Did Resellers Ruin Thrift Stores?

Over the years there have been many accusations that those of us in the secondhand reselling biz have “ruined” thrift stores. Because of us prices have gone up and low-income folks have been deprived of goods. Additionally we have been accused of being greedy–buying a pair of jeans for say $8 and reselling them for $45. Outrageous.

Here’s How I See It…

It is erroneous to think that thrift stores were started or exist to help low-income folks. Thrift stores popped up back in the early 20th century as a way to raise money for an organization’s programs. That’s still true today. Goodwill raises money for a variety of job training programs. Salvation Army uses thrift store profits to provide financial assistance for rent and food, and run homeless shelters and rehabilitation programs. The fact that low-income folks may benefit from the lower-priced items is a side benefit, but not the main goal. It never was.

Thrift stores depend on the reseller trade. Make no mistake we are a vital part of their customer base.

Reselling has been around for centuries. It’s nothing new. In reality every store is a reseller too–they buy from a wholesaler, mark up the price, and sell it to consumers for a profit.

Everyone has an equal chance at thrift store goods. Whether we’re buying for ourselves or to resell, once we’re in the store, it’s just a matter of chance who finds a particular item first. Resellers have no advantage other than we may go more often. It’s all fair game.

Thrift stores are keen to maximize the profit from their donated goods. Remember they are not in this biz to aid low-income folks but to raise money for their programs. And particularly with the advent of Google Lens and other tools, it’s easier and quicker for store employees to research the goods often shifting the best pieces to their websites for maximum profit while also raising prices for in-store inventory. (The only shade I could throw on resellers here is for those who create YouTube content about their scores. Anecdotally I heard years ago some thrift store employees started watching these and learned more about the value of their donated goods.)

Are Resellers Greedy?

Most resellers set their prices at fair market value. It’s not a matter of greed, it’s the price the market will bear. Most of us do the research to determine this price. Yes of course some folks set whack-a-doodle prices in hopes to snag an unsuspecting buyer. (Or alternatively they price too low not knowing what they have!) But if a vintage Levi’s denim jacket I bought for $10 typically sells for $75 online it makes no business sense for me to list it for $30.

Just like Macy’s resellers of every stripe sell goods to make a profit. It may be their full-time job, part time or on a hobbyist level. Regardless we are in it to make money, whether it’s to pay for a mortgage or food or save up for a vacation. We are not charities and shouldn’t be expected to price items for a fraction of their value.

The Thrift Store Truth

As thrift stores raise their prices, it‘s disingenuous to blame it on resellers. Thrift stores are raising their prices because it’s easier to research items now and they want to make more money from their donated goods. And of course they do have expenses–rent, insurance, salaries, etc.–and all those costs have risen over the years.

But if thrift stores raise their prices too high, their customer base will erode. I frequently have to leave items behind because there is just not enough profit left and I find myself going less frequently because it’s becoming more of a waste of time. Still I’m not giving up on my neighborhood thrift store or my favorite bougie one (now almost at full-retail pricing). Over the years I have found amazing things.

The Bottom Line

Most people don’t acknowledge the service online resellers provide. We spend our time, money, gas, and expertise to source items so you can purchase them from the comfort of your home. Things you might not be able to find otherwise. Most of us aren’t getting rich from it. In fact it’s often a hard-scrabble kind of life. So I am happy to support other resellers. Most recently I’ve bought some new-with-tags Eileen Fisher clothes for fall from Ebay sellers. In most cases I paid about 66% less than the retail price. I saw that as a good deal. If I paid $100 for an item they managed to score at $30, I don’t begrudge them. I got a quality item that I will wear for years and they made a nice profit. It’s a win-win.

So do resellers ruin thrift stores? Well, obviously I am biased, but I believe we provide both a valuable service to thrift stores and consumers. And bonus, because of us fewer things hit the landfill!

Enough said.