.Bricks-and-mortar food retailers fare better than bricks-and-mortar non-food retailers.3Another turnover record in the retail sector in 2023Retail turnover achieved by bricks-and-mort

107、ar retail and distance selling reached a new turnover record of 649 billion see figure 02.It is fast approach-ing the 600 billion mark,with the HDE forecasting an increase in turnover to about 670 billion1 for the current year 2024.However,this regular turn-over expansion is being paid for dearly.Th

108、is is because the high inflation rate of 6%on average is causing a real turnover reduction of 3.4%,which puts the nominal growth of 2.9%compared to 2022 in a different light.Only the bricks-and-mortar retail trade in textiles,clothing,shoes,and leather goods was able to escape the real turnover redu

109、ction according to data from the Federal Statistical Office2 for 2023.This sector has carried some of the previous years ECONOMY AND RETAILturnover dynamics into 2023,but is still around 4.6%below the pre-COVID year 2019 in real terms.Food retail turnover showed a strong real decline.This is because

110、 nominal turnover growth of 5.4%ulti-mately resulted in a real turnover reduction of 3.9%.This trend was already apparent in the first half of 2023 and stabilised at this lower level in the second half of 2023.All in all,the food retail sector is still benefiting from the strong real increase in tur

111、nover in 2020 due to COVID-19,when an increase of 5.4%was achieved as compared to 2019.Since then,how-ever,there has been a continuous turnover reduction at real prices,specifically-1.6%in 2021 and-4.6%in 2022.The situation looks significantly better when looking at nominal prices.At 5.9%,a substant

112、ial increase was once again achieved in 2023,exceeding that of the previous year(+5.5%).The reason for the OVERALL RETAIL DEVELOPMENT1.202 Development of retail turnover 2000 to 2024*Source:Federal Statistical Office,*HDE forecast 2024;excluding VAT;provisional data;retail trade excluding motor vehi

113、cles,petrol stations,fuels,pharmacies,status:08/07/2024 Total turnover p.a.(bn,net)Real change compared to previous year in%6543210-1-2-3-4-52000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024*428.3432.2423.1417.2426.3430.2 432

114、.7 427.6 432.3418.9427.2437.9445.4450.9458.0477.8 493.2514.4527.8546.2577.4589.4631.4649 HDE forecast 2024;excluding VAT;provisional data;retail trade excluding motor vehicles,petrol stations,fuels,pharmacies,status:08/07/20242 Federal Statistical Office:Press release no.041 dated 31/01/2024,quoted

115、from:www.destatis.de3 Federal Statistical Office:Press release no.215 dated 31/05/2024,quoted from:www.destatis.de6702223Purchasing power on the rise in GermanyMB Research presents its forecasts of the purchas-ing power of private households at the beginning of each year.MB Research forecasts total

116、pur-chasing power of 2,368.2 billion for Germany for 2024 after 2,295.5 billion in the previous year.4 The disposable income(net income excluding taxes and social security contributions,including trans-fer payments received)of Germans has thus risen by 728 to 27,939 per capita based on revised data

117、from the previous year.This corresponds to a nominal increase of 2.7%and thus remains slightly below the previous years value.Per capita pur-chasing power was calculated to increase by 4.6%compared to 2022 based on revised data.Distribution of purchasing power by federal state shows the familiar pic

118、ture.The southern federal states have the highest per capita purchasing power,while the inhabitants of the eastern fed-eral states have the lowest.Bavaria and Hamburg are the first two federal states to exceed the per capita purchasing power threshold of 30,000.Bavaria comes out about 8.8%above the

119、national average and,as in previous years,in first place with a per capita purchasing power of 30,395.Hamburg in second place breaks the dominance of the southern federal states with 30,100 per capita(+1.8%as compared to the previous year).Baden-Wrttemberg(29,708 per capita,+2.3%)and Hesse(28,693 pe

120、r capita,+2.5%)follow subsequently,with Schleifensonde-Holstein with 28,107 per capita coming next.These five federal states have a purchasing power per inhabitant that is above the national average of 27,939.Purchasing power is below average in a nationwide analysis in the other federal states.Meck

121、len-burg-Western Pomerania continues to bring up the rear among the federal states,where residents have an average of 24,749 per capita at their disposal,which is around 88.6%of the national average.At the same time,the situation among the“bottom performers”has improved slightly.Relatively speaking,

122、they are moving closer to the national average.Two more federal states,i.e.,Saxony and Thuringia,now have purchasing power ratios of over 90.0,having ranked below this in previous years.Starnberg remains in the leadThe district with the highest per capita purchasing power in Germany has for years be

123、en the Bavar-ian district of Starnberg with 41,764 per capita.It exceeds the national average by almost 50%.The districts of Munich and Hochtaunuskreis have swapped the subsequent places.The district of Mu-nich ranks second with 38,795 per capita,ahead of the district of Hochtaunuskreis with 38,382

124、per capita.As in the previous year,the state capital of Munich,with a per capita expenditure value of 37,505,documents the dominance of the Mu-nich metropolitan region in terms of purchasing power,as the district of Ebersberg(35,190 per capita)in 5th place,the district of Miesbach with 34,491 per ca

125、pita(7th place)and the district of Frstenfeldbruck with 33,379 per capita(10th place)belong to this regional cluster.Two districts from Baden-Wrttemberg,the independent city of Heilbronn(33,913 per capita,8th place)and the district of Lrrach(33,411 per capita,9th place)and,two Hessian districts,the

126、Hochtaunuskreis(3rd place)and the Main-Taunus-Kreis(34,682 per capita,6th place),made it into the top 10.As in previous years,the city of Dsseldorf is once again the highest-placed district in the most populous federal state of North Rhine-Westphalia.It ranks 12th with 32,895 per capita.4 Michael Ba

127、uer Research GmbH,Purchasing Power 2024Purchasing power index 2024(Index BRD=100)under 9090 to 9595 to 100100 to 105over 10503 Purchasing power in Germany 2024 regional distribution Source:bulwiengesa AG,RIWIS,MB Research2425ECONOMY AND RETAILThe usual appearance remains unchanged other-wise.The nor

128、thern districts are gradually losing purchasing power compared to the districts in the south of Germany,which means that the south-north divide that has been observed for years is continuing unabated.The last positions have not been occupied by dis-tricts in eastern Germany for some time now.They ar

129、e located in western Germany instead:Bremer-haven remains in last place with 21,406 per capita purchasing power,ahead of Gelsenkirchen(21,727 per capita)and the city of Duisburg(22,565 per capita).The other 4th and 5th places also go to two major cities in North Rhine-Westphalia(Herne and Hamm).Purc

130、hasing power disparities in Germany remain considerable in spite of various state equalisation payments and adjustments to wage and pension levels.While 37 of the 44 districts in Baden-Wrt-temberg,i.e.,84%of all districts or independent cities,achieved a purchasing power index of over 100,as in the

131、previous year,only the district of Potsdam-Mittelmark(104.8 purchasing power index or 29,286 per capita)and the state capital of Potsdam(101.3 purchasing power index or 28,295 per capita)achieved this in the eastern German states.Although the eastern German metropolises like the state capital Dresde

132、n(94.8 or 26,476 per capita),the state capital Magdeburg(89.9 pur-chasing power index or 25,117 per capita)and the capital Berlin(94.3 or 26,343 per capita)were able to increase their purchasing power levels compared to previous years,they still lag behind the national average.The crescent distribut

133、ion of the highest purchasing power from Hamburg via the Rhine and Rhine-Main region to Stuttgart and Munich,which has been observed for years,remains unchanged,although the urban and rural districts of the eastern federal states have successively gained purchasing power see figure 03.Consolidated t

134、urnover in online retail As in 2022,the turnover forecast for online retail was not achieved in 2023.While the turnover growth expected at the beginning of 2023 was at about 4.9 billion,the increase ultimately fell to 0.9 billion compared to the previous year.Al-though online retail returned to a tu

135、rnover growth path,it ultimately fell well short of expectations.As a result,online retail was also affected by consumers general reluctance to spend.The HDE predicts turnover growth of 3.4%to 88.3 billion in its May forecast for 2024.The growth story for online retail remains intact as compared to

136、the last pre-COVID year 2019.The growth achieved from 2019 to 2023 remains considerable.In spite of the reduced increase to 84.5 billion as compared to the previous years forecast,an increase in turnover of 26.2 billion or about 44%was achieved com-pared to 2019,resulting in average annual turnover

137、growth of almost 10%see figure 04.Irrespective of whether the forecast materialises exactly as stated,based on the turnover performance to date in the first half of 2024,turnover growth is expect-ed to reach a new all-time high for online retail in Germany.Source:HDE Online Monitor 2024,incl.forecas

138、t for 202404 Turnover development in online retail in Germany 2016 to 2024*(net)Figures in bn B2C e-commerce in accordance with HDE Share of B2B e-commerce in retail turnover in%(right-hand scale)The growth in overall retail turnover(+2.9%,nomi-nal)reduced the relative share of turnover generat-ed o

139、nline.Measured against the total German retail turnover volume of 649 billion,the online share fell marginally by 0.2 percentage points compared to the previous year and stood at 13.2%in 2023.In the peak year of 2021,when online turnover exceeded the 80 billion mark for the first time,the share of t

140、urnover was 14.7%.The renewed decline in the relative share of turnover is primarily due to a turnover reduction in the non-food segment.As in the previous year,the food segment remained at a relative share of 2.9%of total turnover in the food sector(food including beverages).44.248.953.359.272.886.

141、784.585.42016 2017 2018 2019 2020 2021 2022 2023 2024ONLINE RETAIL WAS ALSO AFFECTED BY CONSUMERS GENERAL RELUCTANCE TO SPEND.88.3e2627ECONOMY AND RETAILThe trend towards shopping at low-price discounters and drugstores continuesThe trend towards buying more from low-price discount supermarkets cont

142、inued last year and is set to continue this year.Drugstores have also been able to achieve significant turnover growth.Con-sumers aligned their purchases with special offers and at the same time increasingly visited different shopping centres to meet their needs.Full-range retailers,in particular in

143、cluding EDEKA and REWE,have lost growth momentum compared to discount stores in the past year due to high infla-tion.Consumer sentiment has brightened somewhat again this year,partly due to the favourable wage settlements,meaning that consumers once again have more money available for shopping.Both

144、retailers and consumers are going to benefit from the fact that many disputes between brand manufacturers and retailers last year regarding pricing,which led to some empty shelves and deliv-ery stoppages,have been resolved,partly because inflation has eased significantly.Organisation of the European

145、 Football Championships in Germany also contributed to a surge in turnover in the food retail sector this year.EU supply chain law passed after long Negotiations The long-debated Europe-wide supply chain law was adopted by the EU at the end of May this year,after further improvements were made.Fewer

146、 com-panies are now affected,and the fashion industry is no longer defined as a high-risk sector.The CSDDD that has now been adopted will initially apply to companies with more than 5,000 employees and more than 1.5 billion in turnover worldwide after a transitional period of three years;the limits

147、are going to be lowered subsequently so that in five years the directive will also apply to companies with 1,000 employees and 450 million in turnover.The member states have two years to transpose the CSDDD into national law.In this context,the existing German Supply Chain Due Diligence Act(Lieferke

148、ttensorgfaltspflichtengesetz)must also be adapted accordingly,in particular as the EU Supply Chain Act(EU-Lieferkettengesetz)covers fewer companies.In terms of civil liability(including human rights violations),however,it goes beyond the existing German law,and companies must also draw up climate pl

149、ans.All in all,the supply chain law passed by the EU has met with a very mixed response.Nominal turnover growth also in 2023 Turnover in the food retail sector rose by 6.2%in nominal terms in 2023 but due to the high inflation rate,this led to a real decline of-3.5%compared to the previous year,as i

150、n 2022,in accordance with calculations by the Federal Statistical Office.In accordance with bulwiengesa calculations,ex-penditure on food and drugstore goods(including household goods)will amount to about 289 billion in 2023.Online share for food remains lowThe online share of groceries remained unc

151、hanged year-on-year at 2.4%in 2023.In contrast,the online share of drugstore products rose slightly to 3.4%,which is the same share as in 2021 see figure 05.ECONOMY AND RETAILDEVELOPMENT OF THE FOOD RETAIL SECTOR1.305 Share of online retail turnover Source:HDE Online Monitor 2024,p.20*incl.hygiene p

152、aper/washing/cleaning and cleaning productsFoodDrugstore goods*20212.23.420222.43.220232.43.4 WZ08-4711 Retail sale of miscellaneous food,beverages,and tobacco.Data revision of consumption expenditure 2023.282920192020202120222023Discounter15,91015,88015,90815,92315,911Supermarket 16,15015,90815,689

153、15,40115,278Superstore4,2354,2754,4324,5124,570Hypermarket634627599555559Drugstore4,9775,0485,1035,1605,193Total 41,90641,73841,73141,55141,51120192020202120222023Hypermarket10.610.49.99.08.7Superstore22.923.424.324.524.3Supermarket15.215.015.315.014.4Discounter41.641.841.041.742.4Drugstore9.89.59.5

154、9.810.2Total100.0100.0100.0100.0100.0Drugstores with highest turnover growth in 2023 Al in all,turnover across all types of business increased by around 6.8%in nominal terms from 2022 to 2023.Thus,growth was higher than in the previous year.Drugstores were even able to top the high turno-ver growth

155、of the previous year with double-digit growth of around 10.7%and surpass the 10%mark with a market share of 10.2%in 2023 see figure 06.Discounters were also able to increase their turn-over disproportionately,by a nominal 8.5%.The already-high market share was increased to 42.4%.The gap to the other

156、 types of food and drugstore retailers analysed has thus widened further.Superstores recorded turnover growth of around 5.8%,which was below the average turnover growth in the sector,meaning that their share of turnover fell slightly to 24.3%.Supermarkets achieved the lowest growth at only around 2.

157、9%,just as in the previous year.It should be noted that both the sales area and the number of supermarkets continued to decline.The share of total turnover fell to just 14.4%.Turnover for hypermarkets increased by around 3.6%,following a decline in 2022.However,this is also below the sectors overall

158、 turnover growth,even though both sales area and the number of locations developed slightly positively.As a result,their share of turnover among all types of business is falling further to only around 8.7%.Number of drugstores and grocery stores reduces slightlyThe trend from last year continued in

159、2023,with the number of food and drugstore outlets falling slightly year-on-year to a total of 41,511 stores(-40 properties).The decline in supermarkets was particularly high.The number of stores decreased by-123 to 15,278 in this context see figure 07.The number of discounters also fell marginally

160、by-12.There are probably several reasons for this.The restrained new construction activity or the post-ponement of new construction projects due to the drastic increase in construction costs is also likely to have contributed to this last year in addition to store network optimisation with the closu

161、re of small and unprofitable stores.In contrast,the number of superstores continues to rise steadily and has increased by 58 properties.However,this growth was below the previous year(2022:+80 objects).The number of hypermarkets also increased slightly to 4 properties.This slight in-crease is probab

162、ly mainly due to temporary closures of former real stores in the course of remodelling and takeovers by the new operators,which were then reopened last year.This does not suggest any reversal of the trend.The number of hypermarkets has dropped significantly by 75 properties compared to 2019 to 559 s

163、tores.The number of drugstores also increased to 5,193 stores,but with an additional 33 properties.Consid-erably fewer new stores were added than in 2022 or 2021,and the growth in these two years was also significantly lower than in previous years.Growth in drugstores has weakened considerably all i

164、n all.Source:bulwiengesa from information provided by TradeDimensions,2020 data partly revised06 Share of turnover in the food retail sector Figures in%Source:bulwiengesa from information provided by TradeDimensions07 Number of stores by type of operation Figures in number of stores3031ECONOMY AND R

165、ETAIL20192020202120222023Hypermarket12.111.911.210.210.1Superstore26.326.427.127.727.8Supermarket18.518.118.017.917.7Discounter34.234.434.635.035.0Drugstore8.99.19.19.39.4Total100.0100.0100.0100.0100.0Sales area once again growingAfter falling for the first time last year,the sales area of food and

166、drugstore chains rose again in 2023 to 38.8 million sq m and thus grew by 0.6%.The decline in sales area in hypermarkets in particu-lar contributed to this negative result in 2022.This year,the sales area of hypermarkets increased again marginally by 0.1%.The trend of declining sales area in superma

167、rkets,which has been in place since 2020,contin-ued in 2023.This was in line with the declining number of supermarkets.The sales area of su-permarkets decreased further by-0.3%to about 6.88 million sq m.The share of sales area thus is going to continue to fall to 17.7%in 2023 see figure 08.Growth in

168、 sales area was primarily achieved by drugstores(+1.7%),followed by superstores(+1.2%).The share of drugstores in the sales area for food and drugstores has increased to 9.4%in 2023 and the share of superstores has risen to around 27.8%.Sales area growth at discount stores was much more subdued,with

169、 an increase of around 0.6%.This likely is mostly due to the expansion of existing stores,as the number of discount stores declined slightly in 2023.However,discounters were able to maintain their market share compared to the previous year,at about 35%of the sales area of all food and drugstore outl

170、ets surveyed.ALDI Nord expands into central locationsALDI Nord has further modernised and optimised its outlet network,reducing the number of shops by 18 to 2,200 in 2023.At the same time,however,the average sales area per shop increased slightly to 955 sq m increased see figure 09.This means that A

171、LDI Nord operates fewer shops,but their average sales area has increased.ALDI Nord is also focusing its expansion efforts on locations close to city centres and urban transport hubs.The store network is to be expanded and new locations opened,particularly in major urban centres such as Berlin,Hambur

172、g,and Essen.ALDI Nord is focussing on commuters who want to do their daily shopping quickly and easily on the way home.New properties are preferred if offering approx.1,000 sq m of sales area,which makes them smaller than those preferred by sister company ALDI SD.One reason for this is that ALDI Nor

173、d is not aiming to further expand its product range but is instead pursuing a rather streamlined product range policy and is thus returning to the core element of a“hard”discounter.Almost every other ALDI store now has a packing station.More than 1,000 DHL packing stations have been put into operati

174、on in car parks throughout the ALDI Nord store network in cooperation with the Deutsche Post DHL Group since the end of 2021.The various measures to increase profitability in the last few years came to fruition last year and ALDI Nord was able to increase its turnover by around 6.3%.Floor space prod

175、uctivity(turnover per sq m sales area)also increased by around 6%and achieved a high sales area productivity of 7,120 per sq m of sales area.ALDI Nord wants to raise its profile through price and has announced a much more aggressive pricing policy in future.Sustainable energy sources are used in new

176、 con-struction projects and the modernisation of existing stores,so that ideally no fossil fuels need to be used.A growing number of stores have PV systems,energy-saving refrigeration technologies are used and the waste heat from refrigerated wall shelves is utilised.ALDI Nord also depends on sustai

177、nabil-ity when it comes to building materials by using materials that can be quickly and easily returned to the recycling cycle at the end of a store buildings service life.Beyond this,ALDI Nord is building stores in timber construction.A loyalty system has not yet been introduced in Germany but is

178、being tested in Belgium.The loyal-ty system app can be used to obtain personalised customer data and thus better align offers with customer needs.Based on press reports,the pro-gramme that has now been set up is designed in such a way that it could also be used at Aldi Sd.Competitor Lidl is already

179、operating very successful-ly with its customer app.ALDI SD is increasingly acting as a builderLast year,ALDI SD expanded its store network further by 15 to 2012 shops,but fewer shops were added than in the previous year.ALDI SD thus joins the ranks of other discounters that are also no longer signif

180、icantly expanding their store network.The focus is on modernising and improving the quality of the store network.ALDI SD continues to act as a builder of mixed-use properties with residential and retail units,and in some cases also day-care centres.In Waldbronn near Karlsruhe,ALDI SD has built 3,000

181、 sq m worth of retail space,of which ALDI itself developed 1,300 sq m occupied by ALDI itself.The upper floors are to contain 115 Source:bulwiengesa from information provided by TradeDimensions,data update drugstores as of 201708 Proportion of sales area Figures in%3233ECONOMY AND RETAIL StoresSales

182、 areaSpace productivity*TurnoverCompanySales division(selection)Type of operationNumberChange since 2022Avg.store sizein sq mChangesince 2022sq mChangesince 2022Changesince 2022ALDIALDI NordDC2,200-0.8%9551.3%7,1206.0%15,100,000,0006.3%ALDI SD*DC2,0120.8%1,0180.5%9,4007.2%19,450,000,0008.7%EDEKA Gro

183、upNettoDC4,3491.2%8140.4%5,3407.2%19,050,000,0008.6%EDEKA/E-aktiv/E-NeukaufSM/VM3,8820.2%1,3140.7%5,4903.2%27,977,495,0004.1%E-CenterVM/SBW5062.0%3,2911.6%5,6003.5%9,327,108,0007.3%MarktkaufSBW856.3%6,717-1.3%4,65014.0%2,654,186,00019.7%REWE GroupPENNYDC2,123-0.6%7480.5%6,5808.6%10,447,000,0008.6%RE

184、WE(incl.Kaufpark)SM/VM3,634-0.1%1,5480.4%4,6703.5%27,103,000,0003.9%REWE Center(incl.Kaufpark)SBW350.0%6,5440.3%4,320-2.0%1,019,055,000-1.7%Schwarz-GruppeLidl*DC3,2600.4%9350.4%10,1009.2%33,450,000,00011.1%KauflandVM/SBW7710.5%4,578-0.1%6,2802.1%23,100,000,0003.2%Bartels-LangnessFamila NordostVM/SBW

185、900.0%3,7350.1%5,1206.9%1,721,000,0006.9%BntingFamila NordwestVW/SBW200.0%4,510-1.5%5,0603.1%456,000,0001.3%GlobusGlobusSBW654.8%10,340-1.2%6,5508.8%4,540,000,00012.7%NORMANORMADC1,3440.6%7660.9%4,4102.8%4,683,000,0004.6%09 Development of the number of locations and space productivity of food retail

186、ers 2023 Source:TradeDimensions,bulwiengesa,and Aldi SD with data on number of shops and sales area;data status:Q2 2023*Excluding online turnover from information provided by TradeDimensions or bulwiengesas own estimates*Data ALDI SD|*Data revision 3435ECONOMY AND RETAILflats,some of which will be s

187、ubsidised housing.Based on ALDI SDs press release,more than 2,000 additional residential units will be created at ALDI SD locations in the coming years through project developments that have already begun.Rental and owner-occupied flats,socially subsidised housing,areas for assisted living,and even

188、flats for students are under development.In cooperation with the Studierendenwerk Vorderpfalz,ALDI SD has built 32 flats for 65 students above a branch in Landau in der Pfalz,with further projects underway in Tbingen and Mannheim.ALDI SD has refurbished and revitalised an existing property in a prom

189、inent location in Dsseldorf.The ground floor of the prop-erty is let to restaurateurs and retailers,while the ALDI shop itself occupies a space on the first floor.ALDI SD has also leased new locations in shopping centres and retail warehouses.The average sales area per shop increased slightly to 1,0

190、18 sq m increased.ALDI SD recorded a signif-icant increase in turnover of 8.7%.As a result,the space performance has once again increased signifi-cantly,reaching 9,400 sq m per sq m of sales area.ALDI SD has set the tone with its cut prices,in particular for fruit and vegetables.ALDI SD launched its

191、 new organic private label NUR NUR NATUR”at specialist retailer level with great success last year and the number of products,most of which are Naturland-certified,is to be expanded even further.And,after drinking milk and fresh turkey meat have already been converted to the higher husbandry types 3

192、 and 4,fresh beef is now to follow.ALDI SD has launched a pilot project with pick-up machinesALDI SD is now also trialling pick-up and gaining experience with Click&Collect.In July of this year,a pilot project was launched with collection machines in a container at the Mlheim an der Ruhr and Dsseldo

193、rf locations.Customers can place orders via an app and collect the goods from the vending machine one to five days later.Access is provided by QR code,but the goods can only be collected during selected time slots.Fresh and frozen goods can also be ordered as well since the container is refrigerated

194、.Use of flyers is being scrutinised by a number of retailers.REWE was a pioneer in this area and has continued to follow this path consistently since last year.ALDI SD is now planning to test the elim-ination of flyers in a region in northern Hesse.In addition to aspects such as cost reduction,digit

195、al forms of customer contact are becoming increasingly important.Many retail companies are investing large sums in digital customer communication and their own apps for this reason.According to ALDI SD,all shops will be equipped with e-price tags by the end of this year.Netto is benefiting from posi

196、tive development of the discountDiscounter Netto also achieved a similarly high turnover increase to ALDI SD last year at 8.6%.The number of branches increased by 50 to 4,349.This means that Netto still has the largest store network among the discounters.The store network is subject to further moder

197、nisation.Old stores being gradually replaced by new ones,either in the same location or in better ones,and existing stores being modernised and expanded.The average sales area per shop increased only marginally to 814 sq m but space productivity has increased by 7.2%to 5,340 per sq m sales area see

198、figure 09.Netto continues to be well behind the market leaders ALDI and Lidl in terms of space performance(turnover per sq m sales area).Netto keeps on increasing efficiency in order to reduce costs.In this context,the roll-out of electric price tags was decided and automated picking in the distribu

199、tion centres is being accelerated.EDEKA and REWE are also testing automated solutions.Use of hydrogen lorries is also being tested,and from the beginning of 2024 Netto will be supply-ing some of its shops from the Henstedt-Ulzburg branch.Netto Marken-Discount has been working with Naturland since la

200、st summer and since July of this year has also been offering products with the Biokreis seal.Netto states that it has up to 400 organic products on offer.Marktkauf:Successful takeover of former real storesEDEKA Groups large-scale subsidiary Marktkauf achieved the highest increase in turnover last ye

201、ar,with growth of almost 20%.The number of Markt-kauf stores increased by 5 to 85.The takeover/reopening of the former real stores likely will be the main factor here.Space productivity has also increased by nearly 14%to 4,650 per sq m sales area,but still occupies one of the lower places in the ran

202、king of other full-range retailers(supermar-kets,superstores).The number of e-centres(supermarkets/superstores)has increased as well.They were able to record significant turnover growth of 7.3%last year.Floor space productivity,on the other hand,rose only slightly by 3.5%.This means that the majorit

203、y of turnover growth resulted from the increase in sales area and locations.In contrast,the Edeka/E-aktiv/E-Neukauf stores performed weaker with turnover growth of only 4.1%and an increase in sales area productivity(turnover per sq m sales area)of only 3.2%.EDEKA SUBSIDIARY MARKTKAUF WAS ABLE TO INC

204、REASE TURNOVER BY ABOUT 20%IN 2023.3637ECONOMY AND RETAILEDEKA opens hybrid store and becomes new partner of PaybackEDEKA is also testing the first hybrid stores in order to implement extended opening hours and shorter working hours in the food retail sector.The first hybrid store was opened in a ho

205、liday region in northern Germany.Customers can use their bank card to access the store and make their purchases even after official closing time and on Sundays.Payment is made cashless before leaving the store via three self-checkout tills.The turno-ver model is not only an attractive operator model

206、 for holiday regions with high seasonally fluctuat-ing customer numbers,but also for economically more difficult locations in rural areas and opens up new perspectives for the organisation of open-ing hours.The hybrid store turnover model can complement the Smart Box,an exclusively auton-omous mini-

207、store already used by EDEKA Nord.In its advertising,EDEKA emphasises regional products and locally grown fresh fruit and veg-etables in order to sharpen its profile and set itself apart from the discount stores.There are plans to relaunch the private labels.EDEKA(with the exception of the EDEKA Hess

208、enring region)will also become a new Payback partner in 2025 following the withdrawal of REWE.Payback is to be integrated into EDEKAs own customer card.EDEKA hopes that this will give a boost to its own app and,above all,provide even more individual-ised information about its customers.Last but not

209、least,turnover increases,which are also gained by customers who migrate to EDEKA because their previous supermarket no longer participates in the Payback programme.In light of the expected higher turnover,EDEKA is demanding concessions from the manufacturers in terms of conditions,which will strengt

210、hen EDEKAs market position.Payback,on the market since 2000,is the largest and best-known programme with 31 million users,in accordance with a survey by the Ipsos Institute,followed by the Deutschland-Card and Lidl Plus App.EDEKA and Swiss Migros recently started coopera ting on procurement from Asi

211、a.EDEKA has founded the subsidiary Everest Asiahub Limit-ed in Hong Kong to this end.There are hopes that this merger will lead to significant improvements in purchasing conditions.REWE continues to invest in ITCompared to EDEKA,REWEs full-range stores developed less dynamically from information pro

212、-vided by TradeDimensions.The 35 REWE centres,whose number did not change compared to the previous year,lost turnover in 2023.This figure dropped by-1.7%and space productivity also fell by-2.0%to 4,320 per sq m of sales area.REWE(incl.Kaufpark)supermarkets and superstores,on the other hand,achieved

213、slight turnover growth of 3.9%,with the number of stores reduced marginally and the average sales area per shop also increasing marginally to 1,548 sq m.Floor space productivity(turnover per sq m sales area)increased only slightly by 3.6%.REWE continues to invest in IT.It has opened Pick&Go test sto

214、res in Hamburg and Dsseldorf.In addition to traditional payment at the check-out,customers can choose between three other payment options:checkout-free using Pick&Go via app,scanning and payment at the self-checkout terminal or via computer vision support without scanning at the self-checkout termin

215、al.There are also some plans to install self-service checkouts in every other REWE store.The functions of the self-service checkouts have expanded consider-ably in the meantime.They can select the right type of fruit and vegetables or even recognise theft.New AI technology also permits age checks at

216、 payment.Biometric payment methods are not yet available in Germany but are already being experimented with in the USA in particular.REWE digital is also testing a digital shopping compan-ion.Tablets attached to the shopping trolley offer an efficient product search,navigation through the store and

217、personalised product suggestions.The move away from flyers a year ago remains in place and has proved successful.REWE is trying out some innovative packag-ing-free stations for dry goods such as rice,pasta and cereals with its cooperation partner and start-up MIWA.The packaging-free stations also cl

218、ose two reusable cycles at the same time,per-mitting implementation of sustainability aspects can also be implemented.REWE is also expanding its retail media activities in marketing.REWE has already installed digital pillars in about 3,000 REWE stores on which advertising can be placed.Now PENNY sto

219、res are also to be equipped with pillars.REWE wants to take advantage of the opportu-nities currently arising on the investment market and has increased its investment budget for the purchase of property.In Berlin,for example,a store is being demolished and replaced by a green building with the high

220、 efficiency standard for new buildings of 40 EE.Environmentally friendly build-ing materials with a high proportion of wood are also used.The store is going to be equipped with a photovoltaic system and a green roof.The plot is optimally utilised with the market on the 1st floor and parking on the g

221、round floor,including parking areas for bicycles and cargo bikes and charging points for electric cars,just like it is done in many densely populated locations in large cities.Million users make Payback the market leader in Germany313839ECONOMY AND RETAILPENNY grows and optimises store networkPENNY,

222、REWEs discounter,further optimised its store network in 2023 and reduced the number of stores by 12,while at the same time significant-ly increasing its turnover by 8.6%.PENNY also achieved a significant jump in turnover in terms of space productivity to 6,580 per sq m of sales area.PENNY thus was a

223、ble to match the turnover growth of the top discounters last year.The market hall concept is being rolled out further,but it is proving difficult to successfully implement this concept in PENNYs small spaces.PENNY continues to pursue a special approach to store design.Selected stores are designed in

224、 a particularly original way and with a strong con-nection to the location.One example is the PENNY Underground,which was designed in the style of an underground station and is located in Berlin-Wed-ding.The e-commerce business was scaled back again and the partnership with the Bringoo delivery serv

225、ice was recently terminated.Kaufland completes integration of real stores successfully completedKaufland completed the takeover and integration into its own store network of the more than 100 real stores it acquired last year.Last year,Kaufland operated 771 Kaufland stores(+4 stores as compared to t

226、he previous year)with an average sales area of around 4,600 sq m.Partly due to disputes with brand manufacturers last year(the situation has since eased),its turnover only increased by 3.2%.The space performance also rose only slightly by 2.1%to 6,280 per sq m of sales area.Kaufland is planning to e

227、xpand its regional prod-uct ranges in order to take turnover away from the supermarkets in order to boost turnover.The veggie own-brand range was expanded by another 20 vegan items in order to appeal even better to this growing customer group.The meat counter only sells Level 3 products.Advertising

228、activities for the Kaufland Card were increased.Customers can benefit from additional discounts,exclusive coupons,competitions,and other advantages in Kaufland shops and on the Kaufland.de online platform with this card.Customers needs will be placed more at the centre of advertising cam-paigns.Kauf

229、land is continuing to push ahead with the use of artificial intelligence(AI).This is used,for exam-ple,for turnover forecasts or to evaluate data from customer loyalty programmes.Lidl defends top position in the Space performanceLast year,Lidl expanded its store network by 12 to 3,260 stores.In futu

230、re,Lidl plans to expand again,particularly in the metropolitan regions.Existing locations are also to be replaced by sustainable new store buildings,with Lidl implementing both rental and owner-occupied properties.Based on press reports,Galeria is currently negotiating a co-op-eration with Lidl in t

231、he food sector.Galeria wants to increase footfall in the stores by locating Lidl discounters there.Lidl may thus further expand its presence at numerous central locations.ALDI SD has already opened several stores in Galeria branch-es in the last few years.Lidl significantly increased its turnover by

232、 11.1%last year,achieving the highest turnover growth of all the sales divisions analysed.The number of stores and the sales area were increased only slight-ly.Lidl thus achieved significant increases in space performance to 10,100 per sq m sales area,thus not only maintaining but also extending its

233、 leading position in terms of space performance.Lidl is also trying out a new store concept at several locations with a different customer flow and cross aisles at the back previously a taboo for the leading discounters.Energy consumption can be significantly reduced,the items are placed closer toge

234、ther,the walking distances for customers are shortened and the goods are easier to organise by placing the refrigerated shelves opposite each other.The standard range is presented lengthways and promotional goods in the cross aisles.Most of the aisles are wider,giving customers and employees more sp

235、ace.The non-food business of the discounters continues to be under pressure.This is because the non-food discounters,above all Action,but also Woolworth,are continuously expanding their store network and diverting turnover from the food discounters to the non-food discounters.Lidl is installing a ch

236、arging infrastructure at the first locations and also plans to use electric lorries at ini-tially selected locations from 2025.Lidl and Kaufland are also going to intensify their cooperation in meat and sausage products in order to secure the supply of goods.Lidl will source some of its sausage and

237、meat products from its sister company Kauflands own meat plants.Investments further focus on expanding the companys own production facilities.Schwarz-Gruppe has further expanded its production division with the acquisition of the Bonback baked goods production facility.Globus faces some massive chal

238、lenges due to takeover of real-hypermarketsGlobus was able to increase its turnover by 12.7%last year.The number of stores increased by 3 to65 Globus stores.While the average sales area per property increased slightly to 10,340 sq m,Globusstill operates by far the largest hypermarkets in Ger-many in

239、 terms of floor space.Floor space productivity increased by 8.8%to 6,550 per sq m of sales area but is still below the 2020 figure of 6,620 per sq m of sales area.There are some speculations on the market regarding Globus having overexerted itself with the takeover of the 16 former real hypermarkets

240、.Many properties acquired from real have been remodelled at great expense over the past two years.Globus has alsobuilt some new stores,for example in Eschborn near Frankfurt.Several former real stores are said to benot yet in the profit zone and the prospects for a number of stores are also not seen

241、 as positive.There are also rumours on the market that Globus wouldlike to divest itself of some hypermarkets.This situ-ation is exacerbated by Globus probably being only allowed to transfer part of its profits from its Russian business to Germany due to the war in Ukraine.Beyond this,Globus sold an

242、d leased back eight stores last year with long-term contracts in order to usethe proceeds to finance the acquisition of company shares previously owned by the Martin family(Mbel Martin).KAUFLAND IS CONTINUING TO PUSH AHEAD WITH THE USE OF ARTIFICIAL INTELLIGENCE.THIS IS USED,FOR EXAMPLE,FOR TURNOVER

243、 FORECASTS OR TO EVALUATE DATA FROM CUSTOMER LOYALTY PROGRAMMES.4041ECONOMY AND RETAILGlobus will be setting up charging parks at about 50 market hall locations by the end of the year together with EnBW and Tesla.More than 12 charging points are generally going to be avail-able at each location from

244、 the start of the charging parks.The new Globus logo,which will be relaunched in 2022,will not be rolled out any further for the time being.NORMA with heterogeneous developmentNORMA continues to maintain a very heterogene-ous store network,with very modern,new stores,but also some old properties in

245、need of renova-tion.Norma wants to open up new market areas through rental and owner-occupied properties,but old small-scale city centre locations are also to be replaced by large-scale,modern new buildings with sufficient parking spaces in highly frequented traffic areas.With 1,344 shops,NORMA is o

246、ne of the small,na-tionwide discounters.Turnover increased by around 4.6%last year,lagging behind the significant turno-ver growth of other discount competitors.Floor space productivity rose only slightly by 2.8%to 4,410 per sq m of sales area,bringing up the rear among the discounters analysed.This

247、 is also due to the fact that the non-food range,an important earnings driver for NORMA in the past,is no longer achieving the turnover of previous years.A partnership was concluded with the project developer Charge Construct Discounter regarding the planning and installation of fast-charging statio

248、ns at the stores,which are located through-out Germany.NORMA wants to increase its social media activities and plans to address customers via Instagram or Facebook in marketing.Norma is also trialling deliveries by electric lorry.The final end of real/my realThe 63 former real hypermarkets acquired

249、by the Tischendorf family office and trading under the name of my real had to contend with a sharp turno-ver reduction and had to file for insolvency at the end of last year.45 stores were closed for good,18 locations were taken over by REWE,Kaufland,and EDEKA and integrated into their large-scale n

250、etwork at the end of March 2024.Bartels-Langness Group shows the highest growth among the top food retailersIn 2023,EDEKA Group once again ranked firstamong the top 5 food retail companies withturnover of 76.6 billion.Turnover increased by 6.3%,which was higher than in the previous year.The German n

251、umber 2,Schwarz-Gruppe,record-ed significantly higher turnover growth of 8.2%,which was on a par with ALDI,the number 4 in the ranking see figure 10.Discounters also recorded an increase in customer demand and above-average turnover growth due to price increases as a result of high inflation in 2023

252、.REWE Group remains number 3 and was able to achieve turnover growth of 7.3%.However,REWE has also accumulated a high level of net debtsince 2018 in accordance with the latest annual report and is faced with high interest payments.The acquisition of Lekkerland and the impact ofthe COVID-19 pandemic

253、on the tourism division contributed to this.Number 5 among the top 5 food retail companies,Bartels-Langness Group(including famila hypermarkets and Markant supermarkets),achieved the highest turnover growth lastyear,at just under 10%.REWE pushes convenience businessREWE wants to further expand its c

254、onvenience business,which is managed by its subsidiary Lek-kerland,and is endeavouring to further expand its supply to petrol stations.Shell,Aral,and Esso have already been supplied to date.Negotiations are underway with Jet,which is still supplied by EDEKA.Lekkerland is also testing the new REWE ex

255、press shop concept at petrol stations in cooperation with petrol station operator Eg Group.This is aimed at customers with little time.The range comprises mostly food for direct consumption.Like other food retailers,in accordance with Schwarz-Gruppe,REWE is considering verticalising and acquiring fo

256、od manufacturers.The focus here is on subjects such as supply and availability of goods.REWE has already been active in production for some time with the Groups own businesses Glocken-Bckerei and Metzgerei Wilhelm Branden-burg.Last December,REWE further secured a 50%stake in the beverage logistics c

257、ompany Trinks.tegut expanding with its Teo vending machine concept tegut maintains a strong presence in Munich following the takeover of the 19 insolvent Basic organic markets in addition to the Frankfurt region.The stores have been and are still being converted to tegut.The plan here is offering an

258、 even more extensive organic range than in the other regions,although the tegut brand is not yet known in Munich.It remains to be seen whether the current restruc-turing programme as a result of turnover reduction at the Swiss parent company Migros will also affect teguts business in Germany,as tegu

259、t is still not a profit generator.Tegut continues to expand with its Teo vending machine concept,currently comprising around 40 locations in Hesse,Bavaria,and Baden-Wrttem-berg.The approximately 50 sq m outdoor stores,whose doors can be opened with the Teo app or Source:bulwiengesa from information

260、provided by TradeDimensions,data partly revised 2021Turnover in bnChange compared to previous yearEDEKA Group76.76.3%Schwarz-Gruppe55.98.2%REWE Group47.57.3%ALDI34.78.2%Bartels-Langness Group6.79.9%10 Top 5 in the food retail sector 2023 4243ECONOMY AND RETAILNumber of storesTurnover in millionturno

261、ver development compared to 2021Space perfor-mance(gross)*in/sq mSales area in sq mdm2,10811,30013.9%8,3571,338,580ROSSMANN2,2909,30010.1%6,5601,407,100Mller 5783,4096.0%4,417768,826Budnikowsky1865707.3%5,76297,918debit and credit cards,offer 950 everyday items.A cooperation agreement was concluded

262、with Deutsche Bahn and an unoccupied 24-hour shop was set up at Mannheim station.An indoor Teo was opened in an existing property in a retirement home in Munich.The store can be entered by giro card,credit card,or app.The technology is provided by Migros subsidiary Smart Retail Solutions,which also

263、intends to market the technology as a fran-chise concept.Automated smart shops are allowed to open even on Sundays in Hesse and BavariaFollowing some disagreements in Hesse and Bavaria regarding the opening of automated points of sale for food,in particular Teo-Markets,both federal states have now a

264、pplied some improvements.The Hessian state parliament passed an amendment to the Hessian Shop Opening Act(Hessisches Laden-ffnungsgesetz;HLG)this July.Small,automated turnover outlets can now also open on Sundays.Smart stores or small digital supermarkets without staff and a sales area of no more th

265、an 150 sq m may be opened continuously in future,including on Sundays,in Bavaria.dm and ROSSMANN with record turnover growthsThe top 4 drugstores were able to significantly increase their turnover again in 2022 to around 24.6 billion.At a turnover growth of 10.6%,the results were even higher than in

266、 the record year of 2022.dm and ROSSMANN achieved turno-ver growths of 13.9%and 10.1%respectively,putting them in the category of 10%and more see figure 11.Budnikowsky also achieved high turnover growth of 7.3%in 2023 and thus signifi-cantly higher turnover growth than in the previous year.Mller was

267、 also able to increase its turnover more significantly compared to the previous year but is significantly behind the two market leaders dm and ROSSMANN in terms of turnover growth with growth of 6%in 2023.ROSSMANN invests in its store networkROSSMANN intends to invest more in future,expand its store

268、 network and modernise its existing shops.Based on a press release from ROSSMANN 230 million are to be invested in Germany,in-cluding 50 million in 75 new shops and another 80 million in the modernisation of existing shops.Meanwhile,ROSSMANN is in the process of grad-ually rolling out its revised sh

269、op design and saving costs by converting to LED lighting technology.The number of drugstores increased by 29 properties.The average store size of drugstores is 614 sqm and has hardly changed,but ROSSMANN also operates some shops with a sales area in excess of 1,000 sqm.The space performance could al

270、so be increased in 2023 to 9,300 per sq m of sales area.The main growth drivers are decorative cosmetics,facial and body care products,hair care,organic food,and ranges of detergents,cleaning agents,and cleaning products,as well as ROSSMANNs private labels.Drugstores have also been benefiting for so

271、me time now from the trend towards specialised shops.Investments were also made in the expansion of logistics and a new distribution centre was put into operation in Burgwedel at the companys head-quarters.Following the launch,the ROSSMANN app has been available for online shopping since the beginni

272、ng of 2024.5,000 exclusive products are also available online to complement the store range.The ordered goods are delivered directly to your home or to the nearest ROSSMANN shop.ROSSMANN is initially trialling in-store pick-up stations in 10 shops due to the increasing demand for Click&Collect order

273、s.The pick-up stations are located centrally in the store in combination with the photo orders.The customer will receive a corresponding collection code by email after ordering via the online shop that they can use to collect their parcel contact-free from the previ-ously selected pick-up station in

274、 the shop.The Click&Collect service strengthens the link between online and offline shopping,reduces the workload on employees and increases shopping convenience for customers.If the test ends with successful results,the pick-up stations will soon be rolled out in other stores.ROSSMANN is further im

275、plementing some aspects of sustainability.Amongst other things,at least 90%of ROSSMANN brand packaging is to be made recyclable by 2025,the use of recycled plastic as well as the use of recyclates of all materials in the product packaging of ROSSMANN brands is to be increased to 45%and electricity c

276、onsumption is to be further reduced.Route management and region-al warehouse logistics are also being optimised in order to keep the journey of goods from the ware-house to the shops as short as possible.dm Drogeriemarkt further expands market leadership In accordance with a dm press release,the new

277、 shop design will continue to be rolled out and im-plemented in around 350 dm drugstores in Germany in the financial year of 2023/2024 as part of the modernisation.All dm shops are to be converted to the new shop design by the end of 2029.There are also some plans to open more than 40 new stores.dm

278、not only was able to significantly increase its turnover last year,but also its space performance to around 8,430 per sq m sales area,with 14 new stores added compared to the previous year,bring-Source:bulwiengesa from information provided by TradeDimensions*excluding online turnover from informatio

279、n provided by TradeDimensions or bulwiengesas own estimates 11 Sales area productivity and sales area development of drugstores 20233 Business development 2023 and outlook 2024,see also https:/unternehmen.rossmann.de/presse/pressemeldung/rossmann-geschaeftsentwicklung-2023-und-ausblick-2024.html4445

280、ECONOMY AND RETAILing the number of dm drugstores to 2,108.In light of the high inflation,prices were also at the fore-front in 2023,from which dm was able to benefit and also achieve higher receipts.dm renewed its partnership with the Payback loyalty programme this spring.dm has invested in and sig

281、nificantly expanded all turnover channels bricks-and-mortar and online while consistently pursuing its omnichannel strat-egy.Pick-up stations had been installed in 1,143 dm stores and express pick-up had been introduced by the end of September 2023.dm plans to equip all stores with pick-up stations

282、where structurally possible.The pick-up stations are located in the entrance area of the shops.Express delivery by environmentally friendly cargo bike or e-vehicle has now been set up in eight metropolitan areas.Further investments were made in resource-saving and intelligent air conditioning techno

283、logy and self-service checkouts.Around 25%of purchases in dm stores are now processed at the self-service checkouts.Good utilisation by customers further contributes to the rapid further expansion of this payment function.Scan&Go is also being piloted by some dm stores.In addition,the number of digi

284、tal orders is also increasing,with express collections accounting for almost a third of these in the last year.dm also acts as a pioneer in the use of artificial intelligence(AI).A central cloud platform is planned in order to establish digital delivery note documents in all areas.Furthermore,dm uti

285、lises ChatGPT(dm Generative Pretrained Transformer)on a larger scale.dm is additionally setting new trends in its prod-uct range and is offering a packaging-free system in selected dm stores,with the option of filling a selection of more than ten popular dm organic products yourself.Brand founders J

286、essie and Sebas-tian Wlke have teamed up with dm to establish the NoPlanetB brand,which addresses the topic of upcycling and develops resource-saving beauty products from unused by-products,including those from food production.A range of twelve beauty products is sold exclusively at dm.dm is testing

287、 the purchase of holiday days,amongst other things,to increase employee satisfaction.Employees may thus convert their Christmas bonus into holiday days.Investments in additional services are also made.dm customers will be able to withdraw up to 200 in cash free of charge when paying with a debit or

288、credit card(Visa)as is already the case at many supermarkets.Mller benefits from the breadth and depth of range Mller has expanded its store network by 5 to 578 stores as compared to 2022.Further openings are planned for this year,including in Lingen and Ibben-bren.Mllers turnover has risen to 3,409

289、 million and the space performance to around 4,420 per sq m of sales area.Mller continues to capitalise on its strength in the breadth and depth of its product range and is considered the market leader in toys and stationery,product ranges that achieve higher margins than the drugstore range.Based o

290、n press reports,Mller was able to improve its earnings,partly because personnel costs were reduced.In contrast to dm and ROSSMANN,Mller has not changed its shop design in the last few years.This may make it more difficult to appeal to younger target groups and families.There also are some plans to e

291、xpand the online business and link it more closely with the bricks-and-mortar business.Mller has reorganised its multimedia business to respond to changing customer demand,which is shifting from sound and film carriers to electronic accessories,prepaid games,and consoles.The aim is to achieve more t

292、urnover in a smaller space,which has been achieved.The companys multimedia pri-vate labels have taken centre stage and contributed to turnover growth.Sustainability aspects are also implemented at Mller.Mller offers selected own-brand products from the Aveo brand in reusable packaging and relies on

293、the Sea Me reusable system for its deposit system.In addition to Mller,Budni and individual REWE,EDEKA and Globus stores also stock Sea-Me products.Budnikowsky with improved turnover growthBudnikowskys store network was expanded by 2 to 186 shops.The space performance was around 5,820 per sq m and i

294、ncreased compared to the previous year in 2023.Expansion plans under the EDEKA umbrella to turn the Budni drugstores into a format for independent retailers did not work out and are being reversed.The Minden-Hannover region closes the remaining Budni stores and exits the drugstore business.The three

295、 Budni stores of EDEKAs regional company in Berlin and Potsdam were closed as well.Expansion in Berlin is now once again solely in the hands of the former shareholder Whlke,which operates 10 stores in Berlin.Only EDEKA Sdwest still operates a stationary drugstore business with six Budni stores.Howev

296、er,further in-vestments are to be made in the budni-beautybox shop-in-shop concept,which is to be implemented in e-centres or Marktkauf stores.Budnikowsky is still finding it difficult to compete with dm,Ross-mann and Mller outside its home territory.Budnikowsky is setting new trends in its product

297、range and is cooperating with Biogena,an Austrian manufacturer,in the micronutrients segment and has launched three new product lines.Furthermore,the natural food producer Schneekoppe has recently started selling its products exclusively at Budni-kowsky.Budni is now working with the parcel box servi

298、ce provider Myflexbox,following withdrawal of the Swedish start-up Instabox from the German market.They also accept returns and private par-cels.Various Budni shops in the Hamburg area are already equipped with the Myflexbox systems,with more to follow.million turnover achieved by 578 Mller stores 3

299、,4094746ECONOMY AND RETAILQuick Commerce business model on the retreatQuick commerce,which focussed on short-term purchases and consumers need for convenience,boomed in the big cities during the COVID-19 pan-demic.However,none of the providers have man-aged to operate profitably or cover their costs

300、.At the same time,new players were quickly added to Quick Commerce and the range was rapidly expand-ed.This was also because there were a large num-ber of investors who invested in this business model and the interest rate environment was favourable.However,this has changed abruptly.Last year,variou

301、s quick commerce providers left the German market or,like Gorilla,were taken over by others,in this case Getir.Turkish quick-commerce provider Getir now has also withdrawn from Germany due to financial problems.One of the few quick-commerce providers still active is Flink,in which REWE holds about 1

302、0%stake.As rumoured on the market,Flink is not making any profit either and is loss-making.Knuspr is also still active in Germany.It belongs to Czech Rohlik Group and has taken over the Bring-meister delivery service.The main reasons for the failure of quick commerce providers are:Critical mass of n

303、ecessary orders was not reached,rents for storage space in the central locations are high,but the fixed costs,i.e.,personnel costs,are also too high to achieve profitability.Consumers in Germany are very price-sensitive.In addition,purchasing conditions and compar-atively high marketing costs reduce

304、d profits.The introduction of delivery charges was also una-ble to significantly relieve the cost structure.There also were some changes in consumer behaviour as a result of the war in Ukraine and high inflation.As a result,consumers have once again increasingly shopped for low-priced products that

305、are rarely available from quick-commerce providers.MARKET SHAKE-UP FOR FOOD RETAIL DELIVERY SERVICESDIGRESSIONLAST YEAR,VARIOUS QUICK COMMERCE PROVIDERS LEFT THE GERMAN MARKET OR WERE TAKEN OVER BY OTHERS.4849ECONOMY AND RETAILDelivery services at a glance selectionDutch Picnic,with EDEKA Group hold

306、ing shares as a strategic partner,delivers food on fixed routes in 110 cities in accordance with the milkman prin-ciple.Picnic is supplied with goods by EDEKA in Germany.It offers the typical product range of an EDEKA supermarket.Deliveries are made using en-vironmentally friendly electric vehicles,

307、with routes optimised using artificial intelligence(AI)so that customers can be served without duplication,saving costs and time.Flinka quick commerce provider in which REWE holds a stake.The delivery network,which previous-ly comprised 43 cities,was significantly downsized last year in order to bec

308、ome profitable.The entire range of a supermarket is on offer.The minimum order value is 10.A delivery fee is charged.Knuspr which belongs to the Czech Rohlik Group,is only active in selected regions,such as Munich,the Rhine-Main region,and the greater Berlin area.It stocks up to 19,000 items.Deliver

309、y takes place within 3 hours of the order being placed.Delivery is free,but a minimum order value is required.Bring-meister was taken over by Knuspr some time ago.Flaschenpost has emerged from the former bev-erage delivery service and is part of Oetker Group.Flaschenpost delivers within 2 hours in m

310、ore than 190 cities.The delivery charges vary depending on the order value,but delivery is free of charge from a minimum order value.REWE delivery service which reaches over 90%of German households and delivers groceries on the agreed date if ordered the day before.25,000 items are available in its

311、range.In addition,there are also providers such as the Finnish delivery service Wolt or Bringoo,which focus purely on the delivery of goods.Wolt,for example,also works with Flink and purchases goods from it.The discounters are not yet active on the market with their own delivery services.However,ALD

312、I SD has recently started trialling Click&Collect with two pick-up stations in Dsseldorf and Mlheim.Niche providers are also entering the market,such as the food rescuer Too Good To Go,which is expanding its range to include a delivery service and offers the opportunity to save leftover food from re

313、staurants,bakeries,and supermarkets from the rubbish bin in many German cities.A parcel can be ordered via an app and then collected from the partner shop.The goods do not come from local shops but are provided directly by the brand manufacturers.These are goods whose packaging has,for example,print

314、-ing or cosmetic defects or whose best-before date is short,but some goods also come from overpro-duction or are seasonal goods.The German e-food market continues to develop.It is already becoming evident that Quick Commerce will be difficult to establish successfully in Germany due to cost pressure

315、 and very price-sensitive shop-pers.The number of providers has thinned out con-siderably.The situation is very different and positive for delivery services that come from the traditional food retail sector,such as REWE or Picnic,and offer a full range of products.Picnic and REWE are setting a fast

316、pace of expansionExpansion is continuing at an even faster pace among retailers that focus more on weekly shop-ping by contrast.Picnic,in which EDEKA holds a stake,is extremely expansive and is continuously opening up new regions and new locations.Picnic achieved a turnover of almost 375 million las

317、t year.Turnover in Germany are even set to rise to 700 million,thus almost doubling,this year.Smaller hubs are supplied via automated fulfilment centres and customers are served from there.EDEKA relies on Picnic for e-commerce,with only a few isolated delivery activities of its own.REWE has been the

318、 largest and most expansive provider of delivery services for years.However,there is no verifiable data on turnover and earnings for REWEs delivery service.On the one hand,REWE benefits from its purchasing power and,on the oth-er hand,REWE has also invested heavily in logistics and delivery.If REWE

319、succeeds in achieving com-prehensive omnichannel integration,it could gain a strategic advantage over other retailers.REWE also benefits from its pick-up services.A pick-up service is now integrated in around 1,800 REWE stores.5051ECONOMY AND RETAILOnline retail with slump in turnoverOnline retail i

320、s experiencing a real loss in turnover for the second time in a row.Following online retail reported a nominal turnover loss of 2.5%in 2022 as a result of the high turnover dynamics during the two pandemic years and the multi-crisis,it ended 2023 with a nominal increase in turnover of 1.0%at 85.4 bi

321、llion in annual turnover(net).In light of an inflation rate of almost 6%in 2023,there will ultimately be a significant real turnover reduction.However,the growth path is ultimately intact.It is currently experiencing a consolidation after the strong growth rates from the COVID-19 years.The trend sho

322、ws that product groups relating to living and home are characterised by turnover reduction and product groups for personal furnishings are characterised by turnover growth.The trend that could already be observed in 2022 of online providers with bricks-and-mortar DNA keeping their shares stable comp

323、ared to pure Internet providers(online DNA)is consolidating.This may be due to the fact that bricks-and-mortar retailers have turned their attention back to their bricks-and-mortar shops and are merely retaining their Click&Collect service as a supplement,but not pushing it any further.The recovery

324、trend in non-food retail turnover came to a standstill in 2023.At the end of the year,including turnover generated in distance selling,there was a slight decrease of 1.1%compared to 2022.The multimedia/photo/optics(-7.6%com-pared to the previous year),DIY/garden(-3.4%in accordance with the industry

325、association)and furniture/house and home textiles(-2.8%)segments in particular suffered higher turnover reductions.The home textiles segment even had a stabilising effect with its 3%increase in turnover in the latter product group,while the furniture segment,which dominates turnover,had to cope with

326、 a 5%turno-ver reduction.Consumers were reluctant to invest in their own four walls.The clothing and textiles ranges were unable to carry the momentum from the previous year,when turnover rose by 15.3%in nominal terms,into the new year.In the end,how-ever,there was an increase of 2.7%compared to ECO

327、NOMY AND RETAILthe previous year,meaning that the pre-corona level has been reached again.Based on calculations by the German Textile,Footwear,and Leather Goods Retail Association(Handelsverband Textil Schuhe Leder-waren;BTE),turnover in the footwear and leather goods sector increased by about 4%.Tu

328、rnover of watches and jewellery also increased again,albeit by a comparatively low 0.2%.The reluctance to buy in the second half of the year reduced turnover growth here,after the industry had started 2023 with good growth rates.Al in all,fashion consumption once again stabilised turnover developmen

329、t in the non-food retail sector in Germany,while the sectors with higherf-value goods in particular were left behind.Calculations by bulwiengesa AG based on data from HDE and industry associations show that turnover in the non-food segment totalled around 311.2 billion in 2023.NON-FOOD RETAIL IN GER

330、MANY1.4 Calculations by bulwiengesa based on data from HDE and industry associations.HDE Online Monitor 2023,p.6.12 Shares of assortment-related turnover in the non-food segment 2023 Figures in%Clothing/textiles(excluding shoes)Shoes/leather goods Watches/Jewellery Electrical/consumer electronics Mu

331、ltimedia/photography/optics Books/stationery Toys/Sports/Camping DIY/garden centres Car supplies/pet supplies Furniture/household and home textiles Household goods/other consumer goods OtherSource:HDE,bulwiengesa calculations2052156816174435253Another trend identified in the previous year is intensi

332、fying:Marketplace trading is expanding.While all marketplaces still accounted for 50%of online retail turnover in 2022,they will account for about 54%in 2023,with a growing trend.Amazon dominates the action here.Amazons on-line share,which comprises marketplace trading(72%of Amazons total turnover i

333、n Germany)and proprietary trading(28%),now amounts to 60%.An increase of 8.5%compared to the previous year.Other marketplaces,which include providers such as eBay,Zalando,About You,Otto and Kau-fland.de,account for a market share of 11%of total online turnover in Germany3.Temu has been available in Germany since April 2023.Since then,the platform has achieved strong growth and is one of the top on