Germany is well-known for its quality products as well as strict work ethicsand other things. But we Germans don’t pay that much for food and many convenience products either. The low cost of living isn’t automatically a low quality of living. Germany is just very efficient in logistics and thus can offer many products to a much lower price than in other countries.

Video comparison: Food prices in New Zealand vs. food prices in Germany

New Zealand YouTuber Antoinette Emily compared several German discounters to known New Zealand shops and came to a conclusion. Here’s the video in full:

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Why is stuff so cheap in Germany?

Stuff is so cheap because:

a) Germany is an export-orientated country so the aim is to deliver cheap products everyone wants to buy – and produce in mass.

b) We Germans earn less that inhabitants of other countries. That may sound crazy but while our economy is the biggest in Europe, the Germans are the poorest people in Western Europe. The German taxes are one of the highest in Europe – in return we get free healthcare, schooling, and other stuff. And while basic products are heavily subsidized, many convenience products like cigarettes are very pricy.

In the end it’s a mix. Germany is neither rich nor poor. We get many cheap products but on the same page we earn less and so have fewer opportunities to spend money.

Christian Allner
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Christian Allner

Freelancer at Schrift-Architekt.de
Your guy with a bachelor's degree, a passion for cooking, freelancing social media consultant, organizer of workshops and seminars for social media, Facebook marketing, and so on.

I have a neverending curiosity how things work. I'm involved with Mailbox Germany since 2014. Let us explore this world and its logistics!

Since 2011, I work as Schrift-Architekt, a freelance consultant for social media and for some time now I am an avid German podcaster with #Onlinegeister, radio about internet culture, social media, and PR.
Christian Allner
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