The thrift store industry is carving out a significant niche in the American retail landscape. With approximately 16–18% of Americans shopping at thrift stores, the sector has grown to house 28,849 businesses in the US as of 2023.
And this momentum doesn’t seem to be slowing; projections suggest that by 2026, the U.S. secondhand market will surpass its current size, touching an impressive $82 billion.
Let me share the most crucial thrift store industry statistics and trends you should be aware of right away. 👗📈.
Key Findings: Thrift Store Industry Statistics
- The thrift store market is expected to reach $14.2 billion by 2023.
- The global secondhand apparel market is expected to grow by 98.31% by 2027.
- The average thrift store in the United States earns around $300,000 per year in revenue.
- As of 2023, there are 28,849 thrift store businesses in the United States, a 3.5% increase from 2022.
- The US thrift store market grew 4.7% annually in last 5 years.
- About 16–18% of Americans shop at a thrift store.
- 93% of Americans now shop for used items online.
- 60% of shoppers would change their habits to reduce environmental impact.
- Thrift store shoppers save an average of nearly $150 per month.
- The global secondhand clothing market is expected to grow by 127% by 2026.
Sources: (America’s Research Group, ThredUP, GlobalData, Depop, NRF, Ibisworld, Yahoo)
Table of Contents
16-18% of Americans Patronize Thrift Stores Annually
Important takeaway:
| Encourage thrift shopping | Given the 16-18% participation rate, thrift stores can be a viable market segment. It would benefit businesses to capitalize on this potential customer base. |
| Increase sustainability efforts | Thrift shopping signifies eco-friendly consumer behavior. More sustainability initiatives could attract this 16-18% consumer base. |
| Develop marketing strategies | It’s important to focus on this consumer segment. Tailored marketing strategies can attract thrift shoppers. |
| Improve product sourcing | Thrift stores serve a considerable clientele. Enhanced sourcing can ensure quality and variety, enticing more customers. |
Source: America’s Research Group
62% of Gen Z and Millennials Prioritize Used Over New
Important takeaway:
| Focus on Gen Z, millennials | This demographic’s preference for used items implies they are key consumers for thrift stores. Targeted campaigns may yield high returns. |
| Promote eco-friendly buying | Gen Z and millennials value sustainability. Aligning with these values in marketing can effectively engage this group. |
| Prioritize online platforms | This tech-savvy group likely searches for used items online. Increasing online presence can help reach them effectively. |
| Maintain quality of used items | High demand for used items calls for quality assurance. This could increase trust and loyalty among these consumers. |
Source: ThredUP
Resale Market Poised to Hit $53 Billion by 2023
Important takeaway:
| Invest in secondhand market | With its predicted value, this market provides a robust investment opportunity. Capitalizing early could result in significant returns. |
| Consider entering resale sector | The expected growth suggests high consumer interest. New businesses can benefit from entering this thriving market. |
| Diversify product offerings | A larger market implies a diverse consumer base. Expanding product range can cater to various customer preferences. |
| Enhance online resale platforms | The projected growth may be driven by online sales. Prioritizing user-friendly digital platforms can be a strategic move. |
Source: ThredUP
US to Spend $82 Billion on Secondhand Goods by 2026
Important takeaway:
| Invest in secondhand market | With such significant projected spending, the secondhand market presents a lucrative opportunity for businesses. |
| Enhance product quality | High spending means consumers expect value. Offering quality secondhand goods can increase market share. |
| Leverage e-commerce | High expenditure might be driven by online shopping. Strengthening e-commerce strategies could yield substantial rewards. |
| Prioritize customer service | With large spending, customer satisfaction is crucial. Exceptional service can lead to customer loyalty and repeated sales. |
Source: GlobalData
Over Half of Shoppers Turned to Secondhand in 2022 for Savings
Important takeaway:
| Cater to budget-conscious shoppers | With over half of shoppers buying secondhand to save, there’s potential in appealing to this cost-conscious demographic. |
| Promote affordability | Highlighting the cost-effectiveness of secondhand shopping could appeal to these value-seeking consumers. |
| Stock quality yet affordable items | Customers expect to save, but they also want quality. Balancing both can attract this 53% consumer base. |
| Develop cost-saving promotions | Discounted sales and promotions can further draw in customers seeking to save money. |
Source: Depop
60% of Consumers Alter Habits for Environmental Impact
Important takeaway:
| Promote eco-friendly practices | Given the data, businesses should advertise their environmentally friendly operations to appeal to these conscious consumers. |
| Stock sustainable products | Consumers are willing to change habits for the environment. Offering sustainable goods can capture this market. |
| Encourage secondhand shopping | Highlighting the environmental benefits of secondhand shopping could motivate these shoppers. |
| Develop green initiatives | Adopting green business strategies can attract this 60% consumer base committed to reducing environmental impact. |
Source: NRF
US Thrift Market Sees 4.7% Annual Growth from 2017-2022
Important takeaway:
| Exploit the Thrift Store Growth | The continued growth of the market indicates strong consumer interest and spending. |
| Invest in Sustainable Practices | Thrift stores are popular for their sustainability, which is increasingly valued by consumers. |
| Enhance Online Presence | The consistent growth during 2017-2022 may partly be driven by online sales, reflecting the role of digital channels. |
| Intensify Local Marketing Efforts | Thrift stores, often local businesses, may have gained traction due to community engagement. |
Source: Ibisworld
93% of Americans Embrace Online Shopping for Used Items
Important takeaway:
| Expand Online Sales Channels | The high percentage of Americans shopping for used items online indicates significant online market potential. |
| Prioritize User-Friendly Website Design | Given the extensive online engagement, a smooth, user-friendly shopping experience is paramount. |
| Focus on Internet Marketing | The majority of potential customers are online, underlining the need for effective internet marketing strategies. |
| Incorporate Online Payment Systems | With such high online shopping rates, versatile and secure payment methods are a necessity. |
Source: Yahoo
