This month marks the five-year anniversary of the launch of Patagonia’s Worn Wear resale site. This was the primary brand-owned digital “recommerce” expertise within the attire business. Then, and nonetheless in the present day, it operates by Patagonia buying used clothes from its prospects, cleansing it, and reselling by way of a recommerce web site constructed by Trove.
The resale portion of Worn Put on is one a part of this system’s holistic strategy to circularity which additionally contains repairing objects, recycling what is actually worn out and celebrating the longevity of Patagonia clothes — all constructed with the intention of helping people change their relationship with the things they personal. We outlined this as serving to folks shift from being customers to house owners by providing them methods to maintain their stuff in use and thus avoid the environmental damage incurred when new stuff is made.
I used to be deeply concerned within the creation and administration of Worn Put on and its predecessor, the Frequent Threads Partnership, for practically 10 years. And whereas I’m pleased with Worn Put on, I fear in regards to the trajectory of the resale pattern it helped spark within the business.
For the reason that launch of Worn Put on’s recommerce website, attire resale has proliferated. In line with a current evaluation, the worldwide secondhand style market is value about $130 billion, with main markets resembling the USA set to proceed with double-digit development at least through 2025. Right this moment, resale makes up about 7 p.c of the attire market and is anticipated to grow to 12 percent by 2030.
Most resale applications in the present day are solely getting half the equation proper.
At first look, this will appear to be a great factor for the business — and for the surroundings: McKinsey reported last year that by 2030, one in 5 clothes should be acquired by means of a round enterprise mannequin as a way to restrict world rise in temperature to 1.5 levels Celsius consistent with the Paris Settlement targets.
Nevertheless, most resale applications in the present day are solely getting half the equation proper.
Resale applications have performed a commendable job of mainstreaming the acquisition of used clothes. However many of those applications launching just lately incentivize prospects to devour much more new issues. Relying on the monetary construction of the resale program, manufacturers is probably not producing income from the sale of their used clothes in any respect. Quite, they provide reward playing cards and low cost codes to encourage their prospects to take part within the brand-sponsored resale program. More often than not these incentives can solely be put in direction of the acquisition of latest clothes.
The result’s that whereas our relationship with used issues has modified, our relationship with new issues has not. These incentive fashions perpetuate our love for newness, whereas encouraging us to proceed to view clothes as a disposable buy.
The numbers affirm this. Despite the growth of resale, clothing consumption also continues to increase year over year. And the ensuing environmental implications of this pattern are alarming: By 2030, the worldwide clothes and textile business is anticipated to make use of 50 p.c extra water, emit 63 p.c extra GHGs and produce 62 percent more waste than it did in 2015. In 2018, the business produced the equal annual GHG emissions of France, Germany and the UK mixed. At its present tempo, it’s on monitor to overshoot the worldwide funds related to limiting world rise in temperature to 1.5 degrees Celsius by over 50 percent by 2030.
To ensure that a resale program to be an genuine sustainability program, it should allow the model to divert some gross sales of latest clothes to the gross sales of used clothes. Getting ready and promoting a used merchandise of clothes for resale produces about 5 to fifteen p.c of the carbon footprint of constructing a brand new merchandise (in line with my very own research conducted for and published by clients, including Ergobaby), and may disrupt and displace the all-too-common observe of constructing merchandise at the expense of environmental and social compliance.
Moreover, manufacturers that current resale as a sustainability effort to their prospects must be setting clear objectives and reporting on their progress yearly. And these objectives must be reflective of the rules that may make a distinction — specifically, displacing the manufacturing and gross sales of latest objects with the gross sales of used objects as a way to cut back the general environmental footprint of the model.
The world can not afford recommerce to develop into one other greenwashed, box-checking train for the style business.
Resale operations and economics look completely different for various manufacturers, however any model that has a resale program or is contemplating one within the title of sustainability ought to run by means of this guidelines:
- Will the operations of the resale program end in buying a stage of stock that allows the model to remodel its enterprise from strictly linear to a linear-circular hybrid?
- Do the economics of the resale program enable the model to set gross sales targets that ship significant income from the gross sales of used objects that assist the transformation to round?
- Can the resale enterprise contribute to the model’s local weather change discount technique — and can the progress it contributes be reported transparently and publicly?
- Does the resale program provide quite a lot of incentives for bringing clothes again so that folks can determine in the event that they want credit score in direction of buying one thing new? And if reward playing cards and low cost codes are for use as incentives, might they be utilized in direction of the acquisition of used objects?
If the reply is not any to any of those questions, the resale program is probably going a deep shade of greenwashing. Whereas it could be doing essential work by promoting used objects and protecting them out of landfills, it’s additionally perpetuating the acquisition of extra new issues.
With the resale market booming, it’s time for manufacturers to construct and scale their recommerce applications in a really round method. The world can not afford recommerce to develop into one other greenwashed, box-checking train for the style business. Making certain the true environmental advantages of resale applications will take experience, collaboration, transparency and agency guardrails — however the advantages for each planet and enterprise are actual and urgently required. The time to course right is now.