A new consumer survey from shipping platform ShipStation highlights the rapid growth of the UK’s recommerce market, with Millennials and Gen Z leading the shift towards second-hand shopping. As the cost-of-living crisis continues, over a third of British consumers now opt for pre-owned or refurbished items on a monthly basis. This shift, driven by the desire for lower costs and higher quality at affordable prices, reflects a fundamental change in how the nation shops.
ShipStation’s survey delves into the growing importance of the recommerce sector, currently valued at £7 billion according to Barclay’s Bank. The findings suggest that this market will continue to thrive as high-street retailers struggle to keep up with the evolving needs of cost-conscious consumers. With traditional retail traffic on the decline, recommerce offers an alternative that not only saves money but also caters to sustainability-minded shoppers.
Value and Sustainability Key Drivers
Across all age groups, the primary motivation for purchasing pre-owned goods is the lower cost, with 70% of respondents highlighting this as the top reason. Quality is another key factor, with 37% of consumers saying that they buy second-hand to secure higher-quality items for a lower price. In addition to these economic reasons, 27% of respondents cite environmental concerns as a driving factor behind their choice to buy pre-owned or refurbished goods.
The survey suggests that retailers, particularly small and medium-sized enterprises (SMEs), should consider expanding their inventory to include pre-owned items in order to meet this growing demand. Emphasising the cost savings and the unique or rare finds available through recommerce could help retailers attract a broader customer base.
Younger Generations Lead the Way
The survey found that Millennials and Gen Z are the primary drivers of the UK’s recommerce boom. More than half of Gen Z (58%) and Millennials (50%) reported buying second-hand items either weekly or monthly. In contrast, the majority of Baby Boomers remain less interested in the trend, with 27% saying they never purchase pre-owned goods.
“Recommerce is not just a passing trend—it’s a lasting shift in consumer behaviour,” says Matthew Trattles, Vice President of SMB at Auctane, ShipStation’s operating brand. “Retailers have a unique opportunity to capitalise on this change, particularly in the lead-up to peak shopping seasons. Focusing on cost-saving and unique items will be essential for meeting customer demands and remaining competitive in the evolving retail landscape.”
Delivery Experience Shapes Loyalty
While the recommerce market is growing, certain factors prevent customers from returning to retailers. High shipping costs were identified by 71% of consumers as the main deterrent for repeat purchases. Additionally, late deliveries put off 46% of Gen Z and 48% of Boomers from shopping again with a retailer, while poor packaging was a key issue for 36% of Millennials and 35% of Gen X shoppers.
The survey highlights the importance of not only offering competitive prices and unique products but also ensuring a seamless delivery experience in order to foster customer loyalty.
With younger generations leading the charge, recommerce is set to continue reshaping the UK retail landscape. For retailers, embracing this shift presents a clear opportunity to align with changing consumer behaviours, offering both value and quality in a cost-conscious market.