Inflation Drove more Consumers to the Secondhand Market

 

As inflation continues driving shoppers to reach deep into their pockets, many people are doing what they can to save some extra cash. One option is secondhand shopping or selling. With the rise of digital resale platforms, Americans are now purchasing secondhand items at an unprecedented rate.

 

According to CouponBirds' research, people's search queries for secondhand goods have climbed since 2018 which indicates people's increasing buying demand for secondhand goods since the pandemic of 2019. Despite people's rising desire for secondhand goods, their interests are diverse across states.

 

 

 

The map below shows the interest trends of secondhand goods by state.

 

 

 

 

It can be found that residents from Georgia showed the highest interest in used goods, followed by Alabama and Indiana, while residents of the District of Columbia revealed the least demand for secondhand goods.

 

According to a survey conducted by ThredUp, 58% of respondents claimed secondhand has helped them in some way during inflation. Looking ahead, 25% of shoppers say they'll consider buying more secondhand products if prices in apparel, footwear, and accessories keep rising. 62% of Gen Z and millennial consumers indicate they look for secondhand products before buying new ones. And 46% of Gen Z and millennial consumers consider the potential resale value of an item before purchasing it, per the report.

 

People's interests in secondhand goods also motivate the secondhand market. According to CouponBirds' research, the sales of the secondhand market in the US. continue to rise since the inflation keeps running hot.

 

 

In 2022, sales of the resale market are estimated at $54 billion, an increase of over 50% compared to $35 billion in 2021. And the U.S. secondhand market will more than double by 2026, reaching $82 billion, 16 times faster than the broader retail fashion market.

 

The above data proves that an increasing number of merchants and consumers are willing to sell and buy in the secondhand market. Secondhand goods have become a good choice for people who are facing soaring prices due to inflation.

 

 

Reference

1. Fashion Network, "U.S. secondhand market to double by 2026: ThredUp".