The secondhand apparel market is poised to outpace fast fashion in the coming years, as revealed by the insightful findings of the 2019 Resale Report by ThredUp. This burgeoning market has demonstrated remarkable growth, expanding at a rate 21 times faster than traditional retail apparel over the last few years.
With a current valuation of $24 billion, the secondhand apparel market is projected to reach $51 billion within five years and is forecasted to surge to $64 billion by 2028, surpassing the anticipated value of the fast fashion market, which currently stands at $44 billion. This optimistic outlook is driven by a growing interest among consumers, with 64% of women surveyed indicating their willingness to either purchase or consider purchasing secondhand items in 2018.
The report highlights the diverse appeal of the secondhand market, with 56 million women making purchases in 2018 compared to 44 million in the previous year. A wide range of shoppers, including luxury consumers, department store patrons, and value chain shoppers, are turning to secondhand products for their fashion needs.
While millennials and baby boomers currently make up the bulk of consumers in the secondhand market, it is Generation Z that is driving its rapid expansion, adopting secondhand fashion at a rate 2.5 times faster than any other demographic. This younger generation’s interest in sustainable fashion is a key factor contributing to the sector’s growth, reflecting a growing demand for eco-conscious practices among consumers.
Moreover, the report underscores a shift in consumer attitudes towards sustainable fashion, with a rising preference for environmentally friendly brands. Cultural phenomena like the popular Netflix show ‘Tidying Up with Marie Kondo’ have also played a role in promoting long-term ownership and decluttering, leading to an increase in requests for ThredUp’s Clean Out Kits.
As the secondhand market continues to evolve, traditional retailers are increasingly exploring opportunities in circular fashion. According to ThredUp, 87% of senior retail executives plan to enter the resale market by 2020, with many considering options such as rental and refurbishment services. CEO James Reinhart emphasizes the changing landscape of retail, with secondhand consumers transitioning from a niche market to a more mainstream consumer base, regardless of their income levels.
Based on data from GlobalData and surveys conducted with American women aged 18 and above, the 2019 Resale Report signals a significant shift in the fashion industry. As the distinction between new and used apparel blurs, retailers are urged to adapt to evolving consumer preferences and embrace sustainability to stay competitive in an ever-changing market environment.
To learn more about the secondhand apparel market and sustainable fashion trends, check out these useful links:
1. ThredUp
2. GlobalData
