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Report 05 Nov 2025

Retail & Wholesale - InSight Analysis - Germany

The German retail & wholesale market in 2025 remains competitive but under pressure from weak consumer demand, rising costs, and rapid digital transformation. Valued at around €677 billion, the sector’s growth is driven mainly by e-commerce, AI, and cloud adoption.

Key trends

• E-commerce Expansion – Online sales exceed 13% of total turnover, supported by smartphone-driven and omnichannel experiences.
• AI Integration – Retailers use AI for pricing, forecasting, and personalization, increasing efficiency and loyalty.
• Cloud Modernization – Cloud platforms form the digital backbone of retail, enabling real-time analytics, automation, and seamless data integration.
• Customer Experience (CX) – CX now starts with back-end processes like pricing and product lifecycle management, extending to personalized services and omnichannel fulfillment.

Growth drivers

• Artificial Intelligence – powering dynamic pricing, automation, and predictive insights.
• Cloud Computing – improving scalability, agility, and collaboration.
• Data & Analytics – enabling unified commerce and real-time decision-making.

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Jennifer Jonat

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