Market Trends of Germany Third-Party Logistics (3PL) Industry
This section covers the major market trends shaping the Germany Third-Party Logistics (3PL) Market according to our research experts:
Growth in the Automotive Sector to Drive the German 3PL Market
The automotive sector is the backbone industry in Germany, and the German automotive sector is a global leader.
Germany is the world's premium car production hub. Of all premium branded vehicles produced globally, 65% are German OEM-manufactured. Of all vehicles produced globally, 40% of vehicles were produced in Europe - of which 23% were made in Germany in 2021. Within Europe, more than 80% are German OEM-badged vehicles - 57% of these vehicles were made in Germany. The western European light vehicle production sector is a predominantly premium sector focused.
German vehicles were mainly exported to European countries. Other leading regions for vehicle export included North and South America, as well as Asia. The list of leading import countries for German motor vehicles included the US, the UK, and China among the top three. The country exports EUR 20-25 billion worth of cars to the US.
Volkswagen, BMW, and Daimler occupy the top three slots, with suppliers including Bosch, Schaffler, and ZF also coming out top internationally. The industry plans to invest EUR 150 billion in digitalization, electric mobility and drive systems, hydrogen technology and transport safety in the coming years.
Increasing Demand for E-commerce Fulfillment Services
The 3PL logistics sector is restless, seeing the growing demand for logistics services generated by the boom and evolution of e-commerce. Germany has one of the largest e-commerce markets in Europe. The number of e-commerce consumers, internet penetration, and the average amount spent per year are all above the European average.
In 2021, total sales amounted to USD 127.5 billion, which translated to a 24% growth compared to 2020. It is expected that the online population in Germany will increase from 62.4 million in 2020 to 68.4 million in 2025. E-commerce penetration in 2021 reached 77% in the German market.
As a result of strict COVID lockdown measures throughout 2020 and 2021, many German consumers increased their online purchases and bought goods like groceries and sanitary items online for the very first time. Key reasons for consumers to shop online include home delivery, 24/7 availability, and convenience.
