Re-commerce on the rise: German consumers are focusing on sustainability!

Re-commerce on the rise: German consumers are focusing on sustainability!

The re-commerce market in Germany is experiencing an unprecedented boom. A study from Federal Association of E-Commerce and Mail Order Germany shows that in recent years more and more consumers are turning to used and remanufactured products. This change is not just a trend, but a sign of the transition from a linear to a circular economy.

The study, carried out in collaboration between the Institute of Trade and International Marketing the University of Saarland and ibi research carried out at the University of Regensburg, comprehensively analyzed Germans' online behavior with regard to second-hand products. Accordingly, total re-commerce sales in 2024 were 9.9 billion euros, which corresponds to an increase of 7.2 percent compared to the previous year.

Purchase focus and consumer appeals

The majority of consumers are showing a growing willingness to buy used products. According to the study, 55 percent of respondents purchased second-hand products online in the last year, while 52 percent sold used goods. The main motives for these decisions are environmental sustainability and affordable prices. 71.5 percent of buyers describe ecological aspects as important, followed by 71.2 percent who consider price to be crucial.

Particularly noteworthy is the potential for reducing CO2 emissions. Buying second-hand products can save 60 to 80 percent of CO2 equivalents compared to new items. Nevertheless, there are legal challenges that inhibit the development of the re-commerce sector. Unclear warranty and return rights as well as tax hurdles represent a risk for many buyers.

Market opportunities and the role of established retailers

The re-commerce market will continue to grow in the future and is estimated to be worth around $207.2 billion by 2024, with a projected increase of 55 percent by 2029. Providers such as Rebuy and Momox dominate this sector, while C2C platforms such as eBay and kleinanzeigen.de remain the most popular places to buy second-hand items.

Clothing and media companies are also benefiting from this trend. Apparel is the most popular category, followed by media products. Established brands such as H&M and Zalando have also started taking back used goods, further underlining the importance of re-commerce.

The increasing demand for more sustainable products and cheaper prices has meant that 32 percent of German consumers have already resorted to second-hand offers in 2023. The forecast for 2024 speaks of an increase to 35 percent. This clearly shows that consumers are switching to new shopping behavior.

The results of the study highlight the need for a policy framework to promote re-commerce. Proposals such as uniform quality seals, reduced VAT on remanufactured products and digital product passports could help reduce barriers and further stimulate the market.