OAKLAND, Calif., June 23, 2021 /PRNewswire/ -- ThredUp Inc.
(NASDAQ: TDUP), one of the largest online resale platforms for
women's and kids' apparel, shoes, and accessories, today released
the results of the 2021 Resale Report. The comprehensive study is
conducted by third-party retail analytics firm GlobalData and
serves as the most robust measure of the U.S. secondhand market.
The ninth annual study, which surveyed 3,500 consumers, estimates
that the secondhand market is projected to double in the next five
years, reaching $77 billion. This
year's study reveals new insights on tailwinds propelling resale in
the pandemic recovery and the role of government in accelerating
the adoption of Circular Fashion. For the first time, the report
also includes a thredUP Impact Section highlighting the company's
progress towards its mission to inspire a new generation of
consumers to think secondhand first.
The secondhand market is projected to double in the next five
years, reaching $77 billion.
"We are in the early stages of a
radical transformation in retail. Consumers are prioritizing
sustainability, retailers are starting to embrace resale, and
policymakers are getting on board with the circular economy.
Pollutive industries have the power to transform when technological
innovation collides with the motivations of consumers, businesses
and government. We've seen it with electric cars and solar energy,
and we believe circular fashion is next. With this year's Resale
Report, we hope to shine a light on the positive power of resale
and create a catalyst for further collaboration and action across
the industry." - James Reinhart,
Co-Founder and CEO, thredUP
Notable findings from the 2021 Resale Report reveal:
- The resale sector grew during the pandemic and is projected
to accelerate in the recovery.
-
- Secondhand is now a $36 billion
market, projected to double in the next 5 years to $77 billion.
- Resale is expected to grow 11 times faster than retail clothing
over the next 5 years.
- In 2020, 33 million consumers bought secondhand apparel for the
first time, and 76% of those first-time buyers plan to increase
their spend on secondhand in the next 5 years.
- Consumers and retailers want the government to step in to
incentivize resale.
-
- 58% of retail executives say they'd be more likely to test
apparel resale if there were financial incentives for doing
so.
- 44% of consumers think the government should help promote
sustainable fashion. 47% say they'd be more inclined to purchase
secondhand clothing if there was no sales tax or they received a
tax credit.
- Resale is an emerging growth channel for apparel
retailers.
-
- 62% of retail executives say their customers are already
participating in resale, and 42% of retail executives say resale
will be an important part of their business in the next 5
years.
- 1 in 3 retail executives say resale is becoming table stakes
for retailers.
- 43% of consumers say they are more likely to shop with a brand
that lets them trade in old clothes for brand credit, and 34% say
they are more likely to shop with a brand that offers secondhand
clothing alongside new.
- Secondhand is displacing fast fashion, new clothing
purchases, and harmful production as consumers switch to
thrift.
-
- Resale is expected to be more than 2X bigger than fast fashion
by 2030, with 2 in 5 thrifters saying they're replacing fast
fashion purchases with secondhand clothing.
- The average thrifter bought ~7 items secondhand in the past
year that they would normally buy new, displacing more than 542
million new items of apparel.
- In the past decade: 6.65 billion items of apparel have been
recirculated via the secondhand market. Consumers have saved
$390 billion by buying secondhand.
116 billion pounds of CO2e have been displaced by buying used
instead of new apparel.
- Consumers' values have changed since Covid, driving new
demand for secondhand.
-
- 1 in 3 consumers care more about wearing sustainable apparel
than pre-pandemic.
- 60% of consumers are more opposed to wasting money. 51% of
consumers are more opposed to environmental waste.
- 1 in 2 consumers care more about seeking value.
- thredUP powers resale at scale, driving meaningful impact
for people and the planet.
-
- thredUP gives new life to millions of used clothes, offsetting
the environmental and financial cost of fashion.
- To date, thredUP has processed more than 125 million unique
secondhand items, displaced 1 billion pounds of carbon emissions,
and saved consumers $3.9 billion off
estimated retail price.
"As we emerge from the
pandemic, the resale market is stronger than ever. Consumers are
refreshing their closets and turning to resale as a way to
sustainably discard garments and acquire new ones. Retailers
recognize this shift, which is why so many of them are now looking
to get into resale. These trends will make resale the most dynamic
and fast-paced part of the apparel market over the next decade." -
Neil Saunders, Managing Director,
GlobalData
To see the study's full results, visit
https://www.thredup.com/resale/.
About the 2021 Resale Report
thredUP's Annual Resale
Report contains research and data from GlobalData, a third-party
retail analytics firm. GlobalData's assessment of the secondhand
market is determined through consumer surveys, retailer tracking,
official public data, data sharing, store observation, and
secondary sources. These inputs are used by analysts to model and
calculate market sizes, channel sizes, and market shares. Further,
for the purpose of this report, GlobalData conducted a March and
April 2021 survey of 3,500 American
adults over 18, asking specific questions about their behaviors and
preferences for secondhand. thredUP's Resale Report also leverages
data from the following sources: Green Story Inc. research and
internal thredUP customer and brand performance data. View all
sources here.
Disclosure: All third-party brand names and logos appearing in
this report are trademarks or registered trademarks of their
respective holders. Any such appearance does not imply any
affiliation with or endorsement of thredUP.
About thredUP
thredUP is transforming resale with
technology and a mission to inspire a new generation of consumers
to think secondhand first. By making it easy to buy and sell
secondhand, thredUP has become one of the world's largest resale
platforms for women's and kids' apparel, shoes and accessories.
Sellers love thredUP because we make it easy to clean out their
closets and unlock value for themselves or for the charity of their
choice while doing good for the planet. Buyers love shopping value,
premium and luxury brands all in one place, at up to 90% off
estimated retail price. Our proprietary operating platform is the
foundation for our managed marketplace and consists of distributed
processing infrastructure, proprietary software and systems and
data science expertise. In 2018, we extended our platform with
Resale-as-a-ServiceⓇ (RaaSⓇ), which
facilitates modern resale for a number of the world's leading
brands and retailers. thredUP has processed over 125 million unique
secondhand items from 35,000 brands across 100 categories. By
extending the life cycle of clothing, thredUP is changing the way
consumers shop and ushering in a more sustainable future for the
fashion industry.
Forward Looking Statements
This release contains
forward-looking statements. Forward-looking statements include all
statements that are not historical facts. The words "believe,"
"may," "will," "estimate," "continue," "anticipate," "intend,"
"expect," "predict" and similar expressions are intended to
identify forward-looking statements. These forward-looking
statements are subject to a number of risks, uncertainties and
assumptions. Except as required by law, thredUP has no obligation
to update any of these forward-looking statements to conform these
statements to actual results or revised expectations.
Contact
Christina
Schultz
thredUP
media@thredup.com
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SOURCE thredUP