Most used e-commerce payment methods in Germany 2016-2023, with 2027 forecast

BNPL was Germany's third-most used payment method in e-commerce in 2022, all but replacing credit cards. Germany has several online shopping apps available, some of which offer their own payment methods. Some of the more popular shopping apps based on daily active users, for example, include Amazon, Zalando, and Wish. PayPal, especially, is a big player in Germany. Important for buy now, pay later (BNPL) is the inclusion of Klarna — known to some Germans as SOFORT.

BNPL in Germany: Klarna a major name

Consumers from Germany were significantly more likely to say they used Klarna than consumers from other countries in the world, except for the Nordics. The Swedish BNPL brand acquired Germany's SOFORT in 2014, establishing them relatively early in the European country. This is reflected in the behavior of local merchants: Over 20 percent of all the websites in the world that use Klarna as a check-out option originate from Germany. PayPal, however, also offers a BNPL option in Germany since 2022, called PayPal Ratenzahlung. This enables users to pay for purchases up to 1,000 euros in 30 days, potentially impacting Klarna's market position in future years.

A2A payments in Germany: No domestic brand

Similar to the United Kingdom, Germany's account-to-account payments rely on global brands as the country does not have a strong local offering. PayPal, again, is popular in this regard, even though Apple Pay adoption in Germany has also gradually increased over time. Germany does have an A2A alternative — Giropay — based on its domestic debit card scheme. This ranked relatively low, however, when compared to other preferred brands for online shopping in the country.