The rising appeal of secondhand clothing is undeniable. A quick peek into a thrift store, or a scroll through TikTok, reveals used jeans and leggings priced higher than ever. As we delve into “Second Hand September,” it's clear that thrifting has become mainstream, pushing consumers to accept loftier price tags.

Here's a surprising stat: by 2027, the U.S. secondhand apparel market is expected to hit $70 billion, a huge leap from $39 billion in 2022. This growth forecast, shared by ThredUp's annual Resale Report, shows a trajectory nine times that of the general retail clothing sector. What's fueling this? Major brands, including Coach, REI, Patagonia, and Levi’s, now venturing into resale.

Sustainability and value are undoubtedly at the heart of this growth. The ability to mix and match unique styles plays a role too. However, the lure of profits might just steer the industry away from its original, noble path.‍

Secondhand Fashion: A Premium Business?

‍The secondhand style movement, which emerged as an antidote to fast fashion’s wastefulness, seems to be a victim of its own success. As prices soar, the traditionally young and budget-conscious shoppers might soon find themselves priced out. A question arises: is thrifting becoming elitist?

There are signs pointing to "yes".

• Resellers Capitalizing: Eager to cash in on the resale trend, some individuals are bulk-buying from thrift stores, only to resell their finds on platforms like Poshmark and Depop at marked-up prices. Their thrifting journeys and strategies, proudly displayed on social media, influence market prices, a trend that's been brewing for a while.
• Changing Face of Thrift Stores: Previously frequented by hardcore thrifters, stores like Goodwill and Salvation Army are now attracting a broader clientele. It didn't take long for them to hike prices, especially on in-demand items. Such price hikes, dubbed by Vox as the “gentrification” of thrift stores, are sidelining low-income shoppers.
• The Vintage Conundrum: Not all thrift store employees can distinguish between "vintage" and "secondhand". Consequently, shoppers are stumbling upon fast-fashion brands at prices exceeding their original tags, causing confusion and frustration.
• Pricey Designer Resale: On resale platforms, items from renowned brands sometimes fetch prices close to their brand-new counterparts. Services like The RealReal, which charge hefty commissions, partly explain this anomaly.

Despite the boom in secondhand shopping, fast fashion isn’t retreating. Some big names in the industry, recognizing the potential of resale, have initiated their own take-back programs, like H&M's Re:Wear and Shein Exchange. According to Statista, the fast-fashion market might swell to $185 billion in 2027, up from $106 billion in 2022.‍

Revisiting the Thrifting Legacy

‍Although thrift shopping in the U.S. has a near-century-long history, it took over 100 years to dedicate a month to it—Secondhand September. It serves as a testament to the cyclical nature of trends.

However, secondhand retailers should tread carefully. Today's shoppers, armed with social media, wield significant influence. Disclosures about excessive profit-making or greenwashing can swing public opinion dramatically.

Indeed, thrift store prices are climbing. Yet, the industry might find it tough to compensate for the broader issues, like environmental waste and climate change, underpinning these changes.

Sources: https://www.forbes.com/sites/jennmcmillen/2023/09/19/are-thredup-the-realreal-and-depop-gentrifying-the-thrift-store/