Used Merchandise Stores NAICS 459510

Nov 11, 2025 - Holiday Shopping Budgets to Include Secondhand Gifts: Survey

• Amid economic uncertainty and tighter consumer budgets, secondhand retailers are poised for a strong holiday season, according to a ThredUp–GlobalData survey. The survey found that shoppers plan to allocate 40% of their holiday budgets to resale gifts, with 80% of millennials open to secondhand giving. Nearly half of respondents are also considering selling personal items to fund purchases. Broader data from ICSC and JLL show consumers are prioritizing value: 71% plan to be more selective, and lower-income households expect to spend 24% less overall. Despite this, gift budgets may remain stable. ThredUp’s Q2 performance reflects the trend, with revenue up 16% year-over-year to $77.7 million and active buyers rising 17% to 1.47 million. For used merchandise retailers, the shift signals growing mainstream acceptance and a strategic opportunity to capture value-driven holiday demand.
• The Retail Trade Industry is one of 11 industries reporting growth in October's Services ISM Report on Business. Executives in the Retail Trade industry reported increases in business activity, new orders, employment, prices paid for materials and services, and order backlogs, along with decreases in new export orders, imports, and inventories in October. Additional industries reporting growth during the period were Accommodation & Food Services; Wholesale Trade; Real Estate, Rental & Leasing; Health Care & Social Assistance; Utilities; Transportation & Warehousing; Agriculture, Forestry, Fishing & Hunting; Information; Professional, Scientific & Technical Services; and Educational Services. Six industries reported contraction during the period, including Arts, Entertainment & Recreation; Management of Companies & Support Services; Finance & Insurance; Public Administration; Construction; and Other Services. Overall, economic activity in the services sector expanded in October, with the Services PMI registering 52.4%.

• Major thrift chains are seeing double-digit growth in the first half of 2025, as consumers seek deals in an uneven economy impacted by tariffs, according to the New York Post. Evergreen Goodwill, a 23-store network based in Washington, said its weekly foot traffic was up 6% year-over-year in the first half of 2025, double its typical annual growth. Its flagship store in Seattle posted a 9% increase in sales during the period. Clothing is a category sensitive to tariffs, with many manufacturers depending on overseas textile manufacturers. Savers CEO Mark Walsh said its stores saw double-digit growth in the US in its second quarter, while officials at Buffalo Exchange, a chain of over 40 thrift stores, said its sales soared in the first half of the year. Resale operators say they don’t anticipate raising prices or facing shortages, as they have a robust supply of donations.
• Softening consumer sentiment and confidence in November and October 2025 reflects a growing weakness in discretionary spending, posing challenges for retailers. The University of Michigan’s Index of Consumer Sentiment dropped 6.2% month-over-month in November's preliminary results to 50.3, a 29.9% year-over-year decline. The Current Economic Conditions Index fell to 52.3, and the Expectations Index to 49, down 36.3% annually. Year-ahead inflation expectations rose to 4.7%, while long-run expectations declined to 3.6%, with increased uncertainty across both horizons. Meanwhile, the Conference Board’s Consumer Confidence Index edged down to 94.6 from 95.6 in October, as improved current conditions (Present Situation Index up to 129.3) were offset by weaker short-term expectations (Expectations Index down to 71.5). Inflation expectations rose to 5.9%, and over half of consumers anticipated higher interest rates. Holiday spending is projected to fall, with promotions driving purchasing decisions.