Every year, millions of people unwrap Christmas gifts that they do not love, need, or even like. The post-holiday season is filled with returns, exchanges, or—more worryingly—items discarded entirely. According to the National Retail Federation, Americans returned $743 billion with holiday purchases comprises 15.4% of that figure. For many unwanted gifts, the journey ends in a landfill, contributing to waste and of course environmental damage.
With sustainability becoming an urgent global priority, finding thoughtful ways to handle unwanted Christmas presents is more critical than ever. Here are ways you can tackle this issue while minimizing waste, promoting a circular economy, and aligning with sustainable practices.
The Cost of Unwanted Christmas Gifts
Unwanted gifts are more than just a personal inconvenience; they represent significant environmental and insurmountable financial costs. A 2024 report by Civic Science revealed that at the end of the holiday season, nearly 1-in-3 U.S. adults who received gifts plan to make a return or exchange. nearly 30% of holiday shoppers planned to return at least one item. Moreover, returned merchandise often does not go back on shelves. According to Optoro, the reverse logistics of US product returns contribute a staggering 16 million metric tons of carbon emissions annually. These returns also generate up to 9.5 billion pounds of landfill waste, equivalent to the weight of approximately 10,000 fully loaded Boeing 747 airplanes.
The majority of returned items rarely find their way back to retail shelves. According to the Guardian, they often end up at liquidation sales— for example, a truckload of TVs might sell for $2,000. The next option for them, is to end up in landfills, which absorb around 40% of all returned item. Managing the logistics of this process falls to the retail returns industry, valued at an estimated $627 billion in 2023. The sector often involves labor-intensive activities such as collection, shipping, testing, sorting, and grading items—tasks that range from stain and sniff tests for clothing to repackaging and arranging transportation to either landfills or resellers. The top four solutions for dealing with unwanted Christmas gifts are regifting, reselling, donating and lastly, encouraging more thoughtful and sustainable gifts.
Regifting: The Simple Solution to Unwanted Christmas Gifts
Regifting, once a taboo practice, has gained popularity as a sustainable alternative to discarding or returning unwanted Christmas presents. Studies by Finder, forecasts that in 2024, an estimated 53% of American adults—roughly 140 million people—will unwrap at least one present that they wish they did not receive. With the average unwanted gift valued at $72, this trend will collectively cost Americans a staggering $10.1 billion. Finder also indicated that clothing and accessories top the list of most unwanted items, accounting for 43% of these unloved presents. However, regifting offers a silver lining, with 39% of recipients opting to pass these items along rather than let them go to waste.
Regifting helps to reduce waste and extends the life cycle of products. For example, a brand-new sweater that does not fit your style could be perfect for someone else. When regifting, ensure it is thoughtful and matches the recipient’s taste. Additionally, be sure to remove any personal inscriptions or tags.
Turning Christmas Gift Clutter Into Cash
For those who want to recoup value from unwanted Christmas gifts, reselling is an increasingly viable option. Online marketplaces like eBay, Poshmark, Facebook Marketplace and Depop experienced significant growth in recent years, driven in part by a rise in secondhand shopping. The global second-hand market is set to double by 2027, reaching $350 billion, driven by consumers seeking affordable, sustainable alternatives to fast fashion according to the 2023 Global Data Market Sizing and Growth Estimates.
Thrift shopping is reshaping consumer habits by championing a sustainable alternative to the wasteful buy-use-dispose cycle of traditional modern consumerism. This shift is a vital step toward fostering an economy where resources are used efficiently and responsibly, especially those unwanted Christmas presents. Beyond its environmental benefits, thrifting offers practical financial advantages, enabling households to save significantly on purchases and redirect those resources to other priorities.
Charitable Donation of Unloved Christmas Gifts
If regifting or reselling do not feel right, donating unwanted Christmas gifts is a meaningful way to make a difference. Nonprofits and shelters often welcome clothing, toys, and household items in good condition. Organizations like Goodwill and the Salvation Army provide convenient drop-off locations, while local shelters and community centers may have more specific needs.
According to the EPA, textiles accounted for 17 million tons of municipal solid waste (MSW) in 2018, representing 5.8% of total MSW generated. Of this, only 14.7% was recycled, with a recycling rate of just 13% for clothing and footwear. Donating items that would otherwise be discarded keeps them out of the waste stream and ensures they find a second life with someone who needs them. It keeps items out of landfills, supports those in need, and promotes a circular economy.
Rethinking Christmas Gifting for a Sustainable Future
The key to reducing the environmental impact of unwanted Christmas gifts lies in rethinking how we give. Thoughtful, sustainable gifting not only minimizes waste but also creates more meaningful exchanges. Experiential gifts, such as event tickets or cooking classes, offer memories rather than clutter. Gift cards empower recipients to select items they genuinely need or desire, ensuring greater satisfaction. It is also an opportunity to support brands that embrace eco-friendly practices—like carbon-neutral packaging or recycled materials—aligns gifting with sustainability values.
Unwanted Christmas gifts do not have to contribute to landfill waste or logistical inefficiencies. Regifting, reselling, donating, or embracing more sustainable gifting practices are all activities that can transform the post-holiday cleanup into an opportunity for environmental responsibility. This shift is not only good for the planet; it is good for your wallet too. Putting sustainability at the forefront during the holidays not only reduces waste but also aligns with the growing consumer preference for eco-conscious solutions.