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Clothing Retailers in Germany - Market Research Report (2015-2030)

Nina Koefler Nina Koefler Frankfurt, Germany Last Updated: June 2025 WZ G47.71DE

Revenue

€39.6bn

2025

€39.6bn

Past 5-Year Growth

Profit

€X.Xbn

Employees

288k

Businesses

17,840

Wages

€X.Xbn

Clothing Retailers in Germany industry analysis

The massive price increases for energy and cotton led to higher sales prices in the clothing retail sector, which favoured the sector-specific sales trend. However, the consumer climate, which deteriorated significantly as a result of the energy crisis and concerns about inflation and recession, recently led to reduced demand and sales in the retail sector. However, the slump in sales was not felt equally by all industry players. While some companies, particularly large sector players, posted record sales, other, smaller sector players were forced to close their businesses due to the sharp rise in costs and competitive pressure from online retail. Overall, industry turnover has risen by an average of 0.6% per year over the last five years.Industry turnover is expected to increase by 0.8% to 39.6 billion euros in 2025. More than half of the companies in the sector expect sales to remain stable or increase slightly in the current year. However, the general reluctance of customers to spend is likely to improve only gradually. Consumers are likely to increase their fashion consumption only slightly compared to the previous year, despite easing inflation and rising real wages. At the same time, increasing bureaucracy and the high cost of energy, rents and labour are the biggest concerns for clothing retailers and have recently led to volatile profit margins. In this environment, many retailers will focus primarily on increasing their returns. The most important measures are improvements in merchandise management and markdown management. The focus is also on expanding digital marketing concepts as well as staff training and motivation.The rapid growth of online retail will force many bricks-and-mortar retailers to close their shops in the future, or they will be bought out. In addition, the existing pressure on industry players is increasing further due to intense price competition from textile discounters. At the same time, environmental awareness and the need to slow down the fast fashion industry through mindful and resource-conserving consumption are on the rise in society. The new value paradigm is making circular fashion and topics such as recycling, second-hand and environmentally friendly production more relevant. In this context, industry turnover is expected to increase by an average of 1.4% per year to 42.5 billion euros over the next five years up to 2030.

Trends and Insights

  • In recent years, online retail has increasingly taken market share from bricks-and-mortar clothing retailers. One of the main reasons for this was the pandemic-related shop closures and the digitalisation push taking place in society.
  • Womenswear is the top-selling product segment in the industry. Women expect fashion retailers to adapt their products to the latest trends in the shortest possible time and value customised products.
  • Clothing retailers prefer to locate in densely populated areas with a lot of footfall. This is why the centre and south regions have the most businesses in the sector.
  • The competition in the industry is fierce The industry players compete with local, regional, national and international fashion retailers as well as with online-only retailers.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 0.6 % over the past five years, to reach an estimated €39.6bn in 2025.

Trends and Insights

The industry is undergoing structural change, which has been accelerated by the coronavirus pandemic

  • Even before 2020, there was a shift from bricks-and-mortar to online retail. The number of bricks-and-mortar clothing retailers has fallen continuously, and almost all well-known retailers have now established an online presence.
  • Additional trends and insights available with purchase
Clothing Retailers in Germany
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Sustainability is becoming a key customer requirement in the retail sector

  • Sustainability aspects are becoming increasingly important, especially in the textile and clothing industry, as the entire value chain involves many socially controversial activities, such as high resource consumption and chemical use, poor working conditions and high levels of textile waste. The fast fashion sector in particular has been heavily criticised for years, as the rapid succession of collections leads to enormous overproduction and an immense amount of textile waste. The more manufacturers, suppliers and intermediaries there are upstream, the more difficult it is to guarantee uniform quality standards.

Biggest companies in the Clothing Retailers in Germany

Company
Market Share (%)
2025
Revenue (€m)
2025
H&M Hennes & Mauritz AB
2,946.6
C&A Mode GmbH & Co. KG
1,889.0
TJX Deutschland Ltd. & Co. KG
1,532.4

To view the market share and analysis for all 7 top companies in this industry, view purchase options.

Products & Services Segmentation

Clothing Retailers in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Women's clothing, Menswear and Baby and children's clothing. Women's clothing is the largest segment of the Clothing Retailers in Germany.

Trends and Insights

In the top-selling product segment, womenswear, customised garments are in demand

  • The clothing in this segment includes tops such as blouses, shirts, tops and jumpers, as well as bottoms such as jeans and skirts. There are also dresses, jackets, coats and underwear.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This industry comprises the retail of various clothing items, including primarily outerwear and lingerie, but also fur products and accessories such as belts, ties and scarves. Textiles, shoes and leather goods are not included in this definition. In addition, only companies specialising in clothing retail and retail that primarily takes place in stores are included in this sector.

What's included in this industry?

Products and services covered in the Clothing Retailers industry in Germany include Women's clothing, Menswear, Baby and children's clothing and Accessories.

Companies

Companies covered in the Clothing Retailers industry in Germany include H&M Hennes & Mauritz AB, C&A Mode GmbH & Co. KG and TJX Deutschland Ltd. & Co. KG.

Purchase this report to view all 7 major companies in this industry.

Related Terms

Related terms covered in the Clothing Retailers industry in Germany include fast fashion, multichannel and online/internet pure player.

Industry Code

WZ 2008

WZ 47.71 - Clothing Retailers in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

In recent years, online retail has increasingly taken market share from bricks-and-mortar clothing retailers. One of the main reasons for this was the pandemic-related shop c...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Womenswear is the top-selling product segment in the industry. Women expect fashion retailers to adapt their products to the latest trends in the shortest possible time and v...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Clothing retailers prefer to locate in densely populated areas with a lot of footfall. This is why the centre and south regions have the most businesses in the sector.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The competition in the industry is fierce The industry players compete with local, regional, national and international fashion retailers as well as with online-only retailers...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

H&M's sales are affected by risks arising from collection selection and unpredictable weather patterns. A collection that is unpopular with customers can be difficult to remo...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of H&M Hennes & Mauritz AB's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of C&A Mode GmbH & Co. KG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of TJX Deutschland Ltd. & Co. KG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for 4 additional companies

Detailed analysis

  • Description and key data for H&M Hennes & Mauritz AB, and factors influencing its performance in the industry
  • Description and key data for C&A Mode GmbH & Co. KG, and factors influencing its performance in the industry
  • Description and key data for TJX Deutschland Ltd. & Co. KG, and factors influencing its performance in the industry
  • Description, key data and performance trends for 4 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Under the Supply Chain Due Diligence Act, large industry players with at least 3,000 employees are obliged to check whether their suppliers are complying with human rights and...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Personnel costs have risen in recent years. Staff costs are high due to the industry's focus on consulting and sales. With falling turnover, it is often difficult to make sav...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Clothing Retailers industry in Germany in 2025?

The market size of the Clothing Retailers industry in Germany is €39.6bn in 2025.

How many businesses are there in the Clothing Retailers industry in Germany in 2025?

There are 17,840 businesses in the Clothing Retailers industry in Germany, which has declined at a CAGR of 3.5 % between 2020 and 2025.

How may import tariffs affect the Clothing Retailers industry in Germany?

The Clothing Retailers industry in Germany is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Clothing Retailers industry in Germany?

The Clothing Retailers industry in Germany is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Clothing Retailers industry in Germany grown or declined over the past 5 years?

The market size of the Clothing Retailers industry in Germany has been growing at a CAGR of 0.6 % between 2020 and 2025.

What is the forecast growth of the Clothing Retailers industry in Germany over the next 5 years?

Over the next five years, the Clothing Retailers industry in Germany is expected to grow.

What are the biggest companies in the Clothing Retailers industry in Germany?

The biggest companies operating in the Clothing Retailers industry in Germany are H&M Hennes & Mauritz AB, C&A Mode GmbH & Co. KG and TJX Deutschland Ltd. & Co. KG

What does the Clothing Retailers industry in Germany include?

Women's clothing and Menswear are part of the Clothing Retailers industry in Germany.

Which companies have the highest market share in the Clothing Retailers industry in Germany?

The company holding the most market share in the Clothing Retailers industry in Germany is H&M Hennes & Mauritz AB.

How competitive is the Clothing Retailers industry in Germany?

The level of competition is high and steady in the Clothing Retailers industry in Germany.

Related Industries

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Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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