263 euros – this is how much money people in Germany would like to spend on Christmas presents on average. This comes from a YouGov survey. One might think that the prospects for trade are good. However, Christmas business is not really getting off the ground so far. The industry is not only struggling with consumer reluctance, but also with the fact that many people are spending their money elsewhere. Asian portals in particular are taking sales away from retailers, as several studies show:
One in five buys Christmas presents from Temu, Shein & Co.
According to YouGov, a good one in eight people in Germany (12 percent) have already bought Christmas presents from Temu, Shein or AliExpress. Almost one in ten (9 percent) still plans to do this. Fashion, Christmas decorations, toys and household goods are particularly in demand. Half of the buyers spend up to 100 euros on the portals, another quarter spend between 100 and 199 euros, and 14 percent spend more.
Sales of up to one billion euros
The German Trade Association (HDE) estimates that Temu and Shein will achieve sales of up to one billion euros in this country in November and December. “Dealers in Germany are missing out on these sales,” says Managing Director Stefan Genth. Every lost euro leaves a mark, as Christmas business determines the success of the financial year.
In total, the association expects sales of 126 billion euros in the two months – adjusted for inflation, that would be about the same as the previous year. The weeks leading up to Christmas Eve are the most important of the year for the industry, but many companies are expecting weak business. According to a retailer survey by the HDE, only one in ten expects the Christmas business to be better than last year. Every second person expects things to get worse.
Fashion industry particularly affected
“Temu and Shein put a particular strain on fashion retailers that operate in the comparable price segment, i.e. primarily price-oriented formats, but also medium-priced fashion houses,” says Axel Augustin, managing director of the BTE industry association. The association estimates that the industry will lose over three billion euros in sales this year because of the Asian shops. This is particularly painful during the Christmas season, says Augustin. The fashion industry has been struggling with weak demand for a long time.
Discount campaigns lose their appeal
How great the appeal of Temu, Shein & Co. is can also be seen around Black Friday. According to a study by the retail research institute IFH Cologne, the discount days at the end of November are increasingly losing their appeal for many customers. One in three people say this in a survey, and even one in two among younger people. Some consumers consciously forego the promotional days. One reason: Asian shops offer low prices all year round. 23 percent of those surveyed say this, and even more among younger people.
Price consciousness versus concerns
How can the success of Asian online platforms be explained? The Christmas season is once again heavily influenced by saving. According to a survey by management consultancy Oliver Wyman, 39 percent of consumers want to spend less on Christmas shopping.
Temu and Shein particularly score points with their low prices, says Ralf Deckers from IFH Cologne. The portals also offer products that are difficult to find in this country. According to a YouGov survey, consumers shop there because they find a huge selection (71 percent), take advantage of regular discounts (54 percent) and enjoy browsing (44 percent).
The reservations are evident in the reasons given by people for not ordering there. 45 percent doubt the quality, 41 percent worry about their health. 32 percent complain about a lack of safety standards, 27 percent mention ethical concerns such as working conditions or the environment. 23 percent want to support local retailers, 19 percent fear the risk of plagiarism and counterfeiting.
Rainer Münch, retail expert at Oliver Wyman, says: “Despite all the criticism, Temu and Shein have firmly established themselves as shopping destinations for consumers in Germany.” For many, the price-performance ratio is unbeatable.
Asian portals continue to grow
The large Asian providers Temu, Shein and AliExpress have significantly expanded their business, as figures from the e-commerce association Bevh show. The three companies achieved a combined turnover of over 800 million euros per quarter in Germany in 2025 – significantly more than in the previous year’s periods. Their market share in German online retail is now around five percent.
According to HDE, around 400,000 parcels are sent from Shein and Temu to Germany every day. The association complains about poor product quality and unfair competition conditions. He calls for stricter regulation, stricter controls and more staff for customs.
The number of retail bankruptcies is increasing
The German retail sector is in crisis, and the situation has recently worsened. From August 2024 to August 2025, Allianz Trade registered 2,490 insolvencies – the highest number since October 2016. “The meteoric rise” of Asian portals is enormously increasing the competitive pressure on local retailers and has contributed to the increase in insolvencies, says industry expert Guillaume Dejean.