Summary

The resale market is booming, and brands that act now can capture significant value from it. Resale-as-a-Service (RaaS) helps manufacturers and retailers take back, refurbish, and resell their products — without the complexity of building systems themselves. This post explores how RaaS enables companies to generate new revenue, build customer loyalty, and strengthen their circular business strategy. If you want to own your secondary market and turn sustainability into profit, read on.
Flat lay of an open cardboard box, folded sweater, return label, and tablet showing a resale portal interface.

Resale-as-a-Service: The Untapped Value of Resale

Most companies leave value on the table after the first sale. Once a product leaves their hands, they lose visibility, control, and the chance to engage the customer again — while missing out on revenue opportunities from that product’s second life. Resale-as-a-Service (RaaS) helps brands reclaim this value by enabling them to take back, refurbish, and resell their products — without the operational complexity of building their own resale systems from scratch.

In an era where customers demand sustainability and regulators push for circular economy practices, RaaS provides an easy, profitable way for manufacturers and retailers to extend product lifecycles. Instead of watching third-party platforms capture the resale market, brands can now own the secondhand narrative, drive additional revenue, and strengthen customer loyalty — all while reducing environmental impact.

At its core, Resale-as-a-Service combines technology, logistics, and service expertise to help brands launch branded resale channels quickly and efficiently. For sectors like textiles, sports equipment, household appliances, furniture, children’s products, and industrial machinery, RaaS represents a powerful lever to turn circularity into profit.

What exactly is Resale-as-a-Service?

Resale-as-a-Service (RaaS) is a business model that enables brands to enter the resale market without having to build and manage the complex infrastructure themselves. Instead of setting up their own take-back systems, refurbishment processes, and resale platforms, companies partner with specialized providers who deliver everything as a service — from technology and logistics to customer service and analytics.

The key advantage: brands maintain full control over the customer experience, pricing, and brand narrative, while experts handle the operational complexity in the background. This means manufacturers and retailers can quickly launch resale channels that look and feel like their own — without tying up internal resources or investing heavily in new systems.

At koorvi, this is exactly what we make possible. We help companies in textiles, furniture, electronics, children’s products, and industrial machinery turn resale into a profitable, easy-to-manage part of their business model — so they can generate revenue, increase customer touchpoints, and meet their sustainability goals.

Screenshot of a refurbished product page in English titled “YourBrand Refurbished,” showcasing secondhand outdoor clothing.
Example of a demo Branded-Resale shop.

Resale-as-a-Service vs. Other Models: Why It’s Different

When stepping into the resale market, it’s important to understand how Resale-as-a-Service (RaaS) stands apart from other concepts that might sound similar — but deliver very different outcomes for your brand.

Unlike peer-to-peer resale platforms like eBay or Vinted, where customers sell directly to each other and the brand has no say in pricing, product presentation, or customer experience, RaaS keeps your brand in control. You decide how your products appear in the resale market and how customers interact with them.

RaaS also goes beyond traditional buyback or trade-in programs, where customers return used products in exchange for a discount on something new. While trade-in is a useful tool, it stops at the point of return. Resale-as-a-Service powers the entire cycle — from take-back to refurbishment, resale, and delivery — helping you generate revenue from the second life of your products.

It’s important not to confuse Resale-as-a-Service with Retail-as-a-Service, even though they share the same acronym. Retail-as-a-Service focuses on shared physical retail spaces where multiple brands showcase their products, while RaaS enables brands to create resale programs that support the circular economy.

Lastly, reverse logistics providers typically handle the flow of returned products, repairs, or recycling. But they don’t provide the customer-facing resale platform or the tools to manage pricing, marketing, and analytics. Resale-as-a-Service brings it all together — combining operational expertise with branded resale experiences that strengthen customer relationships and drive new revenue.

Business Models Behind RaaS

Resale-as-a-Service (RaaS) providers offer flexible business models that make it easy for brands to step into the resale market — without massive upfront investment. The most common models include:

  • Commission-based models, where the provider takes a percentage of each resale transaction. This is a low-risk way for brands to enter the market, as costs are tied to actual sales performance. Commission rates typically depend on the level of service — from basic platform use to full-service resale management.
  • Subscription or hybrid models, where brands pay a monthly fee for access to the resale platform and tools, often combined with lower commission rates per transaction. This approach suits companies aiming for higher volumes or more customization in their resale operations.
  • Value-added services generate additional revenue for RaaS providers while creating real value for brands. These services can include:
    • Authentication and quality control — ensuring only genuine, high-quality products reach resale customers.
    • Logistics and fulfillment — managing storage, shipping, and returns for resale inventory.
    • Marketing and promotion — driving traffic to resale channels through targeted campaigns.
    • Analytics and reporting — giving brands insight into resale performance, customer behavior, and sustainability metrics.

For brands, the key to profitability lies in choosing the right mix of services that fit their product category, customer base, and business goals. Done right, RaaS turns resale into a revenue stream that not only pays for itself, but strengthens loyalty and captures the secondary market before competitors do.

The Technology Powering RaaS

Behind every successful Resale-as-a-Service (RaaS) offering is a powerful technology stack that makes circular models not just possible, but profitable.

One of the cornerstones is authentication technology. Leading RaaS platforms combine AI-driven tools, blockchain-based provenance tracking, and human expertise to ensure that only genuine, high-quality products are resold. This is especially critical for categories like fashion, electronics, and machinery, where trust and quality assurance are non-negotiable.

Inventory and pricing automation is another key enabler. Advanced systems help brands track every item from take-back to sale, assess condition, and set dynamic prices based on market data, demand, and product lifecycle stage. This automation reduces manual effort while maximizing resale value.

Integration is what turns resale into a seamless extension of your business. The best RaaS platforms connect easily with e-commerce systems, CRM tools, ERP software, and emerging solutions like Digital Product Passports (DPPs). This means brands can manage resale operations alongside their core business — with unified data, marketing, and customer engagement.

Looking ahead, technology will continue to transform resale. IoT sensors, AI-powered pricing algorithms, and advanced data analytics will allow brands to optimize resale strategies in real time — creating a smarter, more profitable secondary market that adapts to customer needs and market trends.

Why Brands Are Embracing Resale-as-a-Service

The resale market is no longer a niche — it’s becoming a core driver of growth. Global secondhand sales in fashion for example, are projected to exceed $350 billion by 2028, with resale growing 11 times faster than traditional retail. Online resale alone is expected to account for nearly half of all secondhand spending by 2025. For brands, this represents a massive untapped revenue stream.

But it’s not just about sales potential. Today’s customers expect more from the brands they buy. Consumers — especially younger generations — are actively seeking sustainable options, while governments across Europe and North America are introducing regulations like Extended Producer Responsibility (EPR) that push companies to take greater accountability for their products’ lifecycle. Resale-as-a-Service provides a practical, profitable way to meet these rising expectations.

Perhaps most importantly, RaaS enables brands to own their secondhand narrative. Instead of letting third-party marketplaces define how their products are resold, companies can deliver a resale experience that aligns with their values, quality standards, and customer promises — building loyalty and trust in the process.

Some of the companies already benefitting from it are Tchibo, The North Face and Ahrend.

The North Face Renewed Trade-In landing page showing mail-in and drop-off options for used clothing.
Renewed: The North Face's Resale as a Service approach

Challenges to Watch

While Resale-as-a-Service (RaaS) opens up exciting opportunities, it’s important for brands to be aware of the challenges that come with building a successful resale program.

First, there’s the operational complexity. Resale involves handling individual products, each with unique conditions. Grading, pricing, and managing logistics at scale require robust processes and reliable partners. Without the right systems in place, the cost and effort can quickly outweigh the benefits.

Then there’s the challenge of integration with legacy systems. Many brands have existing e-commerce, ERP, and CRM platforms that weren’t designed with circular business models in mind. Connecting these systems to a resale platform without disrupting core operations demands careful planning and the right technology.

Finally, brands must ensure their resale programs deliver genuine sustainability impact — not just marketing claims. Customers and regulators are increasingly skeptical of greenwashing. This means tracking and reporting meaningful metrics, such as CO2 savings, landfill diversion, and product lifespan extension, to prove that resale efforts make a real difference.

At koorvi, we believe these challenges are solvable — and that with the right strategy and tools, resale can become a powerful, profitable part of any business.

How to Choose the Right RaaS Approach

Choosing the right Resale-as-a-Service (RaaS) solution depends on your brand’s unique goals and resources. Factors to consider include:

  • Brand positioning: Are you a premium brand needing tight control over customer experience, or a value-focused brand aiming for scale?
  • Product type: High-value, durable goods (like furniture or appliances) may require more robust refurbishment and authentication processes than fast-moving consumer goods.
  • Target customer: What resale experience will your customers expect — seamless integration into your existing shop, or a separate resale destination?
  • Internal capacity: Do you have resources to manage parts of the process, or do you need a full-service partner?

Our recommendation: start small, learn fast, and scale smart. Launch a pilot program with a clear product focus. Test the customer response, refine your operations, and then expand to new categories and markets. At koorvi, we guide you through every step — from concept to profitable circular business model.

The Future of Resale-as-a-Service

Resale-as-a-Service is no longer a nice-to-have — it’s becoming a standard part of modern retail and manufacturing strategy. As resale continues to grow faster than traditional retail, and as sustainability expectations rise, brands that act now will gain a significant competitive edge.

Own your secondary market before someone else does. koorvi helps you make resale profitable, easy, and on-brand.

FAQs

What is Resale-as-a-Service and how does it differ from traditional resale platforms?

Resale-as-a-Service (RaaS) is a business model that enables brands to launch and manage their own resale channels without building complex infrastructure themselves. Unlike peer-to-peer platforms like eBay or Vinted where brands have no control over pricing or customer experience, RaaS keeps brands in full control while specialized providers handle technology, logistics, refurbishment, and analytics in the background. Unlike traditional buyback or trade-in programs that stop at product return, RaaS powers the entire cycle from take-back through refurbishment to resale and delivery, generating revenue from products’ second lives while maintaining brand integrity and customer relationships.

What business models do Resale-as-a-Service providers typically use?

RaaS providers offer flexible models designed to minimize upfront investment for brands. Commission-based models charge a percentage of each resale transaction, making this a low-risk entry option where costs directly tie to sales performance with rates depending on service level. Subscription or hybrid models combine monthly platform access fees with lower per-transaction commissions, suitable for brands targeting higher volumes or more customization. Value-added services generate additional revenue while creating brand value through authentication and quality control, logistics and fulfillment management, targeted marketing campaigns, and analytics providing insights into resale performance, customer behavior, and sustainability metrics. Brands should choose the service mix that fits their product category, customer base, and profitability goals.

Why are brands increasingly adopting Resale-as-a-Service strategies now?

The resale market has evolved from niche to mainstream growth driver, with global secondhand fashion sales projected to exceed $350 billion by 2028 and growing 11 times faster than traditional retail. Online resale alone is expected to account for nearly half of all secondhand spending by 2025. Beyond market opportunity, consumer expectations have shifted dramatically, especially among younger generations actively seeking sustainable options, while regulations like Extended Producer Responsibility in Europe and North America push companies toward greater lifecycle accountability. RaaS enables brands to own their secondhand narrative instead of letting third-party marketplaces define how products are resold, delivering resale experiences aligned with brand values and quality standards while building customer loyalty and trust.

What technology infrastructure powers effective Resale-as-a-Service platforms?

Successful RaaS platforms rely on sophisticated technology stacks combining multiple capabilities. Authentication technology uses AI-driven tools, blockchain-based provenance tracking, and human expertise to ensure only genuine, high-quality products reach resale customers, critical for fashion, electronics, and machinery where trust is essential. Inventory and pricing automation tracks every item from take-back to sale, assesses condition, and sets dynamic prices based on market data, demand, and product lifecycle stage, reducing manual effort while maximizing resale value. Seamless integration with e-commerce systems, CRM tools, ERP software, and emerging solutions like Digital Product Passports allows brands to manage resale alongside core business with unified data, marketing, and customer engagement. Future innovations including IoT sensors, AI-powered pricing algorithms, and advanced analytics will enable real-time optimization of resale strategies.

What should brands consider when choosing a Resale-as-a-Service partner and strategy?

Selecting the right RaaS approach depends on several key factors including brand positioning which determines whether you need tight control over premium customer experiences or focus on value and scale, product type as high-value durable goods like furniture or appliances require more robust refurbishment and authentication than fast-moving consumer goods, target customer expectations for seamless integration into existing shops versus separate resale destinations, and internal capacity to determine if you need full-service partnership or can manage portions in-house. The recommended approach is to start small with a focused pilot program, test customer response, refine operations based on learnings, and then scale to new categories and markets. Brands can explore their circular readiness and get expert guidance on launching profitable resale programs at koorvi.com.