On January 31st, 2020, Nordstrom launched “See You Tomorrow”, a sustainable secondhand reselling initiative, at its NYC flagship store.
Through this initiative, Nordstrom customers can bring in their luxury pre-owned items and exchange them for Nordstrom gift cards. The items selected to be bought-back are sold both in the physical See You Tomorrow space in the store, as well as online.
In doing so, Nordstrom is following the second-hand clothing trend that other major retailers, including Urban Outfitters, Macy’s and J.C. Penney, have followed in recent years. As consumers have become increasingly conscious about the apparel industry’s negative impact on the environment, companies have had to adjust. Because of this, retailers have increasingly embraced resale in order to stay relevant.
The resale market isnow the fasting growing segment in retail. As Mary Alderete, CMO of Banana Republic, said, “people already rent and buy resale, so wemight as well offer it ourselves”. Brands cannot afford to be left behind; they need to buy into circular fashion or risk giving away their spots in the customers’ closet.
Today about 30% of the average closet is allocated for recommerce. Brands can and should use circular fashion to keep their brand with their customer, and ultimately keep their spot in the closet, just like Nordstrom is attempting to do with See You Tomorrow.
For brands who have yet to bring resale in-house, a huge opportunity is being missed. Their clothes are still being bought back and resold, just by outside thrift stores or online resale startups instead of the original brand. Each of these external resale interactions is a loss for the original retailer, but a company like Rohvi can reverse this resale outflow by taking past sales data to generate personalized buyback offers to the retailers’ consumers.
Rohvi is a buyback platform that helps retailers increase sales, improve customer engagement, and gain competitive advantage through strategic sustainability. Companies are ableto turn past purchases into new sales by running buyback campaigns. These increase customer spend, promote sustainability and provide access without commitment.
It is evident that resale is the next frontier of retail, and it can be expected that major retailers will follow in Nordstrom’s footsteps in the near future.