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Daily CSR
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Circular Sports: How Resale is Transforming the Sporting Goods Market



09/01/2025


Circular Sports: How Resale is Transforming the Sporting Goods Market
The Growing Shift Toward a Circular Economy
In recent years, the idea of a circular economy — where products are reused, repaired, or repurposed instead of discarded — has gained significant traction. Several powerful forces are driving this shift:
  • Environmental impact: By extending product lifecycles, the circular model reduces landfill waste, recaptures value within supply chains, and lowers the energy required to produce new goods. As awareness of climate change and ecological risks increases, consumers are paying more attention to these benefits.
  • Regenerative by nature: Circular systems thrive in many forms, from second-hand stores and rentals to online resale platforms. The internet, in particular, has broadened access for both buyers and sellers, allowing resellers to reach far beyond local markets.
  • Economic resilience: For shoppers, the appeal lies in gaining access to high-quality, affordable alternatives to new products — a particularly strong draw during times of global uncertainty and rising import costs.
The Mastercard Economics Institute has already studied the role of these forces in fashion resale. Now, attention is turning to a growing niche: circular sports, the resale and reuse of athletic equipment.
 
Why Sports Equipment Fits the Circular Model
Sporting goods naturally lend themselves to reuse. Many items are durable enough to perform almost like new after minor refurbishment. At the same time, passionate athletes often upgrade to the latest equipment, selling their older gear to others who are perfectly happy with last year’s model.

The financial case is also compelling. For instance, golf requires a major upfront investment — clubs, balls, bags, and apparel. If someone later decides the sport isn’t for them, starting with pre-owned gear reduces the regret of sunk costs.

For children, the benefits are even clearer. Kids grow quickly and often switch between sports, making circular options a cost-effective way for parents to keep up. This affordability also helps close participation gaps: data from the National Survey of Children’s Health shows that only one-third of children at or below the poverty line join a sports team or take lessons, compared to 71% of children in higher-income households.
 
Tariffs and the Market Shift
Global trade dynamics are accelerating the adoption of resale. Tariffs on imported sporting goods have risen sharply: in May 2025, U.S. imports faced an average tariff of 25.8%, compared with just 5.5% a year earlier.

China remains the largest supplier, though its share has dropped from 68% a decade ago to 56.6% in 2024. Vietnam, Taiwan, and other countries have picked up the slack. Tariff impacts vary widely by category: racquet sports, for example, face duties of over 40%, while golf and winter sports equipment are less affected, with tariffs closer to 20%.
 
The Rise of Circular Sports Sales
Using aggregated and anonymized transaction data, Mastercard Economics Institute identified strong growth in the resale of sporting equipment:
  • Rapid growth: Sales of used gear rose 11% year-to-date, compared to just 3% growth across the overall sporting goods sector. After climbing 6% in 2024 and 10% in 2023, resale volumes now sit nearly 30% above 2022 levels.
  • Seasonal peaks: Unlike mainstream retailers, whose busiest times are Black Friday and Christmas, resale purchases spike at the start of school sports seasons, especially in spring. Baseball gear, in particular, sells strongly.
  • Regional demand: Northern U.S. states — including Alaska, Minnesota, Massachusetts, New Hampshire, and Vermont — lead the nation in spending on circular sports gear, driven by high youth participation in athletics.
 
The Outlook
The circular sports market is gathering momentum, shaped by sustainability goals, rising tariffs, and shifting consumer behavior. From niche specialty shops to large-scale resale platforms, more players are stepping in to meet this demand with affordable and environmentally friendly options.

As trade policies make new sporting goods more expensive, the resale sector is positioned to expand even further. Within this growing space, innovative businesses and new entrants have a strong opportunity to thrive.