Younger generations are predicted to increase the trend of gifting secondhand items this holiday season.

In the world of retail, secondhand initiatives are gaining traction as more brands and retailers jump on the bandwagon. Notable players in this growing market include e-commerce giants like Amazon, which supports a vast network of sellers offering secondhand goods, and Japanese retail chain Seiyu, which has partnered with various companies to diversify their product offerings, although specific secondhand initiatives by Seiyu have yet to be detailed in the latest reports.

One of the pioneers in the secondhand market is The RealReal, a luxury consignment platform, although it has had to defend its authentication practices. Another brand leading the charge is Patagonia, which debuted its first Worn Wear store in November. The store stocks Worn Wear products and items from the ReCrafted Collection.

The resale market is projected to grow significantly, with a ThredUp report predicting it will reach $51 billion in five years. This growth is not surprising, given the increasing interest among consumers in sustainable gifting. According to a Deloitte report, 27% of consumers plan to give secondhand items as holiday gifts, with Gen Z consumers being the most likely to do so, with 61% planning to give used gifts compared to 43% of millennials. Only 25% of Gen X and 13% of baby boomers plan to give used goods as gifts, according to the same report.

Among consumers giving used items as gifts during the holiday season, 68% plan to give family secondhand items, 37% plan to give to friends, 28% plan to keep some for themselves, and 17% plan to give to work colleagues. The main reasons consumers are opting to give used items as gifts, according to the Deloitte report, are to save money (50%), to afford a luxury item (24%), and to shop sustainably (13%).

Several notable partnerships have been formed in the secondhand market. Macy's and J.C. Penney have partnered with ThredUp to sell secondhand apparel in select stores. Fashion powerhouse Ralph Lauren is looking to introduce resale and rental options, while Burberry has launched a partnership with The RealReal. Even the Kardashian-Jenners have joined the movement, launching Kardashian Kloset as a means of selling items from their own wardrobes.

This year, ThredUp secured several retail partnerships, further solidifying the secondhand market's position in the retail landscape. As consumers continue to embrace sustainable gifting and brands and retailers continue to innovate in the secondhand space, it appears that the resale market is poised for continued growth.

Younger generations are predicted to increase the trend of gifting secondhand items this holiday season.