When I scroll through my TikTok "For-You" page, every few posts show a shopper’s “thrift haul,” or someone digging through their relative’s vintage closet for a nostalgic home fashion show. Occasionally I see folks repurposing clothing they already own to learn how to shop more consciously. Bringing new life to old clothes has become not just a fashion statement, but also a necessary step in the direction of sustainability. Especially since the pandemic, online shopping is becoming more popular than ever and with the emerging resale market taking over, retailers are looking for a way to get involved and tap into consumer’s goals for environmentally conscious shopping.
It’s not just for clothing, though. The resale market is growing at rapid speeds thanks to budget conscious and sustainability focused consumers, this includes markets such as electronics, home goods and even cosmetics. Gen Z consumers have paved the way for an entirely new way to shop, and retailers have the opportunity to grow as a result.
Add Resale Options to Your Existing Website
Many retailers including REI and Apple have added resale options to their websites, allowing consumers to turn in used items in exchange for cash or store credit, giving items that would have likely ended up in the trash a second life. Utilizing customer returns is one strategy or working with a third-party that specializes in receiving, refurbishing and reselling used items. ThredUp is a popular eCommerce website that partners with many clothing retailers to source gently used clothing directly to be sold at a discounted price. This option allows retailers to outsource most of the energy required to take advantage of the reselling industry while still meeting their sustainability goals.
Emphasize the Environmental Impact of Reselling
I’ve noticed some retailers displaying the environmental impact of an item on each item’s product description page, providing the consumer with as much information as possible to help them make a sustainable choice. Making it clear that your reselling strategy aligns with your consumers’ values and sustainability goals is one way to attract more customers and build trust with your current ones.
Incentivize Reselling with Loyalty Initiatives
Another trend I’ve noticed is brands offering buyback programs for their customers only if they participate in their loyalty initiatives. Some retailers offer store credit in exchange for used items, while some others have adopted reselling options that benefit members of their loyalty program, incentivizing customers’ long-term commitment.
Learn How to Appeal to Gen Z Consumers
If you’re looking for a way to gain access to a younger demographic of consumers, many retailers see the growing resale market as an opportunity to reach Gen Z shoppers. The demand for sustainability is only expected to grow, and though it may feel counterintuitive for your business to encourage consumers to make sustainable choices, adopting some of these strategies may help you to become more successful by aligning with your customer’s goals and helping them to feel more confident about where they choose to shop. Social commerce is one
way to reach a Gen Z audience, influencer marketing is effective and using social platforms to get closer to your customers builds loyalty as well.
Retailers have a responsibility to reach sustainability goals and should be learning how to integrate those goals with their growth strategies. ThredUp estimates that the U.S. resale market will grow by 21% every year and reach $73 billion by 2028. The market is growing rapidly, as is the pressure for brands and consumers to make more conscious choices about how their behavior impacts the environment.
Though this may feel like a step backwards for your brand’s success, incorporating resale options into your shopping experience can have a significant positive impact on your goals for both sustainability and profitability.