4 signs that the resale market is on the rise
Posted on Jul 02nd 2021
Today we are observing a change as more companies are lean toward a circular economy which brings a $4.5 trillion business opportunity. For sure, consumerism is making a shift from quickly purchasing new stuff to supporting reuse, repair, and resale.
Here are some indicators which are showing that the resale market is growing:
1. Physical companies embrace resale:
Making money from repair, renovation, and resale is not a disgrace but a worthwhile, trending business market.
In recent years, we've seen more physical companies entering the space — like Ikea, which as of late launched a worldwide buyback program and opened a store committed to selling used products.
We're likewise seeing a change in the general market. For example, the retail market of clothing saw a shrink to 15% somewhere in the range of 2019 and 2021, where the online used section extended by 69% during the same period.
2. Online platforms encourage resale:
Online resale has also become a typical strategy for buying secondhand products.
Like TheRealReal, thredUp and Poshmark, online resale companies can use their advanced commercial centers to sell a large number of products continuously. As a result, clients have a more extensive determination of items to browse and can sell their merchandise through the platforms — all without leaving home.
3. Business-to-business services are helping the resale market:
The presence of a business-to-business (B2B) market for secondhand products is another indicator that we're at a defining moment. There is presently an expansive scope of supported B2B organizations that offer different services at each progression in the value chain to help physical retailers resell.
4. Maintenance, repair, and renovation services are increasing:
From home appliances repair to phone restoration, companies are getting value from offering services instead of selling new products. As a result, the worldwide services and repair market was esteemed at $1.3 trillion in 2019, and it is expected to grow further in the coming years. However, there is still a huge gap to be filled in the resale and repair market.