German Christmas markets

"Best" is highly subjective, but most of the markets generally sell the same cheap merchandise (there are some notable exceptions). When I lived in Germany, I liked the one's near my village best because I usually knew a few people. There's something about sharing Glühwein with your neighbors on a cold winter's evening.

But for a tourist, what makes a market stand out is probably the setting. Most towns and cities tend to hold their's in an attractive area, but few can beat the stunning backdrop of Lindau on the Bodensee. This market also featured food that went well beyond the usual grilled meats and sausages that are staples at most others.

The Oberstdorf market was one of the few I saw that featured primarily artisinal crafts, instead of the usual mass-produced trinkets.

The Nürnberg market is the most famous... and as such, it's the most packed with outside tourists. Avoid it.

I would have enjoyed the Frankfurt market more if I wasn't there with my dog. The huge crush of people was too much for the poor thing, but it was very festive.

Of the ones I went to, Frankfurt was my least favorite (too crowded, mostly mass-produced merchandise), and the ones in Alsace (Strasbourg, Colmar) were my favorites, plus Esslingen (a short ride from Stuttgart) for it's wonderful medieval market. From Frankfurt you can easily day trip to see both Mainz and Weisbaden in a day - both are nice smaller markets.

I have posted this before, but added some updates and links:

In my area ( North and East Bavaria) I like Regensburg as it is three markets at three market squares (1 large and two small) and four if you include Turn and Thaxis. The Christmas lights in the city are nice too with the main streets in the old city and small medieval lanes and there are plenty of unique cafes and places for a drink and something to eat.
www.regensburg.de/christkindlmarkt
www.thurnundtaxis.de/events/weihnachtsmarkt.html

I like Landshutt too. Not really a big Christmas market, but a nice market and town.
http://www.landshut.de/portal/kultur/veranstaltungstipps/christkindlmarkt.html

Forcheim is a nice small Christmas market and they have the Christmas Angel every night in the windows of the famous old timber frame Rathaus decorated as a Christmas Advents calendar. Bamberg is nearby too with markets at several market squares. Forchheim is also famous for the Forchheimer Krippenweg (small nativity sets, some are animated) too.
http://www.forchheim.de/content/weihnachten-forchheim

Augsburg has a nice Christmas market and is famous for the show in the evening (Friday-Sunday) in the Rathaus windows with people dressed and acting as mechanical manikins (Augsburger Engelesspie). Munich is only a half hour train ride away too.
www.augsburgerchristkindlesmarkt.com

All close around 20:00 in the evening. My advice for the best experience is go to in the evening when it's dark. Make you first stop a Glühwein stand and drink a cup. You will enjoy the market better, the cup makes a good souvenir and the crowds won't bother you as much.

This page will probably be updated as 2015 Holiday season nears:
http://www.weihnachtsmarkt-deutschland.de/

I haven't been to a lot of markets - maybe 10 altogether over many years. Nuremberg's is great but yes, overwhelmed by tourism. Frankfurt is of course very easy to reach from Paris compared with some places. I agree with Chani about nearby Mainz's market - it's a nice one. I thought Rüdesheim's market (a short train trip from Frankfurt or Mainz) was exceptionally atmospheric.

Rüdesheim market site

In Gengenbach (lovely old town) the town hall windows become days on an Advents calendar:
Gengenbach town hall
Gengenbach market

Much of Germany is very close to Paris. From Paris you can be in Strasbourg (near German border) very quickly - less than 2.5 hours. Strasbourg's market is quite popular. So it might make sense to try a Paris - Strasbourg (side trip to Gengenbach) - Esslingen (per Chani) - Mainz (side trips to Rüdesheim, Wiesbaden, Frankfurt) route. Mainz is just 25 minutes from FRA airport.

If one doesn't find all of the hand made items at the Frankfurt Christmas market, then you weren't looking very well. Lots of pottery, hand puppets, nutcrackers/smokers/pyramids from the Erzgebirge, Lebkuchen, Quetschmenschen, wood nativities and figures, jewelry, doll house furniture, knitted items, fur & leather, bees wax, liquors & oils, metal working, silk painting, beadwork, etc. Best is to shop the stands in the early daytime, eat and drink at night. The Rosa Market is lively and has the best potato pancakes.

The most mass produced items I have seen at a market have been in Rüdesheim, which though it has a decorative, festive atmosphere, sadly has too many stands selling stuff from China. The Scandanavian and Nepal stands were nice, but that was about it.

You might want to consider heading East over to Seiffen and Erfurt.
If you want to stay central, check out Marburg, Mainz, Frankfurt, Bad Homburg, or if you are here on select weekends, Idstein or Seligenstadt.
Up north you have Quedlinburg, Lübeck, Berlin and Hamburg.

Favorite big market is Stuttgart. Favorite small market is Esslingen, followed by Idstein. Most beautiful hand made items were in Seligenstadt at their market in the Abbey.

Straussburg and Colmar have a great atmosphere, but had the same items as what is sold in Germany.

Are the best Christmas mark in northern or southern Germany.

There are no "best markets", but there is a region where most of Germanys Christmas traditions come from, and the Christmas markets there are quite special and unique:

The true land of Christmas
Germany's Christmas toy towns
Longing for light
The German towns that Christmas traditions sprung from

We have visited markets in 4 recent years. They mainly sell similar items as Tom already said. We pick our destinations as towns that we enjoy and take the markets as a nice way to spend an evening.

Regensburg, which Trabitz already mentioned, was our favorite town/market combination. The Thurn and Taxis market in Regensburg is held at the palace with a much atmosphere. We also liked the town of Landshut, which is nearby. The market is a typical small town affair, which makes it very pleasant. We very much like the town of Landshut.

Both these towns are a short train ride from Munich. The main market in Munich at Marienplatz is enormous but crowded in the evening, impossibly crowded on weekend evenings. Best to visit Marienplatz market in the afternoon and then another market in the evening. We really enjoyed to the arts and crafts market in the Schwabing district in the evening. We were taken there by a native of Munich that considered it her favorite. It was not that Christmasy, having a Reggae band for the entertainment on the night that we visited.

All that said, I would not be reluctant to focus on the Frankfurt or Stuttgart areas. Stuttgart had the best large city market that we visited and we much enjoyed an evening spent in nearby Esslingen, with its medieval market.

http://mcchelsea.smugmug.com/Other-1/Esslingen-2013/35504333_SfNrdp

You can't really go wrong. It is a great time to visit Germany.