Major fashion chains launch own resale sites to tap $393 billion secondhand market

A wave of prominent fashion retailers—Zara, H&M, Lululemon, Levi’s, REI and others—are launching dedicated resale channels that offer secondhand items alongside new collections. According to ThredUp’s 2026 Resale Report, the worldwide market for used apparel may hit $393 billion by 2030, expanding twice as fast as the overall clothing market, with U.S. sales projected at $78.8 billion by decade’s end. Industry analysts argue that owning resale platforms lets brands capture additional profit, extend product lifespans and deepen loyalty, especially among Gen Z and younger millennials who value circular fashion and cost savings.

Partnerships with technology firms such as Trove and Reflaunt provide the logistics and authentication needed for these programs. H&M reported that its Pre-Loved initiative generated SEK 1,844 million in 2025, a 31 % rise year over year, and now accounts for 0.8 % of group turnover. While resale is not expected to replace new-item sales, it is becoming an incremental revenue stream that complements traditional retail.