U.S. markets closed

Walmart Partners With ThredUp To Woo Millennials With Second-Hand Clothing

Neer Varshney

Walmart Inc. (NYSE: WMTannounced early Wednesday it had partnered with clothing and accessories reseller ThredUp.

What Happened

The retailing giant said that about 750,000 pre-owned items from ThredUp are now available at its e-commerce platform for purchase.

Walmart is only selling pre-owned apparel and shoes that ThredUp has deemed "new" or "like new," it said. Accessories and handbags that are tagged "gently used" will also be available, in addition to the two categories mentioned previously.

Customers who purchase the ThredUp catalog through Walmart will receive all benefits offered by the platform, including free deliveries for purchases above $35 and free returns of defective goods.
Walmart said these are "exclusive perks that have not been available to ThredUP customers before."

Why It Matters

The retailer has been looking to expand its clothing commerce for a long time but has found relatively less success.

Walmart noted that second-hand clothing is especially popular with millennials.

The idea of resale has particularly caught on due to rising environmental concerns. According to ThredUp's annual report for 2020, as many as 70% of consumers have either bought or are now willing to buy second-hand clothing.

"We think [customers will] be surprised and delighted by what they find, and we're excited to inspire customers to look and feel their best," Walmart said.

The move also expands Walmart's e-commerce line at a time when it has seen a surge in business due to the novel coronavirus (COVID-19) pandemic.

Through resale, ThredUp will bring brands such as PVH Corp. (NYSE: PVH) subsidiary Calvin Klein, Nike Inc. (NYSE: NKE), and Tapestry Inc. (NYSE: TPR) Coach to its platform.

Price Action

Walmart shares closed 0.4% lower at $123.86 on Tuesday and were mostly unchanged in the after-hours.

See more from Benzinga

© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.