Ikea expands resale program across 33 US stores for the holidays

Dive Brief:

Following what it's calling a successful resale pilot at a Philadelphia-area store, Ikea this week said it will bring its "Buy Back & Resell" service to 33 U.S. stores from Nov. 1 to Dec. 5.
The program is limited to loyalty members, who can get store credit for their "gently used" Ikea furniture, which is sold through an "As-Is" section at the store.
At all U.S. stores for the Black Friday weekend — what Ikea is calling "Green Friday" — a dedicated section called the Sustainable Living Shop will feature sustainable products and "solutions and tips to make green living easier and more affordable." Loyalty members can get discounts on "sustainable home solutions and IKEA food products with sustainability certifications," per an emailed press release.

Dive Insight:

Ikea has declared its Philadelphia-area resale pilot a success, saying that all of the used furniture that it took in has been resold.

That holds promise, not just for the retailer's sustainability goals but also, potentially, for any supply chain hiccups it may be experiencing. Port clogs, manufacturing delays and other supply chain issues have been making retailers and consumers nervous about what might be available to buy during the holiday season.

The boom in secondhand apparel is edging into other categories. ThredUp, which is running a resale platform for other retailers that Wells Fargo analysts expect could be highly lucrative, recently signed up electronics and appliance giant LG. And DTC home brand Floyd, which like Ikea sells flatpack goods, recently established its own "circular marketplace."

"By expanding the service to more stores across the U.S., we hope to inspire more IKEA Family members to participate and further showcase how sustainable living can be obtainable and affordable for the many," Jennifer Keesson, the sustainability manager for IKEA U.S., said in a statement.

Still, the effort is limited to the company's loyalty members and only runs through early December. A company spokesperson said that the U.S. operations have "the ultimate goal of making Buy Back & Resell a permanent service at all IKEA stores across the U.S. in the future," and that the limited expansion "will help us to continue to test and learn as we go so we can ensure a smooth implementation across our markets."