McKinsey Survey: German consumer sentiment during the coronavirus crisis

McKinsey & Company 1
Five emerging consumer themes in October 2021
1 2 5
4
3
Boost in optimism
and spend intent
Consumer optimism
regarding economic
conditions after COVID-
19 are up by more than
50% since February;
strongest growth in
spend intent is for out-
of-home entertainment,
dining out, and travel
Omnichannel is the
new reality
Omnichannel is present
for more than half of
consumer buying both
in stores and online;
mainly younger
generations are
increasingly influenced
by social media in
buying decisions
In-store holiday
shopping returns
Browsing in stores for
holiday shopping
inspiration is planned
by nearly half of
German consumers;
younger consumers to
start shopping earlier
this year, influenced by
social media
A tentative return
to out-of-home
Almost half of German
consumers engage in
out-of-home activities
again but have changed
their behavior because
of the Delta variant;
spending on home
improvements remains
stable
Loyalty shake-up
continues
Consumers are more
likely to substitute the
retailer or brand if a
product is not available;
younger generations
change their shopping
behavior more than
older generations

Confidence in own country’s economic recovery after COVID-191
% of respondents
15 13 17 17 22 21
22 32
41
52
50 50
46
65
74
67
44
35 33 33 32
14
5 1
Mixed The economy will be
impacted for 6–12 months or
longer and will stagnate or show
slow growth thereafter
Pessimistic: COVID-19 will
have lasting impact on the
economy and show regression
or fall into lengthy recession
Optimistic: The economy will
rebound within 2–3 months and
grow as strong as or stronger
than before COVID-19
German consumer optimism resembles other European markets:
about 35 percent see rebound in next 2–3 months
1. Q: What is your overall confidence level surrounding economic conditions after the coronavirus (COVID-19) crisis subsides (ie, once there is herd immunity)? Rated from 1 “very optimistic” to 6 “very pessimistic.” Bars may not sum to
100% due to rounding.
US UK
10/15–22
10/9–15
Italy
10/15–22
France
10/15–22
Change in % optimistic vs
February survey, percentage points
+3 +3
Germany
10/15–22
+13 +14
+18
Spain
10/15–22
+16
India
10/18–25
+3
Source: McKinsey & Company COVID-19 Consumer Pulse Survey
China
10/17–22
+6 +2
Japan
10/18–20
14
49
37
Boost in optimism and spend intent | Current as of October 2021

15% 13% 17% 16% 17% 18% 17% 14%
59% 64%
62% 63% 66% 59% 59%
49%
26% 24% 22% 21% 17%
23% 24%
37%
May 2020
Mar 2020 Oct 2021
Apr 2020 June 2020 Sept 2020 Feb 2021
Nov 2020
1. Q: What is your overall confidence level surrounding economic conditions after the coronavirus (COVID-19) crisis subsides (ie, once there is herd immunity)? Rated from 1 “very optimistic” to 6 “very pessimistic.” Figures may not sum to
100% because of rounding.
2. Average of biweekly pulse surveys shown for Mar–May 2020.
Optimistic: The
economy will rebound
within 2–3 months and
grow as strong as or
stronger than before
COVID-19
Mixed: The economy will
be impacted for 6–12
months or longer and will
stagnate or show slow
growth thereafter
Pessimistic: COVID-19
will have lasting impact
on the economy and
show regression or fall
into lengthy recession
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; 11/09–11/16/2020, n = 1,053; 9/24–9/27/2020, n = 1,053; 6/18–
6/21/2020, n = 1,011; 5/21–5/24/2020, n = 1,008; 4/30–5/3/2020, n = 1,002; 4/16–4/19/2020, n = 1,005; 4/2–4/5/2020, n = 1,010; 3/26–3/29/2020, n = 1,002; 3/20–3/22/2020, n = 1,014, sampled to match
Germany’s general population 18+ years
Significant boost in optimism regarding the recovery of the
economy towards the end of 2021
Confidence in own country’s economic recovery after COVID-19,1 % of respondents
20202 2021

Higher-income consumers are significantly more optimistic than
lower-income groups
15
21
28
17
25
35
19
44
30
5
0
25
10
15
20
35
40
45
Sept 2020
26
Feb 2021 Oct 2021
Low (<€25k) High (>€50k)
Medium (€25k–50k)
20
24
20
14
15
25
40
10
0
5
15
20
35
30
45
17
Sept 2020
14
16
Feb 2021
10
Oct 2021
1. Q: What is your overall confidence level surrounding economic conditions after the coronavirus (COVID-19) crisis subsides (ie, once there is herd immunity)? Rated from 1 “very optimistic” to 6 “very pessimistic.”
Optimism by income Pessimism by income
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; 9/24–9/27/2020, n = 1,053, sampled to match Germany’s general
population 18+ years
Confidence in own country’s economic recovery after
COVID-19 by income level,1 % of respondents

Younger and vaccinated German consumers drive optimism in
economic recovery
Confidence in own country’s economic recovery after COVID-191
% of respondents
11
27
51
44
38
29
Vaccinated Unvaccinated
1. Q: What is your overall confidence level surrounding economic conditions after the coronavirus (COVID-19) crisis subsides (ie, once there is herd immunity)? Rated from 1 “very optimistic” to 6 “very pessimistic.”
2. Baby boomers includes silent generation.
6 10
18 16
35
51
52 51
59
39
30 33
Millennials
Gen Z Gen X Baby boomers2
Pessimistic
Optimistic Mixed
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025, sampled to match Germany’s general population 18+ years
By generation By vaccination status

33 31
41
47
12
11
7
4
55 58
52 49
Baby boomers3
Gen Z Gen X
Millennials
40
29
8
7
52
64
Unvaccinated
Vaccinated
39
8
53
Overall
1. Q: When do you expect your routines will return to normal? Figures may not sum to 100% because of rounding.
2. Q: Which best describes your vaccination status?
In or after 2022 In 2021 Not affected/already returned
By generation By vaccination status2
Younger
generations, more
than others, expect
routines will return
to normal in 2022
Older generations
are less affected by
a change of their
routines
One-third of
unvaccinated
consumers are
engaging in normal
routines
Routines of 39 percent were unaffected or already returned to
normal; the majority expect normal routines in 2022 or after
Expectations on routines returning to normal,1 % of respondents

Optimism translated into an increase in household spending over
the past two weeks
Reduced slightly/a lot About the same Increased slightly/a lot
74
Past 2 weeks
4 4
21
Past 2 weeks
75
Past 2 weeks
22
6
75
19
56
12
28
60
Past 2 weeks Past 2 weeks
18
26
12
59
29
Past 2 weeks
16
15
55
61
26
25
Past 2 weeks
19
Past 2 weeks
28
56
Past 2 weeks
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; 11/09–11/16/2020, n = 1,053, sampled to match Germany’s
general population 18+ years
1. Q: How has the coronavirus (COVID-19) crisis affected the following over the past 2 weeks?; Figures may not sum to 100% because of rounding.
Household income Household spending Household savings
Nov 9–16 Feb 23–27 Oct 15–20
Nov 9–16 Feb 23–27 Oct 15–20
Nov 9–16 Feb 23–27 Oct 15–20
COVID-19 impact on household finances,1 % of respondents

Six in ten German consumers state that their finances were either
not affected or already returned to normal
49 51
62
70
12 8
39 41
35
28
3
Gen Z Baby boomers3
Millennials Gen X
2
61
51
6
5
33
44
In or after 2022 In 2021 Not affected/already returned
60
5
35
Overall
1. Q: When do you expect your personal/household finances will return to normal? Figures may not sum to 100% because of rounding.
2. Q: Which best describes your vaccination status?
By generation By vaccination status2
61% of vaccinated
consumers’ household
finances were
unaffected or are
already back to
normal, vs 51% among
those who are
unvaccinated
Expectations for personal/household finances
returning to normal,1 % of respondents
70% of older
generations say
finances are
unaffected or back to
normal; younger
generations are more
affected, with 40%
expecting normalcy in
or after 2022

Despite optimism about the economy, intent to splurge has
decreased among all income levels compared with early 2021
1. Q: With regard to products and services you will spend money on, do you plan to splurge/treat yourself in 2021? For example, are there categories of products or services you have spent less on over the last year and a half which you feel
you will spend more on now?
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; sampled to match Germany’s general population 18+ years
Feb 2021
44
Oct 2021
Do not plan
on splurging
Plan on
splurging
56
38
62
Millennials
Gen X
Baby boomers2
60%
−5
40%
−24
Gen Z 53%
−8
49%
1
36%
−24
56%
5
17%
−10
26%
−4
33%
−12
23%
−8
37%
−2
44%
−1
Generation
Respondents who plan/do not plan to
splurge/treat themselves in 20211
% of respondents
Low
(<€25k/year)
Middle
(€25k–50k/year)
High
(>€50k/year)
>70%
<30% 50–70%
30–50% p.p. change from Feb 21
XX
Respondents who plan to splurge, by household income, %
Change < −10 pp
.

German consumers who plan to splurge want to treat themselves
mostly on dining out, travel, and for Gen Z, apparel
Categories where consumers intend to treat themselves1
% of all respondents with intent to splurge
1. Q: You mentioned that you plan to splurge/treat yourself in the next 6 months. Which categories do you intend to treat yourself to? Please select all that apply.
44
39
34
28
28
25
22
22
21
17
13
9
9
Sports apparel and equipment
Personal services
Apparel, shoes, and accessories
Travel, lodging, and vacation
Fitness
Restaurants, dining out, bars
Electronics
Out-of-home entertainment
Pets
Items for your home
Makeup and skin-care products
Household essentials
Outdoor living
Millennials Gen X
Gen Z
Baby
boomers2
45 41 47 46
48 34 27 32
39 38 41 40
16 34 26 29
24 39 21 21
13 25 30 13
22 20 15 11
24 27 24 23
28 28 14 11
Generational cut
13 14 13 12
30 28 22 5
12 12 6 5
10 10 7 7
Change from
Feb 2021,
percentage points
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013, sampled to match Germany’s general population 18+ years
Between −3 and +3
< −3 > +3
−3
−18
−1
−2
0
−7
−8
N/A
0
N/A
−4
N/A
N/A
Categories
Difference from all respondents,
percentage points

Net intent on spending has increased across most categories relative
to February—highest for dining and out-of-home activities
Net intent >1
Net intent −15 to 0
Net intent: < −15
17
31
22
35
30
23
21
43
43
21
7
14
38
34
31
32
24
8
11
7
17
9
12
7
6
14
7
7
8
9
Apparel
5
Quick-service restaurant
4
Groceries
Alcohol
Tobacco products
Toys and baby
Food takeout and delivery
Footwear
Restaurant
Jewelry
Personal-care products
Accessories
Household supplies
4
Skin care and makeup
10
Home and furniture
Home improvement, garden
10
Sports and outdoors
10
Kitchen and dining
Increase
Decrease Stay the same
18
12
18
30
33
18
24
20
12
31
35
26
41
27
36
38
40
9
9
9
7
11
18
12
11
9
44
13
13
20
17
19
21
17
Entertainment at home
Hotel/resort stays
Out-of-home entertainment
Consumer electronics
Domestic flights
10
Personal-care services
Pet food and supplies
Vitamins and OTC medicine
Books, magazines, newspapers
Pet-care services
Fitness and wellness
Gasoline
Vehicles
Short-term home rentals
Travel by car
Cruises
Adventures and tours
International flights
10
Net
intent2
−3
−11
−19
−15
−6
−13
−11
32
−22
−6
−24
−8
−15
−21
−9
−18
1. Q: Over the next 2–3 months, do you expect that you will spend more, about the same, or less money on these categories than usual? Figures may not sum to 100% because of rounding.
2. Net intent is calculated by subtracting the % of respondents stating they expect to decrease spending from the % of respondents stating they expect to increase spending.
Expected spending per category over the next 2–3 months vs usual1
% of respondents who bought these categories at least once since 2019
7
−4
−10
−1
14
53
19
18
10
6
12
4
3
8
1
9
−11
6
Change since
Feb 2021
Change since
Feb 2021
−1 1
−1
−7
−2
7
54
19
38
24
49
10
43
42
30
51
58
51
−30 41
Net
intent2
−36
20
−7
0
−28
−9
−20
−17
−28
−13
−14
−9
−37
3
−5
−24
−22
−22

10
−20
−70
−30
−50
−60
20
−40
−10
0
−80
Household supplies
Fitness and wellness
Mar 2020 Apr 2020 May 2020
Apparel
Sept 2020 Nov 2020
Entertainment away from home
Feb 2021 Oct 2021
Groceries
Personal-care products
Domestic flights
International flights
June 2020
Expected spending per category over the next 2–3 months vs usual1
Net intent2
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; 11/09–11/16/2020, n = 1,053; 9/24–9/27/2020, n = 1,053; 6/18–6/21/2020,
n = 1,011; 5/21–5/24/2020, n = 1,008; 4/30–5/3/2020, n = 1,002; 4/16–4/19/2020, n = 1,005; 4/2–4/5/2020, n = 1,010; 3/26–3/29/2020, n = 1,002; 3/20–3/22/2020, n = 1,014, sampled to match Germany’s
general population 18+ years
German consumers signal increased spend across most
discretionary categories
1. Q: Over the next 2–3 months, do you expect that you will spend more, about the same, or less money on these categories than usual? Figures may not sum to 100% because of rounding.
2. Net intent is calculated by subtracting the % of respondents stating they expect to decrease spending from the % of respondents stating they expect to increase spending.
2020 2021

1. Q: Which best describes how you have researched the following categories over the last 3 months?
2. Q: Which best describes how you have purchased the following categories over the last 3 months?
45
36
31
29
27
25
25
24
22
18
17
16
13
11
10
8
53
58
55
57
64
62
55
56
58
64
61
56
60
66
62
64
2
6
14
14
9
13
20
20
20
18
22
28
27
23
28
28
Pet food and supplies
Meals at quick-service restaurants
Toys and baby supplies
Home improvement, gardening supplies
Fitness and wellness services
Vehicles
Vitamins, supplements, OTC medicine
Food takeout, delivery
Kitchen and dining
Accessories (eg, handbags, sunglasses)
Jewelry
Apparel
Home decoration and furniture
Sports and outdoor equipment, supplies
Research and purchase only in-store Omnichannel Research and purchase only online
Omnichannel is present for more than half of consumers; strongest
categories are home related, sports, and vehicles
Omnichannel is the new reality | Current as of October 2021
Product searches and purchases by channel1,2
% of respondents who purchased in these categories in the last 3 months

Consumers, particularly the younger generations, are increasingly
influenced by social media in their buying decisions
1. Q: Think about the purchases you have made in the following categories over the past 3 months. Were you influenced toward a certain brand by a post on social media in the following categories?
29
28
28
27
26
25
25
24
22
22
22
22
19
17
15
15
Toys and baby supplies
Home decoration and furniture
Sports and outdoor equipment, supplies
Jewelry
Accessories
Fitness and wellness services
Food takeout, delivery
Apparel
Vehicles
Kitchen and dining
Footwear
Vitamins, supplements, OTC medicine
Meals at quick-service restaurants
Millennials Gen X
Gen Z
Baby
boomers2
20 10 7
23 21 9 6
30 29 18 13
34 32 25 20
44 34 13 9
25 28 11 10
27 37 20 6
31 28 21 13
33 24 16 16
Generational cut
43 32 16 7
44 35 12 12
31 36 15 15
51 39 18 8
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; sampled to match Germany’s general population 18+ years
Between −3 and +3
< −3 > +3
Categories
Categories where respondents were influenced by social media1
% of all respondents who purchased in these categories in the last 3 months
38
44
25
51
39
25
34
20
14
12
13
11
16
percentage points

9
5
62
60
44
13 37
29
10
11
29
50
51
4
40
52
9
48
41
66
45
47
45
10
40
58
30
9
33
57
2
44
8
9
63
41
50
51
34
7
51
40
7
67
43
3
32
51
46
3
6
Using less Using More
Using same
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey Pulse Survey, 10/15–10/20/2021, n = 1,025, sampled to match Germany’s general population 18+ years
Use of remote service offerings and home-related activities
increased
25
17
23
14
8
10
9
27
6
9
7
12
19
8
25
25
51
1. Q: And have you used or done any of the following in the last 3 months? If yes, Q: Which best describes when you have done or used each of these items?
Drive-thru line for a fast-food restaurant
Curbside pickup from a restaurant
Used a food delivery provider
Self checkout or scan-and-go at a physical store
Buy online, pick up in store
Curbside delivery at a store
Purchased secondhand products online
Downloaded/used deal-finding plug-ins
Downloaded/used a new store/restaurant app
Purchased directly from social media
Used an app/website for same-day delivery
Used an app/website for delivery within 1 hour
Shopped at a store I had not shopped at before for groceries
Changed my primary grocery store
Cooked regularly for myself/my family
Personal care/grooming at home
Tried making something myself/DIY project
Frequency of using/doing1
% shown among consumers who have participated in the activity in the last 3 months
Used or did in last 3 months
% of total respondents

German consumers changed their habits to connect more via online
channels and increased their use of social media and streaming
13
6
5
6
36
18
48
26
25
3
21
8
4
13
14
19
54
6
53
27
3
58
69
10 32
41
6 67
59
29
12
30
9
50
57
32
11
9
42
8
38
13
50
23
47
79
8
69
8
29
0
2
53
61
39
44
48
8
50
64
5 64
31
63
32
5
43
4
Using less Using same Using more
1. Q: Have you used or done any of the following in the last 3 months?, Q: Which best describes how often you have used each of the following items in the past 3 months?
Frequency of using/doing1
% shown among consumers who have participated in the activity in the last 3 months
Used or did in last 3 months
% of total respondents
Wellness app
Digital workout bike or machine
Online personal training/fitness
Grocery delivery
Restaurant food delivery
Meal kit delivery
Online streaming
Video conferencing for professional use
Virtual hangouts and video chats for personal use
Telemedicine for physical health care
Telemedicine for mental health care
Playing online games
Watching online games
Remote learning for myself
Remote learning for my kids
Used social media
Used TikTok

64
36
Oct 2021
Could not purchase
at least 1 item
Able to purchase
all items
Consumers are likely to substitute retailers or brands if items are
unavailable, rather than wait
Loyalty shake-up continues | Current as of October 2021
1. Q: Over the last 3 months, have you wanted to buy something and not been able to purchase it because it was out of stock or otherwise not available?
2. Q: The most recent time this happened (when you wanted to buy something and it was not available), what did you do?
Respondents who planned to purchase
something but could not, due to unavailability1
% of respondents
36
27
17
13
7
I waited until it was available
at same retailer
Bought the product at a
different store or website
Bought a different brand of a
similar product at the same retailer
Did not buy anything
Bought a different product
at the same retailer
Consumer responses to stockouts2
% of respondents who could not make a planned purchase

64
32
31
28
18
12
Different retailer/store/website
Any new shopping behavior
Different brand
New shopping method2
Private label/store brand
New digital shopping method
Gen Z Millennials
81 83
46 44
34 34
39 45
23 32
18 20
Generational cut
All consumers
Between −3 and +3
< −3 > +3
1. Q: Over the past 3 months, which of the following have you done? 36% replied “None of these.”
2. “New shopping method” includes curbside pickup and delivery apps.
Behaviors in the past 3 months1
% of respondents
Consumer behavior has changed more extensively among Gen Z
and millennials than older generations
percentage points
Gen X Baby boomers3
60 44
29 18
27 22
28 19
15 7
10 4

Reason for trying a new brand since COVID-19 began1
% of respondents who tried a new brand since COVID-19 began
1. Q: You mentioned you tried a new/different brand than what you normally buy. What were the main reasons that drove this decision? Select up to 3 relevant reasons. “Brand” includes different brand, new
private label/store brand. Overarching reason based on % of individual respondents responding to at least 1 reason in the group.
Better shipping, delivery cost
Better value
29
Better prices, promotions
Wanted variety/a change from my normal routine
Larger package sizes
Supporting local businesses
13
Wanted to try a type of product I’ve never tried before
Wanted to try a new brand I found
Is more sustainable/better for the environment
Shares my values
The company treats its employees well
20
Wanted to treat myself
Better quality
Cleaner, safer
Is natural/ organic
10
Is available where I’m shopping (ie, in-store or online)
Products are in stock
30
6
4
25
15
13
6
18
15
20
10
8
10
Novelty
Personal choice
Purpose-driven
Quality/organic
Convenience
Health/hygiene
Availability 10
Value 59
31
30
41
12
8
31
Baby
boomers2
Gen Z +
millennials Gen X
31 29
30
27 33
30
12 3
13
6 7
6
21 31
27
21 23
18
16 12
15
8 3
19
10 3
4
5 1
5
20 19
15
17 16
9
10 12
14
10 13
13
8 12
11
9 5
9
All consumers
Between −2 and +2
< −2 > +2
Value is a primary reason for brand switching, followed by novelty
and, especially for the younger generation, purpose-driven reasons
x Net % of respondents per category
percentage points
24 16
16

A tentative return to out-of-home | Current as of October 2021
49
5
9
38
27
11
Oct 2021
Feb 2021
Sept 2020
Nov 2020
May 2020
June 2020
Overall
53
27
50
49
Gen Z
51
Millennials Gen X Baby boomers3
48
53
47
High (>€50k)
Low (<€25k)
47
Medium
(€25k–50k)
1. Q: Which best describes when you will regularly return to stores, restaurants, and other out-of-home activities? Chart shows those already participating in these activities
2. Gen Z are people under 25 years old, millennials are 25–44 years old, Gen X are 45–54 years old, and baby boomers are 55 years old and above.
By
generation2
By
vaccination
adoption
By income
51%
of Gen Z are doing out-
of-home activities
47%
of both lower- and
medium-income
households are doing
27%
of people who are
unvaccinated are doing
Consumers engaging in ‘normal’ out-of-home activities,1 % of respondents
After an all-time low in February, almost half of German consumers
say they are engaging in ‘normal’ out-of-home activities
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025; 2/23–2/27/2021, n = 1,013; 2/23–2/27/2021, n = 1,013; 11/09–11/16/2020, n = 1,053; 9/24–
9/27/2020, n = 1,053; 6/18–6/21/2020, n = 1,011; 5/21–5/24/2020, sampled to match Germany’s general population 18+ years

Out-of-home activities done in the past 2 weeks1
% shown for respondents who engaged in the activity at least once prior to COVID-19
1. Q: Did you leave your house for the following activities over the past 2 weeks?
Social
Personal
care
Entertain-
ment 60
60
30
28
23
51
46
72
70
Attend an outdoor event
Visit a crowded outdoor public place
Dine indoors at a restaurant or bar
Go out for family entertainment
Get together with friends
Attend an indoor cultural event
Go to the gym or fitness studio
Go to a hair or nail salon
Get together with family
80
95
69
56
61
39
34
26
27
21
15
Work outside my home
Shop for groceries/necessities
Travel more than 2 hours by car
Shop for non-necessities
Travel by train
Go to a shopping mall
Use public transportation
Use a ride-sharing service
Stay in a hotel
Rent a short-term home
Travel by airplane
Work
Shopping
Transport/
travel
≥50%
<50%
Consumer engagement is high across many out-of-home activities,
especially work, shopping, and social interactions
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey, 10/15–10/22/2021, sampled to match Germany’s general population 18+ years

1. Q: With the rise of the Delta variant of COVID-19, how, if at all, has your out-of-home behavior changed?
2. Low sample size (n < 30).
Source: McKinsey & Company COVID-19 Consumer Pulse Survey, 10/15–10/22/2021, n = 1,025, sampled to match Germany’s general population 18+ years
6
27
20 22
23
28 27
44
51 50
High (>€50k)
1
Low (<€25k)
1
Medium
(€25k–50k)
6
21
29
28
21
49 44
Unvaccinated
2
Vaccinated
23
26
49
Engage more2
2
Engage with
adjusted behavior
Overall
Engage less
Engage same as
before Delta
By income By vaccination status
Lower-income
consumers are more
cautious when
going out
35% of unvaccinated
consumers have not
reduced or changed
their out-of-home
behavior despite the
Delta variant
Adjustments to out-of-home behavior due to prevalence of Delta variant,1 % of respondents
A majority of consumers have changed the way they engage in out-
of-home activities because of the Delta variant

1. Q: Which best describes how you are engaging in each of these activities? Possible answers: “Not doing this at all”; “Doing this in the same way as pre-COVID-19 but less often”; “Doing this in a modified way vs. pre-COVID-19”;
“Doing this just as much and in the same way as I did pre-COVID-19.”
Work
Shopping
Transport/
travel
Social
Personal
care
Entertain-
ment
37
41
37
Get together with family
42
59
Go out for family entertainment
Dine indoors at a restaurant or bar
41
63
59
67
Attend an indoor cultural event
Attend an outdoor event 58
33
Go to the gym or fitness studio
Visit a crowded outdoor public place
33
67
73
Go to a hair or nail salon
27
33
67
63
Get together with friends
58
24
68
57
76
Work outside my home
21
61
79
Shop for groceries/necessities
32
43
Shop for non-necessities
39
39
61
Go to a shopping mall
38
62
Travel more than 2 hours by car
35
65
Use public transportation
57
Use a ride-sharing service
43
Travel by airplane
34
66
Travel by train
Stay in a hotel
42
Rent a short-term home
Doing less, doing in a modified way
Doing as much as and in the same way as pre-COVID-19
Engagement in out-of-home activities,1 % of respondents
Depending on the category, about 60 to 80 percent of consumers
have modified their behavior when out of home

Main life events done in the last 12 months as a result of COVID-19,1 % of respondents
Change >3 pp
26
9
6
15
12
9
4
4
7
3
3
Set up a gym at home
Worked more from home
Got a new pet at home (eg, dog, cat)
Started homeschooling children
Decided to change jobs
Renovated/remodeled my home
Sold a property
Moved into a bigger home
Set up a specific work-from-home space
Moved into a smaller home
Bought a property
Work/study
change
Oct 2021
Pet adoption
House move
Home
renovation
Investments/
divestments
Total2
Change from
Feb 2021,
percentage points
1
3
1
1
2
1
1
1
−4
N/A
2
8
34
7
29
5
1. Q: Which of the following have you done in the last 12 months as a result of the COVID-19 crisis?
2. Total percentage of people who choose option(s) in the category.
Even though consumers have increased out-of-home activity,
investment in their home environment remains stable

Three themes are emerging among German consumers for the 2021
holiday shopping season
In-store shopping with
social-media influence
Consumers plan to browse in stores
for holiday shopping inspiration, with
decisions being influenced by social
media, particularly in younger
generations
Spend pulled forward Shopping behavior change
Consumers, especially younger
generations, are spending earlier than
before due to concerns about
availability, shipping time, or
unexpected challenges due
to COVID-19
Availability and value are primary
considerations for where German
consumers decide to shop, with value
for money being the biggest driver of
changing shopping locations
1 2 3

Majority of consumers are neutral about the upcoming holidays;
younger consumers are almost evenly split across all attitudes
In-store holiday shopping returns | Current as of October 2021
37 35
26
16
36 35 56 71
28 31
18 12
Millennials
Gen Z Gen X Baby
boomers2
1. Q: Which best describes your general attitude toward the holiday shopping season? Selected from "Anxious," "Stressed," "Neutral," "Eager,“ "Excited," and "Other."
27
52
21
Overall
Excited /
eager
Neutral
Stressed /
anxious
Consumer attitudes toward the 2021 holiday shopping season1
% of respondents
By annual income By generation
23 27 27
62 53
45
14
21
29
High
(>€50k)
Low
(<€25k)
Medium
(€25k–50k)

Majority of consumers plan to spend about the same across all
categories during 2021 holidays compared with last year
21
16
75
64
Gifts (for myself
and others)
Out-of-
home eating
18
9
Family travel
18
Personal travel
64
70
9
9
78
13
7
63
30
Redecorate my
home, put out
seasonal items
9
27
Large
household
appliances
1. Q: If you compare the upcoming holidays [2021] with the ones last year, how much do you plan to change your spending level in the following categories?
Will spend more Will spend about the same Will spend less
2021 holiday spending plans vs. spending in 20201
% of respondents who spent on the category during the holidays in 2020
~21% of consumers plan
to spend more on out-of-
home eating
~30% of consumers want
to reduce their spending
on redecorating their
house
60–80% of consumers
plan to keep their spend
about the same as in the
previous year

Nearly half of Germans plan to browse in stores for holiday shopping
inspiration, with younger generations to focus on social media
49
31
26
25
22
18
14
10
3
Offline advertisements
Advertisements on TV or streaming media
Retailer websites
Browsing in stores
Browsing through holiday markets
Social media
Brand websites
Emails from relevant retailers
Browsing in pop-up stores
Generational cut
Gen Z
41
18
Millennials
48
19
Gen X
52
26
Baby
boomers3
49
5 5 3 0
20 16 14 11
20 29 13 14
31 35 34 25
24
25 29 26 23
10 12 8 9
53 38 19 9
Research channels
Between −3 and +3
< −3 > +3
Difference from all respondents, percentage points
1. Q: Which channels are you planning to use to get new ideas and do research for your holiday shopping? Please select top 3.
2. Offline advertisements include catalogs, fliers, magazines, and newspaper advertisements.
Consumer research plans by channel for holiday 20211
% of all respondents

Social media is expected to have significant influence on holiday
purchase decisions among Gen Z and millennials
1. Q: How much influence do you expect social media to have on your holiday purchase decisions this season? Selected from "Significant influence," "Some influence," and "Will not influence."
2. Q: Which channels do you think will influence your holiday purchase decisions? Asked of respondents indicating social media will influence their 2021 holiday purchases.
Expected influence of social media on 2021 holiday
purchases,1 % of respondents
57
29
39
66
75
43
71
61
34
25
Gen Z
Overall
Millennials
Gen X
Baby boomers3
Will not influence Will influence
76
40 46 15 23
56 62 29 13 9
57 41 14 12 2
55 23 6 7 0
53 53 25 12 9
Most influential social-media channels2
% of respondents who expect social-media influence
Top 3 platforms by %
33
55
62
39
49
23
30
21
24
13
Facebook
YouTube Instagram TikTok Twitter Snapchat
Pinterest

Most Germans still plan to limit the size of get-togethers for
upcoming holiday
1. Q: What best describes what you expect to do for the holidays this year [2021]? Figures may not sum to 100% because of rounding.
2. Q: What best describes your holiday get togethers last year [2020]? Figures may not sum to 100% because of rounding.
8
19
23
50
Do not plan to travel and will limit getting
together to immediate family only
Will travel to and attend a large get-together
with family and friends
Will travel to a limited family get-together
Will not travel but will have a family/friends
get-together outside my immediate family
Split by annual income Split by generation
13 10 6
3 4 8 10 5
18 18 21 21 24 20
−1 23
21 22 24 30 27 20
1 16
57 52 45 36 38 53
−3 65
Medium
(€25k–50k)
Low
(<€25k)
High
(>€50k) Millennials Gen X
Gen Z
Baby
boomers3
Change
from 2020,2
percentage
points
Holiday plans in 20211
% of respondents
< −3 Between −3 and +3 > +3

Number of in-person holiday-related events is expected to decrease
compared with before COVID-19 across all generations
1. Q: About how many in-person holiday-related events do you attend in a typical year without COVID-19?
2. Q: Compared with the number of in-person events you attended pre-COVID-19, about how many in-person events do you expect to attend over the holidays this coming year [2021]?
Parties with friends
Family gatherings
Work-related gatherings 2.1
6.2
2.8
Event type
Between −1 and +1
< −1 > +1
Millennials Gen X
Gen Z
Baby
boomers3
Generational cut
6.2 6.7 6.7 5.7
5.4 3.2 2.3 1.8
3.3 2.5 2.4 1.1
Difference in
number vs
pre-COVID-19
−1.7
−1.5
−0.8
Holiday-related events consumers attended1 or expect to attend2 in 2021
Number of events

1. Q: Do you plan to shop for the holidays earlier or later in 2021 compared with last year’s holiday season [2020]? Possible answers: “significantly earlier”; “slightly
earlier”; “starting at about the same time”; “slightly later”; “significantly later”; “I am not planning to do any holiday season shopping.” Figures may not sum to 100%
because of rounding; 13% of German consumers surveyed indicated they do not plan on shopping for the holidays this year.
2. Q: What are the primary reasons you plan to shop earlier for the holidays in 2021?
34
Medium
(€25k–
50k)
60
3
29
6
68
Low
(<€25k)
37
55
7
High
(>€50k)
Later 6
34
Earlier
60
About the
same time
Overall
Overall By income By generation
43
46
Millennials
9
11
48
Gen Z
43
30
68
Baby
boomers3
2
Gen X
22
74
4
More consumers, especially younger generations, plan to start
holiday shopping earlier this year
Main reasons for consumers
to start shopping earlier2
% of respondents who plan to shop
earlier in 2021
40%
36%
29%
41%
Holiday shopping start vs last year1
% of respondents who plan to shop for the holidays this year
of German consumers
are concerned about
availability
of German consumers
are concerned about
shipping lead time
of German consumers
want to do something
fun right now
of German consumers
are concerned about
unexpected challenges
due to COVID-19

More than half of consumers plan to start holiday shopping in
November, while one-quarter have already started
25
55
19
1
I already started
In November
In December
In January
20
26
54
75–100% of my shopping
1. Q: When do you plan to start your shopping for the seasonal holidays this year? Excludes 13% of German consumers surveyed indicating they would do no holiday shopping this year; Figures may not sum to 100% because of rounding.
2. Q: How much of your holiday season shopping have you done so far? Question asked of respondents who have indicated they already started.
Holiday shopping timing, 20211
% of respondents who plan to shop for the holidays this year
Holiday season shopping status, 20212
% of respondents having already started

Value for money is the biggest driver of changing shopping locations
11
8
7
More value for money
Check more things
off my list at once
Safety
71
33
23
22
18
17
Any change of shopping behavior3
Shop more at local/independent stores
Shop more in person
Shop at a different place
Shop more online
Shop earlier
1. Q: Please select all the ways you anticipate your holiday shopping might be different from last year. Figures do not sum to 100% because respondents could choose multiple answers.
2. Excludes respondents indicating they will not shop for the holidays this year.
3. Percent of respondents who chose at least 1 behavior that will change vs how they shopped in 2020.
Anticipated differences in holiday shopping behaviors1
% of respondents2
Reasons to change place to shop
during holiday season
% of respondents

Younger consumers drive change in shopping behavior, while
income has hardly any effect on change of behavior
33
23
18
Shop earlier
Shop more online
Shop more in person
Income cut
Gen Z
Millen-
nials Gen X
Baby
boom-
ers3
Shopping behaviors
Between −3 and +3
< −3 > +3
Anticipated shopping behavior change for holiday 20211
% of respondents2
Generational cut
48 33
23 22
28 35 18 14
26 21 15 14
30 33 35
22 23 24
13 18 20
Medium
(€25–
50k)
Low
(<€25k)
High
(>€50k)
Source: McKinsey & Company COVID-19 Germany Consumer Pulse Survey 10/15–10/25/2021, n = 1,025, sampled to match Germany’s general population 18+ years
1. Q: Please select the ways you anticipate your holiday shopping might be different compared to last year. Figures may not sum to 100% because of rounding.
2. Percent of respondents indicating they would be shopping differently for the holidays this year vs 2020 (71% of German consumers).

Availability and value, especially price, are primary considerations
for where German consumers decide to shop
33
22
16
43
18
28
25
22
5
19
10
9
Better shipping, delivery costs
Product availability
Ability to purchase most gifts from 1 place
Ability to see products in person
Better prices, promotions
Convenience
Supporting local businesses
Easy to shop across store and online
Company treating its employees well
Better quality
Unique items offered
Cleaner, better hygiene measures
Generational cut
15
33
29
16
27
30
6
9
4
28
11
Gen Z
18
29
18
17
24
23
17
8
6
16
29
43
Millennials
25
34
17
16
30
22
11
9
6
17
28
43
Gen X
15
33
21
14
28
23
10
9
4
21
16
46
Baby
boomers2
39
1. Q: Please tell us what your primary considerations will be when deciding where to shop. Please select up to 3.
2. Baby boomers include traditional or silent generation.
Between −2 and +2
< −2 > +2
Primary considerations when deciding where to shop1
% of respondents
Availability
Value
Convenience
Quality
Health/hygiene
Purpose-driven
Uniqueness
48
54
x Net % of respondents per category
57
19
10
9
24

McKinsey Survey: German consumer sentiment during the coronavirus crisis

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