Catalog Shopping

by C.J. Manning

Today, in Germany, there are several ways to order products: home shopping, by using the traditional catalog or from any number of specialized catalogs; Tele-shopping, ordering via television (QVC, RTL, HSE 24, and Channel 21 to name a few); or over the Internet. Just about any type of product is available.

Since the opening of East Germany sales for catalog companies have increased by about 50%; especially with big houses like Germany's oldest mail order house Quelle. Quelle is a Franconian business based in Fürth, Germany that merged with Karstadt in 1998 to become one of the largest mail order houses in all of Europe. In 2002 it celebrated 75 years in the home-shopping mail order business. In 2008 it was awarded the title Germany's Customer Oriented Service Provider. Quelle's main catalog has over 1,400 pages of products and resembles the Sears catalog found in the United States. It is published twice a year. Customers have a wide range of clothing, footwear, home accessories, and other ideas to shop from.

Other specialty catalogs from Quelle (totaling around 20) are published throughout Germany and offer a special assortment of products clearly defined for groups from the hobby craftsman to jewelry fans. Some of these catalogs are Combi, Feeling, Madeleine, and Privacy (underwear and bathing suits). Year-for-year, in Europe alone, specialty, and monthly sales catalogs (150 different issues equaling some 700 various editions) are dispatched to customers making it safe to say Quelle is Germany's number one home-shopping giant!

BUT! If you thought Quelle had all your needs, then you haven't reviewed the complete spectrum of Otto's Heine: Apart, Classico & Sportivo, Excellent, Favoriti di Moda, Inspirations, Summer Feeling, Wohn-Akzente (Accent Living), Best Connections, Young & Easy and Peter Hahn (whose motto is strong fashion for a strong woman. It's fashion ranges from sizes 36 to 50 for the tall, lean, and/or heavier females aging from 30 to 45 years. Hahn also offers a conservative fashion for men ages 36 to 50. Shirt sizes range from 38 to 58 and trousers from 48 to 62, all moderately priced.)

Kin Jorgensen on the other hand, offers items for the home ranging from decorating accessories such as glassware, figurines, flower pots or vases, candles and decorative candle holders, and kitchen place mattes, table clothes, matching pot holders and cushions. Pro Idee catalogs sell fashion classics, new technical gadgets collected from around the world and an assortment of wines. Names such as Buro Plus, Discount, Misco, Staples, and Printus are some of the mail order houses that offer a wide range of office supplies from paper clips to computer parts, programs, cables, disks, CD-ROMs and other administrative necessities.

For many, home shopping offers great convenience. There is nothing to compare with being able to flip open a book or log online and shop to your heart's content. The best part is if something doesn't fit you don't have to leave my home to exchange it. Ordered items are delivered right to your doorstep and returns are picked up at the same place. If you already know what you want to replace your exchange, the new order is delivered when the return items are picked-up. It's effective. It's fast. It's simple. And something most women can't live without. For an additional sum of approximately 10 euros you can even get 24-hour delivery service. (This charge differs from house-to-house, check with the operator, or the Internet site for exact details.)

Gone are the days when you had to 'crunch' in shopping trips that your busy schedule wouldn't ordinarily allow. If you're a last minute person, as are some of us, now you can order complete evening attire one-day prior to an event by fax, phone, or Internet.

How To Get Mail-Order Catalogs In Germany?

Catalog houses advertise heavily so you will most likely receive something unsolicited in the mail. Sometimes it's the catalog itself or a self-addressed postcard with an invitation to order the catalog. Larger houses, such as Otto, Heine or Quelle send regular postcard invitations asking 'occupants' to fill-in and return the card for a free gift. Or, you can use the buddy system. This means if a friend has a catalog you like and refers you to that particular catalog house, your new home-shopping buddy receives a nifty gift while you get a catalog. Now with your name on 'the list' you'll be surprised at how many new catalogs or invitations to order new catalogs you'll receive. The absolutely latest and fastest trend is to visit the website of the mail order house you want to shop with and click online to receive their current catalog edition free.

Placing Orders

Today there are two ways to shop: bricks-and-mortar (where you visit the shop in person) or click-and-mortar (shopping on the Internet). Either way shopping has never been made easier. If you are shopping from your new catalog or on the Internet, either requires only the most rudimentary German language skills. Order forms whether in your catalog or on the Internet are simple and easy to read. There's a place for your name and complete address and if it's your first time to order you are required to give your date of birth. This is needed for a background credit check. The majority of the mail order houses bank on the fact that German residents are registered with the local police, thus eliminating or lessening the chances for fraud. To order the merchandise using an order form from the catalog fill in the product or item number, then the number of items desired, color, size and price. You are required to sign and date the form before mailing or faxing it in. If you feel comfortable speaking German, you can always phone in your order. Many mail order houses have 24-hour operators on duty.

Ordering over the Internet requires only clicking your product, the quantity desired, size, and price, then deposit it in your shopping cart. When you are finished, click to check out and your ordered will be automatically totaled. You will be asked how you want to pay, and where the order should be delivered. It's that simple.

Payment Terms

The mail order company usually pays part of the delivery costs for normal service (to include shipping and insurance). However, to take advantage of the cheaper way to order one should become a member of the mail order house membership, when offered or become a frequent mail order customer. Shipping costs differ for house to house, but being a member, partner, or frequent customer not only affects your shipping costs but also your method of payment.

Payment terms are usually uncomplicated. Most mail order houses set a credit limit for first-time customers. When you reach that limit they notify you per post that some or most of your order cannot be filled. Other houses require first-timers to pay upon receipt. If you are an established customer you can exercise options: pay upon receipt (which usually means after the first 14 days, provided you're going to keep the order); pay with a credit card; or pay in monthly installments (3, 6 or 9 months, with an understood set rate of interest). If you select to pay in monthly installments but end up paying the amount in full before the monthly rate is due, you can telephone the mail order customer service department to have the interest charges adjusted.

Returning Items

This is the part I like the most. To return items just fill in the return slip that is usually enclosed with every order. Make sure the corresponding number or numbers apply as to your reason for returning the item or items; then package everything you don't want back into the box it was delivered. When you've filled in the return slip, and packed everything then the real fun begins: you call to have the package picked up. Yes, that's right. You don't have to take it to the post office and stand in line. A service will come right to your door, pick up the return and deliver it to the company, postage free. But if you just want to go to the post office and have a thing for standing in line you'll find that this method too is returned postage free. (Most mail order houses usually pay return postage fees.)

The History of Germany's Home Shopping Network

Back in 1947 when the German Mail Order Association (the BVH or Bundesverband des Deutschen Versandhandels e. V.) was established, catalog mailing was still more-or-less in the 'test' phase. I am certain that sounds hard to believe, especially since one of the first mail-order services (a linen manufacturer located in the city of Bielefeld, Germany) opened its doors in 1870. In the years that followed, the participation of many other companies pushed Germany to the number two positions amongst international home-shopping giants.

The BVH was established with three aims: to represent the interests of its members, while at the same time providing information and counseling; and to create structures necessary for a dialogue amongst its members.

Currently, there are some 270 members (both large and small companies) involved in the ever-growing business of long distant and local product selling. These companies use sales channels such as catalogs, the Internet (Online-Shopping), direct sales, and or television (TeleShopping) to distribute their products. Some companies have a small product range, while some of the larger companies offer over 100,000 articles in their catalog sales alone. Statistically, Germany is reported to have more specialty providers than general retailers; and thanks to the stress-free Internet shopping its distance-selling turnover in 2008 totaled 28.6 billion Euros. BVH members generated approximately 75% of that reported turnover.

Today those members include such companies as Abacus; Arvato Media GmbH; Austrain Post International Deutschland; Bernhard Unternehmensberatung; the Braunschweiger Company, founded in 1893 by Richard Borek; DHL; Directteam Agenture für Marketing GmbH; Google Germany; Hermes Logistik GmbH; MAC (as in MAC IT-Solutions GmbH); only to name a few, and the most interesting Schwab, better known as Otto Versand.

Schwab, which was established during the years 1954-1963 by Friedrich Schwab, had as many as 35 local outlets in 1963. It expanded its national home shopping from 1965-1970 and changed its name to Friedrich Schwab KGaA Überlandversand (national delivery service). It was also during this period that it opened it's largest department store in Berlin, and the Schwab-Center in Hamburg. In 1966 Schwab went on to accomplish its largest transformation ever by founding its International Securities Company in New Jersey, USA, to become a subsidiary of the Singer Corporation.

In 1976 Schwab's holdings were taken over by OTTO VERSAND which enabled its customers not only to shop from its main catalog but also 6 specialty catalogs and 5 seasonal making for a total of 2,700 pages per season. Their turnover quickly topped the 500 Million-Deutsch Mark limit in 1979.

In 1982-83 with the opening of 10 customers service centers Otto Versand/Schwab became Germany's largest mail order business. In 1985-86, celebrating 30 years in the business Schwab's catalogs massed a total of 3,500 pages while its profits reached an all time high of 700 million Deutsch Marks.

Naturally, with such a profit margin it expanded again in 1987-2002, only this time buying up some of the oldest mail order houses in Germany: Josef Witt in Weiden, founded in 1907 whose main products at that time were household (table clothes) and bed linens, and women's clothing apparel. In 1989 it took over Austria's Modern Mueller in Granz changing it to Otto's mail order business in 1993. It started out in 1990 with a 50% share of Holland's Otto mail order business but quickly claimed 100% within six years.

By 1991 the Otto/Schwab merger was so profitable that they employed 3,500 workers to serve their customer's mail order needs, and reached a profit of 1,900 million Deutsch Marks. From 1992 until 2005, when Schwab celebrated its 50 year anniversary it had acquired the Margareta Catalog warehouse in Hungary, established the Schwab Group with a 2 billion profit, went on the stock market, founded the Sieh an Company ('Look at this'), and established its Creation L subsidiary through Witt. During this period it also moved into the French mail order market, acquired a small share in the My Toys Company and entered a joint venture in the English market (Otto UK). Today ambria, Baur, Eddie Bauer, discount24, bon prix, Heine, I'm walking, Otto, Otto Office, Otto media, Otto reisen, Otto universal versand, Sheego, 3 suisses, Freemans (UK) and Grattan account for some of the partners of the Schwab/Otto Group. In 2008 they placed number one in online shopping. What, way back then, begin as traders of 'special' items soon established themselves as all-round mail order houses.

Other successful BVH members such as Werkzeuge from Westfalia, have been going strong for 85 years (founded in 1923). Werkzeuge is a specialty mail order house for agricultural machinery, automobile accessories, house and garden equipment, tools: both electrical and manual and much, much more (check their website for their complete product list).

Then there's Eduscho/Tchibo commonly known for its sale of coffee, which started in 1924. Today Eduscho sells everything from your coffee needs and accessories to dessous (Basic mix and match underwear for everyday and night), decorative classics for the kitchen-tastefully designed to meet your culinary needs, wellness products: workout pants, sweat suits, etc., to help you feel great and relaxed; hale and hearty little things, which includes a designer exercise ball (149,00 Euros) and other items such as velour pajamas; household items: radiator brush, dust pan and travel accessories; mobile telecommunications services; and-you can even book your next vacation. How's that for something special to accompany your morning cup of java? Discover Eduscho/Tchibo online!

It is the merger of some of Germany's smaller, less profitable houses with conglomerate builders such as Otto (1949), Neckermann (1950), Heine (1951), Junghans-Woll (1954), Schwab (1955), and Peter Han (1960) that fueled the development of Germany's mail order frontier. Back in 1996 the BVH reported that 49%, almost half of Europe's mail order trade, came from German citizens. They also reported that there are at least 20 main mail order companies, 12 of which are based in Germany and of these twelve, two are the largest houses in the world. The BVH figured approximately 350 million catalogs were printed each year with 60% for specialty items, while the other 40% contain multiple categories. This worked out to four catalogs per person or at least 10 catalogs per German household. That was back then.

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