The Global second hand clothes market sales are expected to grow at a healthy CAGR of 11.2% over the forecast period 2021-2031, despite a period of slower growth in 2020, according to a latest study by Future Market Insights (IMF).
With globalization, the fashion industry has changed considerably. Changes in lifestyles resulting from industrialization, urbanization, economic development and globalization have accelerated sales in the fashion industry over the past decade, especially in developing countries and regions in rapid socio-economic transition.
E-commerce has transformed shopping experiences, with over 60% of people choosing to purchase products, services and obtain products through the internet. Home delivery, subscription models and other benefits are the main reasons for this change.
Product reviews and other e-commerce features help merchants study shopping habits and trends to create products and services that meet the needs of potential buyers. This provides useful information that retailers can use to develop effective marketing strategies.
The presence of companies such as ThredUP and Poshmark that are responding to the demand for low-cost, eco-friendly alternatives to new clothes will drive growth in the years to come. The expansion of online distribution channels will also bode well.
To build customer loyalty, many fashion retailers are implementing recycling initiatives and launching new collections of clothing made from eco-friendly fibers. Growing consumer awareness of online resale platforms and fast-growing online start-ups are offering second-hand branded and designer goods and rental ethnic clothing.
The two most common types of second-hand clothing stores are thrift stores and resale platforms. The latter contributes substantially to the recent increases. Second-hand clothes are often dusty and worn, and are mostly sought after by bargain hunters.
A key factor fueling the demand for second-hand clothing is changing consumer behavior as they replace fast fashion shopping with resale. Driven by greater awareness of ethics and sustainability, consumers are turning to savings as a way to reduce their impact on the environment.
Request a sample PDF brochure:
Key Findings from the Second-Hand Clothing Market Study
- Shirts and T-shirts are expected to hold a 29% market share in 2021 due to changing consumer preferences with an expanding female workforce.
- Online retail is expected to remain a lucrative distribution channel over the forecast period with a CAGR of 18.7% due to wider product selection.
- Sub-Saharan Africa will dominate the MEA, accounting for more than 50% of the value share until the end of 2031, due to the popularity of second-hand clothing.
- Pakistan accounts for more than 40% of second-hand clothing sales in South Asia, due to the presence of a large base of socio-economically disadvantaged consumers.
- Guatemala leads in Latin America, accounting for more than 30% value share during the forecast period.
“Major players in the global second-hand clothing market are launching new brands and expanding their inventory of eco-friendly and second-hand clothing. Companies are also looking for ways to improve consumer retention and engagement to support growth over the next decade. As a result, spending on marketing strategies has increased,” says an IMF analyst.
Impact of COVID-19 on the market:
Not only are consumers buying fewer non-essential items, but they are also buying higher quality clothing rather than cheap, disposable options. Customers have also moved from offline purchase options to online purchase options.
During the COVID-19 crisis, e-commerce dominated and retailers invested in an online presence. Ahead of the shutdown, internet retailers came up with tentative methods for selling their wares online.
The second-hand clothing market has been hampered by a labor shortage in the industry. The reduction in transactions for fear of viral transmission has also caused short-term problems.
Educate Yourself Before Purchasing This Research Report:-
Major players in the used clothing market are aiming for strategic collaborations and other marketing strategies to grow their business and attract wider customer base.
Some of the major players present in the used clothing market are ThredUp Inc., The RealReal, Patagonia Inc., Poshmark, StockX, Vinted, eBay Inc., Micolet, Thrift+, Tradesy Inc., Chikatex, HunTex Recycling Kft, A&E Used Clothing Corporation, Mobacotex, Percentil. Morocco among others.
Gain Valuable Insights on the Used Clothing Market
Future Market Insights, in its new offering, provides an unbiased analysis of the global second-hand clothing market, showcasing historical demand data (2016-2020) and forecast statistics for the period 2021-2031. The study discloses compelling insights into the second-hand clothing market based on product type (sweaters, coats & jackets, dresses & tops, shirts & t-shirts, jeans & pants, others), industry (resale, traditional thrift stores and donations), Target population (women, men, children) Sales channel (multi-brand stores, online retailers, wholesalers/distributors, hypermarkets/supermarkets, small independent stores, department stores, others) in seven major regions.
About Future Market Insights (IMF)
Future Market Insights (FMI) is a leading provider of market information and advisory services, serving clients in over 150 countries. FMI is headquartered in Dubai and has delivery centers in the UK, USA and India. FMI’s latest market research reports and industry analysis help businesses meet challenges and make critical decisions with confidence and clarity amidst fierce competition. Our custom and syndicated market research reports deliver actionable insights that drive sustainable growth. A team of analysts led by FMI experts continuously monitor emerging trends and events across a wide range of industries to ensure our clients are prepared for the changing needs of their consumers.
future market outlook,
Unit number: 1602-006
Jumeirah Bay 2
Parcel number: JLT-PH2-X2A
Jumeirah Lakes Tours
United Arab Emirates
© Scoop Media