Sustainable e-commerce in Germany, Austria, and Switzerland - statistics & facts
In the heterogeneous economies and cultures of the European continent, German-speaking countries – Germany, Austria, and Switzerland – have closely connected consumer markets as well as shared characteristics in terms of language, culture, and lifestyle. The so-called DACH countries – Germany (D), Austria (A), and Switzerland (CH) – count roughly 100 million inhabitants, one-fourth of the total EU population. As in other regions and business sectors, online retail companies in this part of Central Europe are increasingly conscious of sustainability and the growing consumer demand for it.
E-commerce companies rely on distributors and transportation companies whose emissions are difficult to estimate. To give an example, consumer electronics group Ceconomy – owning MediaMarkt and Saturn – has included these third-party emissions in their reported figures only recently. However, the Science-Based Target initiative framework specifically requires retailers to partner almost exclusively with logistics providers also pledging to SBTi-validated targets.
In some cases, consumers can start the change. By paying a small extra fee, they can finance reforestation projects or energy efficiency programs. In only twelve months, online shoppers opting for carbon compensation at checkout on Digitec Galaxus avoided 92,000 metric tons of CO2 emissions. Unfortunately, carbon compensation measures are still not very popular among retailers. In Austria, about one out of 34 surveyed retailers offered such a service.
Online returns logistics’ impact is mainly due to transport emissions, so the most sustainable way to send back a purchase is not returning it at all. Unfortunately, a glance at fashion return rates indicates that Switzerland, Germany, and Austria are in the top three positions. Also, reinvesting return fees for sustainability purposes will not solve the problem as it does not seem to be an appealing initiative among German consumers. It remains to be seen if retailers in the DACH countries can come up with an effective measure to combat the sustainability issue of product returns.
Reducing carbon emissions: where we are at
Online retailers in the three countries have committed to running their businesses more sustainably. Several big e-tailers joined the Science-Based Target initiative (SBTi) launched by the United Nations and other organizations to promote and optimize climate action. Data published by About You and Zalando indicated that companies are pretty much ahead or already achieved set targets for the use of renewable energy in their facilities. In turn, they are roughly halfway towards achieving the 2025 carbon emissions reduction goals.E-commerce companies rely on distributors and transportation companies whose emissions are difficult to estimate. To give an example, consumer electronics group Ceconomy – owning MediaMarkt and Saturn – has included these third-party emissions in their reported figures only recently. However, the Science-Based Target initiative framework specifically requires retailers to partner almost exclusively with logistics providers also pledging to SBTi-validated targets.
In some cases, consumers can start the change. By paying a small extra fee, they can finance reforestation projects or energy efficiency programs. In only twelve months, online shoppers opting for carbon compensation at checkout on Digitec Galaxus avoided 92,000 metric tons of CO2 emissions. Unfortunately, carbon compensation measures are still not very popular among retailers. In Austria, about one out of 34 surveyed retailers offered such a service.
Next on the list? Zero returns
Further action to reduce e-commerce's environmental footprint will involve purchase returns. Already in 2021, online returns were estimated to produce nearly 800,000 metric tons of CO2 in Germany. This represents a huge cost for the environment – and retailers. European online pharmacy Shop Apotheke, which has its core market in German-speaking countries, managed to keep return rates below one percent. However, this did not result in lower amounts of packaging used for returned purchases.Online returns logistics’ impact is mainly due to transport emissions, so the most sustainable way to send back a purchase is not returning it at all. Unfortunately, a glance at fashion return rates indicates that Switzerland, Germany, and Austria are in the top three positions. Also, reinvesting return fees for sustainability purposes will not solve the problem as it does not seem to be an appealing initiative among German consumers. It remains to be seen if retailers in the DACH countries can come up with an effective measure to combat the sustainability issue of product returns.
