The global secondhand apparel market is projected to grow at a 10 per cent CAGR and reach a value of $367 billion by 2029, as per the annual ‘Resale Report’ by ThredUp.

Produced in collaboration with GlobalData, the report highlights, the secondhand apparel market grew five times faster than the broader retail clothing sector in 2024. In the US, the secondhand apparel market grew by 14 per cent in 2024, its most robust annual increase since 2021.

Consumer shopping habits are shifting, with more shoppers opting for secondhand options due to economic pressures. Notably, 59 per cent of consumers said they would choose secondhand if tariffs and trade policies increased new apparel prices, with that figure rising to 69 per cent among Millennials.

As secondhand shopping becomes more mainstream, brands are integrating resale into their business models. A record high 94 per cent of retail executives reported, their customers are already participating in resale. In 2024, 32 per cent of secondhand shoppers made purchases directly from a brand, with nearly half (47 per cent) of Gen Z and Millennial consumers doing so.

Social media platforms are playing a crucial role in driving resale adoption. Among younger shoppers, 39 per cent purchased secondhand apparel through social commerce platforms last year. Half of Gen Z and millennial secondhand shoppers purchased items to create content or share on social media.

Artificial intelligence (AI) is transforming the secondhand shopping experience. Now, 48 per cent of consumers find that AI-powered personalization, search, and discovery make shopping secondhand as easy as buying new. Additionally, 78 per cent of retailers have already invested significantly in AI, with 58 per cent planning to launch AI-powered tools within the next year.

With consumers increasingly thinking secondhand first, the retail industry is adopting powerful new pathways for resale, says James Reinhart, CEO, ThredUp.

From the integration of social commerce and innovative AI applications to the establishment of trade organizations and interfacing with government, it’s clear why resale is seeing accelerated growth and has such a promising growth trajectory, he adds.

By Fashionating World
https://www.fashionatingworld.com/new1-2/global-secondhand-apparel-market-to-grow-at-10-cagr-till-2029-thredup