Urban Outfitters gets thrifty

The Future. Urban Outfitters is moving into second-hand fashion with the creation of a digital platform called Nuuly Thrift, which will let sellers offer up more than just Urban clothes. With thrifting becoming a Gen-Z phenomenon, second-hand styles may become the new “clearance sale” rack.

New return policy
As online thrift stores like Poshmark, thredUP, and Depop surge in popularity among Gen Z and Millennial shoppers, Urban Outfitters is opening up its own closet.

• Urban is creating Nuuly Thrift — a digital platform that allows shoppers to resell their clothes.
• Interestingly, users can sell any brand they like, not just Urban merchandise.
• Nuuly Thrift will launch as an iOS app this fall.

The Nuuly brand isn’t actually new. Urban launched it as an apparel-rental program back in 2019. While usage declined last year, Nuuly saw a surge in subscriber numbers since spring.

Chic cycle
Urban Outfitters isn’t the first brick-and-mortar retailer to get in on the second-hand fashion fad. According to GlobalData PLC, 42% of Gen-Z consumers thrifted an item last year. Eager to cash in, Lululemon, Levi’s, and Macy’s have all expanded into the space as younger consumers move away from fast fashion to sustainability.

Urban Outfitters (including associated brands such as Anthropologie and Free People) are already incredibly popular on second-hand platforms. Perhaps the company was tired of seeing that revenue ending up in pockets other than its own.