Key indicators

Population: 83.24m.

Population 15+: 53.27m

Online Population:  79.91m

Currency: EUR (EURO)

GDP: 3846.41bn USD

GDP per Capita: 45 723.64 USD

Payment methods:

-Cash    -Girocard/debit cards    -Credit cards    -Bank transfers    - E-payment methods    -Other

Which payment method do German consumers prefer to use when shopping online?

A lot of Germans adjusted their payment behavior during the coronavirus pandemic. 2020 was a boost in usage of non-cash payment methods in day-to-day spending, particularly сards. Nationals have paid 30% occasions with a card, and this is 9% points higher than in 2017. The share of cash payments in 2020 was 60% against 74% three years ago.

AS for E-payment methods one of the most frequently used by Germans is Paypal, it is a leading e-payment method for online purchases with 44% of shares of all electronic payment options.

The most high-cost transactions were processed through giropay, which gives it 48% of the share in terms of the payment value. At the same time, small amounts (up to 20 EUR) are still popular to be paid in cash. Also in Germany, there is an almost identical split between card schemes. MasterCard has a bit greater share at 51.9%, while Visa has 48,1% of the share.

With bank transfers payment method for Germany, there are two mostly used options it is SEPA direct debit and Sofort.

Market Overview

E-commerce in Germany is gaining popularity as the User Experience is among the convenience of using cashless payment methods. The purchasing process is efficient, and the buyers are able to pay in different ways.
Germany is certainly one of the biggest e-commerce markets in the European Union and is an attractive platform for international e-commerce owners. Although Germany’s e-commerce market is predicted to be stable for the next couple of years, it still has huge opportunities for business development.
In 2020 size of the e-commerce market has reached 73bn EUR, and this number is not surprising as 83% of Germans buy online at least once a year. Fraud in e-commerce in the country is the same as the average across European Union -2% of online buyers suffer fraud. As the average rate is positive It's still worth thinking about precautions, like 3D Secure.

Kindly contact your Account Manager if you would like to enter the German market.