Recent surveys from ThredUp, Salsify, and KPMG found a shift toward secondhand sales accelerating as consumers, particularly younger ones, seek value amid current inflationary pressures. For sellers of new products, a recent university study found that secondhand purchases supplement primary-market consumption rather than replace it.

ThredUp Sees Resale Sales Reaching $393 Billion by 2023
ThredUp’s 2026 Annual Resale Report finds that the U.S. resale marketplace grew four times faster than the broader retail clothing market in 2025 and is expected to grow two times faster than the overall market globally through 2030.

“Resale is no longer just growing, it’s taking direct market share,” said James Reinhart, ThredUp’s co-founder and CEO, in a press release. “The next phase of this market will be defined by who can best unlock supply and use AI to connect that inventory with the next generation of shoppers.”

Conducted by GlobalData, the study, now in its 14th year, is based on market modeling, a survey of 3,268 U.S. consumers, and insights from 50 top fashion brands.

Among the report’s core findings:

  • The global secondhand market grew roughly 13 percent year-over-year (y/y), to reach $257 billion, representing roughly 10 percent of global apparel spend. From 2025 to 2030, the global secondhand apparel market is expected to expand at a compound annual growth rate (CAGR) of approximately 9 percent, reaching $393 billion.
  • In the U.S., the secondhand apparel market is estimated to have reached $56 billion in 2025, up 13 percent from the 3.6 percent gain in the broader retail clothing market. Secondhand is projected to reach $78.8 billion by 2030, expanding at a 7.3 percent CAGR, compared to approximately 3.5 percent for traditional retail apparel. New shoppers will account for 64 percent of incremental secondhand spend in the U.S. Gen Z is projected to drive 40 percent of growth, followed by Millennials, at 31 percent.
  • Online resale sales in the U.S. reached $29.7 billion, climbing 19 percent y/y and nearly five times the broader retail clothing market’s 3.6 percent rate. From 2025 to 2030, online resale is expected to grow at a 10 percent CAGR to $48.3 billion. 

The U.S. Secondhand Apparel Market

 

Motivators of Resale Selling
Value remains the top reason consumers choose a secondhand item, according to ThredUp’s findings. Of the global respondents, 72 percent said rising prices are directly affecting their apparel spend, and 27 percent said they will increase secondhand purchases to offset further price increases. The survey found 41 percent look to secondhand first when seeking value.

Beyond value, the other primary motivators of resale purchases are access, individuality, discovery, and sustainability.

Of all global respondents, 59 percent shopped for secondhand apparel in 2025, up 7 points from 3 years earlier. Among Gen Z consumers, 62 percent shopped secondhand in 2025. The global study showed 34 percent of consumers’ clothing budget is earmarked for secondhand purchases over the next year, and 46 percent now browse resale before buying new, including 58 percent of Gen Z and 55 percent of Millennials.

Exploring what motivates resellers, the survey found 57 percent resell for income, rising to 61 percent among Gen Z. Among Gen Z and Millennials, 52 percent now attempt to resell more than half of their closets. Sixty percent of customers say resale value is a key factor when buying new apparel, up 13 percent y/y.

The survey also found that resale discovery is moving beyond traditional resale platforms. The survey found 46 percent of resale discovery now happens outside resale-specific platforms — via social feeds, creators and in-person browsing. Of the respondents, 43 percent of secondhand shoppers have purchased via social commerce or livestream formats, with social commerce adoption among Gen Z and Millennials nearly triple that of older generations.

The study further found that AI is promising for reimaging the resale experience. Among buyers, 66 percent are comfortable allowing AI to manage their “digital closet”— identifying what to sell based on market demand. On the selling side, 36 percent of consumers said they would resell more frequently if payouts were faster, and 66 percent are comfortable allowing AI to manage their “digital closet”— identifying what to sell based on market demand.

Among retailers surveyed as part of the study, 36 percent view resale as a hedge against inventory and supply chain volatility, and 42 percent say the biggest risk of not scaling resale is losing Gen Z and Millennial market share.  However, 52 percent of retailers indicated they are not equipped to rapidly scale resale under external pressure

Salsify Sees Tariff Concerns Driving Resale Activity
Salsify’s “2026 Consumer Research” report, based on a survey of about 2,700 U.S. adults, found that one in five shoppers now buy secondhand or shop resale platforms more often, specifically due to the impact of global trade policies.

Salsify’s survey also found that due to trade policies, 39 percent of consumers are comparing prices more carefully; 38 percent have cut back on overall spending; and 37 percent are actively hunting for lower-priced alternatives.

The report shared data last year from Boston Consulting Group (BCG) and Vestiaire Collective, stating, “the secondhand fashion and luxury market is growing three times faster than the firsthand market. It’s already massive (valued at $210–$220 billion today) and is expected to reach up to $360 billion by 2030, increasing around 10 percent every year.”

Affordability is fueling the explosion, with 80 percent of shoppers saying they choose secondhand fashion primarily because it’s easier on their wallet, according to BCG. Gen Z and Millennials are steering the secondhand ship, with help from somewhat recent additions to the shopping scene in Depop, Vinted and increasing thrift activity on TikTok.

KPMG: 8 Percent of UK Shoppers On Resale Platforms
A new KPMG study of UK shoppers found 8 percent of consumers in Britain are now primarily buying non-food products via resale platforms such as Vinted and eBay, with the rate rising to 15 percent among 18- to 24-year-olds and 11 percent among those aged 25 to 34.

On the selling side, a third of UK consumers have sold at least one item through a resale platform so far this year, averaging 5.5 items per person. Selling activity was highest among 18 to 24-year-olds. Those earning between £35,000 and £40,000 ($47,000 to $54,000) were found to have sold the most items, on average. Of those who haven’t yet sold anything in 2026, 18 percent plan to do so later in the year.

“The growth of consumer-to-consumer selling platform use is shaking up the UK retail landscape, with a combination of factors increasing the popularity of buying and selling pre-loved goods,” said Linda Ellett, head of consumer and retail at KPMG UK, in a statement.

KPMG found that affordability, sustainability, product quality, and convenience were cited as core drivers of resale demand. Ellett said, “With the cost of living remaining high and sustainability a consumer priority, reuse growth looks set to continue.”’

Yale Study Questions the Eco-Benefit of Resale Selling
A recent Yale study finds that frequent shoppers of secondhand clothing tend to buy more new clothes as well, undermining environmental benefits but not posing as much of a threat to new purchases as assumed.

The study, published in the journal Scientific Reports and based on a survey of about 1,000 U.S. adults, found a positive correlation between spending in the secondhand and primary clothing markets, particularly among younger consumers and frequent shoppers.

“Our study provides strong evidence that secondhand clothing markets contribute to a self-reinforcing cycle of overconsumption,” said Peleg Mizrachi, a postdoctoral fellow in Yale’s Department of Economics who coauthored the study with Ori Sharon of Bar Ilan University in Israel, in a press release. “The sustainable clothing community has placed a lot of faith in the secondhand markets as a sustainable solution to overconsumption. Unfortunately, our findings suggest that rather than solving the problem, secondary markets may inadvertently encourage unsustainable purchasing patterns.”

In the study, more than 69 percent of respondents reported purchasing secondhand clothes at least once. A cluster of 59 percent of respondents reported high consumption levels in both new and secondhand clothes. Members of this group frequently returned items they had purchased, retained garments for short periods, and had increased their purchasing of secondhand clothing since 2020.

“People who buy a lot of secondhand clothes also tend to get rid of clothes more quickly than other people, discarding them when they’re still in good condition or even brand new,” Mizrachi said. “They appear to be driven by a desire for novelty and stay aligned with new fashion trends. Ultimately, those most engaged in the secondhand market are generating more textile waste than other consumers.”

Image courtesy ThredUp