The retail market is constantly changing, and the fashion industry is no stranger to these ebbs and flows. However, one change that has surprised the fashion world and led to some significant changes in the way people shop is the secondhand clothing market. Fueled by a surge in sustainability awareness and a notable backlash against fast fashion, this shift has not only reshaped consumer preferences but has also catalyzed the rapid growth of resale businesses.
As trends toward thrift shopping continue to climb upward, the landscape of fashion retail is evolving significantly, and Clothes Mentor stores are poised to meet consumer demand in the resale market.
The Rise of Resale
With each generation becoming increasingly aware of the environmental detriment that fast fashion has, sustainable fashion isn't just a passing trend—it's a movement revolutionizing how consumers approach clothing.
Why Consumers Choose Resale
Money, money, money! In today's volatile economy, it's no surprise that consumers are looking to both save money and make more of it. They are also becoming more conscious of who gets their money and how much they are paying, leading to the main reasons customers choose to shop in resale clothing outlets:
- Despite being stretched thin economically, consumers still want new fashion finds. It comes as no surprise that shoppers are looking for ways to cut back. In fact, a recent study shows that over 50% of customers shopped for secondhand apparel in 2023!
- Perhaps customers are searching for one-of-a-kind items or hoping to snag that designer bag they've always wanted, but primarily they’re looking to stretch their dollar. That’s right, 60% of consumers said shopping for secondhand apparel gives them the most bang for their buck.
- Last but not least, while the desire to keep clothes out of landfills is a noble cause and a valid reason for consumers to offload their clothes, the primary reason consumers sell their old clothing is the opportunity to earn extra cash.
More Retailers Are Getting Into the Resale Business
Household fashion companies and franchisees alike are noticing the growth of the resale clothing market and its cost-effective business model. Recent studies have shown:
- Significant momentum toward resale, with 74% of retail executives who don't currently offer resale either considering or planning to enter the market in the future. This comes as no surprise, given that branded resale has recently seen a 31% year-over-year increase.
- The financial viability for franchisees makes this opportunity very attractive. Clothes Mentor found that 37% of the stores they analyzed in 2022 met or exceeded the average gross sale of $1,442,359.
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Resale Can Play a Part in Saving the Planet
The importance of the resale industry has even caught the attention of politicians, who recognize the impact the fashion industry has on the planet and the benefits of a resale economy. For example, in 2022, Delaware Senator Tom Carper had some powerful words to say during a briefing:
