Summary

Germany's baby and kids equipment market shrank by 3.8 percent in 2024, with another decline forecast for 2025. In the same market, with the same customers, secondhand is growing at double-digit rates. Demand is not disappearing, it is switching channels. The open question is who captures it: the brands that built the products, or third parties.

If you run a brand selling strollers, car seats or kids furniture, your own sales figures probably tell the story: the market for new products is getting tighter. What industry reports mention less often: recommerce, the organized resale of used products, is growing faster in the kids segment than almost anywhere else in retail. This article walks through the market data behind both trends and what they mean for your resale strategy.

Toddler pushing a secondhand stroller, example of used baby gear

The market for new products: down 3.8 percent with no turnaround in sight

Revenue from baby and kids equipment in Germany fell by 3.8 percent to 7.12 billion euros in 2024. For 2025, the industry report by IFH KÖLN and BBE Handelsberatung forecast a further decline of 1.9 percent to just under 7 billion euros. After that: moderate growth below one percent per year, 0.7 percent until 2029 in the optimistic scenario.

The causes are structural, not cyclical. Annual births in Germany have dropped from 795,000 to 677,000. Add cautious consumer spending across all product groups and growing competition from Asian marketplaces. Anyone waiting for the classic new-goods business to recover is waiting for something the data does not support.

Secondhand baby gear is growing double digits

In the same market, the used segment shows the opposite curve. Revenue from secondhand baby and kids equipment grew by 22.5 percent in 2021 and added another 6.9 percent in 2022 (IFH KÖLN / BBE Handelsberatung). Prof. Dr. Philipp Hoog of BBE Handelsberatung sums up the current situation: online retail already holds a 41 percent market share, and the secondhand market is growing by more than 22 percent annually. His conclusion for retailers: those who offer neither experience nor sustainability will lose.

Looking ahead, the industry expects the gap to widen. Recommerce is forecast to grow 4.4 times faster than traditional retail (Doris Schoger, co-founder of the marketplace Tildi, in toys-kids.de).

Chart: kids equipment market declining while secondhand grows double digits

Why parents are switching: the math is simple

A full set of newborn equipment cost an average of 3,494 euros in 2022, roughly 300 euros more than in 2020 (IFH KÖLN). At the same time, kids gear has a characteristic almost no other category shares to this degree: product lifespan far exceeds usage time. A stroller lasts ten years but gets used for two. A high chair outlives three children.

Search behavior confirms the shift. In Germany alone, terms like "kinderwagen gebraucht" (used stroller) reach around 5,000 monthly searches, and queries for used baby clothes and secondhand baby gear stay consistently high across markets. Parents have already made their decision. The only open question is who they buy from.

Third parties are filling the gap right now

Because most manufacturers and retailers offer no channel for used products, an ecosystem of third parties has emerged. Munich-based marketplace Tildi sells secondhand items, returns and B-stock from more than 60 commercial sellers and lets parents trade in products their kids have outgrown. Platforms like relend and hey little bring rental and buy-back models into specialist retail. On top of that sits the enormous peer-to-peer market on Vinted and classified platforms.

Every one of these transactions involves your products, your brand and your customers. Just without you. Jesper Frandsen, founder of relend, puts the flaw of the classic model simply: a product can only be sold once. Brands that leave the secondary market to others give up every further transaction in the product's life cycle.

Branded resale: what brands actually gain

An own resale program, often called branded resale, flips that logic. Instead of watching, you take back three things.

Margin from the secondary market. Through a trade-in program you take products back, refurbish them and resell them with a quality promise. The spread between buy-back price and resale price belongs to you, not to eBay.

New customer groups. Refurbished offers reach parents who cannot or do not want to pay full price. They enter your brand world as secondhand buyers and often stay as full-price customers later.

Regulatory readiness. The EU Ecodesign Regulation introduces a destruction ban for unsold goods plus reporting duties on material use and waste. Circular economy practices are shifting from a sustainability topic to compliance. A working take-back system answers both at once.

Why almost nobody does this in-house (and how it works anyway)

The honest reason most brands still have no resale program: it is operationally demanding. Take-back, quality checks, refurbishment, logistics and a second storefront amount to a business model of their own. Few companies have managed to run a take-back system profitably on their own. Which is exactly why the industry sees a strong trend toward partnerships: brands and retailers increasingly look for partners who run the recommerce business in their name (toys-kids.de).

That is the core of resale as a service: you keep your brand, customer relationship and pricing control, while a partner provides the software, trade-in portal, refurbishment and fulfillment. You can start without your own warehouse or a new team, and the model works with your existing refurbishment or logistics partners if you have them.

Conclusion: the demand exists, the channel is missing

The kids equipment market is not shrinking because parents need less. It is shrinking because a growing share of demand flows into the used market, and that market currently operates almost entirely without the brands. The data is unambiguous: minus 3.8 percent for new goods, double-digit growth for secondhand, a factor of 4.4 in the forecast.

The next step is not a leap of faith, it is arithmetic: what is the secondary market of your products worth, and how much of it do you want to capture? If you want to run those numbers for your product range, talk to us. koorvi builds resale programs for brands with higher-value products, from trade-in to multi-channel resale.

FAQs

What is recommerce?

Recommerce is the organized resale of used products through professional channels, typically via trade-in programs, refurbishment and certified secondhand shops. Unlike private selling on classified platforms, companies handle take-back, reconditioning and warranty. In the kids segment, recommerce is forecast to grow 4.4 times faster than traditional retail.

How is the baby and kids equipment market developing?

The German market shrank by 3.8 percent to 7.12 billion euros in 2024, with a further 1.9 percent decline forecast for 2025 (IFH KÖLN / BBE Handelsberatung). Until 2029, only moderate growth below one percent per year is expected. Main drivers are falling birth rates, cautious consumer spending and competition from Asian marketplaces.

How fast is secondhand baby gear growing?

Revenue from used baby and kids equipment grew by 22.5 percent in 2021 and another 6.9 percent in 2022 (IFH KÖLN / BBE Handelsberatung). The segment is growing against the trend of the overall market, which stagnated and then shrank from 2024. Key drivers are rising prices, sustainability awareness and the short usage period of kids products.

Why should brands launch their own resale program?

A branded resale program recaptures secondary-market margin that otherwise goes to platforms like eBay, Vinted or third-party marketplaces. It also reaches price-conscious customers, extends the customer relationship beyond the first purchase and prepares brands for EU rules such as the destruction ban on unsold goods. Products with a long lifespan and short usage period, like strollers and high chairs, are especially well suited.

What does resale as a service mean?

Resale as a service means a specialized partner operates the entire resale business for a brand: trade-in portal, refurbishment, logistics and resale. The brand keeps its storefront, customer relationship and pricing control without building its own warehouse or team. The model has become established because few companies can run a take-back system profitably on their own.