Item being placed in a ThredUp bag
Photo: The Container Store

Will Americans Clean Out Their Closets For a Container Store Gift Card?

The Container Store’s mission is to help people get organized. For many people, getting organized includes cleaning out their closets.

The retailer yesterday launched its Closet Clean Out resale program that lets customers return gently-worn women’s and children’s clothing, shoes and accessories in exchange for an e-gift card that can be used in its 97 stores and on containerstore.com.

The Container Store is partnering with thredUP to manage the program. It is the first custom closet company to work with the resale platform.


The Container Store’s chief marketing officer, Melissa Collins, said the Closet Clean Out program aligns with the chain’s core beliefs.

“We could not be happier with this program, where our customers can give new life to their belongings as they clean out and organize their spaces – and be rewarded with Container Store credit in the process. Together, we can slow fashion waste and reduce its impact on our planet,” Ms. Collins said.

Customers participating in the Closet Clean Out program can pick up a thredUP kit from any of The Container Store’s locations or print a prepaid shipping label from containerstore.thredup.com and place it in any shippable box or bag with gently worn items  from any brand. Shipping is free. Those returning clothing, shoes and accessories will receive a gift card for items that sell on thredUP.


The Container Store and thredUP have kicked off the program by sponsoring a giveaway on Instagram where three winners will receive a $500 gift card from each company. Entries must be submitted by 11:59 CST on Friday, May 5. Winners will be chosen and notified by May 12.

The retailer’s resale program launch coincides with its Sustainable Living event that seeks to highlight its assortment of “sustainably-sourced” products across various categories including cleaning, composting and recycling, food preservation and hydration. The chain said its curated assortment of products could help reduce single-use plastics and promote more environmentally beneficial cleaning products and practices.

ThredUP’s “2023 Resale Report” shows that 88 retailers entered the secondhand products market in 2022 with their own branded resale programs. These companies, like The Container Store, are looking to participate in a growing market expected to generate $70 billion in annual sales in the U.S. by 2027.

Discussion Questions

DISCUSSION QUESTIONS: Will the Closet Clean Out program successfully support The Container Store’s sustainability credentials and sales? What are the keys for retailers to operate successfully in the resale market?

Poll

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Perry Kramer
Active Member
1 year ago

The Container Store promotion is a win even before the first customer makes a purchase. It is a great promotion that highlights their corporate values and can be embraced at many levels as well as having the potential to grow through social platforms.

Brandon Rael
Active Member
1 year ago

The Container Store once again proves why they are one of the best U.S.-based retail operations. They simply get it and provide outstanding customer experiences while extending goodwill along the customer journey. This Closet Clean Out collaboration with thredUP is another example of how they incentivize customers to clean up their closets, and in this case they can earn The Container Store credit doing it.

The gamification elements of this program on Instagram are yet another way for The Container Store to engage and drive more customer loyalty. Their focus on building a more sustainable world is also a critical and commendable initiative. As the market demands more sustainably sourced products, The Container Store is stepping up and determining ways to mitigate using single-use products.

David Spear
Active Member
1 year ago

This is a fantastic program that delivers wins to all stakeholders, especially customers. I’m sure we’ll be reading about the success of this program and we will see version 2.0 coming soon.

David Naumann
Active Member
1 year ago

The Closet Clean Out program is a clever way to combine the benefits of sustainability with driving incremental revenues. The program should not only inspire consumers to pare down their excess clothing but also provide them credit at a store that is focused on organizing your life. It is a win-win-win strategy for consumers, The Container Store and thredUP.

Paula Rosenblum
Noble Member
1 year ago

I like this idea a lot. I think incremental sales are really an ancillary benefit. It’s a brand builder.

It is certainly more inspiring than “determining if each item you own is bringing you joy.” Bring joy to others.

Melissa Minkow
Trusted Member
1 year ago

This approach works–Madewell does something similar in offering discounts on jeans to those who bring in old denim. It’s a great idea.

John Hyman
Member
Reply to  Melissa Minkow
1 year ago

Maybe I am confused, but this promotion appears quite different from the Madwell one. Madewell gave you shopping value on the spot; you knew immediately what you had. The Container Store quid pro quo appears to be based on what actually resells. From the article: “Those returning clothing, shoes and accessories will receive a gift card for items that sell on thredUP.” Might this backfire?

Gene Detroyer
Noble Member
1 year ago

I love this. It is undoubtedly out-of-the-box thinking, yet it makes tons of sense. How good? Maybe worth an Emmy. Both parties should end up winners. It should become an ongoing effort if it goes how it is projected.

The execution does have several steps that might be confusing. However I applaud The Container Store for not trying to handle it alone and partnering with someone who knows the complexities of managing used clothing.

The Container Store’s mantra is “to deepen our relationship with our customers, expand our reach and strengthen our capabilities, all while transforming lives through the power of organization.” I think this program achieves that.

Ricardo Belmar
Active Member
1 year ago

This is a win-win all around for The Container Store, thredUP and their customers. At the same time that this helps deliver a proof point for The Container Store’s sustainability efforts and their corporate mission of helping customers get organized, it also helps those customers feel like they are contributing to sustainability with their used clothing. This isn’t quite like other team-ups we’ve seen with thredUP and other retailers, which makes it extra interesting to watch. I expect this will be a hit with The Container Store’s existing customers and I’d bet it will also help them bring in new customers who are sustainability-minded and might not have thought about the brand before now. Resale is becoming very popular among consumers and The Container Store has the right idea to team up with an expert in this space rather than trying to run it all themselves — getting this wrong in the execution is a fast path to customer dissatisfaction from which there is no return. Consumers will give this sort of program one chance to work and if it doesn’t, they’ll look elsewhere. ThredUP has the experience necessary to make this work. I believe this is a winner!

Mohammad Ahsen
Active Member
1 year ago

Closet Clean Out program successfully solve the simple problem that most Americans face, which is having too many unworn clothes in their closets. This program is simplest way to clean out the closet with signature Clean Out Kit, and making unused apparels available at The Container Store, the go-to destination for home organization.

This gives customers another convenient way to give those clothes a second life. Through this program, Container Store’s & ThredUp reaching a new segment of American consumers to drive greater impact on sustainability initiative.

Joel Rubinson
Member
1 year ago

fantastic idea. Simplicity always wins, especially when it is for a good cause.

Patricia Vekich Waldron
Active Member
1 year ago

Consumers will absolutely clean their closets for this cause! The rise in resale, rethinking of consumption and reshaping of wardrobes make this a big win for all involved.

Mark Self
Noble Member
1 year ago

Everything is right about this promotion! It hits the right sustainability notes, it gives Container store incremental revenue opportunities, it supports the communities that ThredUp serves and it gives people incentives to organize their closets, a task that increases anxiety levels in many of us!

Brad Halverson
Active Member
1 year ago

The key win here is Container Store gets good PR, and positive brand visibility almost regardless of how many people participate or how many redeem the gift card. Well done!

Anil Patel
Member
1 year ago

In my opinion, The Container Store’s “Closet Clean Out” program definitely has the potential to succeed as more customers are embracing the second-hand market. However the resale culture will take time to build as companies are still trying to enter this market.

People will eventually become habituated to returning or reselling their gently-worn fashion items in exchange for some benefit like a gift card or store credit. Although not necessarily for any financial gain–customers may just want to do something out of good intentions. They would hope that their used products will be useful to someone else instead of being discarded and ending up in a landfill.

BrainTrust

"I like this idea a lot. I think incremental sales are really an ancillary benefit. It’s a brand builder."

Paula Rosenblum

Co-founder, RSR Research


"This is a fantastic program that delivers wins to all stakeholders, especially customers."

David Spear

VP, Professional Services, Retail, NCR


"Consumers will absolutely clean their closets for this cause! The rise in resale, rethinking of consumption and reshaping of wardrobes make this a big win for all involved."

Patricia Vekich Waldron

Contributing Editor, RetailWire; Founder and CEO, Vision First