Second hand or pre-owned clothing is quickly becoming a much needed alternative to fast fashion in the age of green consumerism.
A combination of rising energy costs, gas prices and rent has led to a tightening of purse strings, with many of us having less disposable income. That being said, the fashion sector is faring quite well, with spending on clothing above pre-pandemic levels, boosted by the return of weddings, holidays and socialising. The bigger picture however is that ethical and environmental concerns are set to dominate the fashion retail sector.
Fast fashion is a term used to describe inexpensive designs that move quickly from the catwalk to stores to meet new trends. Today it is not uncommon for fast fashion retailers to continuously introduce new lines. As a result many consumers buy affordable items in large volumes from the likes of Zara, H&M and more recently SHEIN, to stay on trend.
The fast fashion sector relies heavily on petrochemical products for their textiles, mainly polyester, a form of plastic derived from oil. The industry also accounts for a fifth of the 300 million tons of plastic produced globally each year. In fact, the fashion industry accounts for 10% of annual global carbon emissions according to a report published by the United Nations Environment Programme and the Ellen MacArthur Foundation. This is more than equal to all international flights and maritime shipping combined. This report predicts that the fast fashion industry’s greenhouse gas emissions could surge more than 50% by 2030.
While fast fashion is poised to continue to grow 20% in the next 10 years, second hand fashion is expected to grow a whopping 185%. With the growth of eCommerce across almost all retail sectors, consumers are shifting how they make their fashion and beauty purchases, becoming more open to online shopping experiences. The second hand clothing industry is no exception.
A study conducted by eBay found that 30% of shoppers are now making more considered purchases to get better value for money, while 19% are buying more second hand items in order to save money. On eBay’s website, searches for pre-owned clothing were 19% up in January 2021 and rose by a further 38% in January 2022. A quarter of participants noted they bought second hand clothing in 202, while 20% said they frequently bought second hand, upcycled or refurbished clothing.
Consumers are increasingly selling their unwanted cast-offs, as the resale market booms. Platforms such as Depop and Vinted are growing in popularity. Vinted, which now has over 37 million members and is valued at more than $1bn, saw an increase of just over 16% in listings during the pandemic. These platforms are particularly popular amongst teenagners and young adults.
There is also a market for second hand luxury clothing and accessories. Retailers such as The RealReal or Vestiaire Collective exclusively sell authenticated luxury items. The market value of this sector reached $2 billion in recent years and is expected to keep rising.
How might larger retailers rise to this opportunity?
Asda in recent years tested out selling second hand clothing in 50 supermarkets, while John Lewis and Ikea are launching schemes to sell used furniture and fashion. With the retail sector as a whole throwing out 25% of its returns every year, sending more than £5 billion of stock to landfill, reselling these returns at a reduced price could prove to be beneficial both fiscally and ethically.
With IMRG reporting that 75% of consumers intend to shop more with retailers who offer sustainable returns and delivery methods, it’s the combination of environmentally conscious products and post-purchase experiences that will win out. Offering timed delivery slots and green delivery options that promote the most carbon-efficient way of transporting items, is something that consumers will soon demand as standard.
Fergal O’Carroll is the chief revenue officer at delivery management company, Scurri, with responsibility for sales strategy and execution.
His prior roles include EMEA vice-president for commercial sales with Teradata for eight years; prior to that, he was managing director of business intelligence solutions with Avnet Client Solutions for 13 years.
Fergal holds a BA in Business Studies from the University of West London and is a native of Dublin, Ireland.
