The second-hand clothing business, which resells old clothes that have not been utilized to the end of their lifetime, is a sustainable business venture. In a world where people are grappling with depleting resources and huge waste piles, sustainable industries are the need of the hour.
However, before you start purchasing second hand clothes wholesale for setting up a sustainable business, you must know about present trends in the field.
Secondhand Clothing: Where Does The World Stand?
Global business trends have shown a strong preference for smarter business options. Buying, selling, and exporting used clothes is a smart business choice in more ways than one.
A business that involves used clothes has abundant raw materials (old clothes). Moreover, the pressure on energy resources and investment needs is also minimal. So here are some of the trends you must keep in mind before starting your first secondhand clothes venture.
Growth Potential Of The Business
You must know the growth potential before you venture into any new business. Many sustainable business options look good on paper but lack feasibility in real life. However, the secondhand clothes business is quite feasible in the practical world, and hence its market trend shows a positive outlook.
Data from Exactitude Consultancy shows that the market CAGR for the used clothes industry stands at 12.4%. The business is expected to become a twenty-seven billion-dollar industry by 2029.
The Share Of Top Players
In some business concerns, some big players dominate the market. In these sectors, the major players determine the price of products and the way in which the sector develops. However, reports suggest that big players will not dominate the second-hand clothing industry. In fact, the big players will dominate only eight to ten percent of the market. This means that the field will be wide open for small and budding business venture growth.
The Presence Of Physical And Digital Markets
There has been a shift of used clothes shops from physical to digital. Initially, thrift shops used to sell used clothes. However, in the digital age and post the Covid 19 pandemic, used clothes shops are increasingly coming up in e-Commerce ventures.
Naturally, with the advent of the digital age, the buyer and seller of old clothes are not restricted to a physical location. And this most likely has positively affected the expansion of the used clothing industry.
However, going digital does not mean the old clothes are only sold in e-Commerce shops. Individuals who want to sell their dresses and accessories can do so through their social media profiles.
Many budding entrepreneurs suggest that selling dresses by posting photographs on social media outlets is cheap and effective. These young entrepreneurs post pictures (around ten to twenty) on a regular basis. And people who want to purchase any item can simply send a direct message on the social media handle.
Negating The Trend Of Fast Fashion
Secondhand clothes have been creating many new trends in the fashion industry, but it has also countered the trend of fast fashion. So now, if people need new clothing, they do not rush to buy a new item. Instead, they visit a store or an online shop to get what they want.
Strategic Alliances With Luxury Brands
For the longest time, most people have believed that the used clothes industry has catered to the poor or those who cannot afford the firsthand version of a dress. However, many luxury fashion brands have entered into strategic tie-ups with used clothes dealers and exporters. So now the prevalent notion that only the poor wear used dresses is changing fast.
Regional Distribution Of The Industry
Regionally, places like Europe and South Asia are predominant sellers of women’s used clothing. At the same time, regions like Latin America and East Asia are dominant when it comes to kidswear. So it would be a fair assumption to say that though the used clothes industry is doing well globally, some markets are better for men’s wear, and others for kidswear, and so on.
The Expected Effect On The Environment
Globally the fashion industry contributes around ten percent towards carbon emissions. So many political and business leaders believe that the trend of using secondhand clothes could have a strong positive effect on the environment.
Conclusion
Thus, it can be said that the secondhand garments industry is breaking and making many new trends at the same time. On the one hand, it is encouraging sustainable fashion and purchases through digital markets. On the other, it is breaking fast fashion trends and concentration of market control in the hands of big players.
Overall it will not be wrong to say that used garments-based businesses will prosper in the near future. And starting a new business using old clothes might give you huge profits and success.