Retailer’s Roadmap to Recommerce

‍Karri: Hello and welcome to the Recommerce Podcast, the podcast where we talk all things recommerce and circular businesses. Today, we’re talking about how retail businesses can jump into recommerce—how to launch it, and what kind of capabilities and analysis they should prepare. With me is Tuomo Laine, the CEO and co-founder of TWICE Commerce. Welcome.

Tuomo: Thank you, Karri. It feels like I’m a regular here.

Karri: Let’s start with why you think this is an interesting topic right now.

Tuomo: We’re seeing more retailers launching recommerce initiatives. Compared to two years ago, the motivations are broader. Yes, sustainability and consumer demand still matter—but with the economic uncertainty and declining consumer purchasing power, retailers are reacting to increased interest in more affordable secondhand goods.

Karri: So it’s not just a sustainability play—it’s economics. And with more cautious consumers, returns are probably higher too, right?

Tuomo: Definitely. Product returns are a core supply source for recommerce. As returns rise, they become a larger source of resale inventory.

Karri: Let’s talk through the steps a retailer should follow. The first is capability analysis.

Tuomo: Right. And retailers today don’t have 18 months to figure this out—they want to launch in three. So it’s important to focus your analysis: look at the capabilities that matter most.

Karri: What are those?

Tuomo: First is reverse logistics—how well do you handle returns? Can you accept them in-store or by mail? What systems are used? Do you log items individually or just bulk them into a general SKU? After a return, do you have any data on condition or reason for return?

Karri: So essentially—how visible and traceable is your returned inventory?

Tuomo: Exactly. Do you create a digital twin of returned items? If so, you’re in a great place to resell them. If not, you’ll need to build toward that.

Karri: And what about operational capabilities?

Tuomo: That’s the second part—can your staff or partners inspect and grade goods? If you’re specialized (e.g. bike shops), your team likely has deep knowledge. But general retailers might need training or partners.

Karri: Once you’ve analyzed capabilities, the next step is setting the goal.

Tuomo: Yes. Based on your capabilities, you choose a resale model. The simplest is selling items “as-is” in-store or online. A bit more complex is refurbishment—where you repair or repackage. Or you might choose to bulk sell to an aggregator or recycler.

Karri: Could some even jump directly to a servitized model like rentals?

Tuomo: They could—especially if they already offer maintenance or repairs. But most will start with secondhand sales. It aligns best with existing capabilities.

Karri: Once the goal is clear, the next step is identifying gaps.

Tuomo: Right. You assess what’s missing. Maybe you lack item-level inventory tracking. Maybe your staff can’t do grading. Then you decide—do we build this in-house, or buy/partner? For tech, we think TWICE Commerce offers a great plug-and-play solution.

Karri: And operationally?

Tuomo: It’s case-by-case. Specialized retailers may want to train staff. General ones might outsource grading to a partner. You can also mix—internal for key categories, external for others.

Karri: So gaps fall into tech, data, operations, and people?

Tuomo: Exactly. On the tech side: inventory, catalog, sales channels, and payment infrastructure. On people: staff skills and training.

Karri: TWICE Commerce covers much of this out of the box, right?

Tuomo: Yes. Our platform supports individualized inventory, resale-optimized catalogs, store ops, and online sales. It scales from solopreneurs to enterprises with hundreds of stores.

Karri: Once the gaps are clear, it’s time to decide—and ideally, start small?

Tuomo: Yes. We recommend a “stage gate” approach. Start with a closed-loop proof of concept. One store. One category. One channel. Evaluate. Then scale.

Karri: So separate it from your main store experience—maybe use a subdomain like resales.retailer.com.

Tuomo: Exactly. Isolate operations and analytics. Define clear success metrics. Run for 2–6 months. If it works, scale to more stores, categories, or even models.

Karri: And the person running the pilot can become your internal recommerce champion.

Tuomo: Yes. They standardize, automate, delegate, and eventually elevate the operation. That’s how you scale.

Karri: What’s the most common starter model?

Tuomo: Secondhand “as-is” sales. Take product returns, inspect them, assign condition, pricing, and photos. Sell online or in-store. That’s the fastest way to learn.

Karri: If you have many stores, how do you choose the first one?

Tuomo: Choose one with the most resellable returns—look at product types, local customer base, or even just where you have the most capable staff.

Karri: What are some concrete action items for someone ready to start?

Tuomo:

1. Define the pilot—how many stores, which channels, what model
2. Find a tech partner—start with us at TWICE Commerce
3. Send over sample data—don’t worry about perfection
4. Set success metrics—short-term and mid-term
5. Launch quickly—ideally in weeks, not months

Karri: Any final tips?

Tuomo: Don’t wait until your data is perfect. Just send us a sample inventory CSV and store address—we’ll build a working demo fast. Good partners don’t need months to get started.

Karri: The easiest next step: reach out to you directly.

Tuomo: Yes, email or LinkedIn. Happy to chat.

Karri: That’s it for today! Hope you found it helpful and feel ready to start testing recommerce in your business. Thanks again, Tuomo.

Tuomo: Thank you!