Unfortunately, for many companies, it’s often more cost-effective to produce new products rather than to open, check, repack, and resend returned items.

This contributes to a significant landfill issue with product returns. Philips sought to raise awareness about the hidden problem of e-waste while also becoming part of the solution.

Philips promoted their returned products as an exclusive line called "The Better Than New" Refurb Editions, offering enhanced warranties and emphasizing their positive impact on the environment.

They revolutionized their e-commerce approach by focusing on selling only refurbished products, suspending the sale of new items until every refurbished product was sold out.

Additionally, they created an interactive virtual experience that highlighted the consequences of returned gifts ending up in landfills, which helped drive significant sales.

In 2023, it was estimated that 50 million gifts were returned across the EU, with over 10 million of them ending up in landfills. Most people are unaware of the environmental harm caused by returning new products.

At the same time, there is a growing trend toward conscious gifting, with one in three people in Germany—a key market—expressing a preference for receiving second-hand gifts.

The strategy was to challenge the belief that new is always better while showcasing the advantages of refurbished products.

To raise awareness, Philips took a bold step by shutting down its website for new product sales on Earth Day.

Instead, they created a virtual display of returned gifts in Berlin, transforming what could have been a landfill into an interactive digital store where customers could purchase Philips Refurb Gifts.

This initiative made it fun and easy for people to make better choices, reducing the potential size of landfills one gift at a time.

As a result of this initiative, no Philips products ended up in landfills. The sale of returned products became the fastest promotion in Philips history, with 52,000 returned items sold, preventing 185 tons of e-waste and reducing an estimated 277 tons of CO2 emissions.