# Goodwill vs. Resellers: The Battle for Secondhand Market Dominance

Who has the upper hand in the thriving secondhand economy?

- **Source:** [Business Insider (YouTube)](https://brifing.si/source/811b96b0-a246-417e-a46d-205740b740cd)
- **Published:** 2026-07-31
- **Topic:** [Business](https://brifing.si/c/business)
- **Original article:** <https://www.youtube.com/watch?v=UKypOcYjjkI>
- **On Brifing:** https://brifing.si/s/0087b5fe-858e-45e0-aae7-b51b2ced0ece

## The Booming Secondhand Market

The secondhand market has grown rapidly in recent years. In 2022, the US secondhand apparel market surpassed $35 billion. Competition intensifies between traditional thrift stores like Goodwill and online resellers like Depop and ThredUp. Consumers are turning to secondhand goods for both sustainability and affordability reasons. The market shows no signs of slowing down.

## Goodwill's Business Model

Goodwill funds social programs by selling donated items. With 120 years of history, it operates over 3,000 stores. They sell products at low prices but have weak quality control. In 2021, they generated $6.1 billion in revenue. Most profits go toward job placement programs. Their model relies entirely on community donations.

## The Rise of Resale Platforms

Online resellers focus on luxury and vintage pieces. Depop has 30 million users and was acquired by Etsy for $1.6 billion in 2021. ThredUp reported $251 million revenue in 2022. These platforms command higher prices but offer quality assurance and curation. They attract fashion-conscious younger demographics.

## Pricing Strategies Compared

Goodwill typically prices items between $5-$20. Resellers use premium pricing from $50-$500. Goodwill has price advantage but limited trendy finds. Resellers offer targeted collections for specific audiences. Both serve different customer segments effectively. The pricing gap reflects their distinct value propositions.

## Supply Chain Differences

Goodwill relies completely on donations for inventory. Resellers source products from individual sellers on commission. Goodwill struggles with inconsistent donation flows. Resellers maintain more controlled supply chains. This results in quality and inventory consistency differences. Each model faces unique operational challenges.

## Customer Experience Contrast

Goodwill stores offer treasure hunt experiences. Resellers provide personalized recommendations online. 60% of Goodwill shoppers come from low-income families. Reseller customers are fashion-forward young consumers. The shopping experiences cater to different motivations. Both models successfully engage their target demographics.

## Technology Adoption Gap

Resellers leverage AI for personalization. Goodwill has been slow to embrace e-commerce. Their online sales grew 30% in 2020 but remain just 5% of revenue. Resellers excel in mobile platforms. Goodwill's tech investments lag behind competitors. Digital transformation remains a key challenge for thrift stores.

## Future Market Predictions

Experts project the secondhand market to reach $80 billion by 2027. Goodwill must maintain its donation model while strengthening online presence. Resellers will continue growing but face increasing competition. Both models will likely coexist in the expanding market. Consumer preferences will ultimately shape the industry's evolution.

## Sources covering this story

- https://www.youtube.com/watch?v=UKypOcYjjkI — 

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_Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._
