There’s a "purge surge" looming. According to ThredUp, 80% of US consumers plan to refresh their closets once the pandemic is over by either tossing items they no longer want or buying something new.
As retail continues to embrace the second-hand market, repurposing unsold or unwanted inventory will be critical in managing waste amid this phenomenon.
In our sustainable fashion in 2021 report, we highlighted closing the loop as a core theme for retailers to reduce their environmental impact, saluting the power of the resale market, which is only getting bigger. In a recent game-changing deal, Etsy snapped up Depop for $1.6bn.
The future is second-hand. Read on to discover why.
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Recent developments
In addition to Etsy purchasing Depop to target a younger audience, several other retailers have been pivoting their strategies to get in on the resale action.
- Mytheresa has partnered with Vestiaire Collective on a resale service that will kick off by inviting its top clients to sell their pre-loved luxury handbags online in exchange for store credit.
- The rental market experienced a turbulent 2020 as events were put on hold. This recently led to Rent the Runway entering the resale space by also making all of its inventory available to buy outright.
- George at ASDA partnered with wholesaler Preloved Vintage Kilo and launched a second-hand fashion range in 50 stores across the UK.
- Sellpy, the majority H&M-owned Swedish resale platform, has announced plans to expand into 20 more European countries.
- Resale company Recurate secured $3.25mn in funding, which it will use to fuel expansion after signing partnerships Mara Hoffman, Frye, Re/Done and more.
- JD Sports partnered with trainer resale company Sole Responsibility, which will sell the sports giant's end of line or slightly damaged sneakers via its eBay site, helping avoid unnecessary landfill waste.
- In April, Nike launched its Refurbished program in eight outlet stores nationwide, contributing to its goal of increasing the number of products it can repair, recycle or re-home tenfold in five years. The program will collect shoes to be graded, sanitized, restored and then resold at 15 stores at a reduced price based on their condition.
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