What Else Is Worth Knowing About the German Market?
The German market offers a range of significant business opportunities for foreign entrepreneurs who want to reach new customers. Here’s what you should know about this market.
Innovation
Germany holds a leading position in innovation, investing significant resources in research and development. In the Global Innovation Index 2023 ranking, the country ranked 8th (out of 132 countries).
Currency
Germany has been a member of the eurozone since its inception in 1999, ensuring financial stability and eliminating exchange rate risk in transactions with other eurozone countries. The euro, as the world’s second most important currency, guarantees predictability and security for investors.
Excise Tax in Germany
Harmonized taxation principles operate within the European Union, although specific rates differ between member states. In Germany, excise tax covers tobacco products, fuels, alcoholic beverages, and coffee. Additionally, specific national excise taxes apply. National excise taxes are also levied. More information about excise tax: www.zoll.de
Product Requirements
European Union standards apply in Germany. This means that if a product is approved for sale in one country, it can be sold anywhere in the EU. However, it may happen that a given country refuses to sell in certain cases.
Consumer Rights
Consumers in Germany, like throughout the EU, enjoy at least a 2-year legal warranty on purchased goods. During the first 12 months from purchase, if a defect is discovered, the burden of proof lies with the seller to prove that the product was free from defects at the time of sale.
Personal Data Protection
GDPR (General Data Protection Regulation) applies throughout the European Union. In Germany, it operates under the name Datenschutz-Grundverordnung (DSGVO). The German approach to personal data protection is characterized by scrupulousness and restrictiveness, which entrepreneurs operating in this market must consider in their business practices.
E-Commerce Market in Germany
The German e-commerce market is one of the largest in Europe, with a clearly defined hierarchy of leaders. Below are the B2C online stores with the highest net sales in 2022:
- Amazon.de (14.3 billion €) — an undisputed leader with a huge advantage over the competition
- Otto.de (4.5 billion €) — traditional German brand with strong online visibility
- Zalando.de (2.6 billion €) — fashion giant
- MediaMarkt.de (1.8 billion €) — a leader in the consumer electronics category
- Apple.com (1.3 billion €) — premium product sales
- IKEA.com (1.3 billion €) — furniture and interior design
Source: E-Commerce-Markt Deutschland 2023, EHI Retail Institute.
Marketplace Platforms
Analyzing marketplace platform popularity (by number of user visits in December 2023), we observe clear dominance of services such as:
- Amazon.de (53.6%) — controls over half the market
- eBay.de (19.9%) — auction platform with strong position
- Otto.de (4.1%) — successfully combines own store model with marketplace
- Temu.com (3.6%) — dynamically growing marketplace from Asia
- Amazon.com (2.6%) — global Amazon version that’s also popular among Germans
Payment Methods
In 2022, PayPal was decidedly the most frequently chosen payment method, selected by 46% of customers. Invoice-based payments and debit and credit cards are also very popular.
According to the PPRO report (Payment and E-Commerce Report), the main division of payment methods in 2023 was as follows:
- digital wallets: 33%
- bank transfers: 30%
- payment cards: 17%
- other methods: 20% (including cash on delivery: 4%)
E-Commerce Platforms
German sellers most frequently use Shopware software (25.7%). Other solution providers, such as Magento, JTL-Shop, Shopify, and OXID EShop, also have significant market shares.
Mobile Devices
Mobile optimization is absolutely essential for achieving goals in the German e-commerce market. Smartphones have become as popular for online shopping as desktop computers. German consumers expect a smooth shopping experience regardless of the device used. Stores not optimized for smartphones lose potential customers.
Responsive design, fast page loading, and intuitive purchasing process on mobile devices should be a priority for any e-commerce planning expansion into the German market.
SEO in Germany
67 million people use the internet in Germany (2023 data). Google holds a dominant position among search engines, with nearly 90% market share (January 2024-January 2025).
Bing is in second place with 6%, while other search engines like Yandex, Yahoo!, and DuckDuckGo play marginal roles.
This clear Google dominance has significant importance for positioning strategies in Germany.
Website Optimization in Germany
Effective positioning in the German version of Google (Google.de) requires a specialized approach that considers local specifics. Our process begins with a detailed technical SEO audit of the website and an analysis of its current position in German search results.
Based on the collected data, we will develop:
- detailed strategic recommendations adapted to the German market
- comprehensive optimization action plan (site structure, meta tags, content, etc.)
- implementation timeline
Domain Extension
Why should companies planning long-term presence in the German market consider the .de extension?
- Search engines better interpret domains with local extensions and treat them as more appropriate for German users.
- German consumers show higher levels of trust in websites with national domain extensions.
Depending on your strategy and business goals, you can choose between subdomains (e.g., de.yoursite.com) and subdirectories (e.g., yoursite.com/de).
Subdomains may be more readable for users, while subdirectories often better support SEO since all domain authority value is concentrated in one place.
Content Marketing
Entering the German market requires not only content in German but also full localization. Translation alone is insufficient to build trust among German audiences. Localization is a comprehensive content adaptation process that considers cultural, legal, and linguistic market nuances.
Germany prefers precise and factual communication tones, especially in business contexts. In our content, we incorporate local holidays and events such as Oktoberfest or German Unity Day (Tag der Deutschen Einheit). This makes content more authentic and connected to Germany’s cultural context. We avoid generic references and weave in local realities.
Website Optimization in German Google: Keyword Analysis
We will analyze the content, structure, and key phrases of your competitors in Germany. We will perform Content Gap analysis using advanced analytical tools Ahrefs and SEMrush to identify high-potential phrases absent from your current strategy.
Germany has different search trends depending on the region. For local services, we incorporate long-tail phrases specific to individual cities and states (e.g., “restaurants in Munich,” “construction services in Hamburg”) to improve site visibility in local search results.
Our approach to semantic analysis for the German market considers the importance of keywords that may have different interpretations in German depending on context.
Example: The word “Bau” can refer to both the construction process and an abbreviation for Bauhaus University. Google analyzes accompanying words such as “Haus” (house) versus “Weimar” (city associated with Bauhaus) to determine the proper context.
We build semantic clusters covering the full thematic spectrum related to the main topic, e.g., for a mountain bike store: cycling accessories for mountain expeditions, cycling through the Alps on a mountain bike.
Link Building in the German Market
Instead of mass activities, we offer strategic link building from sources that have the greatest impact on domain authority in specific thematic areas.
This process begins with:
- detailed audit of your current link profile
- analysis of link sources from your direct competition
- identification of German industry sites with the highest authority
Based on collected data, we will develop an individual Link Requirement Plan (LRP) — a comprehensive link building strategy.
Comprehensive Approach to Link Building
Our link building activities are based on three pillars:
- Strategic SEO
- Relations with German sites (Outreach)
- Culturally adapted Content Marketing
Additionally, as part of our comprehensive approach, we offer:
- Advanced internal link management on your site
- Strategy for taking over competitors’ broken links
- Regular monitoring and reporting of all activity results
Why Choose Us for SEO in Germany?
Services Tailored to Your Company’s Goals
Our offer will consist only of services that respond to your business needs.
Cooperation With Local Expert
We have over a decade of experience in international SEO, and additionally, we collaborate with a local expert in Germany.
Direct Communication With SEO Specialist
You will have contact with the specialist who leads your project without any intermediaries.
Transparency
The entire SEO process and our activities are transparent, including access to real-time results.