Second-hand sales- an opportunity for business owners
Due to the financial crisis, the buying preferences of the consumer have changed. Consumers are moving towards pre-owned items. Now they are searching for the wisest deals and ready to buy luxury items like pre-owned watches. This is the main reason why there is considerable growth in the second-hand goods market.
Let’s analyze some facts about the second-hand market: In 2018-19, 3.6 million new cars sales happened, but on the other side, 4 million pre owned car sales occurred. Second-hand mobiles below Rs 10,000 registered a growth rate of 9% in the year 2019. The whole pre-owned mobile phones market is doubled its sales from 2016. With the introduction of a website like TH baker, the demand for second-hand watches has increased quickly. With this, we can say that the second-hand market has won over the traditional new market. Not restricted to these, but there are many other categories in which consumers are interested in buying the pre-owned item.
Reasons to use pre-owned products
- The income of the consumer is limited.
- Prices of new goods are rising every day.
- Nowadays, customers are well educated regarding the pre-owned market.
- Buying pre-owned items could be eco-friendly.
- In the pre-owned market, consumers feel its value for money.
There are instances of several corporate giants entering the second-hand market as expansion. One of the renowned Indian car manufacturers has entered the used market while an Amsterdam-based multinational company acts as a mediator. Well, that’s the trend. Websites dealing with pre-owned luxury watches are not common, but many are implementing the concept.
- In a pre-owned market, you can find unique items.
- Packaging is not a necessity.
- By using pre-owned items, one contributes to nature’s conservation.
- Consumers can save money while shopping in the pre-owned market.
- The insurance premium on second-hand products is a bit lower.
Why will the pre-owned market escalate?
- The online platforms are pushing for the resale of luxury items.
- Especially the E-commerce companies are asking their consumers to sell used electronic gadgets as an exchange. A marketing gimmick, after all!
- Economically backward countries are ready to import pre-owned items from wealthier nations.
- The government is encouraging the citizens to use second-hand products to prevent natural resources.
- B2B services are emerging to help companies to sell used goods.
Earlier, middle-class consumers were unable to purchase luxurious goods due to their high price. But now, they can afford the luxury items in the pre-owned market. This is ideal for each consumer across the globe as the costs of new products are on the escalation. Pre-owned products are as good as the latest products in the market. Buyers should check the quality of the products before they buy so that in the maximum number of cases, consumers will get high-quality products at a lower price. To get more out of limited resources is human nature. Hence, it’s easily understandable that pre-owned luxury items can easily dominate future trends.