ThreadUp Resale report 2025 - key insights and trends in the global secondhand market
The global secondhand apparel market experienced significant growth of 15% in 2024, highlighting its resilience and growing influence in the retail industry. This insight comes from the recently released ThredUp Resale Report 2025.
Rapid Market Growth
The global secondhand apparel market is expected to reach $367 billion by 2029. This represents a compound annual growth rate (CAGR) of 10% from 2024 to 2029, growing 2.7 times faster than the traditional retail clothing sector. The U.S. market is predicted to reach $74 billion by 2029, reflecting strong consumer adoption and evolving shopping behaviors.
Changing Consumer Preferences
Consumer priorities are increasingly centered around resale value when making purchasing decisions. Almost half (47%) of consumers now state they are less inclined to buy new apparel if it doesn't have a strong resale value. Younger generations lead this trend, with 64% prioritizing quality and resale potential when selecting new clothing items.
Retailers Adopting Resale Strategies
Three out of four retail executives who have not yet implemented resale programs are considering launching them due to rising consumer demand. An impressive 94% of retail executives acknowledge their customers’ increased participation in resale activities.
Impact of Tariffs & Trade Instability
Continued uncertainties regarding tariffs and international trade have made secondhand markets increasingly appealing. About 54% of retail executives see resale as a more reliable source of goods amid potential tariff-related disruptions. Consumers share these concerns, with 62% worried about tariff-induced increases in apparel prices, prompting them to turn towards more affordable secondhand options.
Rise of Digital and Social Commerce
The growth of online resale continues to accelerate, with projections indicating a CAGR of 13% and an estimated market value of $40 billion in the U.S. by 2029. Platforms such as Facebook Marketplace, Instagram, TikTok Shop, YouTube, and Pinterest are significantly transforming consumer shopping experiences, especially among younger demographics.
AI Enhancing Secondhand Shopping
Artificial Intelligence (AI) is making secondhand shopping experiences comparable to buying new items by addressing the overwhelming nature of online thrifting. Around 58% of retail executives plan to implement AI-powered tools within the coming year, focusing on personalization and enhanced search capabilities to improve consumer experiences.
Government Regulation and Sustainability
With new policies encouraging circularity, 72% of retail executives are exploring innovative methods to manage textile waste, including resale initiatives. Consumer sentiment aligns with these efforts, as 65% support stronger government regulations to ensure transparency and authenticity in sustainability claims by fashion brands.
Final Thoughts
The growth of the resale market, driven by technological innovations, changing consumer attitudes, and supportive regulatory frameworks, is reshaping the future of the fashion industry. Retailers that embrace this shift early will likely benefit significantly, establishing resale as a key strategic focus for long-term success.
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