The Second hand market (also known as the resale market or pre-owned market) is expanding rapidly worldwide, often outpacing traditional retail.

The broader second-hand products market was worth $186 billion in 2024 and is projected to hit $1.04 trillion by 2035, growing at an annual rate of 17.2%, driven by economic factors, environmental awareness, and widespread adoption of resale platforms.

From cars to heavy machinery, mechanical and electronic equipment, luxury goods, even hitting the fashion and apparel industry in the wake of the environmental awareness. Businesses are being built on the resale market, shops are selling refurbished electronics, there are even online platforms dedicated to reselling pre-owned clothing.

But how does this impact brands and dealerships? Is the second hand market a direct competitor to these brands? Or should they see it as an opportunity?

Market studies have shown that brands, dealers and platforms embracing the resale market are seeing measurable growth across different metrics, especially in market size growth and brand level impact. How? They are building on it!

• Certified pre-owned programs: many manufacturers have official programs that offer thoroughly inspected, refurbished used products with warranties and added benefits (cars, generators, heavy machinery, luxury watches, etc.)
• Extended warranty programs: manufacturers, OEMs and official dealers are using their brand image to sell extended warranty options. Capitalizing on the resale customers that are looking for guaranteed quality, even if at a more affordable price.
• Aftersales service and spare parts: the older the product, the higher the need for maintenance and parts. This is where some companies make the most profit!
• Strategic growth through brand loyalty: customer acquisition costs more than customer retention (it costs 5 to 7 times more). According to Harvard Business Review, increasing customer retention by just 5% can boost profits by 25–95%. So why not build on those acquired customers that are looking for a specific brand, even at a lower price threshold? Brands can create programs that offer trade-ins or credits to keep customers within the brand ecosystem
• Brand control: by embracing the resale market, brands are managing directly their image, having direct control on how their brands are resold and perceived.
• Getting onboard sustainability: Meeting consumer demand for eco-conscious choices and attracting customer that consider environmental impact when making purchases (60% of millennials and 91 % of Gen Z want to buy from sustainable companies).

Embracing the resale market is a smart, future-focused strategy for brands looking to grow in today’s sustainability-driven economy. As consumers increasingly prioritize eco-conscious shopping, participating in the second-hand market helps brands tap into new audiences, boost customer loyalty, extend the value of their products and capitalize on new growth opportunities.

Does your industry have a resale market? Get in touch with us to explore new opportunities to grow your business!