The stock price jumped 43% on the first day of listing, and the market value of ThredUp in the United States has reached $18 billion

When the seasons change, many people say they have nothing to wear. This is in line with the saying that I have thousands of clothes, but I don't want to look at the old ones. Only the new ones are the best. However, Americans are very interested in old clothes, which has led to the rapid development of the second-hand goods market in the United States.

ThredUp jumps 43% on first day of listing

ThredUp , like Poshmark and TheRealReal, is a second-hand e-commerce platform in the United States, mainly selling second-hand clothing, shoes and accessories for women and children. Previously, it announced that it would go public on the Nasdaq at a price of $14 per share.

It is worth noting that on March 26, US time , ThredUp's stock price rose 43% on its first day of listing, driving its market value to over $1.8 billion. Previously, the valuation of second-hand goods trading platform Poshmark soared to $7.4 billion at the close of its first day of listing in January.

The stock prices of several second-hand trading platforms soared on the first day of listing , which just shows the popularity of the second-hand trading market in the United States. The concept of many consumers is also in line with this. Last year's clothes are not suitable for my temperament.

Data shows that in 2020, when total clothing sales in the United States plummeted, ThredUp 's revenue grew 14% to $186 million, although this slowed down compared to the 26% growth in 2019. In terms of users, ThredUp said that active buyers of women's and children's clothing alone increased by 24% to 1.24 million, an increase of 24% from 2019. As for ThredUp's buyer group, most of them are Generation Z, which is twice that of Generation X and Boomers.

ThredUp said it expects to increase to 6.5 million items by the end of 2021 to provide consumers with more choices. Not only that, ThredUp has also established 21 partnerships with institutions such as Walmart, Gap, Madewell and Reformation, which will expand the company's customer base while expanding its product sales channels.

U.S. resale market could reach $36 billion

Due to young shoppers' love for vintage and second-hand goods, the number of second-hand sellers is also increasing, which has driven the development of the second-hand trading market in the United States. In February 2021, an agency conducted a survey of American consumers. The data showed that 7.3% of consumers have sold their clothes on resale websites, up from 4.8% previously.

Research firm GlobalData conducted a study on the second-hand market in 2020 and estimated that by 2024, the resale market in the United States may reach US$36 billion, which is five times the figure in 2019. The booming resale market also confirms that the concept of sustainable development is gradually gaining popularity.

ThredUp also said that the fashion industry accounts for about 10% of global carbon emissions each year, more than all international flights and maritime transport combined. Developing the second-hand trading market is not only about providing consumers with more trading opportunities, but also about implementing global sustainable development policies.

In fact, the rise of second-hand trading has not only extended the life cycle of clothing, but also changed the way consumers shop, which may be strengthened with the implementation of sustainable concepts.

USA

ThredUp

Market Cap

IPO