Crafts: Sales decline for small businesses

The revenue of large craft businesses is rising, but small businesses – the majority in the craft sector – have recorded a significant decline, according to the Federal Statistical Office. The number of businesses is decreasing slightly.

The approximately 564.000 craft businesses in Germany generated a turnover of 762 billion euros in 2024, according to the Federal Statistical Office (Destatis) . This represents a decrease of 0,6 percent compared to the previous year, while the number of craft businesses declined by 0,7 percent.

According to the statistics, in 2024 an average of around six million women and men were employed in the skilled trades, including 4,1 million employees subject to social security contributions and 1,3 million marginally employed persons.

The picture differs significantly depending on company size:

Large craft businesses with 50 or more employees recorded a sales increase of 3,4 percent in 2024 compared to the previous year.

Small businesses with fewer than five employees, on the other hand, had to accept a sharp drop in sales of 15,1 percent.

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The healthcare sector saw the largest increase in revenue, rising by 4,1 percent compared to the previous year. This sector includes opticians, hearing aid specialists, and dental technicians, among others. The automotive industry also experienced growth, with a revenue increase of 3,3 percent, while the food industry recorded only a slight increase of 0,6 percent.

In contrast, sales declined in 2024 in the finishing trades (minus 3,2 percent), in the skilled trades for commercial needs (minus 2,0 percent), and in the construction industry (minus 1,2 percent). The skilled trades' share of total economic revenue in 2024 was 7,8 percent, 0,2 percentage points higher than in the previous year. Overall, 12,7 percent of all employees subject to social security contributions in Germany worked in the skilled trades. Skilled trades businesses accounted for 15,9 percent of all businesses. 

In 2024, the construction industry accounted for two-thirds (65,2 percent) of all craft businesses. By far the largest sub-sector within the construction industry – and within the craft sector as a whole – is the finishing trades . According to Destatis, in 2024, 213.000 finishing trade businesses, employing 1,6 million people, generated a turnover of €213 billion. This represents a decrease of 2,1 percent in the number of craft businesses in the finishing trades and a decrease of 3,2 percent in turnover compared to the previous year.

Source: Destatis

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