New life for 20,000 pieces of returned furniture

It is estimated that ten million tonnes of furniture are thrown away in the EU every year, and about 90 per cent is incinerated or sent to landfills.

Secundo wants to do something about that. In 2024 the company has generated close to NOK 34m in turnover on “garbage” compared to NOK 17m at the start-up. In other words, a doubling in two years.

According to Eirik Broms, the founder of Secundo, the furniture industry is quite traditional and lacks technology and good systems for handling unsold products.

It is precisely such a system that Secundo is now assisting the furniture industry with.

A need in the market

The first version of the marketplace Secundo was launched in 2022 by Eirik Broms and Shafi Adan. Through secundo.no they help shops, retail chains and private individuals sell and buy used furniture with little or no damage. This is furniture that would otherwise be thrown away.

“One of our partners has a turnover of around NOK 150m and about 5 per cent of the products are returned. That’s a lot of products and a lot of money. Here Shafi and I saw great potential for building more effective and sustainable marketplace models,” says Eirik Broms.

Practically all processes in the company are now automated, and many of the products are even sold before they arrive at Secundo’s warehouse in Rødtvet.

“They have developed a product that is needed in the market. The green transition is dependent on creative companies with a high degree of innovation that forces established players to adapt. We believe that banks have an important role to play in supporting these start-ups and channelling capital in the right direction,” says Tobias Gabrielsen, relationship manager at Nordea.

He works in Startup & Growth at Nordea, a unit established to customise solutions and products for start-ups with big growth ambitions. 

Nordea is an important partner for Secundo. In addition to financing and day-to-day banking, the bank has provided good guidance on liquidity and growth strategies.

“In my experience, Nordea has a start-up-friendly approach and is really committed to being a good bank for entrepreneurs. They are proactive and come up with concrete suggestions adapted to our company,” says Eirik Broms and adds:

“In a start-up, things change from day to day. That a bank actually manages to keep up with everything that happens in a start-up company is, in my experience, quite unique. Nordea has a broad and solid network, both at Nordic and international level, that works closely together.”

“Our expertise and experience to be able to assess companies in the start-up phase and build daily competencies and an understanding of what it takes to succeed is quite unique. Start-ups are the companies of the future and part of an ecosystem where we want to contribute,” says Tobias Gabrielsen.

“This is the future”

AJ Products is one of the companies that has been part of the journey towards the launch of Secundo. As one of Norway’s largest suppliers of furniture and furnishings for offices, industry and schools, they know that handling returned future requires a lot of logistics.

Our main warehouse is located in Halmstad, Sweden, and we know that we need better systems to handle returned products.

So says Marius Barhaugen, CEO of AJ Products, Norway. He came into contact with Secundo in the autumn of 2023.

“We have changed many of our routines as a result of the collaboration. For example, Secundo now takes care of returns, any repairs as well as resale of used furniture.”

In addition to simplifying logistics, Marius Barhaugen finds that both customers and employees appreciate the collaboration. Furniture that was previously thrown away is now given new life, which is good for the environment and the planet, he explains and adds:

“Before we had to pay to throw away products that were returned. Through resale, we now get paid not to throw them away. This is the future as we see it.”

Important success factor

Although Secundo has only existed for two years, prospects undeniably look good.

“The first year after the launch, we had a turnover of NOK 17m. The goal is to double this turnover to NOK 34m this year, two years after our start-up,” says Eirik Broms.

Tobias Gabrielsen at Nordea highlights an important success factor:

“The unique thing about Secundo is Eirik and Shafi. They have been in this game for a while and have built up and sold companies before. You can tell that they are sensible guys who do not promise the moon or fail to deliver because they have set too high goals.”

The big goal

A turnover of NOK 34m in two years should be a milestone in itself, but what exactly is Secundo’s goal?

“Of course we have to make money. That’s a goal for all companies,” says Eirik Broms in conclusion.

“That said, I think we have a team that wants to create something valuable with a positive impact on society. Before long 20,000 pieces of furniture will have been sold via Secundo – furniture, that is, not scented candles. And it’s the big things that make a big difference in the world.”