Gen Z pave the way for resale fashion going mainstream in the US

The secondhand market for fashion in the United States is booming, as 93 percent of consumers have purchased a secondhand item over the past year, according to the 2025 Recommerce Report by OfferUp in partnership with GlobalData, and Gen Z is reportedly at the forefront of this growth.

Secondhand shopping has reached mainstream acceptance, with 70 percent of Americans reporting diminished negative perceptions over the past year. The resale market continues expanding, with 19 percent of consumers making their first-ever used purchase last year. Part of a broader growth within the 200 billion recommerce economy, secondhand fashion currently only accounts for 25 percent of the multicategory market. 

However, the resale market for fashion is poised for substantial growth according to the report, as the overall recommerce market is projected to grow 34 percent by 2030, reaching an estimated value of 306.5 billion dollars. With recommerce likely to account for 8 percent of total retail spending, this positions secondhand fashion as a permanent fixture in retail, rather than a passing trend. 

According to the report, Gen Z consumers are fundamentally reshaping the resale landscape through purchasing behaviors and entrepreneurial activity. The report’s data, based on a survey of 1,500 US adults, found that 54 percent of Gen Z shoppers prefer secondhand options when available, which is significantly more than Millennials at 44 percent.

Signalling a generational pivot toward resale-first shopping habits among Gen Z, nearly half (49 percent) of Gen Z consumers sold a pre-owned fashion item for the first time in the past year, according to the findings, demonstrating a strong appetite for circular fashion models and entrepreneurial drive. For many younger sellers, the secondhand market also represents meaningful income, with one-third of Gen Z sellers surveyed earning between 301 and 500 dollars from their secondhand transactions.

In addition, the report found that despite their digital fluency, Gen Z demonstrates a surprising preference for local, in-person transactions. 75 percent of Gen Z resellers said they enjoy meeting in person to finalize purchases, favoring local sellers over national brands. This preference extends across demographics, with 62 percent of all shoppers choosing to buy and sell locally to support their communities and secure better deals, further highlighting how resale strengthens local commerce.

Driven by financial pressures, 69 percent of consumers said they were more likely to turn to the resale market amid inflation worries and tariffs. 79 percent of buyers stated their main reason to buy secondhand is to economise, although that was not the only reason. 54 percent of consumers surveyed said they were also drawn to the resale market in the hopes of securing unique or special items. 

Recommerce was also found to represent serious income for buyers, with 57 percent relying on secondhand sales for bills and living costs, while 38 percent use proceeds for discretionary spending. In addition, 34 percent of consumers noted they preferred to shop secondhand to access high-quality or premium brands at lower prices. “Secondhand is now mainstream,” said Todd Dunlap, CEO of OfferUp, in a statement. “People are choosing resale to stretch budgets, shop more sustainably, and make real local connections that one-click retail can’t deliver.”