Inflation: Food retail records high sales, study shows

The food retail sector in Germany exceeded the 200 billion euro mark in sales in 2023. This was announced by the Cologne-based trade research institute EHI, which is closely related to the trade. According to the report, retailers were able to increase their revenues by almost five percent to 204.5 billion euros in nominal terms compared to 2022. However, adjusted for price increases, they recorded a significant loss, according to the study. The institute's information does not reveal how high the loss actually is.

The changing crises have had a significant impact on purchasing behavior and the success of the individual types of business. Despite the increased prices, supermarkets will only increase their sales by just over four percent in nominal terms in 2023.

Discounter sales in particular are growing

According to the EHI, the largest nominal sales increases were achieved by food discounters such as Aldi and Lidl, with an increase of almost seven percent. “In the tense economic situation, Germans are relying on the price promise of these retailers,” said EHI expert Marco Atzberger.

Discounters make up the largest share of food retail in Germany, at a good 46 percent, while supermarket chains such as Edeka and Rewe make up around 42 percent. The rest is made up of self-service department stores and small grocery stores. According to EHI, there were around 37,000 grocery stores in Germany last year, five percent fewer than in 2013. The latest figures include around 16,000 discounters and more than 12,900 supermarkets. In addition, there are small grocery retailers.

According to the Federal Statistical Office, food prices rose by more than twelve percent last year. Consumer centers criticize the pricing as being non-transparent. Specifically, the consumer centers propose setting up an observatory at the Federal Office for Agriculture and Food.