58% of consumers choose Pre-owned over New, new report says
The 2024 Recommerce Report by OfferUp, in collaboration with GlobalData, provides a comprehensive look at the booming resale market in the U.S. and the changing consumer behaviors that are driving its growth. With secondhand shopping becoming increasingly popular, the report forecasts an impressive 55% market growth, reaching an estimated value of $291.6 billion by 2029. What once was a niche, cost-saving practice has evolved into a mainstream trend, embraced by a broad spectrum of consumers for its affordability, sustainability, and unique shopping experiences.
Key Insights from the Recommerce Report 2024:
- 58% of consumers prefer buying secondhand items over new ones, highlighting a significant shift in shopping habits.
- The resale market is projected to grow by 55% by 2029, reaching a value of $291.6 billion, with resale accounting for 8% of total retail.
- 35% of shoppers tried resale for the first time in the past year, an 8% year-over-year increase in new participants.
- 53% of shoppers consider secondhand shopping a fun and enjoyable activity, turning it into a hobby rather than just a practical choice.
- 72% of shoppers believe the stigma around secondhand shopping has decreased, reflecting changing societal values and attitudes toward sustainability.
- 74% of consumers sell items on resale platforms for extra income, with many using the earnings for bills, debts, or daily expenses.
- 76% of secondhand purchases are for non-clothing items, including electronics, furniture, home goods, and sports equipment.
The Growing Popularity of Resale
The resale market has rapidly transformed from a budget-friendly shopping option into a cultural and social phenomenon. The OfferUp report reveals that 58% of consumers now prefer secondhand purchases over new items, demonstrating a broader acceptance of resale as a valuable alternative to traditional retail. This shift is partly driven by the thrill of discovery, with 55% of shoppers consistently finding unique items and hidden gems through secondhand transactions that they wouldn’t have been able to find or afford if they were new.
In fact, secondhand shopping is now seen as more than just a financial decision; it’s become a social and enjoyable activity. 53% of respondents find resale to be an enjoyable hobby, while 63% enjoy meeting people in person for secondhand transactions. The sense of community and human connection that resale fosters has made it not just a practical choice but an emotionally rewarding experience.
Resale’s Role in Sustainability and Financial Empowerment
Beyond the emotional satisfaction, the report underscores the important role that resale plays in sustainability. As consumer values evolve, 61% of respondents believe that changing views on consumption and waste are contributing to the decreasing stigma around secondhand shopping. Shoppers are recognizing the environmental benefits of extending the lifecycle of products and reducing waste by opting for pre-loved items. The resale trend is a reflection of society’s growing concern with sustainability, as 58% of shoppers appreciate the lower environmental impact of secondhand shopping.
Financial empowerment is another key factor driving the surge in resale. 74% of consumers sell items on resale platforms to earn extra income, with half of them using the profits to cover everyday expenses or pay down debt. In fact, 50% treat reselling as a side hustle. In today’s economy, where inflation and cost of living have spiked, resale has become a crucial financial strategy for many households. For some, the ability to turn unused items into cash has been transformative, allowing them to meet financial goals such as traveling, paying for education, or funding self-improvement.
Digital Marketplaces Fuel Resale Growth
The growth of digital marketplaces has been instrumental in propelling the resale market forward. Online resale platforms such as OfferUp have made it easier than ever for people to buy and sell pre-owned items from the comfort of their homes. 52% of shoppers are active on three or more online resale sites, and 77% visit resale sites at least once a week. This growing online engagement is contributing to the overall expansion of the market, as digital platforms provide a convenient and efficient way for shoppers to find items they need at a lower price while also being able to sell their own items to a broad audience.
The report highlights the increasing amount of time consumers are spending on resale platforms. 44% of shoppers reported an increase in time spent on resale sites over the past 12 months, and a significant portion, 40%, spend at least an hour a day browsing these platforms. With the convenience of mobile apps and websites, resale is becoming an integral part of many consumers’ daily routines.
The Future of Resale: A $291.6 Billion Market by 2029
With resale continuing to gain traction, it’s expected that the market will grow by 55% over the next five years, outpacing the growth of the overall retail market by 21%. The total market value is forecasted to hit $291.6 billion by 2029, and resale is projected to account for 8% of total retail. This impressive growth is driven by the widespread acceptance of resale as a viable and preferred shopping method.
The report predicts that 76% of recommerce transactions will involve non-clothing items, such as electronics, furniture, home goods, and sports equipment, further expanding the reach of the resale market beyond apparel. This diversification of products is attracting a wider range of shoppers and contributing to the robust growth projections.
Conclusion
The OfferUp 2024 Recommerce Report paints a promising picture of the future of secondhand shopping, with resale transforming into a powerful force in the retail landscape. Consumers are increasingly drawn to the unique items, affordability, and environmental benefits that secondhand shopping offers. With 58% of consumers now choosing resale over new items, and the market on track to grow to $291.6 billion by 2029, the future of recommerce looks brighter than ever. The trend is not only reshaping retail but also empowering consumers financially and contributing to more sustainable consumption patterns.
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