Australians could make thousands of dollars just from selling junk accumulating in their home.
Online trader, Gumtree released a report, Trading in the Circular Economy which found that the average Australian has around 21 items lying around their home which they could sell for quick cash.
But what exactly is the circular economy?
The circular economy is a system where people rethink how they use products for society, the environment, and business. Instead of going into dumps or being wasted, creating more pollution, products and materials are kept in use.
Products and materials will generally go through the following stages in the linear model: take – make – dispose.
In the circular economy they go through extra stages – Make – use – repair and reuse – recycle and then back through each of those stages.
In Gumtree’s report, they trialled a number of Australians and got them to go through their unwanted household items and participated in the circular economy have made around $5,300 from their unwanted items.
Millennials have unlocked the highest amount of money through the circular economy, with them earning $6,907 on average. This compares with $3,669 for Gen Xers and $3,399 coming in last at $3,399.
The industry’s value is $48 billion, which is a growth of 89% over the last ten years.
Around 20% of Australians have much more than that, with the potential to resell 40 pre-loved, unwanted or unused items per household.
The financial impact of the COVID-19 pandemic has been felt in all sectors of the community, with 55% of those affected creating their alternative income streams.
Gumtree’s survey found 36% of Australians are more likely to purchase second-hand items from online marketplaces and 41% are more likely to sell on an online marketplace. 53% of Australians who experienced a financial loss have already bought or sold pre-loved items to supplement their lost income.
And 50% of Australians have sold pre-loved items in the last year and 86% of Australians have purchased pre-loved items at some stage, which translates to 89 million used goods changing hands.
The top categories are office furniture (42%), dining tables (41%), cars (40%), and home decor or other furniture items (37%).
If you’re buying in the circular economy, here are five tips if you’re purchasing second-hand goods:
- Do your research.
- Save your searches.
- Ask questions.
- Practice safe trading.
- Set it up safely by following the supplier or manufacturer’s original instructions.