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From Secondhand to Standout: Why Retailers Need More Resale Offerings in Stores


Resale is having more than just a moment — it has gone from a curiosity to a full-blown trend with no signs of stopping. Between sustainability concerns leading to more emphasis on reuse and recycling and economic concerns driving consumers to lower-cost options, the growth of sites such as Vinted and eBay is heralding resale as a mainstay of retail.

But one place where resale has not really gained traction is in the store. Most often it is tucked into a back corner, perhaps next to the clearance racks, but it is certainly not fully integrated into the retailer’s offering.

How Resale Works for the Typical Retailer

There are plenty of variations, but the most typical program offers a discount on a future purchase or a store credit awarded in exchange for turning in a product for resale. Merchandise accepted from a consumer does not usually go straight into that store’s inventory — it’s gathered up and sent to a central processing facility to be evaluated, sorted, and made ready for sale. Anything that isn’t sellable is donated, recycled, or — in the worst case — bundled off to a landfill or destroyed. Some retailers make commitments that these last two things don’t happen, but it’s not always guaranteed that everyone in that supply chain follows through.

Items for resale are rarely inventoried. Luxury goods might be, but a lot of product data has been lost over the years. You might get a brand, a category (“short-sleeve blouse”), and a size, but rarely anything about the material makeup or sizing guidelines. Items are usually photographed for online listing with a price and a bare-bones description. In some cases, items might be sent to a store to be featured there, but this is rare.

Additionally, the flow and the depth of product information may differ, depending on if you are a brand reselling your own brand or a retailer reselling a lot of different brands.

Three Opportunities for Stores

If retailers and brands really want to commit to resale, they need to invest to make real connections in stores. Here are three opportunities.

1. Driving traffic to stores

In resale, every item is unique. Even if you have 10 of the same handbag, for example, each one has different wear and tear, which potentially makes for a unique price or at least hits a unique level of preference among consumers shopping resale.

Stores are a great answer for helping consumers decide if a “pre-loved” product is exactly the one for them. Distributing sought-after items to stores will bring in people looking for their unique match of a must-have pre-loved item.

2. Store events

Not only can you drive traffic to stores for resale items themselves, especially more unique or high-value items, but you also can use resale as the basis for all kinds of in-store events. This is where stores can really lean into their local communities to build events that will attract new and longtime shoppers alike.

Retailers can offer recycling drives that are timed for either end-of-season discounts or big pushes behind new-season offerings. Or they can hold events aimed at helping shoppers keep their existing products longer; your strategy does not have to focus exclusively on reselling past designs. It can also be about helping customers get more value out of what they own, while still exposing them to new pieces.

Restyle events where customers bring a loved piece in to find new ways to wear it serve exactly that combination of objectives. Offering repair or refurbishment, even cleaning services or classes, can help customers keep what they own in top condition. Again, any incremental visit to a store is a net-new opportunity to convert a shopper or drive additional lifetime value and loyalty.

And obviously, trunk shows or vintage drops also serve as high-profile events that can drive traffic — not to mention that all these events have enormous potential for social sharing, influencer partnerships, and earned exposure in digital channels.

3. Enhanced store assortments

Retailers all too often consign resale to a back corner or some other similarly challenged area of the store. However, luxury retailers are increasingly bringing resale right out in front, mingling it directly with new items, as demonstrated by Balenciaga, Coach, and Bottega Veneta in recent catwalk shows.

Resale is no longer something you stick in the dusty corner, but potentially a cornerstone of your brand’s commitment to reducing your environmental impact — Mulberry’s Buy Back Exchange programme being one such example. If it’s something to be proud of, it should not be hidden away — it should be featured as prominently as any other product in the store.

And it’s something of a secret that resale is considerably more profitable than new sales, especially if you bring it all in-house and integrate it into your offering. While the startup costs might be high, every time you resell something, it’s nearly 100% profit. Only the holding and any transportation costs go into product costs; the rest was already paid for when you sold it new. This is especially true if you are taking in resell product through discounts on future purchases rather than credit.

Don’t Leave Stores Out in the Cold

Retailers often underestimate how much of a disconnect there is between their digital presence and what goes on in their stores. Nowhere is that more apparent than if resale is offered online, with stores serving as an indifferent collection point and not much more, or if resale in stores is treated as a distraction rather than the traffic and loyalty driver that it could be.

You can have the best of both worlds — you can attract shoppers with new items and demonstrate the value and longevity of the brand with resale. You can have unique local assortments and put any item into the hands of any customer who wants it, whether in-store or online. With just a bit more effort in product catalog, omnichannel, and in-store event planning, resale can become as much a driver of new business as it is an important and increasingly relevant offering of its own.