What is ReCommerce? ReCommerce otherwise known as reverse commerce is nothing but the selling of previously owned products. Reselling goods has been around for a long time, but thanks to the internet and the changing behavior of consumers, recommerce is witnessing a huge boom. Consumers, especially the younger generation are keen to reduce their impact on the environment. Hence, recommerce is becoming more and more important. There is a growing demand for secondhand goods. There is a whole spectrum of companies that follow a recommerce model. Studies have shown that the recommerce industry is growing 20 times faster than the broader retail market. Recommerce was previously limited to brick-and-mortar stores. This is no longer the case now. Online resellers have taken the industry to a completely new level now. Companies such as threadUP, Poshmark, TheRealReal are doing quite well in this sector. Clothing and second-hand apparel take the largest market share of recommerce. It is expected to reach more than $51 billion by 2023. Home goods and art are the other popular sectors. Some of the most profitable recommerce businesses are: 1. Clothes 2. Art 3. Designer handbags 4. Vintage products 5. Jewelry 6. Shoes 7. Electronics 8. Books Benefits of ReCommerce Resellers can earn money from products they do not want, while the consumers can get good products at discounted prices. The major benefits of listing on a recommerce brand site are: 1. Sustainability Reusing garments reduces the demand for the production of new ones. This reduces the demand for raw materials and reduces energy usage in factories. This helps the environment as there is less emission of harmful gases. 2. Saves money Consumers can save money as second-hand items come at discounted prices. They can also buy goods that were previously unaffordable. 3. Promotes conscious consumption People will start buying items that have good resale value and after using them will most likely resell them. 4. Encourages recycling Recommerce encourages recycling and avoids waste. 5. Saves space People can save space by reselling items that they no longer need or use. The popularity of the resale market offers huge opportunities. In case you are a retailer, having a recommerce section on your website will help you make money. You can clear the inventory by reselling the returned items or unsold goods at discounted prices and clear out the stock quickly. For e.g. Levi’s second hand has created a reselling program wherein you receive a gift certificate for dropping your Levi’s denim at specific locations which are then resold through Levi’s branded site. Several bigger eCommerce retailers such as Amazon offer their own resale options. Below are a few tips that will help you once you have decided to adopt a digital recommerce strategy for your store. 1. Provide complete, honest, and detailed product Information Consumers need to know the original product specs, the current state of the product, if any repairs have been done, the reason for it to be on the resale market, etc. Ensure that the correct information is made available to the customer. 2. Showcase your merchandise It is important that you showcase your merchandise properly. Always use a variety of good-quality images. You’d be surprised how much interest you get from a higher quality photo with nice staging. 3. Know your customer and their expectations The best way to succeed is to know who you are selling to and their expectations. For example, many of the shoppers may prefer to support environmentally friendly products. 4. Customer service Ensure to offer good customer service. Responding quickly to the concerns of the customers is essential. 5. Engage with your customers Staying active in social media is a great way to engage with your customers. You can also connect and answer questions through social media which is a great way to not only engage but provide even better customer service. You can also start a recommerce site of your own. You can charge a commission for every sale made on your site. If you chose to start a recommerce company, SDI can help you in making the process smooth. Our team has designed and launched 3000 websites and 800 apps and all of them have proved highly successful in the market. Choosing us would be the best decision as we always believe in a win-win solution. Whether it is an app, website, or a platform for your recommerce business, we will be able to do it in a customized manner which will add a lot of value. Contact our experts today. Call +1.408.621.8481 or email us at team@sdi.la.