Refurbed breaks even after €2B in sales – now eyeing 15 more European countries

Refurbed, the Vienna-based marketplace for refurbished electronics, claims it’s now profitable on a monthly basis – a milestone few in its category have reached. Founded in 2017, the company has grown fast across Europe and is now operating in eleven countries.

Its business model? Selling second-hand gadgets – from phones and laptops to kitchen appliances and e-bikes – that have been professionally restored and re-sold online.

Since launch, Refurbed says it’s shifted over €2 billion worth of goods.

"This is proof that our business model is solid, and that there’s enormous potential in the circular economy", co-founder Peter Windischhofer tells Impact Loop. "While many companies continue to burn through capital in pursuit of growth, we’re showing that it’s actually possible to combine scalability with building a long-term profitable company."

While Refurbed hasn’t disclosed its 2024 financials yet, filings from Austria’s corporate registry show that the company pulled in €62.7m in turnover in 2023 – while posting a net loss of €20 million. Just months later, in November 2023, it raised another €57m in fresh capital.

Word-of-mouth has been key to growth, especially in Sweden – now the company’s third-largest market after Germany and Austria. Since its Swedish launch, over half a million products have been sold locally via Refurbed, with total sales topping SEK 1 billion.

"Sustainability alone is not enough"

Windischhofer’s message to other entrepreneurs in the circular space is refreshingly direct.

"The product or service has to be truly sustainable, with real impact. But the offering also needs to be strong," he says, and continues:

"Being sustainable alone is often not enough. The price also needs to be attractive, and the whole experience has to be good. Sustainability on its own isn’t enough for many customers – it might work if you’re doing something niche, but not if you want to reach the mass market."

Quality control is non-negotiable, he adds. Refurbed works with around 400 partners who handle the refurbishment and resale of products. But only the best are kept on.

"We’re super strict when it comes to quality. If we see that a seller doesn’t have good feedback, we don’t allow them to resell," says Windischhofer.

Hard lessons from Poland

Not everything has gone to plan. In 2018, Refurbed tried to break into the Polish market – and failed.

"We simply didn’t have the tech infrastructure in place at the time," Windischhofer admits. "But we want to try again. Poland is a really interesting market."

Where Refurbed is going next

Refurbed’s business model is commission-based. For every product sold, the company takes a roughly 10 percent cut – the rest goes to its partner refurbishers.

And it’s not just small repair shops anymore. Household names are joining the movement.

"We work directly with companies like Dyson, AEG, and Electrolux. It’s fantastic to see that these brands want to sell refurbished products," he says, and continues:

"This will help the circular economy grow significantly if all these major brands also enter the market."

There’s plenty of room for growth. According to Global Market Insights, the European market for refurbished electronics is expected to grow from SEK 670 billion to around SEK 990 billion by 2034.

To capture more of that pie, Refurbed expanded into Belgium, Portugal, Czechia and Finland last year.

"At the same time, there are 15 countries in Europe where we’re not yet present – but which we see as interesting," says Windischhofer.