In a nutshell
Otto will open its marketplace to sellers from across the EU this year by removing previous payment and VAT restrictions that effectively limited participation to German sellers. For brands looking into the German market but wanting an alternative to Amazon, this move is strategically relevant. The marketplace will soon become structurally accessible — so this is the right time to learn how Otto works and where your product might fit.
⏱ Time to Read: appr. 7 min
A Structural Shift: Otto Opens Beyond Germany
For years, selling on Otto was effectively limited to German sellers because payment processing and VAT requirements made a domestic setup necessary.
This year, Otto will finally adjust this framework: “Marketplace internationalisation is an important step for us to further expand our curated assortment of more than 18 million products, while at the same time giving high-quality partners from across the EU access to our high-reach platform with more than 12.2 million active customers”, confirmed an Otto spokesperson to Marketplace Universe.
EU-based sellers will be soon be able to apply for selling on Otto without establishing a German entity, as the previous payment and VAT constraints have been removed. While the exact timeline for the move is yet to be unvealed (Otto is hinting towards more information at the end of March 2026), it is already clear that the marketplace will open its door step-by-step, most likely admitting Dutch sellers first, and then onboarding sellers from more countries.
What remains unchanged, however, is the marketplace’s selective onboarding logic.
Onboarding remains application-based and curated. Sellers are still evaluated on assortment fit, logistics capability and service standards.
The structural door will soon open, but it will do so slowly and deliberately – maintaining control over assortment qualityis key for Otto. That means: Now is the time for international brands considering the German market, to learn more about this opportunity and ask:
What exactly is Otto — and could it be a good fit for my product?
Why Otto Matters in the German Market
Before assessing fit, scale matters.
According to ECDB 2024 data:
- Total GMV: ~$7.67bn
- GMV Growth: ~9.1% YoY
- 1P Net Sales: ~$4.77bn
- 3P GMV: ~$1.99bn
- Total Orders: ~44.9 million
That places OTTO firmly among Germany’s largest ecommerce players — with a marketplace business that is meaningful, but not dominant within its overall model.
Recent Otto Group reporting also highlights disciplined assortment management and a focus on profitability rather than a scale-at-any-cost expansion. The marketplace growth is embedded within a retail-rooted ecosystem.
Marketplace Universe Insight
Otto’s marketplace volume (~$2bn) is large enough to matter — but still structurally embedded within a retailer-first ecosystem. That balance shapes how selectively the platform expands its marketplace ecosystem.
Core Marketplace Logic: Curated, Not Open
Unlike Amazon or eBay, Otto does not operate as a fully open self-service marketplace.
Sellers can apply.
They are reviewed.
And they are selected.
Evaluation includes:
- Assortment relevance
- Service KPIs
- Logistics setup
- Data structure
- Category compatibility
Otto does not optimize for long-tail SKU density.
It optimizes for relevance and trust.
For EU sellers accustomed to frictionless onboarding, this difference is structural.
Category DNA: Where Otto Is Structurally Strong
ECDB’s 2024 category split illustrates Otto’s weighting:
- Fashion: ~$2.3bn GMV (28%)
- Furniture & Homeware: ~$2.25bn GMV (27.5%)
- Electronics: ~$1.65bn GMV (20%)
Fashion and Home together account for more than half of total GMV.
Otto’s historical DNA lies in household, furniture and family-oriented fashion. Unlike Zalando, its fashion focus is less trend-driven and more practicality-based.
Electronics is relevant but not structurally dominant in the way it is on Amazon.
Otto, in its core, is a generalist — but not a neutral one.
Its gravity lies clearly in Home and Fashion.
Logistics: What Otto Expects from Sellers
There is currently no Otto-operated fulfilment service comparable to Amazon FBA. Instead marketplace sellers are responsible for their own logistics — either in-house or via external logistics partners.
This includes:
- Reliable delivery to customers in Germany
- Full shipment tracking
- A compliant returns solution, typically routed to a German warehouse
While cross-border shipping from another EU country is possible, delivery speed and return handling must meet Otto’s standards.
For many international brands, this means setting up a German 3PL partner before going live. This also means that Otto is not a low-commitment cross-border test channel — logistics capability is part of the entry logic.
What Makes Otto Structurally Different?
A common misconception is to describe Otto as “a German Amazon”.
That comparison is too simplistic.
The key to understanding Otto lies in understanding its customer base.
“Otto serves a very loyal customer group. Many of them have been buying for years and expect a certain level of quality and service. They are sometimes willing to pay more for that than on other marketplaces.”
– Marketplace consultant, Timo Daedrich
That loyalty shapes the economics.
Price competition exists, but Otto is not driven by extreme spirals that mechanics like Amazon’s Buy Box create. There is no algorithmic price war. Instead, pricing discipline and assortment fit matter more than aggressive undercutting.
The hybrid retailer–marketplace model reinforces this structure. Customers buy at Otto, not at individual sellers. Checkout and payment are centralized, strengthening trust — particularly for lesser-known international brands entering Germany.
Sustainability also plays a more operational role than on many platforms, especially in Fashion and Home categories.
Marketplace Universe Insight
Otto is not optimizing for maximum assortment volume.
It is optimizing for catalogue coherence.
Otto Readiness Checklist for EU-Sellers
Brands considering OTTO should pressure-test themselves against the following:
Logistics
- Can you provide reliable shipping within Germany?
- Do you have a German returns solution?
Data & Content
- Are your product attributes fully structured?
- Is your content localized in high-quality German?
- Can you comply with Otto-specific category logic?
Pricing
- Is your German pricing stable and consistent?
- Does it align with your positioning on other German channels?
Assortment
- Does your range add relevance to Otto’s existing catalogue?
- Are you competing on quality rather than pure price?
Sustainability
- Can you document materials, certifications or supply chain transparency if required?
If several answers are “not yet,” Otto will likely feel demanding and might not be the right fit just now.
The Structural Impact of OTTO’s Expansion
The removal of payment and VAT restrictions on the marketplace is a significant switch.
But it does not transform Otto into an open marketplace.
It expands access but keeps it within a curated framework.
With ~$7.7bn GMV and nearly 45 million annual orders, Otto is too large to ignore for brands serious about Germany. Yet it remains structurally different from Amazon, eBay or Zalando.
Marketplace expert Timo Daedrich’s advice to international brands is clear:
“Focus on relevance and quality rather than on quantity. Deliver value to Otto’s assortment and to Otto’s customers and you can build up a successful marketplace business in Germany.”
Key learnings
- Otto will become structurally accessible to EU sellers in 2026, country by country.
- Access does not equal automatic acceptance as the marketplace is heavily curated.
- Fashion and Home remain core revenue drivers.
- Customer loyalty shapes pricing dynamics.
- Logistics discipline and data precision are decisive.
- Otto is a controlled gateway into Germany — not a scale shortcut.
18.02.2026 – Written by Ricarda Eichler, Journalist and Author for OHN