Buying second will be hot selling like pancakes in 2020! According to a report by second-hand sale platform thredUP, resale of used clothes and apparel grew 21 times faster than the market over the past three years and is expected to reach $51 Billion by 2023
Andy Ruben, CEO at resale platform Yerdle, strongly believes that to succeed in the future, "brands and retailers must own their re-commerce".
All these years we have been talking about customer experience as the best way to grow business butresale can really help you stage that wow experience. So as a retailer you don’t need to pull out new designs every now and then(which may not be even as popular as you thought), rather focus on providing the authenticated product in the best condition to the end user.
People are loyal; they will buy more when they feel they matter.
Secondhand Shoppers Are in Every Store - From Walmart to Gucci, but Millennial& Boomers thrift the most. Infact 64% of Women Bought or Are Now Willing to Buy Secondhand Products in US including Apparel, footwear, accessories,jewelry, books, furniture, entertainment and beauty.
– ThredUp Resale Report 2019
Why? Adoption of social channels has been excellent in these past5 years. People have gone crazy posing and posting pictures. So the urge to good look and happy is now perceived with the way you style yourself and your surroundings.
Although the millennial bank balance may be little less student-like, but shopping spree especially on lux brands may be difficult to sustain for life. With ReSale or ReCommerce, brands can expand their target market, potentially earn better ROI.
"In fashion, the shift to new ownership models is driven by growing customer desire for variety, sustainability, and affordability.We predict more consumers will see growing proportion of their wardrobes made up of pre-owned or rented products."
– McKinsey x Business of Fashion, "The State of Fashion 2019"
Also, according to a report by thredUP, along with secondhand, rental are the fastest growing categories, as today’s consumers seek variety and value.
It's no more a unique concept! Some companies have started offering a monthly/one time fee, allowing customers to constantly renew their wardrobes. This is a great option, especially for clothes that you will not wear for a long time or often.
Brands like AlayaByStage3 and Flyrobe, have even invested amazing looking fashion stores in the targeted locations offering from dresses for the D-Day to any party, which will cost you 1/4th of the actual garment cost.
Just like many others the idea of secondhand shopping has become quite intimidating for me too.
As a retailer 5 motivators for you to test Resale or Renting could be (Report from thredUP):
- Revenue Boost
- Customer Loyalty
- New Customers
- Increase Store or Traffic Site
About Author :
Richa Singhal is a marketing enthusiast who enjoys creating brand driven engagements in a competitive market with use of the dynamic media options available.