Amazon Inc. announced a rebrand for its online resale marketplaces. The move is designed to make it easier for customers to discover discounted items from top brands.
Amazon Resale, previously called Amazon Warehouse, continues to offer a wide selection of used, pre-owned and open-box products. These options cater to a growing demand for affordable alternatives.
“Customers turn to Amazon for value and low prices, which is why we’re constantly innovating to find new ways to offer products at a variety of price points,” the company wrote in a corporate blog post announcing the name change. “That’s where Amazon Resale comes in.”
The rebrand highlights the ecommerce giant’s strategic focus on the growing resale market. Amazon ranks first in Digital Commerce 360’s Top 1000 Database. The database ranks the largest online retailers in North America by annual web sales. Additionally, Amazon holds the third spot in the Global Online Marketplaces Database. That database tracks the top 100 global marketplaces by 2023 third-party gross merchandise value (GMV).
Amazon Resale savings in 2023
In 2023, Amazon reported that customers saved an average of over 25% on purchases made through Amazon Resale.
The rebranding aims to better reflect the online marketplace’s offerings, according to Amazon spokesperson Callie Galván.
“We are constantly working backwards from the customer to improve the shopping experience,” Galván shared in an email to Digital Commerce 360.
While Galván didn’t reveal the top-performing categories on Amazon Resale, she mentioned that tech gadgets, home furniture, kitchen appliances, tools and pet supplies are among the popular items.
How to shop Amazon Resale
Customers can explore Amazon Resale through two main options. By visiting the dedicated homepage, they can browse through categories or search for specific products. Alternatively, when viewing a product page, users can scroll down to the “Save with Used” or “Buy Used” sections, where they’ll find Resale options complete with condition descriptions and pricing.
Before any item is listed on Amazon Resale, it undergoes a “thorough inspection,” according to the company. For electronics, the process includes powering on, testing, and factory resetting the device. Products are then categorized as “Like New,” “Very Good,” “Good” or “Acceptable.” All purchases are covered by Amazon’s return policy.
“Since each item at Amazon Resale is unique due to its nature, we are unable to replace an item with its exact same condition, but we may have something similar in stock,” the company noted.
Beyond savings, Amazon stressed that Resale supports the circular economy by extending the life of used products. The company said it’s committed to giving returned items a second chance through resale and other channels like repairs or donations. In 2023, Amazon reported that the company, along with independent sellers, donated over 160 million products worldwide.
Returns remain a major hurdle
Returns continue to be a challenge for ecommerce retailers. While customers now expect easy return processes, the convenience contributes to increased landfill waste and emissions.
According to a report by the National Retail Federation and Appriss Retail, the retail industry faced $743 billion in merchandise returns in 2023, representing 14.5% of total sales. For every $1 billion in sales, retailers incurred an average of $145 million in returns.
Online sales saw even higher return rates, with around 17.6% or $247 billion of merchandise purchased online being returned last year, compared to about 10% for brick-and-mortar stores. Optoro, a company specializing in returns logistics, estimated in 2022 that ecommerce returns generated up to 24 million metric tons of CO2 emissions a year.
In response, major retailers are increasingly embracing recommerce, or reverse commerce. Walmart, for instance, introduced the Walmart Restored program in 2022, making it easier for customers to find refurbished items from brands like Samsung and KitchenAid on Walmart.com. Best Buy also offers a nationwide recycling program for old tech and sells refurbished electronics both online and in stores, while eBay has a dedicated section for refurbished electronics.
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