Back Market, the leading marketplace for pre-owned phones, laptops, and other electronic devices, has had a remarkable year in terms of growth and revenue. In 2023, the company saw a staggering 45 percent increase in revenue, reaching an impressive 320 million euros. This growth trajectory shows no signs of slowing down, and Back Market is on track to achieve profitability for the first time this year.
With headquarters in Paris and Bordeaux, Back Market currently boasts a workforce of approximately 700 employees. The company has also secured over 1 billion dollars in funding to support its expansion into 18 countries. As Back Market gears up to celebrate its 10th anniversary in November, CEO Thibaud Hug de Larauze anticipates a significant milestone – reporting positive earnings for the first time.
Explosive Growth in the UK
One of the key drivers of Back Market’s success is its presence in the United Kingdom, where it began operations in 2020. The UK market has emerged as the primary growth market for Back Market, with revenue surging by 80 percent last year. Back Market’s market share in Britain’s online refurbished tech market has also seen impressive growth, now accounting for 44 percent overall and over half for smartphones. CEO Thibaud Hug de Larauze attributes this success to a combination of cost savings amidst high inflation and a growing focus on sustainability.
“E-waste is a big topic; it’s something that matters to people.”
Hug de Larauze, who sees himself as more of an eco-warrior than a tech guru, emphasizes the positive impact on the planet that Back Market’s growth brings. He states, “The more we grow the business, the better it is in terms of impact,” highlighting the company’s commitment to sustainability alongside its financial success.
The Rise of Recommerce
Back Market operates within the flourishing online recommerce market, offering solutions such as repair, remanufacturing, rental services, reconditioning, refurbishing, and resale. The European recommerce market is growing at a rapid pace, outpacing overall online spending and projected to reach a trade volume of 120 billion euros by 2025.
Following in Vinted’s Footsteps
Vinted, a prominent C2C sales platform for used clothing, has set a successful precedent in the recommerce industry. Back Market is now positioned to achieve similar levels of profitability and success, paving the way for a sustainable and profitable future in the secondhand tech market.