The Lifecycle of Second-hand Products: An Empirical Study on Longevity and Disposal by Product Category and Condition among C2C Users in Japan

Main Presenter:    Dami Moon 

Co-Authors:   Kentaro Teramoto     Norimasa Kobori                                          

The transition to a circular economy (CE) is a global priority, with reuse emerging as a key strategy to extend product lifecycles. The rapid growth of Consumer-to-Consumer (C2C) online marketplaces is a key driver in mainstreaming secondhand consumption. However, the effectiveness of this trend in extending actual product lifespans, and thus the significance of reuse within the product lifecycle, remains unclear. Evaluating the impact of reuse on product lifespan and new product displacement is therefore a critical task for conducting accurate Life Cycle Assessments (LCA) and formulating effective CE strategies.
This study empirically investigates the impact of reuse on product longevity and circularity. We aim to: 1) quantify lifespan extension and calculate the displacement rate of new products resulting from secondhand purchases, 2) Analyze how these effects vary across product categories (e.g., apparel, bags) and conditions (e.g., ‘like new’, ‘used’), and 3) ultimately, understand the net effect of C2C reuse on overall product circularity.
We conducted a comprehensive online survey with users of Mercari, Japan’s largest C2C platform. The survey targeted high-transaction categories and collected data on product acquisition, current use duration, future use intention, and counterfactual purchasing behavior to determine the displacement rate.
We expect to reveal that the effectiveness of reuse is highly dependent on the product’s purpose and context. For products purchased for functional value and practical use, such as apparel, bags, and shoes, we anticipate demonstrating a significant lifespan extension and a high displacement rate, as they serve as direct substitutes for new items. In contrast, for products acquired for hedonic or epistemic value, such as collectible cards or limited-edition figures, we hypothesize the analysis will reveal a low displacement rate and a potential rebound effect, driving additional consumption rather than replacing new purchases. These findings will provide a concrete empirical basis to replace what are often simple assumptions in building LCA models for product reuse.
The novelty of this study lies in its empirical quantification of the key metrics- product lifespan extension and new product displacement rate-differentiated by product category and condition. Using original survey data, our approach moves beyond the generalized assumptions of previous research by providing concrete,context-specific figures. This novelty holds twofold significance. First, it delivers significant value to the LCIC community by enhancing data quality for LCA of reuse systems. Second, it offers actionable insights for policymakers and platform managers. Specifically, they can design targeted interventions to promote the circulation of high-displacement product categories or mitigate the rebound effect in others, thereby enabling them to effectively maximize the net positive impact of the circular economy.

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