Increasing motorization and the trend towards more economical bulk buying have favored the spread of hypermarkets, self-service department stores and discount stores, which are becoming more and more popular with consumers. As a result, many small neighborhood retailers have gone out of business.

In recent years, however, small and medium-sized retailers have managed to compete with large enterprises by catering for individual tastes, specializing in certain types of products, and offering expert advice and personalized service. Within the framework of the pilot project “Nachbarschaftsladen 2000″, local grocery stores have been authorized to provide additional services such as postal services, lottery ticket sales, and fax and copy services.