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SchmidPreisslerConsultants · Innovative Strategic Advice - Research - Analysis - Market Solutions · Established 1961
June 2026
Is Germany Becoming a Kind of Consumer Colony?
Until a few years ago, the domestic market for the German consumer goods industry was sailing in “relatively calm waters.” Sales and revenue for the domestic industry in its home market were as certain as death and taxes. Armed with the “Made in Germany” quality slogan, the industry set out to conquer the world. And, as the automotive industry in particular impressively demonstrated, the strategy seemed to be the right one. Sales volume and revenue grew and grew. “Made for the World” became a marketing concept, and with production facilities around the globe, the world was turned into the new domestic market. The old domestic market became something of a provincial affair, especially since selling there was becoming more difficult anyway—German consumerism in the market for everyday goods had triggered fierce discount wars, and the end of retail was being predicted because no suitable strategies could be found to counter the emerging online trade.
Over time, serious global competition emerged for the German consumer goods industry, most persistently in its very own home market. And instead of defending the home market, production facilities were closed, and marketing and communication were not oriented toward the future—thus throwing open the doors to the strengthened global competition. One industry after another became a loser. The fashion and cosmetics industries, the camera and broadcasting industries, the leather and footwear industries, the home furnishings and furniture industries, and large segments of the luxury goods industry—from chocolate to wine—as well as many other sectors were surrendered without a fight to the active global industry.
What began back then is now the norm: People in Germany today are buying more and more cosmetics from Japan, fashion—depending on quality—from Italy or Asia, electronic devices from China or the U.S., shoes from the U.K., chocolate from Italy or Sweden, wines from France, electric cars from China, and so on. There is hardly a single market leader left in these various industries that serves Germany as its home market. Recently, there has even been talk that traditional German home appliance manufacturers are being displaced by Chinese companies. Why, one might ask, should this be a problem, given that we think and act globally anyway? Let the Japanese lead the German cosmetics market; in return, Germans sell wine from the Rheingau in Tokyo.
We consider this to be concerning and risky because global brands need not only a USP but also a strong DNA. And that includes a heritage that underscores their authenticity. The countries from which global brands originate lend them a special aura that underscores their value. That is why German global brands must turn their home market into their showcase, present themselves there in the best possible light, demonstrate strength, and ensure that they have ardent admirers among the people in their home market.
In the headline, we asked whether Germany is becoming a consumer colony. Our conclusion: If the German consumer goods industry succeeds in thriving at home and works to regain lost ground, Germany will not become a consumer colony. That is what we hope for, because, as mentioned, the German consumer goods industry will then also have a secure place in global marketing. If you’d like to incorporate this exchange of ideas and the comparison of perspectives and assessments into your corporate and marketing strategies, we’d be happy to assist you. Please send us an email at: Diese E-Mail-Adresse ist vor Spambots geschützt! Zur Anzeige muss JavaScript eingeschaltet sein!. We, the SchmidPreisslerBrief team, Christina Schmid-Preissler (B.A. in Economics), Maximiliana Schürrle (B.A. in Social Work), Alexander Schürrle, and Franz M. Schmid-Preissler, look forward to exchanging ideas with you.
Your F. M. Schmid-Preissler
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SchmidPreissler International Strategy Consultants GmbH · Ismaninger Straße 140 · D-81675 München · Tel. +49 89 139 29579
Für den Inhalt verantwortlich (MStG): Franz M. Schmid-Preissler - Anschrift siehe oben