There’s no doubt that we will all be spending a lot of time this year thinking about the many implications of AI and GLP-1s. There, are, though, other topics that investors and people who care about consumer behavior should spend some time contemplating. One that I think may not have received sufficient attention is the burgeoning popularity of buying vintage AKA secondhand (previously referred to as used) clothing. You may not be a participant in this trend, but I almost guarantee that someone in your life is. The data is compelling: according to a recent survey by Capital One Shopping, 16-18% of Americans shop at thrift stores, 12-15% shop at consignment or resale stores, and the thrift/resale market was an estimated $56 billion last year, up from $20 billion in 2017.
Several factors are likely driving this dramatic growth, including the availability of secondhand clothes online (though at this point this is not a new phenomenon), TikTok, dramatic increases in the cost of new items, especially in luxury, and a desire to be more environmentally friendly. The ramifications go far beyond cutting into the sales of new items. If vintage clothing is acceptable, and even cool, then is a new seasonal drop, the traditional means for spurring sales, relevant? And while this may be a bit of a chicken and egg issue, the popularity of vintage clothing is surely intertwined with the resurgence of classic American brands, notably Coach (which saw a 160% increase in searches on TheRealReal last year) and Ralph Lauren. Venerable is hot. You will be stunned by the prices of some of the older Ralph Lauren Men’s items on the TheRealReal. This article is on the popularity of Ralph among young men – I know some who avidly chase down vintage Ralph items.
Separately, RIP Valentino, who led a glorious, and what sounds like a very enjoyable life. Though his influence on fashion receded considerably in the years following the sale of his company in 1998, he epitomized style and glamour both during his peak, Jackie Kennedy period, and more recently, as key stylists and the celebrities who employ them, including Zendaya and Colman Domingo, showcased his designs.
Finally, here’s a great longread about the demise of vegan restaurants in New York City. The restaurant industry has always been tough, and the rise of delivery and changes in eating habits, along with the increased availability of vegan options in mainstream restaurants, have really hurt the subsector. Some morsels: “between 2012 and 2020, the number of self-proclaimed animal-free food and drink products launched in the U.S. catapulted by 282 percent,” and “the number of American vegans has barely moved in at least 30 years. Gallup’s 2023 ‘Consumption Habits’ poll found one percent of Americans identified as vegan and 4 percent as vegetarian, similar to polling from 2012 and 2018.” This article has much to chew on.
Faye Landes advises emerging consumer companies, including footwear, apparel and accessories brands, on-line retailers, and fitness concepts on general strategy, hiring, scaling and fundraising. Faye’s work is informed by her career as an analyst at Cowen & Company and Consumer Edge Research as well as her time as a guest lecturer at Princeton’s undergraduate course in entrepreneurship. To join her Weekend Reading mailing list, sign up at faye@landesadvisors.com.
