Consumer preferences in Germany scrutinized: fresh findings from Toluna's sentiment tracking revels the significance of price and origin to German purchasers.
Revised Article
Let's dive into consumer habits in Germany, going by the latest insights from Toluna's Sentiment Tracker. We're keeping an eye on how inflation, politics, and economic instability shape consumer attitudes and choices.
Price vs. Origin: What Win's the Race?
We've been pondering over consumers' preferences in choosing between a product's origin and its price, from food to tech gadgets. The lowdown? Almost 80% of consumers put price above product origin.
But there's a twist! As we delve into age groups:
- Boomers, though price-focused, see a sizable group valuing origins.
- Gen Z, the price warriors, care less about origins.
Where Are People Spending More (& Less)?
Consumer expenses are on the rise, inflation being the main culprit. As we follow the money, here's what it's going towards and steering clear of:
Hiking expenses include:
- Food
- Housing/Mortgage
- Household goods
Decreasing expenditures:
- Eating out
- Fashion & Clothing
- Consuming alcohol outside home
To make ends meet, folks are resorting to:
- Cutting non-essentials (Gen X & Boomers stand out)
- Switching to cheaper brands & store brands
- Using vouchers, coupons, loyalty programs, and apps (Gen Z rules!)
Bargain Hunters Galore!
Nearly one-third of consumers are hopping onto deals, particularly Gen Z. Top picks? Loyal card discounts, point systems (Boomers), and store discount apps. This gives retailers a prime shot at luring long-term customers.
Plus, consumers yearn for better transparency in pricing. They'd rather tolerate openly communicated price boosts rather than shrinkflation.
Anxiety Over a Recession Eases... A Tad!
Fear of an economic downturn is easing slightly, while the joy of consumption is rising. What's making consumers beam?
- Lower inflation
- Attractive discount campaigns
- Renewed faith in the economic development under Chancellor Merz
US Tariffs: Impact Minimal, Perception Skyrocketing!
While the direct impact of US tariffs is minimal, 60% of consumers say they are now less likely to buy US brands. Even though origin may not trump price for most consumers, domestic brands can beat US brands with their regional charm, especially among origin-keen Boomers.
Approximately 20% express deep concerns about the impact of US tariffs on their investments, pensions, or savings.
Note-worthy:
- Boomers remain chill.
- Gen X & Millennials worry the most.
- Families with children feel the pinch the most, likely due to daily financial burdens.
What's Next for Businesses?
Businesses must master pricing agility and offers to succeed. Gift cards, markdowns, and promotional deals can stir consumer excitement and foster brand loyalty in this price-conscious environment. Regionality and transparency can score solutions that stand head and shoulders above in these uncertain times. Quality or innovation alone won't keep brands afloat; they need to strategize situational purchase incentives.
Claudia Gelbe, Managing Director DACH at Toluna, chimes in, "Swift insights enable brands to react faster to shifting moods and demands."
Got questions? Drop us a line; we'll send you the entire survey report!
Sources: Toluna Sentiment Tracker May 2025, Germany n=1,000 Nat. rep. Sample, by age (18+), gender, and regionContact: [email protected]
Content by: Toluna Germany GmbH, transmitted via news aktuell
- In the realm of finance, businesses must adapt to the price-focused consumer market in Germany, leveraging promotional deals and discounts to foster brand loyalty, as revealed by the Toluna Sentiment Tracker.
- When it comes to technology, the preference for domestic brands over US brands among origin-conscious consumers, particularly Boomers, suggests a potential opportunity for German tech companies in these economically uncertain times.
