The online market for used and returned products is now worth €21.6 billion across Europe and is expected to grow by €2 billion in 2025, according to new research commissioned by Amazon.
The e-commerce giant said that its customers across Germany, France, the UK, Italy, and Spain have saved an estimated €37.7 billion over the past five years.
In the past 12 months, it added, more than 740 million second-hand products have been in circulation.
The research by the Centre for Economics and Business Research (CEBR) looked at the size of the second chance market which includes used products, open-box items, where an item has been returned unused, and refurbished products.
Amazon said that sales of second-hand products exceeded €2 billion across Europe and the UK and included a broad range of items including fashion, home appliances and technology.
According to the research, the growth in this market is driven by cost-of-living pressures, concerns about the environmental impact and the convenience of second-hand products being available to purchase online.
The report found that around 85 per cent of shoppers under the age of 34 in Europe have looked at second chance items compared to 52 per cent of over 55s, highlighting a generational disparity.
Additionally, the research suggests around a third of European consumers no longer believe that new is inherently better than used.
While saving money remains the primary motivator for 34 per cent of European shoppers, Amazon said that attitudes are evolving, with environmental impact is now a major factor. 30 per cent of consumers cited sustainability concerns as a key reason for buying second-hand.
The report said that the second-hand economy will reach more than €23.8 billion in 2025, but warned that to reach this figure retailers must overcome lingering barriers such as concerns about product condition and perception of lack of warranties.
“European consumers are embracing second-hand shopping like never before – and it’s reshaping the retail landscape,” said Sam Littlejohn, Amazon’s head of returns and repairs in Europe. “We’re seeing incredible momentum, with financial pressures and the environmental benefits of keeping products in circulation, key motivations for shopping second-hand.”
In April, Vinted launched an investment arm to back re-commerce start-ups.
Vinted Ventures focuses on businesses across the re-commerce value chain, seeking to change consumer behaviours in favour of second-hand items.
Meanwhile in January, furniture retailer Ikea said it will expand its online second-hand marketplace across Europe after trialling the platform in Oslo and Madrid.
In an interview with the Financial Times (FT), Ingka chief executive Jesper Brodin revealed that the DIY furniture retailer had already extended the test to Spain and Norway, with the trial running until August.
