By Anna Ribas, on 9 May 2023
More and more companies, regardless of their size, are opting for an online or ecommerce business model. Out of concern for the environment or the desire to save money, among other factors, many are becoming more interested in selling and advertising second-hand products. Because of this, the recommerce model was born. Let's take a closer look at what this is and how it works.
What Is Recommerce?
Recommerce is the sale or resale of second-hand products through a physical store, ecommerce, or social media platform. Because it consists of selling used goods, it is a more environmentally conscious type of commerce.
This sales model or practice is also known as resale commerce and aims to unite online business and sustainability. This way, hyper consumerism can be reduced and waste can be limited.
This online sales model is often carried out by well-known brands or through platforms designed exclusively for this purpose.
Characteristics of the Recommerce Model
More and more people are committed to the environment and are willing to make a greater effort to fight against pollution and climate change. This has led to an increased desire to reuse items rather than always purchasing new ones.
The recommerce sales model promotes sustainable consumption and reduces the production of new products, which in turn reduces the amount of waste in the world
Another outstanding feature of recommerce is that it promotes saving money, since second-hand products are cheaper than new ones. Additionally, sellers often receive a percentage of the resale price and recover some of the money they initially invested in that product.
It's important to note that in addition to the benefits mentioned above, recommerce maintains all the advantages and characteristics of an ecommerce. These include easy access for buyers, online and offline payment options, visibility at a local, national and international level, etc. It has also been found that brands that apply this type of sales model are seen more positively.
Successful Examples of Recommerce
There are a number of well-known brands that have applied the recommerce model. Let's look at a few of them.
Levi's
Levi's gives people the option of handing in their used clothes in exchange for a voucher that they can use to buy other items. The brand then sells those garments on its platform so someone can give them a second life.
RealReal
RealReal is an online consignment store that sells a wide range of products, from home goods to fashion. They offer people prepaid shipping to send in quality goods that they no longer want. These are then authenticated and sellers get between 55% and 60% of the resale price of the items they sent in.
In both cases, this new way of selling online has proved to be a success, and has been very well received by consumers.
