The global market for second-hand clothing is undergoing a shift as it escapes the stigma of being considered ‘cheap’ or ‘used’ attire, particularly in regions like China and Southeast Asia, as per reports.
This transformation is exemplified by major clothing brands such as Zara and H&M venturing into the second-hand sector, establishing specialised stores worldwide. South Korea, the United States, and Europe are witnessing an increase in the demand for pre-owned garments.
Korean retail giants like Lotte, Shinsegae, and Hyundai are capitalising on this trend by launching online malls dedicated to used clothing. Companies like Kolon FnC are also contributing to the movement by creating their own platforms for second-hand trading services.
Lightning Market, a dedicated second-hand clothing platform, has experienced a substantial rise in transaction value, surpassing US $ 402 million in the first half of this year alone. Soldout, a personal trading platform by Musinsa, has expanded into the used clothing trade, offering additional services in collaboration with LaundryGo.
The global used clothing market, valued at US $ 177 billion last year, is projected to double to US $ 350 billion by 2027, with a growth rate nine times faster than the overall apparel market. The rise is attributed to consumers, especially the cost-conscious Generation Z, seeking affordability and sustainability in their fashion choices.
Euromonitor, a market research firm emphasises the role of reduced spending and a faster rotation in clothing consumption cycles as key factors, making second-hand clothing an increasingly appealing option.
