While the economy is facing difficulties due to the impact of the COVID pandemic, the secondhand market has grown enormously in China. For this type of retail, hard times provide suitable conditions for such a business to thrive.
According to SCMP’s report, the revenue of secondhand selling platforms has reached a high level recently. The transaction value of these platforms reached $33.8 billion (240.12 billion yuan) in the first half of 2022.
According to market research platform www.100ec.cn, sales of secondhand goods on platforms by the end of this year could reach $66.4 billion (480.24 billion yuan), up 20% year-on-year.
Famous online commerce platforms have also turned to this lucrative market. For example, Alibaba launched the secondhand trading app Idlefish with more than 300 million users last year.
According to Bloomberg, buying old goods in China was once considered bad luck because they were afraid that someone now deceased used to own these items. Besides, consumers saw shopping in thrift stores as a sign of financial difficulties.
This preconception is quickly vanishing when young consumers choose to use secondhand due to having trouble finding a good job.
SCMP cited Kang Yu, 24, a postgraduate student in Shanghai city, saying that if the items she needs are not necessarily new, such as underwear and socks, she will consider buying them secondhand.
Kang said that at a time when many companies were struggling to overcome financial difficulties due to the impact of the COVID pandemic, she could not find a job after earning a master’s degree in communication. So she needs to consider buying passed-on items to save more.