German Retail Sales Fall More Than Expected

Germany’s retail sales shrank 0.9% month-on-month in January 2026, missing market expectations for a milder 0.2% drop and shifting from an upwardly revised 1.2% rise in the previous month. The pullback was largely driven by a 1.7% decline in non-food sales, suggesting households turned more cautious at the start of the year. Food sales were flat, indicating stable demand for essentials, while online and mail-order sales increased 2.5%, pointing to continued strength in e-commerce despite broader weakness. On an annual basis, retail trade rose 1.2%, easing from an upwardly revised 2.5% gain in December, which had marked the strongest pace in five months. In 2025, retail sales were up 2.7%.

Germany’s retail sales edged up 0.1% month-on-month in December 2025, beating market expectations for a 0.2% decline and reversing a marginally revised 0.5% drop in the previous month, pointing to tentative resilience in consumer spending toward year-end. Growth was driven by a 2.5% rise in food sales and a modest 0.7% increase in non-food sales. In contrast, online and mail-order sales fell 2.3%, indicating weaker discretionary demand in digital channels. On an annual basis, retail trade expanded 1.5%, accelerating from an upwardly revised 1.3% gain in November and marking the fastest pace in five months. For the full year, retail sales increased 2.7%, underscoring a gradual recovery despite a challenging economic backdrop.

Germany’s retail sales shrank 0.6% month-on-month in November 2025, missing market expectations for a 0.2% increase and reversing an upwardly revised 0.3% gain in the previous month. It was the first monthly decline since August, driven largely by a 1.9% drop in food sales. In contrast, non-food sales edged up 0.3%, while online and mail-order businesses rose 0.9%. On an annual basis, retail trade increased 1.1%, easing from an upwardly revised 1.6% growth in October. For 2025, retail sales rose 2.4%, according to preliminary estimates.