IKEA starts “second chance” project

Author: Dimitri Lagun
Date: 27.08.2018

Circular economy with repurchase of used furniture

The Swedish furniture giant Ikea launches the pilot project “second chance” in terms of circular economy on September 1. This was announced in August by the company based in Leiden, the Netherlands. Within the offensive Ikea repurchases used furniture in good condition and resells it at the “treasure trove” of the furniture store.

Ikea wants to increase sustainability

According to the company, Ikea wants to promote sustainability in the furniture trade and increase the lifetime of their products due to this project. Claudio Marconi, Head of Logistics Development at the Inter IKEA Group, announced at LogiMAT 2018 that the topic of re-commerce will increasingly be in the focus of the company.

The project is based on the idea of well-known return concepts, which are already used by, for example, Momox, Ebay classified ads or the fashion retailer Zalando. However, Ikea does not want to compete with these companies.

Focus on popular product groups

As part of the “second chance” project, Ikea will initially take back the popular product groups “Kallax”, “Malm” and “Hemnes”. Customers can offer their furniture for repurchase via an online portal. Questions about product status can be used to assess whether the product is suitable for resale. Products that are not in good condition will not be redeemed by Ikea.

The customers have to take care of the logistics by themselves. The assembled product must be taken to a participating customer center where the condition of the article is checked. If the product is suitable for resale, the seller will be credited 30 to 50 percent of the original price on an Ikea prepaid card.

Project tested at five locations

For the time being, the project will be tested in five furniture stores. According to Ikea these are the branches in Berlin-Lichtenberg, Kaarst, Würzburg, Siegen and Hannover Expo-Park. If the offer is successful, it will be launched in other stores.