Vinted Go predicts C2C market to double in size and hints at UK carrier network
Vinted Go, the logistics arm of secondhand fashion marketplace Vinted, has predicted that the consumer-to-consumer (C2C) sector will “double in size” over the next 4-5 years, driven mainly by price and sustainability factors, while the firm is also considering launching its own UK carrier network “when the time is right.”
These insights were provided by Vytautas Atkocaitis, Vice President of Vinted Go, who spoke earlier this week at the Leaders in Logistics Last Mile event, held in Twickenham on Wednesday (October 9).
When asked whether Vinted Go has plans to replicate its success in France – where the firm has launched its own carrier network – in the UK, Atkocaitis said: “If you are going to launch a carrier in a specific market, then you need to have a lot of parcels otherwise it is a waste of time.
“The UK for us is a big market with a lot of parcels, and it would be logical for us to do it [launch a carrier network] at some point. We don’t have any plans at this given time, but I think it will happen,” he added.
Vinted Go’s growth
Vinted is currently one of the largest C2C marketplaces in Europe. In 2023, the group “reached profitability” for the first time after its revenue soared by 61% year-on-year to nearly €600 million amid a boom in demand for pre-owned goods.
Its logistics arm was launched in 2022 to develop shipping-related services to support the group’s growth. The logistics business now runs a shipping platform handling 600 million parcels a year across 20 markets in Europe.
Alongside this, the firm is building its own carrier network capabilities. “Currently we are active in the Netherlands, Belgium and France,” Atkocaitis noted at the conference.
In France, the firm’s biggest network when it comes to carrier operations, Vinted Go aims to expand its network to cover 75% of the country by the end of 2024. According to its website, it has more than 4,000 locations and covers over 120 cities.
The firm has also recently acquired Dutch delivery company Homerr, to enable both organizations to deepen their C2C delivery expertise through shared learning and increased scale.
Recommerce growth
Atkocaitis noted that Vinted expects huge growth in the C2C market in Europe over the next five years, with the sector predicted to double in size from about €120 billion currently. “C2C is not a fad,” he said. “Growth is being driven by the fact that people want to be good to the environment and that they like to make money. Those two factors will not change. But for the market to continue to grow, certain solutions need to be developed. If people invest time and resources into this market, it could be huge.”
According to Atkocaitis, carriers in particular need to be more flexible when it comes to handling C2C parcels to enable them to capitalize on this market. “If they aren’t then that is when we will consider launching our own network,” he added.
The UK OOH market
Atkocaitis also believes that the expanding recommerce market will drive growth in the out-of-home sector, especially in the UK, where OOH options are still lacking when compared with other European countries.
“Something is actually happening in the UK OOH market for sure,” he said. “When Vinted started scaling in the UK roughly three years ago, there was basically one OOH player, but now more and more are coming in and open networks are being developed. People are clearly anticipating a shift in consumer demand.
“But for the shift to actually happen, retailers need to be on board. I believe Vinted would be one of the biggest customers in the UK for an OOH service, especially considering that around 70% of our overall volumes are delivered to OOH collection points. Other platforms such as eBay and Facebook are also pushing for this type of service. We believe as recommerce grows, the UK will shift to OOH,” Atkocaitis concluded.
