Secondhand Fashion to Claim 10% of Global Sales, Paving the Way for a Sustainable Future

The 2024 Resale Report by ThredUp, one of the largest online platforms for secondhand apparel, unveils a groundbreaking shift towards sustainable fashion. Conducted in collaboration with GlobalData, this comprehensive study forecasts the secondhand clothing market’s trajectory through 2033, emphasizing its rapid integration into the mainstream fashion industry.

The report, drawing on insights from 3,654 U.S. consumers and 50 top fashion retailers and brands, indicates a burgeoning consumer preference for secondhand apparel as a cost-effective and environmentally friendly option. With 60% of consumers recognizing secondhand shopping as offering significant value, and 55% indicating they would increase their secondhand expenditures if the economy worsens, the secondhand market is poised for substantial growth.

The global secondhand apparel sector is expected to reach a valuation of $350 billion by 2028, growing at a compound annual growth rate (CAGR) of 12%. In the U.S. alone, the market outpaced the broader retail clothing sector by seven times in 2023, projected to hit $73 billion by 2028. Online resale, in particular, is anticipated to more than double within five years, reaching $40 billion and growing at a 17% CAGR.

This shift towards online platforms is most pronounced among younger generations, with 45% preferring online secondhand purchases over brick-and-mortar stores. This trend underscores the digital pivot in consumer behavior and the increasing relevance of secondhand fashion in the digital age.

The surge in branded resale initiatives, with 163 brands now offering dedicated resale shops—up 31% from the previous year—highlights the industry’s commitment to sustainability and circular fashion models. Notably, nearly two-thirds of retail executives believe resale will constitute at least 10% of total company revenue within five years.

Government policies also play a crucial role in this shift, with 42% of consumers advocating for legislative action to promote sustainable fashion. Additionally, 40% indicate a preference for political candidates who support sustainable fashion initiatives, signaling the growing importance of environmental policies in electoral politics.