Online consignment retailer thredUP plans to open a new 600,000-square-foot, 10-million-item flagship distribution center in Lancaster, Texas in 2022 that’s designed to expand the company’s item capacity by 150%.
The announcement comes following reports of an exploding secondhand market. Estimated at $7 billion in 2019, according to Statista, the market is expected to grow to $36 billion by 2024.
The $70 million distribution facility is expected to be up and running by Q2 2022. It will be the company’s first four-level facility and will more than double the company’s total capacity to 16.5 million items across its network. The state-of-the-art facility will enable thredUP to further scale its operating platform, as more consumers resell their clothing and thredUP continues to build the selection in its marketplace to what it describes as “historic levels.”
“thredUP’s newest distribution center underscores our relentless investment in the technology and software that powers our network and enables us to deliver resale at unparalleled scale,” said James Reinhart, Co-Founder and CEO of thredUP in a statement. “With expanded item capacity and automation capabilities, thredUP is accelerating its ability to unlock massive amounts of supply and building the backbone for resale on the internet for our customers and RaaS clients.”
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In additional resale news, The Bay has entered the baby gear resale market through a partnership with Rebelstork, a Canadian-based marketplace for the resale of overstock, open box and used baby equipment. Beginning Sept. 26, customers can access the Rebelstork marketplace directly via thebay.com, both to purchase and upcycle their baby products.
