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Organic Food Retailing in Germany - Market Research Report (2014-2029)

Melanie Katz Melanie Katz Frankfurt, Germany Last Updated: September 2024 WZ G47.27DE

Revenue

€4.2bn

2024

€4.2bn

Past 5-Year Growth

Profit

€XXX.Xm

Employees

48,375

Businesses

1,296

Wages

€XXX.Xm

Organic Food Retailing in Germany industry analysis

Both large organic supermarket chains and small specialist retailers are represented in the organic food retail sector. In recent years, the leading industry players have responded to the increasing demand for healthy and sustainable food and have continuously expanded their store network. Nevertheless, industry sales fell by an average of 1.3% per year in the period from 2019 to 2024. After the sector recorded significant, steadily accelerating sales growth until 2020, sales at organic supermarkets declined between 2021 and 2023. In addition to the easing of infection control measures for catering and leisure activities, which has increased competition for retailers in the food supply sector, the main reason for this is the significant increase in food prices, which has had a negative impact on sales since 2022. IBISWorld expects sales to grow by 2.5% to 4.2 billion euros in 2024.In addition to consumer trends and household income, the willingness to spend is also of crucial importance for the demand for the products of industry players. The drastic rise in energy prices as a result of the war in Ukraine has triggered high inflation, which is having a negative impact on the consumer climate and consumers' willingness to spend. As a result, there is less demand for expensive products such as organic produce from specialist retailers. At the same time, urbanisation and the strong branchisation of organic supermarkets should prevent a more significant decline in sales. Thanks to the dense branch network, enough customers can still be reached, especially in urban areas, who can still afford to shop in a specialised shop or simply continue to shop there due to the proximity to a shop despite the price increases.Demand for healthy and sustainable products is expected to continue to rise until 2029, helping the industry to achieve average annual sales growth of 2% during this period. This means that industry turnover is expected to reach 4.6 billion euros in 2029. This positive trend is likely to prompt leading industry players to further expand their branch network, which is why the number of branch businesses is expected to continue to rise.

Trends and Insights

  • The number of organic food producers has recently increased significantly. Organic supermarkets often source their goods from the local area, as their customers value short transport routes and support for regional businesses.
  • Fresh produce accounts for around half of organic supermarket sales. This includes fruit and vegetables, meat, fish and dairy products, eggs and baked goods such as fresh bread, rolls and pastries.
  • Most organic supermarkets and specialist organic shops can be found in the centre region, where the majority of the German population lives, which is why there are so many potential customers there.
  • Conventional supermarkets and discounters also stock organic products. These are usually sold at lower prices than the goods from organic supermarkets. As a result, many price-conscious consumers tend to buy organic products from conventional food retailers rather than from specialist organic retailers.

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  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has declined at a CAGR of 1.3 % over the past five years, to reach an estimated €4.2bn in 2024.

Trends and Insights

The number of producers and farmers specialising in organic products is increasing

  • Manufacturers and farmers who sell their products directly to retailers are important suppliers to the industry. Organic supermarkets often source fruit and vegetables directly from local farms, as their customers value short transport routes and support for regional businesses.
  • Additional trends and insights available with purchase
Organic Food Retailing in Germany
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

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

Trends and Insights

Biggest companies in the Organic Food Retailing in Germany

Company
Market Share (%)
2024
Revenue (€m)
2024
Dennree GmbH
848.2
Alnatura Beteiligungs GmbH
576.2
Bio Company SE
210.1

To view the market share and analysis for all 4 top companies in this industry, view purchase options.

Products & Services Segmentation

Organic Food Retailing in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Fresh products, Packaged goods and Drinks. Fresh products is the largest segment of the Organic Food Retailing in Germany.

Trends and Insights

Fresh produce often comes from the region

  • In addition to fruit and vegetables, the fresh food segment also includes meat, fish and dairy products, eggs and baked goods such as fresh bread, rolls and pastries.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This sector includes supermarkets and specialist shops that specialise in the retail of organic food and other sustainably produced products. However, it does not include wholesalers and retailers that only generate part of their turnover from organic products.

What's included in this industry?

Fresh productsPackaged goodsDrinks

Companies

Dennree GmbHAlnatura Beteiligungs GmbHBio Company SE

Purchase this report to view all 4 major companies in this industry.

Related Terms

ALLERGENESRADIO FREQUENCY IDENTIFICATION (RFID)SB-WARENHAUS

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

The number of organic food producers has recently increased significantly. Organic supermarkets often source their goods from the local area, as their customers value short t...

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 (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • 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

Fresh produce accounts for around half of organic supermarket sales. This includes fruit and vegetables, meat, fish and dairy products, eggs and baked goods such as fresh bre...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

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

Most organic supermarkets and specialist organic shops can be found in the centre region, where the majority of the German population lives, which is why there are so many pot...

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 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

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

Conventional supermarkets and discounters also stock organic products. These are usually sold at lower prices than the goods from organic supermarkets. As a result, many pric...

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 2019-2024
  • 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

Dennree GmbH supplies over 1,400 organic markets, natural food shops and farm shops in Germany, Austria, Luxembourg and South Tyrol with organic food and natural cosmetics. A...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Dennree GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Alnatura Beteiligungs GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Bio Company SE's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for one additional company

Detailed analysis

  • Description and key data for Dennree GmbH, and factors influencing its performance in the industry
  • Description and key data for Alnatura Beteiligungs GmbH, and factors influencing its performance in the industry
  • Description and key data for Bio Company SE, and factors influencing its performance in the industry
  • Description, key data and performance trends for one additional company

External Environment

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

Analyst insights

Increasing health awareness is benefiting organic supermarkets. More and more consumers are making sure that the food they buy contains no or fewer chemicals and additives or...

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 (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

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

The profit margin in the organic supermarket sector has recently been subject to some fluctuations. Sales and profits rose significantly during the pandemic, while the inflat...

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 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

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 (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

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

What is the market size of the Organic Food Retailing industry in Germany in 2024?

The market size of the Organic Food Retailing industry in Germany is €4.2bn in 2024.

How many businesses are there in the Organic Food Retailing in Germany industry in 2024?

There are 1,296 businesses in the Organic Food Retailing industry in Germany, which has declined at a CAGR of 1.0 % between 2019 and 2024.

Has the Organic Food Retailing industry in Germany grown or declined over the past 5 years?

The market size of the Organic Food Retailing industry in Germany has been declining at a CAGR of 1.3 % between 2019 and 2024.

What is the forecast growth of the Organic Food Retailing industry in Germany over the next 5 years?

Over the next five years, the Organic Food Retailing industry in Germany is expected to grow.

What are the biggest companies in the Organic Food Retailing market in Germany?

The biggest companies operating in the Organic Food Retailing market in Germany are Dennree GmbH, Alnatura Beteiligungs GmbH and Bio Company SE

What does the Organic Food Retailing in Germany include?

Fresh products and Packaged goods are part of the Organic Food Retailing industry.

Which companies have the highest market share in the Organic Food Retailing in Germany?

The company holding the most market share in Germany is Dennree GmbH.

How competitive is the Organic Food Retailing industry in Germany?

The level of competition is high and increasing in the Organic Food Retailing industry in Germany.

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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.