From 'New' to 'Renewed': how consumer perceptions of functional and symbolic value influence reuse in the construction industry

The transition to a circular economy is an essential prerequisite for tackling sustainability challenges in the construction industry. However, markets for reused products lack demand. To address this issue, we examine the conditions under which consumers prefer reused products, such as building components and furnishings, over new products. Drawing on the literature on consumer value theory, we examine how consumers' functional and symbolic value perceptions of reused furnishings influence behavior. In Study 1 (qualitative), we find that both perceptions of functional and symbolic value positively influence the decision to reuse, while the absence of functional value is a significant barrier. Study 2 (quantitative) with a representative sample in Switzerland shows that the perception of functional value generally has a greater influence on consumer preferences than the perception of symbolic value. Finally, Study 3 (experimental) shows that emphasizing symbolic value (as opposed to functional value) increases consumers' preference for reused furnishings over new ones. We contribute to the literature by providing a nuanced understanding of the interplay between functional and symbolic value in product reuse. Companies offering reused building components and furnishings must address the functional value deficiencies of reused products while leveraging their symbolic value to increase market demand.