Nonfood discounters such as Action, TEDi, and KiK are becoming an increasingly relevant part of everyday shopping behavior in Germany — particularly among younger consumers. This is one of the key findings of the latest “Trend Check Handel” by ECC Köln, which highlights shifting purchasing patterns and growing competitive pressure within the retail sector.
Strong Growth—Driven by Younger Target Groups
The study shows that 23% of consumers in Germany report shopping more frequently at nonfood discounters over the past two years. Among younger consumers aged 18 to 29, this figure rises significantly to 45%, indicating a pronounced generational shift in shopping preferences.
At the same time, the format still offers further growth potential:
27% of non-users say they can imagine shopping at nonfood discounters in the future.
High Awareness, Differentiated Usage
Brand awareness of key players is already very high across the market.
- KiK reaches 95% awareness, followed by TEDi and Woolworth
- Around 65% of consumers have already shopped at KiK and TEDi
However, usage patterns differ by age group. While KiK and Woolworth show broader reach across the population, younger consumers increasingly prefer TEDi and Action (both 64%), pointing to a shift in brand relevance within the segment.
In terms of product categories, demand is concentrated on:
- decoration items (57%)
- stationery and toys (54%)
- household goods (44%)
Younger shoppers also show above-average interest in DIY products (57%).
Impact on Retail Locations and Formats
The growing popularity of nonfood discounters is beginning to affect other retail channels.
According to the study:
- 38% of consumers say purchases at nonfood discounters replace trips to city centers
- among younger consumers, this rises to 55%
In addition, traditional specialist retailers are increasingly under pressure.
In categories such as DIY, seasonal goods, decoration, and stationery, nonfood discounters are already perceived as a viable alternative to specialist stores.
This suggests a structural shift in how consumers approach low-involvement and price-sensitive categories—moving away from curated specialist formats toward convenience and price-driven retail.
Competitive Pressure from Online Platforms
At the same time, the study highlights that nonfood discounters themselves are facing growing competition from international online platforms.
- 23% of consumers
- and 48% of younger shoppers
report purchasing products via platforms such as Temu that they previously bought from nonfood discounters.
This indicates that the competitive pressure within value-oriented retail is intensifying—not only between physical formats, but increasingly between physical and digital low-cost channels.
Moderate Marketing Reach With Digital Differences
Despite their growing importance, marketing visibility for nonfood discounters remains relatively moderate.
- 31% of consumers recall advertising from Action and KiK
- TEDi reaches 26%, Woolworth 17%
Channel effectiveness varies:
- TEDi performs strongest with traditional leaflets (17%)
- KiK shows higher visibility via TV (14%)
- Action stands out in social media, particularly Instagram (10%) and YouTube (8%)
Other players have yet to build comparable digital reach.
Implications for Retail Real Estate
The findings point to broader implications for retail locations and tenant structures:
- Increased pressure on inner-city retail, particularly in nonfood categories
- Further challenges for specialist retailers, especially in price-sensitive segments
- Growing relevance of discounter formats as frequency drivers in retail parks and secondary locations
At the same time, the rise of ultra-low-cost online platforms suggests that even successful physical discount formats are not immune to disruption.
A Format on the Rise
Nonfood discounters are clearly gaining importance in everyday retail behavior, particularly among younger consumers. However, their growth is taking place within an increasingly competitive environment shaped by digital platforms and changing consumption patterns.
For the retail sector—and retail real estate in particular—the development highlights an ongoing shift:
value-driven formats are expanding their role, while traditional retail structures continue to come under pressure.
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