Fashion brand participation in resale exploded last year

2022 ended with almost 3.5 times more brands operating resale programs than in 2021, according to analysis by thredUP. And 2023 continues to bring new resale initiatives from the biggest names in fashion, like H&M, J.Crew and Kate Spade.

• Brands want to get a share of resale requests. Sales of used fashion are already happening on third-party platforms like Poshmark, thredUP, and The RealReal, so it makes sense for brands to make claims. Through this, they can also strengthen customer relationships and gain valuable behavioral data.
• But it’s getting harder to stand out in increasingly crowded spaces. As resale becomes a gamble for fashion brands, greater creativity is needed to differentiate resale offerings. Brands and resale platforms are experimenting with different tactics: Rebag and REI tie resale to loyalty programs; Levis and Miu Miu show off how used clothing can be restyled; and Depop and thredUP collaborate with Gen Z celebrities and influencers (Olivia Rodrigo and Nava Rose, respectively).
• Even fast fashion brands are starting to resell, to mixed reception. Zara began testing programs for resale, repairs and donations in the UK in late 2022, and H&M launched a new resale program in the US in March 2023. P2P resale platform Shein debuted in October 2022 and lists based on customer purchase history. But some of these efforts have also increased criticism of the brand and its relationship with overproduction.