This article seeks to explain the variation in the electoral success of far-right parties in Germany and Austria over the past several decades. It argues that the reaction of existing political parties, the tabloid press and civil society to right-wing populism has been different in the two states, and that these differences help explain the divergent development of the Austrian Freedom Party (FPÖ) and the German Republicans (REPs). The article explores how the strategies of mainstream political forces affect the coalition markets, party organizations, political recruitment and perceived legitimacy of right-wing populist parties. It concludes by surveying recent developments concerning the far right in Austria and eastern Germany.