Main Characteristics of Used Clothes Market

Main Characteristics of Used Clothes Market

 

1.The degree of standardization in the second-hand market has dropped significantly

This is a common phenomenon for highly standardized products, such as 3C When fruit machines first launch public, each model has tens of thousands of pieces, but Things turn in a completely different direction in second-hand market. Two machines are probably sold at different prices even they are same model with exactly same color and system, considering different parameters that can affect your purchasing decision, like color, degree of wear, been dismantled or not, warranty, etc. Therefore, as a seller, we must sell them as different items. Such significant difference also appears in clothing categories. For example, when a brand first put trousers of a certain style on the market, each item has multiple pieces of the same and different sizes. But in Used clothing, of course, there is often only one piece of clothing as you normally can only have one piece when recycling used clothing. It is very likely that you are not able to find any two pieces of clothing that are exactly the same, which means that the overall difference between your used clothing is even greater.

2nd-hand-clothes2.The supplier’s restriction become smaller

The main impact on the second-hand market is reflected in the collection price, source, and gross profit. We all know that no matter what commodities the suppliers provide, they will have a more uniform price constraint on their downstream. But for Used clothes, they come from highly dispersed individuals and users, so the collection is also decentralized.
In terms of price, because we are collecting from B to C, second-hand merchants are in a relatively strong position and have strong bargaining power. Generally speaking, prices can be lowered, and gross profit will naturally be much higher than that of the primary market.

On the other hand, although second-hand merchants can get rid of the constraints of suppliers to a greater extent, the source of second-hand items, that is individual users, will still have a significant impact on the collection process. Take maternal and children clothing as an example, once not in use, they will cause a large space burden, a great demand for user cleaning. Due to these reasons, the collection of maternal and child clothing is very easy and the cost is relatively low. However, the situation of 3C category is different, each family only have a few pieces, and as small items, they do not take up place. In addition, price of 3C items fall quickly, and many users are psychologically difficult to accept such a low price compared to the price when they purchased. Therefore, the cleaning demand is relatively small, and it becomes more difficult to collect 3C items.

selling-second-hand-clothes3. Personalization of items

This phenomenon is probably more obvious in the category of Used clothing. Most of the time, buyers will first try to figure out who you are, what kind of dressing habits you usually have, especially the maintenance methods and buying habits, to judge whether this piece of clothing is actually worth buying. If buyers get a feel that the seller is with low taste, or the taste is very different from theirs, they will definitely not buy your clothes. This is especially significant when it comes to a famous brand, the buyer will even doubt whether the clothes are genuine, they will try to judge whether you are trustworthy by chatting with you. In many cases, persuading the other party to purchase requires a guarantee of personality. Things certainly become different under the B2C model, but still need other measures to make the buyer trust you.

second-hand-dresses

4. A promising future for the used clothes market

China is a major textile country globally and consumes a staggering amount of textile fibers every year. Due to its large population, the country’s annual reliance on these textile raw materials, such as natural fiber resources like cotton, linen, and silk, and non-renewable petrochemical raw material resources for producing chemical fibers, is enormous in terms of quantity. Most of these fabrics will, after a few years, become waste textiles and be disposed of as waste.

second-hand-apparel

As living standards rise and textile trends change, textiles are being replaced much more frequently. Especially in this age of dazzling brands, the rate at which ordinary people, especially women, update their clothes is staggering. According to surveys, more than 80% of girls add a few new clothes to their wardrobe every season, even if their wardrobe is nearly full. Many young women buy many clothes based on shopping impulse and the pursuit of fashion, but few clothes are not worn once or worn only once or twice before they are no longer wanted. When new clothes come in, the old ones have to make way, and fashionistas often choose to get rid of their old clothes.

selling-old-clothes

5. So, how big is the market for used clothes in China?

Back in 2009, a survey conducted by the Hebei University of Science and Technology’s School of Textiles and Clothing on residents of Hebei Province showed that nearly half of the households stored more than 30 pieces of largely used clothes, while each household had to buy more than ten pieces of new clothes each year. The survey roughly estimates that there may be about 200 billion yuan worth of used clothes being eliminated each year across the country. It is not difficult to imagine that these huge amounts of old clothes would be a valuable asset if used effectively. In addition, there is a huge foreign market for used clothes, Africa. The African continent has a huge demand for second-hand clothes due to long years of poverty, with the main sources are Europe and the US, and Chinese companies also grabbing market share.

second-hand-vintage-clothing

HISSEN GLOBAL is a well-known supplier of used clothing in China, with clothing containing a wide range of styles and materials.

If you happen to be a buyer of used clothing, please contact us and we will be happy to serve you!

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