The global secondhand shopping market is experiencing an unprecedented golden age.
What was once called 'thrift' has now grown into a massive industry, riding the trends of sustainability and rational consumption.
On the 12th (local time), The Wall Street Journal (WSJ) cited a resale report from ThredUp, the largest secondhand trading platform in the U.S., predicting that the size of the U.S. secondhand market will grow from $44 billion (approximately 60 trillion won, based on then-current exchange rates) in 2023 to $73 billion (approximately 100 trillion won) by 2028.
This growth rate is about seven times faster than the overall growth of the clothing retail market.
Anthony Marino, CEO of ThredUp, noted, 'Purchasing secondhand items has now established itself as a form of consumer movement,' adding that 'particularly, young consumers are leading this change.'
Offline thrift stores are also experiencing a boom beyond revival.
Buffalo Exchange, which operates 41 stores across the U.S., surpassed $10 million (approximately 13.7 billion won) in annual revenue last year.
Rebecca Block, CEO of Buffalo Exchange, said in a WSJ interview, 'The negative perceptions of secondhand clothing have disappeared, and it has become a source of pride in expressing oneself.'
Some experts find the explosive growth of the secondhand market in the U.S. to stem from the weakening price competitiveness of Chinese-made clothing due to the U.S.-China trade conflict.
However, the retail industry views the tariff issue as a secondary factor, agreeing that the more fundamental growth driver lies in the structural changes in consumer trends.
Boston Consulting Group (BCG) analyzed, 'As concerns about environmental issues rise, consumers are accepting the purchase of secondhand goods as a conscious consumer activity.' They noted that the fashion industry has been identified as one of the major sources of environmental pollution, making secondhand clothing the easiest eco-friendly alternative.
Online secondhand transaction platforms have also contributed. In the U.S., online platforms like The RealReal and Vestiaire Collective have facilitated market growth by providing convenient searches, a variety of products, and secure payment systems.
Meanwhile, with the recent continuation of high inflation and high interest rates, consumers tend to seek maximum satisfaction within limited budgets. A ThredUp survey revealed that many consumers responded they would increase their proportion of secondhand clothing purchases if the economic situation does not improve.
Maria Ragan, former CEO of the British secondhand fashion platform Depop, stated, 'For the younger generation that values individuality and self-expression, secondhand fashion is the perfect means to achieve this,' adding, 'The younger generation, feeling fatigue from mass-produced fast fashion, is turning to unique vintage items to express their distinct styles.'
According to GlobalData, nearly half (48%) of young consumers consider secondhand stores as the first option when shopping for clothing.
GlobalData predicts that the global secondhand clothing market size will grow from $197 billion (approximately 270 trillion won) in 2023 to $367 billion (approximately 503 trillion won) by 2029.
However, issues such as the ability to verify authenticity, consistent quality control across items, and another form of overconsumption arising from secondhand transactions continue to be raised.
WSJ quoted experts stating, 'Making the experience of purchasing secondhand goods as easy and trustworthy as buying new products is the industry’s biggest challenge.'