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What is recommerce & why is it here to stay

If you are planning on tackling the clothing industry you need to be aware of recommerce and avaliable recommerce solutions.

January 22, 2024

When we talk with our clients we are often surprised at how little they know about recommence. Those that are familiar with the clothing industry usually have some notion of it. But most haven't the clue of how big and lucrative recommence actually is. So, to help mitigate this, we are going to take an in-depth look into recommence and give you some recommerce solutions for your online store.

What is recommerce

Put simply, recommence is the practice of reselling goods. Just think of your thrift stores, clothes boutiques, or pawn shops and you will get the picture. These goods, as you can imagine, need to be in good condition so that they can be presented and sold. If the companies manage to maintain the quality standard of their goods, they can easily develop a system where recommence is the norm. Especially if they handle the marketing properly. So, you get the notion that recommence is surprisingly big, even if most people aren't aware of it. But, how big is it actually?

Jeans hanging in store, representing a sucessful implementation of recommerce solutions.

How big is recommerce

Recommerce is most commonly used in the clothing industry. Apart from that, you can see recommence in:

• Video games.

• Books.

• Vintage products and collectibles.

• Electronics.

Recommerce reports usually exclude eBay or vehicle and mobile home resale, as that would simply be too much to cover. The main industry for recommerce is clothing. Here, it has become a staple for many large brands like Levis, Woolrich, Louis Vuitton, and Hermes.

A pair of jeans on a table.
People are often surprised to learn that certain brands deal with recommerce.

So, how big is recommence? Well, as it is with all large markets, it can be hard to say. But, a popular estimate rates that the value of clothing recommerce in 2023 will go over $51 billion. If you let that number sink in, you will soon realize how big recommence is and why it is vital to make good use of it. Especially if you are in the business of selling clothes.

Why is recommerce here to stay

We can all agree that $51 billion is a big number. But some of you may believe that this is a temporary anomaly and that recommerce is bound to slow down, or even revert. Well, as things are progressing, this is simply not the case. In all likelihood, recommerce is likely to become even more widespread with practically all stores using it when possible. But, why is it so, and why has recommerce become such a large thing in the clothing industry? Well, there are a couple of reasons.

Sustainability and eco-friendliness

As it is now, the clothing industry has a substantial carbon footprint. To quote Ellen Macarthur Foundation "the equivalent of one garbage truck full of clothes is dumped or burned in a landfill every second." If this doesn't seem alarming enough, just consider that in the last 20 years, clothing production has doubled. Combine that with the ongoing climate change, and you'll soon see why there was a turn towards recommerce.

Being eco-friendly is only going to become more important as time goes by.

With recommerce the whole clothing industry becomes much more eco-friendly. If we don't have to rely on one-and-done clothing, we can easily lower our carbon footprint.

Item value

Another reason why recommerce is likely to stay is that the cost of goods is significantly reduced when they are resold. It is by no means a secret that the biggest part of your clothing item's value comes from the brand. A $10 pair of jeans will cost you $50 if you put the right brand on them. And, if it gets sponsored by a celebrity, the cost can easily go up to $200.

Well, the great thing about recommerce is that the quality of items is the main determining factor, not the brand. Every item looks great when it is brand new. But, if the item is going to survive until resale, it also needs to be top quality. So, with recommerce you have a much better chance of getting value for your money.

Online recommerce solutions

So, let's assume that you are considering running a clothing store and you want to incorporate recommerce. You'd be wise to do so as you'd be taking a slice of the multi-billion dollar market. But, you'd need to tackle a couple of things before you set up your recommerce store. So, to help you along, here are some recommerce solutions to keep in mind.

Understand how your brand relates to recommerce

When it comes to online marketing, every brand can relate to recommerce. For example, you can outline that you value quality over branding. Or that you want to do your part in preserving our environment. Whatever the case, you need to make sure that your brand has a clear thematic connection with recommerce. That way, you will have a much easier time mentioning it in your marketing content.

A designer working on branding in order to incorporate recommerce solutions.
 You cannot implement recommerce solutions if you first don't have a firm understanding of how your brand relates to them.

Emphasize the advantages of recommerce

As you can see, a large number of people are still unaware of recommerce. So, an easy way to boost both your sales and your SEO is to emphasize its advantages. Story content, in particular, can be of great help, as you can use bitesized content to pique the interest of your viewers.

Use your marketing content carefully

When it comes to reommerce solutions, you want to avoid being self-righteous. It is not uncommon for people that promote eco-friendly business practices to put shame on competitors that don't. And, while this might seem like a good idea, you should refrain from doing so. Giving bad press to your competitors does not only give you a petty look but also inadvertently promotes them. So, focus on creating a good brand experience and giving your customers what they want.

Develop a personal connection with your audience

Best recommerce stores carefully track what their audience likes. By doing so they are able to notify them once interesting items come about. Doing so is more important than in standard stores, as there there is no shortage of supply. So, if you want to have a sustainable business model, try to personalize your marketing content and ensure that your customers become connected to your brand.

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