Three years ago, German high-end domestic appliances maker Miele began selling refurbished washing machines in the Netherlands alongside its regular products. This involves collecting Miele washing machines that have been returned, including those with scratches or easily repairable faults, fixing them up and reselling them online.
The German company chose the Netherlands because Miele products have proven popular in the country and because consumers there are comparatively open to refurbished products. The firm hopes the project will reach new customer groups. Max Wagner, who heads Miele's sustainability team, say the sale of refurbished appliances has not cannibalized his company's sale of new models, as was initially feared.
"We have been able to expand our customer base to include younger, digitally savvy groups who might otherwise have opted for a competitor for cost reasons," Wagner told DW. Polls had found that sustainability considerations such as saving resources and protecting the environment are of secondary importance to customers purchasing refurbished products, he added.
Another Miele pilot project focuses on refurbishing circuit boards. When repairing their washing machine, dishwasher or coffee machine, customers can choose between having a new circuit board installed, or having a refurbished one fitted. Often, clients opt for the cheaper, refurbished variant when fixing older appliances.
Miele refurbished around 12,000 electronic components in 2024, with its pilot project running in five European countries, including Germany. Giving clients the choice between new and refurbished components means a little more work for customer service agents, however, who bring both with them to appointments so that they can carry out repairs on the spot, in accordance with customer's wishes.
Washing machines are particularly suitable for re-use because they are relatively expensive and sold in large quantities, so there are plenty of returns. This means spare parts are available for a long time. Customers are also not too bothered about scratches, as many keep washing machines in the cellar.
Miele's Dutch refurbished wasching machine project is meant to serve as a blueprint for other appliance groups and markets. Running such a system requires a national infrastructure and sufficient returns to meet demand, says Christoph Wendker, who heads Miele's sustainability and regulatory affairs unit. After all, it is almost impossible to transport discarded washing machines across European national borders due to EU waste legislation.
This is one reason why professionally refurbished goods currently only have a very small market share. Nejc Jakopin of A.D. Little, a technology consultancy, estimates that such goods make up less than 5% of the overall market. By comparison, one quarter of European smartphones are bought second-hand.
Smartphones lend themselves well to the second-hand market. They are small, easy to send by mail, are typically replaced every two to five years, and have a relatively high residual value. Getting household appliances back into circulation is much more complicated, not least because it takes two technicians to collect a washing machine, and a water connection to test its various functions.
"Professional refurbishments that come with a product warranty require their own logistics chain," Jakopin told DW. The first difficulty is getting hold of used but usable appliances. "You have to collect them directly from the customer or create collection points." Premium manufacturers such as Miele, who have their own distribution channels, are at an advantage here.
"Other producers need to think about how they work with retailers," said Jakopin. This is because retailers become part of the process. "If returns become part of a cycle, new sales are generated. You can make it appealing for customers to switch to a device that is cheaper but a little more stylish and energy-efficient than their previous one."
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MediaMarktSaturn, Europe's largest consumer electronics retailer, offers around 260 "like new" household appliances, such as extractor hoods, mini fridges and hobs. This is alongside its range of thousands of second-hand smartphones and laptops.
Thermomix, a versatile kitchen appliance made by Germany's Vorwerk, ranks among one of the most sought-after pre-owned products. Even items that are several years old still command three‑digit prices on second‑hand platforms such as refurbed.de, erneuert.store, and backmarket.de. That's thanks to the durability and good reputation of these products, along with the availability of spare parts, not unlike Miele washing machines. Yet these compact Thermomix devices are far easier to send my mail than big washers.
There are companies that now specialize in refurbishing old appliances. These include I-Project, the company behind erneuert.store, which buys, tests, cleans and resells Vorwerk kitchen products. The process is similar to selling used smartphones. Clients visit a website, select their model, make an assessment of the condition of their device, and receive an initial non-binding offer. After the device is inspected, the company either confirms or changes the offered price and the deal can be done.
While consumers who want new products without any signs of previous wear and tear are still in the majority, the refurbished segment is growing, said Jakopin.