German retail prices have been adjusted upward without moving, consumer electronics in particular is outrageous

Management consulting firm Oliver Wyman new questionnaire survey, the current German retailers generally have a variety of items, the phenomenon of price increases at every turn, consumer electronics products are particularly outrageous.

Oliver Wyman retail market expert Rainer Münch analyzed the results of a survey of 1,400 consumers between December 2021 and January 2022, and as many as 49% of the consumers surveyed reported that they could not find the products they wanted to buy at retailers. However, nearly half of the consumers were willing to spend money but could not find the products they wanted, which was really unexpected.

Münch said that consumers were expected to give feedback on “shelf shortages,” but almost half of the people could not buy the products they wanted, which was surprising. Many customers said they were willing to spend money, but didn’t find what they wanted to buy.

GfK’s supply chain expert Tatjana Wismeth said that while some manufacturers are not responding seriously to the shortages, overall, the average number of products at almost every retailer is down.

In addition to the shortage of goods, the German retail market prices also showed a greater increase. According to GfK’s calculations, over the past year (January 2021 to November 2021) German consumer electronics prices have increased by an average of about 4%, but some specific categories have seen “double-digit” increases. The largest price increase is for photographic equipment, with an average price increase of 20.1%.

Laptops and computer peripherals are also more expensive, with product price increases of about 15% in 2020 and keyboard prices increasing by 18%. Coffee machine prices will rise by 11% in 2020 and by 7% in 2021. The overall price of household appliances also rose significantly, at 8.7%.

According to Oliver Wyman’s survey, electronics out-of-stocks ranked 40% ahead of all products, followed by food and beverage with 28% out-of-stocks. Toys ranked third, with about 25% of consumers unable to find goods, and 22% of textiles and footwear.

According to GfK data, drones, lamps, audio equipment, projectors, computers, smartphones, etc., all experienced different increases in the German market. The lack of items, exotic goods, fear further aggravate the price increase, consumers buy less and more attention to special promotions are becoming more common.

In the past, the average discount rate of about 20% on old goods. 2020 statistics on average a year ago out of the factory TV, about 20% discount. But in 2021, the average discount on TVs listed a year ago is only 10%.

In terms of supermarket retailing, GfK surveyed that in 2021, on average, one out of every seven product groups will have an average increase of more than 10%. If we look at the second half of 2021, the average price of 9 out of 10 product groups is higher than the price of the same product in the first half of 2021. Prices of basic commodities such as eggs, margarine, potatoes, and toilet paper or kitchen paper rolls rose significantly. Oliver Wyman analyzed that the increase in the price of canned goods should be related to the higher cost of tinplate used to make the cans.

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