Between Speed and Stability: E-Commerce in China and Germany

According to recent statistics, China is the largest e-commerce market in the world. In 2024, China’s online retail revenue reached approximately $2.345 trillion, nearly twice that of the United States, which ranks second. In comparison, Germany is the largest e-commerce market in Europe, with online retail revenue of about $95.56 billion in 2024. Source: Capital One Shopping

I grew up in China and have lived in Germany for six years. During this time, I experienced China’s explosive e-commerce growth after 2003 and also the surge in online shopping in Germany during 2020–2022, when COVID-19 restrictions limited offline retail. As both a developer and a heavy user of e-commerce platforms, I want to compare the user experience and development practices of e-commerce in China and Germany and explore how we can adopt a long-term view in Germany’s e-commerce landscape and be well-prepared to capture opportunities for future returns in it.

Key Characteristics

In China

• Massive consumer base: Large market size and frequent transactions.

• Platform-dominated: Most transactions occur on major platforms, while brand-owned websites contribute a small share of sales.

• Mobile-first: The majority of purchases come from mobile devices and apps are preferred over websites.

• Platform sales dominate, brand-owned websites

• Highly integrated payment systems: Platforms like WeChat Pay and Alipay make checkout seamless.

• Emerging e-commerce models: selling via Social Media (e.g. WeChat) and live-stream shopping (online version of TV shopping) are growing rapidly.

• Fast iteration: Platforms respond quickly to user needs. The new features can be launched rapidly, though some may be retired if users don't give enough positive feedback.

In Germany

• Mature consumer behavior: Shopping habits are steady and purchase decisions rational.

• Platforms account for about 57% of sales, while brand-owned websites still maintain a share. Source: Cross Border Magazine

• Diverse payment options: Credit cards, PayPal, bank transfers, etc., accessible even to older users.

• High user trust: Fewer disputes over returns or payments.

• Strict regulations: VAT and GDPR govern taxes and data protection.

• Cross-border reach: E-commerce platforms serve not only Germany but also neighboring countries.

User Experience Comparison of Online Shops

In China

• Platforms offer rich functionality, sometimes at the cost of interface simplicity, design can lack aesthetics. But user experience is smooth, with few bugs or crashes.

• Issues are quickly fixed, and new features are tested continuously. Core features that survive the trial period significantly improve user experience.

• However, too many features can make the interface cluttered and complex for new users.

In Germany

• Websites are clean, visually appealing, and well-organized.

• Interfaces are simple and easy to use, though fewer innovative features may leave the experience less engaging.

• User testing investment may be limited. Minor bugs or usability issues can persist for longer periods, sometimes frustrating users and causing them to abandon browsing.

Development Differences

In China

• Mobile-first development: Because Apps take priority over websites, UI design focuses on mobile display.

• Data-driven approach: Data protection is less strict, allowing platforms to collect extensive user behavior data to enhance recommendation systems.

• Highly integrated logistics: Warehousing, automated sorting, and last-mile delivery are tightly connected; databases are densely interconnected.

• Large-scale distributed architecture: Systems must support PB-level data and second-level transaction processing. Teams need skills in high-concurrency, high-availability systems, cloud-native, and microservices.

• Rapid iteration: For example, at Alibaba, once a requirement is proposed, UI/interaction features can be deployed in 1–2 weeks and core business functions can go live in 3–6 months.

• Code Quality as a Secondary Priority: Since some features may be deprecated after user testing, speed and feature implementation are typically prioritized over code quality. To meet tight deadlines, developers often work long hours under the so-called "996" culture (9 a.m to 9 p.m. 6 days a week). Together, these factors often result in lower code quality.

In Germany

• Desktop experience matters: Website access are also significant, so responsive web design and desktop user experience are both important.

• Strict data protection: Developers must comply with GDPR, limiting recommendations and personalization to legally collected data.

• Less extreme large-scale distributed architecture: User volume and concurrency are lower than in China. Microservices and distributed systems evolve more slowly. Cloud-native skills are valuable but not urgently required.

• Longer development cycles, stability first: Feature launches prioritize reliability and system stability. Code quality is higher and development pace is slower.

• Multi-platform and brand websites: Beyond third-party marketplaces, brand-owned websites hold a share. Developers often handle multi-language support, platform tools, and brand websites.

Implications for Businesses and Developers

From China’s mature market, we can learn several lessons:

• Focus on simple, stable features while investing appropriately in user testing, using feedback to improve UX and increase user retention.

• Adopt core features that have been validated through extensive real-world use in China, but adapt them to German user preferences.

• Even with smaller current user bases, prepare for cloud-native and microservices architectures, keeping up with trends for future scaling.

• Monitor emerging e-commerce models, such as live-stream shopping. If proven effective, consider adapting or investing in them.

Although Germany is Europe’s largest e-commerce market, user numbers and online sales are still expected to grow steadily. For businesses and developers, investing in this sector can yield long-term returns.

For example, building a brand-owned website and online shop. It involves initial costs but can reduce physical store expenses, especially for products with seasonal demand.

We shouldn't see an online shop as merely another store location, but also an advertising tool and a service platform. For example, by linking inventory databases, customers can check store stock or choose online purchase with in-store pickup, encouraging store visits.