Sustainable Biz #5 - Magazine - Page 8
Barclays calculates
the value of the
recommerce world
B
arclaycard Payments, a leading
payments provider, has partnered
with economic impact analysts,
Development Economics, to combine
thousands of consumer responses with
demographic data from the Office of
National Statistics to calculate the value of
the Recommerce Economy.
The analysis shows that the trend of
shopping more sustainably has contributed
£6.99 billion to the UK’s economy in the
last year, with Brits spending just over
£5.92 billion on second hand products and
£1.07 billion on renting items to use for a
set amount of time, rather than purchasing
them new. Barclaycard Payments found that
this behaviour is growing. Over four in 10
(44 per cent) buy more second hand items
than they did a year ago, while a further 57
per cent say their Recommerce shopping
behaviour has remained consistent,
indicating this shift in the way we shop is
here to stay.
The main motivator of change is the rising
cost of living, with six in 10 consumers (62
per cent) saying this is causing them to think
more carefully about the purchases they
make – up 19 per cent year-on-year. The
desire to adopt more sustainable shopping
practices (43 per cent) as well as accessing
items that would usually be financially out of
reach (22 per cent), such as designer goods,
are also key factors.
The research found that Brits make
£25 a month on average from selling
their unwanted processions on online
marketplaces or in-person, such as at
car boot or garage sales. In a sign that
Recommerce is going full circle, almost a
quarter (23 per cent) who resell items also
use the funds to purchase second hand items
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for themselves in the same setting. Amidst
the ongoing cost-of-living crunch, one in
five (21 per cent) puts the additional income
towards monthly bills and 15 per cent
transfer it to a separate savings pot.
Gen-Z adults (those aged 18-24) are
particularly motivated by shopping second
hand, viewing pre-loved items as ‘more
fashionable’ (30 per cent) while also being
attracted to clothes and accessories that their
peers are less likely to own (31 per cent).
Younger millennials (aged 25-34) are
S USTAI N AB L E B I Z MAGAZINE
MAY 2024
the largest contributors to the overall
Recommerce Economy, estimated to have
spent £1.95 billion on second hand items in
the past year and making up over a quarter
of the total (28 per cent). Comparatively,
those in the baby boomer generation (65-74
years) account for £602 million of spending
(9 per cent). By reviewing Recommerce
shopping trends, Barclaycard Payments and
Development Economics have calculated
the five sectors contributing the most to the
Recommerce Economy in last 12 months.
