Mangopay, a payment infrastructure provider for platforms, has unveiled new data into clothing sales on pre-loved marketplaces, which drive the consumer circular economy.
Comparing January – June 2023 to January – June 2024, Mangopay, has revealed that pre-loved clothing sales on digital marketplaces have increased by 34 per cent year on year. Further, compared to the first half of 2022, sales have increased by over 282 per cent.
James Butland, Managing Director, UK, at Mangopay comments, “The ongoing surge in marketplace sales underscores a profound shift which has taken place in consumer shopping behaviour. Amid the ongoing cost-of-living crisis and worrying developments in climate change, UK consumers are increasingly choosing to spend their money on pre-owned goods, driven by both financial prudence and a growing commitment to sustainability. As a result, they are actively seeking out ways to participate in the circular economy.”
The substantial growth in the pre-loved sector shows no sign of slowing down. By the end of 2023, sales had already increased 138 per cent year-on-year.
Gift-Shift January
The Mangopay data also shows a marked increase in clothing sales on pre-loved marketplaces every January, bucking the traditional January slow-down trend and indicating that consumers may be looking for ways to benefit financially from unwanted Christmas gifts.
January 2024 saw a 9 per cent increase in sales compared to December 2023, resulting in a 17 per cent increase in transaction value. The growth peaked in January 2023, which saw a 41 per cent increase in transaction value compared to December 2022, from a 30 per cent increase in sales.
James Butland continues: “While the Golden Quarter is heralded as a critical trading period for retailers, this terminology needs to be updated for marketplaces. The true peak is the ‘thrifty third’ where commercial peaks are lasting for four months, not just three.
“The Gift-Shift January signalled in our data presents a huge opportunity for pre-loved marketplaces to capitalise on this growth and foster the circular economy of the future – one that is easier for consumers to participate in and is underpinned by robust infrastructure that enables a frictionless experience for buyers and sellers alike.”
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