Whether consumers are looking to save money or looking for buried treasure, the resale industry is booming.
During the covid pandemicthrift stores such as eBay, RealReal and ThredUp have flourished online.
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According to a 2022 Report by OfferUp. Over the next five years, it is expected to grow another 80% to $289 billion.
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“We were missing something,” said Matthew Kaness, CEO of GoodwillFinds.com, Goodwill’s recently launched online marketplace.
“Goodwill is the ‘OG’ of saving,” he said. “It’s such an obvious opportunity.”
Although Goodwill is known for its second-hand clothes and homewares, more and more shoppers are coming to the site for unique finds, including artwork, designer handbags, jewelry and vintage sneakers, Kaness said — similar to what’s happening across the industry.
Picasso’s stylized head of a woman
Most resale consumers are driven by value. According to a report by CouponFollow.
Saving money, however, isn’t the only motivator, CouponFollow found. Buyers are increasingly turning to resale as a means of securing hard-to-find luxury items.
In fact, buying used is sometimes the only way to score a pair of limited-edition Air Jordans or other highly coveted and exclusive items — not to mention tickets to Taylor Swift’s next tour.
Recently, an unauthenticated signed print by Picasso titled “Tete De Femme Stylisee” sold for $2,500 on the site.
Part of the momentum fueling resale is the desire to access that unique item, said Wells Fargo chief executive Adam Davis, who works with retail resale businesses, whether a “Chanel handbag or Nike sneakers” – even if you end up paying more than the original retail price.
Because recommerce is also considered environmentally friendly, it has become more socially acceptable, said Brett Heffes, CEO of winmarkfranchisor of stores such as Plato’s Closet, Once Upon a Child and Play It Again Sports.
“When I started in this business, there was a stigma around buying used items, and that stigma has gone away.”
“Affluent consumers are leading the recommerce revolution,” said Chris Richter, CEO of recommerce site FloorFound.
Largely driven by value and a desire to buy more sustainably, “buyers are looking to buy resale rather than new,” he said.
High-income consumers are even more likely to buy second-hand, according to a survey of more than 1,000 adults per FloorFound: Nearly 9 in 10 shoppers earning more than $175,000 a year have purchased a resale item, 14 percentage points higher than the survey average.