From Preloved to Reloved: How Second-Hand Clothing Companies Facilitate the Transaction of Used Garments

Abstract

The second-hand clothing market is crucial for redirecting consumption away from new garments, promoting reused clothing, and preventing premature disposal. This article examines the business and marketing strategies, distribution channels, and communications of second-hand clothing companies to analyze how they attract consumers to extend the lifetime of garments. Empirical data consist of market ethnography, including physical visits to stores and observations of companies' digital channels. Qualitative data were collected for six months, and a total of 20 companies operating in the Finnish second-hand market were included. The findings reveal that second-hand companies use different operating models with a variety of marketing practices to attract consumers and facilitate product circulation. Some marketing practices appear to unintentionally promote increased consumption: tactical pricing and constant discounts, novelty-driven merchandising, and call-to-action communication may attract customers to unconsidered purchases. Some second-hand companies also appeared to offer credit to sellers for the purchase of new items, which could lead to higher rather than lower consumption. Second-hand companies predominantly prioritize transactions, yet sufficiency-orienting marketing practices for intensifying use or extending product lifetime are less emphasized.