Target launches new program for used apparel
Target’s is selling used apparel through a new relationship with ThredUP.
The retailer, as of late March, has its own page on ThredUP featuring a selection of used apparel curated by its team from the resale platform’s assortment, according to CNBC. The selection consists of clothing from Target’s private label brands and from its past designer collaborations, as well as some luxury clothing items not usually found at Target. There are about 400,000 pieces total on the Target ThredUP page with discounts up to 90 percent.
Target has worked with ThredUP before. The earlier partnership in 2015 consisted of a test program that allowed shoppers to get Target credit for items resold through ThredUP.
More big box retailers are getting in on selling secondhand goods, as it appeals to both consumers’ concerns about sustainability and their desire for affordability.
Walmart, for instance, entered into a relationship with ThredUP in 2020. The retailer began offering 750,000 pre-owned, “gently-used” items on the marketplace.
Retailers that are exclusively apparel-focused have also been getting into the resale market, going as far as to start their own services to avoid losing sales to the big emerging online marketplaces.
At the end of 2021, Urban Outfitters launched an online second-hand marketplace called Nuuly Thrift, according to The Wall Street Journal. The marketplace allows Urban Outfitters to collect a commission on resold apparel that the chain misses out on when its products are resold on Poshmark or ThredUP.
ThredUP’s “2021 Resale Report” placed the annual sales of curated secondhand clothing at $36 billion and projected that the number would rise to $77 billion within five years. That would represent growth 11 times faster than apparel retailing as a whole.
In addition to its perceived environmental friendliness and cost savings, marketplaces like ThredUP have gotten a boost from the pandemic. ThredUP experienced an influx of product thanks to people cleaning out their closets and reassessing their clothing needs during the pandemic, according to The Street.
The trend is also catching on outside of apparel.
IKEA, for instance, recently expanded its buy back/resell initiative to all of its 37 U.S. stores after a successful pilot last summer.
- Target tiptoes back into resale with new ThredUp deal, as it makes sustainability push – CNBC
- Urban Outfitters to Take On Poshmark With Its Own Thrift Store App – The Wall Street Journal
- Walmart Partners with thredUP to Enter Popular Fashion Resale Market – Walmart
- 2021 Resale Report – ThredUP
- ThredUp Wants to Clean Out America’s Closets – The Street
- Is it time for mainstream retail to go all-in on the resale market? – RetailWire
- Is IKEA’s furniture buy back initiative sustainable? – RetailWire
DISCUSSION QUESTIONS: Do you see Target succeeding with resale through its ThredUp relationship? How likely is it that Target in the future will begin selling used products in its own stores or its own online marketplace?