Americans are “sitting on billions of dollars in resale value of untapped, hidden value in the clothes they no longer wear, Depop discovered.
The British re-marketplace has just dropped data suggesting “billions of dollars in hidden resale value” are hanging in the balance—an untapped potential source that can now also be found, according to the youth-approved resale platform, in the back of many a stateside shopper’s closet.
Wondering how? If the Censuswide-informed study’s calculations are correct, while standing. With resellers earning an average of $17 per item sold, the typical closet holds an estimated $400 of untapped financial potential, the peer-to-peer marketplace reported.
Related Stories
“This research shows just how much opportunity is hanging in people’s closets,” said Depop’s Peter Semple, the new(ish) chief executive officer of Depop. “We’ve seen how selling a few unworn clothes can help our community make space, earn extra money and even build full-scale businesses.”
Millennial sellers have greater gains as the generation’s items sell for $18 each on average, which, when multiplied across the millions of American homes full of unworn items, is what Depop said constitutes the vast, multi-billion-dollar reservoir of inventory fueling the sector’s growth. The higher earnings and “side hustle” adoption among the 25-34 demographic are particularly significant—what Depop said indicates that digitally native generations are the primary drivers of the market’s professionalization, moving from casual selling to structured income generation.
And said Depopers seem to be using this newfound revenue stream as a direct buffer against economic uncertainty. Half of all sellers reported using their earnings to cover everyday expenses, while over a third (36 percent) reported putting the fund directly into savings. The trend is particularly powerful in urban environments; 35 percent of New Yorkers, 39 percent of Angelenos and 32 percent of Dallasites surveyed described resale as a regular side hustle.
“For those starting out, look at those items that are taking up valuable space in your closet,” said one of Depop’s top sellers, operating under the username @mos_stephanie. “Reselling has been my main source of income for the past four years and now we’re saving for a down payment on our first house—I just love that I am able to set my own work schedule.”
More than one in three consumers (34 percent) now actively participate in a hybrid retail model—mixing secondhand purchases with new ones, per the research. For Semple, the broad appeal of resale lies in its inherent accessibility and relevance to a broad audience facing different needs.
“People can discover and buy great, affordable fashion for themselves, their friends and their families—because it feels good and is easy to do; it just makes sense,” he said. “It’s a simple way for people to unlock value from what they already own.”
