Thrifting for Gold
For a very long time, the height of luxury fashion was defined by glossy storefronts on Fifth Avenue and dainty, elevated purple shopping bags from Liberty’s. Thumbing through fashion magazines or red carpet reports showed Haute Couture and luxury from ateliers across the world. Today, however, the trendiest bags are coming from the back of your mum’s closet—or, more accurately, from her Vinted account. Thrifting has long been a favourite shopping model for young people, craving the uniqueness and sustainability of vintage pieces, but as we enter an age of IYKYK, the ability to source, procure, and recognise vintage pieces is an admirable skill. Thrifting isn’t just cool, it’s luxurious, and it’s been translated heavily to an e-commerce model in the past 10 years. Thrift stores become worlds of consignment shops, and apps like Vinted, Depop, TheRealReal, Vestiaire Collective, and more are the new luxury boutiques.
According to Samina Virk, US CEO of Vestiaire Collective, “Vintage has become its own luxury status symbol.” That Gucci bag from the Tom Ford era? It’s no longer just a relic; it’s a trophy, it’s an act of love in procurement, and shows a heightened appreciation and intellect within the world of fashion. It’s not just a cashmere sweater, it’s a 1990 Calvin Klein cashmere jumper worn by Carolyn Bessette-Kennedy. And while big brands scramble to re-issue old designs (the Fendi Baguette came back briefly people), the real fashion cognoscenti are hunting for the originals, scanning every corner of the internet like fashion archaeologists in search of a lost relic. But instead of the Holy Grail, it’s a Dior saddlebag from 2001.
“Vintage has become its own luxury status symbol.” - Samina Virk
What’s interesting is how being ‘good’ at navigating these platforms has become a flex in itself, a point of pride and expertise. Pulling out the latest in Zara is one thing I suppose, but sourcing genuine vintage from sites like Vinted or Depop, who now have adopted bespoke tabs on their platforms for authenticated luxury items, shows a general prowess and interest in the niche expertise of fashion. In the same way sneakerheads flex the latest drop online, and can resell for higher values with an expertise of their ‘worth’, fashion-mavens boast about sniping a pair of archival Miu Mius on Depop for a fraction of their current value.
This might explain why Vinted, a platform that started in Lithuania, has blown up to become one of the first second-hand fashion marketplaces to actually turn a profit—a unicorn achievement in a field littered with cash-burning startups. With a $5 billion valuation on the horizon, Vinted’s success stands in stark contrast to its competitors like Depop and ThredUp, who are still struggling to break even. Running these reselling e-commerce platforms has incredibly expensive overhead costs and migraine-inducing logistics, and in reality their true competitors are second hand shops like Oxfam and Crisis, which operate as nonprofits and have decades of experience (and just more manpower in general).
This profitability is a testament not just to the growing popularity of second-hand fashion, but to how we’re adjusting our attitudes toward consumption as a whole. Vinted’s recent “too many clothes” campaign hits the nail on the head: We’ve all got more outfits than Instagram can handle. The campaign cheekily reminds us to declutter and give our excess fashion a second life, which is both a noble cause and a subtle push to keep the resale cycle spinning. After all, one fashion lover’s trash is another’s archival Gucci. This is perhaps how Vinted is winning out; fixating on decluttering rather than Depop’s messaging of running a small business on their platforms (which has, arguably, led to a gentrification of thrifting).
It’s not just the usual suspects that are getting in on the action. In the last two years, everyone from Shein to IKEA has dipped a toe into the resale waters. It’s a bit surreal (and honestly, nauseating) to think that a brand like Shein, synonymous with fast fashion, is now offering a pre-owned section, but it speaks volumes about where the market is headed. In our interview with Depop founder, Simon Beckerman (listen here!), he noted that “the fashion industry is a $1.6 trillion dollar market”, and the world of second hand is making up a larger chunk of that number year on year. According to ThredUp, the global second-hand clothing market has skyrocketed from $141 billion in 2021 to $230 billion in 2024, and they’re projecting it will reach $350 billion by 2028. That’s a growth rate three times faster than new apparel. In other words, the second-hand market is outpacing new fashion in a way that must have the Zaras and H&Ms of the world feeling a bit nervous.
The global second-hand clothing market has skyrocketed from $141 billion in 2021 to $230 billion this year, and they’re projecting it will reach $350 billion by 2028 (ThredUp).
Yet, for all the buzz, making money in this business is still a Herculean feat. The logistical nightmare of cataloguing, pricing, and shipping second-hand items can’t be overstated. The margins are thin, the competition is fierce, and the fickle nature of fashion trends means what’s hot today might be a hard sell tomorrow (maybe that’s why it’s so important that archival reigns supreme). Trends move so ridiculously fast that I’ve seen 2013 items listed as ‘authentic vintage,’ eek!. Despite the growth, many of these platforms are burning cash like there’s no tomorrow, relying on venture capital to keep the lights on while they figure out how to actually turn a profit.
In the end, though, it seems that the second-hand fashion revolution is here to stay. Whether you’re a savvy seller flipping your old fits for profit, a collector hunting for that elusive Y2K piece, or just someone looking to declutter their closet, there’s never been a better time to get in on the action. Who knew that clearing out your closet could be a luxury experience?