Buying new or refurbished?

Abstract

This research investigates how a durable and attractive product appearance, the perceived contamination risk, and consumers' environmental concern influence the purchase intentions of refurbished products. Consumers often have lower purchase intentions of refurbished products because they associate them with lower durability and fear that they are contaminated with a former user's traces. The environmental friendliness and lower price incentivise consumers to purchase
refurbished products. Limitations of prior research are that it has focused strongly on qualitative research, and a comparison to the factors influencing the adoption of new products is lacking. This research contributes by investigating which factors significantly influence the purchase intentions of refurbished products. It additionally aims to uncover how these factors differ from those influencing purchase intentions of new products. In an online survey, we exposed 351 participants to a blender or headphones and informed them that product was either new or refurbished. Two versions for each product were created to vary in terms durability and attractiveness. Participants rated multi-item constructs on products' durability, attractiveness, contamination risk, their environmental concern and indicated their purchase intentions. The results indicate that product-related factors, such as durability and attractiveness, are important across the different phases of a circular life. Other factors, such as the contamination risk and the consumers' environmental concern, however, play an essential role in the decision to purchase refurbished products specifically. Underlining the cleanness of refurbished products and that they are a sustainable choice could be worthwhile strategies for increasing the desirability of refurbished products.