A recent study by ECC KÖLN, a subsidiary of the prestigious German Institute for Retail Research (IFH KÖLN), paints a compelling picture of a burgeoning trend in German e-commerce: the rapid rise of Asian marketplaces.
Surge in Awareness and Usage
The research reveals a significant increase in brand awareness for Asian marketplaces among German consumers. Over the past year, familiarity with these platforms has jumped from 78% to 91%, indicating a growing comfort level with cross-border online shopping. This is accompanied by a substantial increase in usage, with the number of German consumers actively shopping on Asian marketplaces climbing from 32% to 43%. Interestingly, the trend is even more pronounced among younger demographics – over half (51%) of German consumers aged 18-29 report utilizing Asian online marketplaces.
Social Media as a Key Driver
The study highlights the significant role of social media in driving awareness and user acquisition for Asian marketplaces. Notably, Temu, a subsidiary of PDD Holdings, emerges as a platform with a particularly strong social media presence, frequently encountered by German consumers on these platforms. Temu’s impressive growth in Germany reflects a global trend, but it also draws scrutiny from trade and consumer organizations.
Temu Triples User Base in Germany
ECC KÖLN’s research dives deeper, revealing a remarkable surge in Temu’s user base within Germany. Compared to just 11% last year, a staggering 32% of German consumers have now made purchases on Temu, signifying a threefold increase. Similarly, Shein, another prominent Asian marketplace, has witnessed a significant rise in popularity, with the number of German shoppers increasing from 10% to 22%.
Factors Behind the Allure of Asian Marketplaces
The study attributes the growing popularity of Asian marketplaces to a compelling combination of factors. Competitive pricing strategies, a diverse product range, and a perceived element of entertainment associated with the shopping experience are all identified as key drivers attracting German consumers to these platforms.