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How secondhand fashion is reshaping the global apparel market
A ThredUp distribution centre Credits: Courtesy ThredUp Report The global secondhand apparel market is on an unprecedented growth trajectory, set to reach 367 billion dollars by 2029, according to ThredUp’s annual Resale 2025 report. This sector is expanding at a pace 2.7 times faster than the broader global apparel industry, reflecting a seismic shift in consumer behavior and retail strategies. In 2024 alone, the secondhand market grew by 15 percent, now accounting for 9 percent of global apparel spending. By 2029, projections suggest a compound annual growth rate (CAGR) of 10 percent, highlighting a sustained and accelerating shift towards pre-owned fashion. The U.S. market, a key player in this transformation, is expected to reach 74 billion dollars by the decade’s end, with resale growing at a CAGR of 9 percent—five times faster than traditional retail clothing in 2024. The digital thrift boom One of the key drivers of this growth is online resale, which is projected to nearly double by 2029, hitting 40 billion dollarsvwith an annualized growth rate of 13 percent. In 2024, resale outpaced traditional retail clothing eightfold, with online platforms capturing 88 percent of total resale spending. As digital-first shoppers dominate the market, brands are increasingly integrating resale into their omnichannel strategies. A record 58 percent of consumers purchased secondhand apparel in 2024, with younger generations (ages 18–44) leading the charge. Motivated by affordability, sustainability, and unique style, today’s shoppers are prioritizing quality and resale value when making purchases. Among younger consumers, 48 percent now look to secondhand first when shopping for apparel—an increase of seven percentage points from 2022. Retailers adapt Retailers are recognizing the business potential of resale, with 94 percent of executives acknowledging that their customers are already participating in the secondhand market. Yet, challenges remain—86 percent of executives who have yet to launch resale programs cite uncertainty in execution. However, market fragmentation is fueling innovation, with brands increasingly opting for third-party service providers to streamline resale operations. For brands, resale offers a compelling mix of short- and long-term benefits. Customer acquisition and revenue diversification are immediate gains, while enhanced sustainability credentials and greater control over brand perception in the secondary market provide lasting competitive advantages. Notably, 47% of consumers are more likely to make a first-time purchase with a brand offering trade-in programs, underscoring resale’s role in driving brand loyalty. Social commerce Social commerce is emerging as a dominant force in the resale space, with 39 percent of younger consumers making secondhand purchases through platforms like Instagram and TikTok Shop. Retailers are capitalizing on this trend, with 76 percent stating that social commerce will be instrumental in driving resale adoption within their brands. Artificial intelligence is also playing a transformative role, easing the traditionally overwhelming nature of thrifting by refining search capabilities, personalizing recommendations, and streamlining authentication processes. As AI-powered tools improve consumer experience, resale adoption is expected to accelerate further. A circular future: The implications for fashion With sustainability concerns mounting, the rise of resale is not just a commercial shift but a necessity for the industry. As tariffs and trade disruptions put pressure on global supply chains, 54 percent of retail executives view resale as a more stable and predictable source of inventory. Furthermore, 74 percent believe that resale aligns affordability with sustainability—a key balancing act for modern fashion brands. The secondhand revolution is no longer a niche trend but a core pillar of the fashion ecosystem. As consumers, brands, and retailers recalibrate their strategies, the coming years will solidify resale as a mainstream force shaping the industry’s future. To see the full report visit www.thredup.com.
Report The global secondhand apparel market is on an unprecedented growth trajectory, set to reach 367 billion dollars by 2029, according to ThredUp’s annual Resale 2025 report. This sector is expanding at a pace 2.7 times faster than the broader global apparel industry, reflecting a seismic shift in consumer behavior and retail strategies.
In 2024 alone, the secondhand market grew by 15 percent, now accounting for 9 percent of global apparel spending. By 2029, projections suggest a compound annual growth rate (CAGR) of 10 percent, highlighting a sustained and accelerating shift towards pre-owned fashion. The U.S. market, a key player in this transformation, is expected to reach 74 billion dollars by the decade’s end, with resale growing at a CAGR of 9 percent—five times faster than traditional retail clothing in 2024.
The digital thrift boom
One of the key drivers of this growth is online resale, which is projected to nearly double by 2029, hitting 40 billion dollarsvwith an annualized growth rate of 13 percent. In 2024, resale outpaced traditional retail clothing eightfold, with online platforms capturing 88 percent of total resale spending. As digital-first shoppers dominate the market, brands are increasingly integrating resale into their omnichannel strategies.
A record 58 percent of consumers purchased secondhand apparel in 2024, with younger generations (ages 18–44) leading the charge. Motivated by affordability, sustainability, and unique style, today’s shoppers are prioritizing quality and resale value when making purchases. Among younger consumers, 48 percent now look to secondhand first when shopping for apparel—an increase of seven percentage points from 2022.
Retailers adapt
Retailers are recognizing the business potential of resale, with 94 percent of executives acknowledging that their customers are already participating in the secondhand market. Yet, challenges remain—86 percent of executives who have yet to launch resale programs cite uncertainty in execution. However, market fragmentation is fueling innovation, with brands increasingly opting for third-party service providers to streamline resale operations.
For brands, resale offers a compelling mix of short- and long-term benefits. Customer acquisition and revenue diversification are immediate gains, while enhanced sustainability credentials and greater control over brand perception in the secondary market provide lasting competitive advantages. Notably, 47% of consumers are more likely to make a first-time purchase with a brand offering trade-in programs, underscoring resale’s role in driving brand loyalty.
Social commerce
Social commerce is emerging as a dominant force in the resale space, with 39 percent of younger consumers making secondhand purchases through platforms like Instagram and TikTok Shop. Retailers are capitalizing on this trend, with 76 percent stating that social commerce will be instrumental in driving resale adoption within their brands.
Artificial intelligence is also playing a transformative role, easing the traditionally overwhelming nature of thrifting by refining search capabilities, personalizing recommendations, and streamlining authentication processes. As AI-powered tools improve consumer experience, resale adoption is expected to accelerate further.
A circular future: The implications for fashion
With sustainability concerns mounting, the rise of resale is not just a commercial shift but a necessity for the industry. As tariffs and trade disruptions put pressure on global supply chains, 54 percent of retail executives view resale as a more stable and predictable source of inventory. Furthermore, 74 percent believe that resale aligns affordability with sustainability—a key balancing act for modern fashion brands.
The secondhand revolution is no longer a niche trend but a core pillar of the fashion ecosystem. As consumers, brands, and retailers recalibrate their strategies, the coming years will solidify resale as a mainstream force shaping the industry’s future.
To see the full report visit www.thredup.com.
