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WHAT SELLS IN EAST GERMANY
By - Miriam Widman $

(FORTUNE Magazine) – Last year's currency unification sent shoppers in the former East Germany after brand-name goods like Sharp televisions. But now the economic crunch and high unemployment have converted the would-be yuppies into price-conscious consumers. Many are turning to mail-order catalogues. Sales of catalogue companies lately have shot up about 50% in Germany, with a big piece of that coming from East Germany. Among the beneficiaries: Quelle, Germany's biggest mail-order outfit, which is based in the city of Furth. Its 1,325-page catalogue resembles Sears', with one big difference: A full page is devoted to various sexual aids. East Germans like to buy refrigerators, washing machines, furniture, VCRs -- and such do-it-yourself items as electric drills and paint. In fact, they seem so set on fixing things themselves that one poll shows West Germans believe Easterners would rather repair an item than buy a new one, even if it means spending an extra pfennig or so. Once East Germans have redone their homes, they move to buy clothing. But don't expect mass sales of trendy duds. Neckerman, a Frankfurt catalogue company, says tastes are conservative. Cars still head most wish lists. Volkswagen has 18% of the East's market. The leader, with 23%, is Opel, a GM subsidiary.