How to mainstream secondhand consumption - a quantitative case study of a company in the refurbishment products industry

Abstract: The shortage of Earth’s limited resources is becoming more evident and our planet’s climate system is under immense pressure. To combat these problems, more people investigate the concept of circularity. This study intended to find out what make consumers motivated to buy used items from a professional refurbisher, thereby replacing purchases of brand-new products, and also identifying barriers. This study focuses on the case company GIAB. In their web shop Returhuset they sell returned, refurbished, and used products. A survey has been carried out among these customers. The study had a four-digit number of participants. Results show that price is the primary reason for their decision to purchase from Returhuset. Solely analysing consumers that otherwise would have purchased brand-new product(s), price is followed by sustainability, higher trust, simplicity, condition grading system, higher quality, warranty, expired product/model, wide assortment, and joyful activity (in that order). Respondents’ alternative consumer behaviour does have a statistically significant influence on their main reason for purchasing from Returhuset. For most respondents several features influence their decision. To become successful on the market and attract consumers, refurbishment companies ought to fulfill as many of those features as possible because the features affect each other, consumers value these features differently, and product type also matters. Especially features that are usually associated with a purchase of brand-new items should be offered to the customer by the refurbisher. Additionally, the product’s functional, hygienic, and visual appearance should preferably be experienced as being in new- or very good condition. To mainstream secondhand consumption, commercial refurbishment businesses need to more resemblance companies operating on a more traditional business model in terms of the features mentioned above. That is, offering more security, ease, and sufficient information associated to purchases of used products.