Selling in the DACH region

GCVB supports companies with their international marketing, i.e. export communications in the DACH region. We are proud to be one of few agencies that have both the mindset and the professional experience to think “DACH” when we design integrated strategies & campaigns, or create content. 

But what is the DACH region? And why is it significant for your export strategy and international marketing?

DACH markets: 100 million inhabitants with purchasing power

Are you an export-oriented business? If you are selling goods to the European markets, then you have likely also considered selling products and services to German consumers and companies. After all, it’s the wealthiest mass market on the continent. But how about the DACH markets? 

The acronym DACH stands for Germany (D), Austria (A) and Switzerland (CH), a region with more than 100 million inhabitants that have similar values, interests, ideals and beliefs, albeit not being alike. 

The annual average purchasing power in Germany and Austria is roughly EUR 24,000 per person. In Switzerland it is 42,000 EUR, due to considerably higher costs of living.

All DACH countries have a good infrastructure, a well educated workforce, and, despite its speed, a digital infrastructure that does connect consumers with the internet. 

Great business opportunities in the DACH markets

According to the International Trade Administration of the U.S. Department of Commerce, “the volume of trade, number of consumers, and Germany’s geographic location at the center of the European Union make it a cornerstone around which many U.S. firms seek to build their European and worldwide expansion strategies.” 

Also, Germany is an excellent market for SMEs, regardless of whether you’re selling directly to the consumer market or focus on B2B. 

The Department for International Trade (UK) emphasizes the long-term potential that Germany offers and the great opportunities for businesses with innovative quality products. 

Brand loyalty and mix-shopping attitude in DACH land

Importantly, brand loyalty is very high in Germany. Recent surveys have found that approx. 57 million consumers stick to their brands, once they are convinced of them.

The markets in Austria and Switzerland are similar to that of Germany. Here too, consumers welcome innovative products and appreciate quality at an affordable price. Pricing, though, is a question of attitude. 

Most consumers have acquired a mix-shopping attitude, which enables them to buy some goods at a higher price, while the bulk of their shopping cart is filled with less expensive products. 

However, there is also an emerging trend among younger age groups to shop fewer goods/services but with higher (personally perceived) quality. This includes FMCG, fashion, electronics, but also travel and leisure.

Digital opportunities in Germany

Always online:

Germans love the internet. They dedicate 5 hrs and 26 min per day to engage in online activities. In total and on average, all German consumers (16-64) produce 17.3 billion minutes of online opportunities every day.

And a typical social media day in Germany has around 4.5 billion minutes. That’s the time all German consumers (16 to 64) spend on social channels.  

That’s a lot of time to engage with them.

Reaching customers in the DACH markets

To sell your products in Germany and the other DACH markets you need a sound entry strategy, which could be based on a physical presence in Germany, or exports. 

Communications play a crucial role in your strategy: you need to be visible, convince consumers, and grow sales in DACH land.

GCVB is an online marketing agency for DACH markets that was founded to support brands in the region. Whether it’s pathfinder marketing to explore consumer interest, content strategy & creation, digital marketing, media relations, or support for empowering your regional communications network, our knowledge will help you succeed in the DACH region. 

The following authorities can support you on your way to the DACH region.

Selling in Germany / exporting to Germany:

Department of Commerce (U.S.) with advice on key markets opportunities, entry strategies, technical requirements for products

Department for International Trade (UK) with a detailed view on opportunities for various industries

Enterprise Ireland with a thorough report on Exporting to Germany from Ireland

Federal German Government (DE) with 5 reasons to set up a business in Germany

Les opportunités d’affaires en Allemagne:

Business France with interesting facts and articles for French SMEs and Startups

Gouvernement du Canada with info for Canadian businesses that want to do business in Germany

Säljer varor i Tyskland:

Regeringskansliet (SE) with further links to other institutions 

Business Sweden with information on setting up your business in Germany

Stats & info from the private sector

Santander Trade (interesting overview but not always precise in all detail)

Société Générale has a good market overview with consumer behavior etc.