The German retail sector showed initial signs of recovery in the third quarter of 2024: Non-food retail recorded real year-on-year sales growth for the first time in two years. Consumer sentiment also improved slightly ahead of the pre-Christmas period.
Nevertheless, the situation remains tense – there is still a reluctance to buy, particularly when it comes to larger purchases. The German Retail Association has therefore revised its annual forecast downwards. Our experts analyze the reasons in the current KPMG Retail Sales Monitor. Together with the EHI Retail Institute, we examine market developments in the retail sector on a quarterly basis: from the economy and sales in sub-segments to mail order and online retail.
The focus of the current issue is on climate protection in the retail sector.
Key findings of our analysis at a glance
- Climate targets and sustainability reporting: Two thirds of retail companies in German-speaking countries have defined specific climate targets, mostly with a focus on greenhouse gas neutrality. 76 percent of retail companies already voluntarily prepare sustainability reports and 79 percent will have to report in accordance with CSRD in the future.
- CO₂ accounting and challenges: Most retailers use the Greenhouse Gas Protocol for accounting (Scopes 1-3), but data gaps, especially for Scope 3 emissions, are a problem. A lack of primary data and inadequate infrastructure make comprehensive and valid accounting difficult.
- Sustainable store planning and energy efficiency: Sustainability is promoted in shopfitting through durable, recyclable materials and energy efficiency measures such as LED lighting. To reduce energy consumption, retailers are investing huge sums in energy efficiency and energy-related renovations.
- Sustainable logistics and returns management: Electrified and hydrogen-powered vehicles are key approaches to decarbonizing the transport sector. Environmentally friendly shipping packaging is increasingly being used in e-commerce, but cost pressure remains an obstacle. Sustainable solutions are increasingly being sought in dealing with returns (e.g. donations or recycling).
As usual, the KPMG Retail Sales Monitor provides you with a detailed overview of all the sector's key figures.
Stephan Fetsch
Partner, Deal Advisory, EMA und German Head of Retail & Consumer Goods
KPMG AG Wirtschaftsprüfungsgesellschaft
