Second-hand economy boom: Why more South Africans are buying pre-loved goods; exploring thrift shopping and online resale markets.
Image: IOL/Lee Rondganger
The "second-hand economy" in South Africa is a thriving market where people buy and sell used goods, particularly clothing, contributing significantly to the local economy by providing affordable options to consumers and creating jobs through small businesses, with platforms like Yaga and online marketplaces facilitating this trend; it is considered a growing sector with potential for further expansion due to increasing online access and a focus on sustainability.
Gone are the days when the second-hand market revolved around cars as clothing has become the most prominent category in the second-hand market, including both casual wear and luxury items.
Estimates suggest the second-hand clothing market alone is worth nearly R10 billion.
Second-hand fashion typically has lower prices compared to fast fashion, making it more attractive to people wanting to save their Rands and consumers have become environmentally conscious and are opting for sustainable and ethically produced clothing.
South Africa’s apparel market revenue in 2024 was projected to reach R108.51 billion by 2024, with approximately 9.1% stemming from second-hand apparel.
Forecasts suggest that by 2028, the global second-hand market could reach approximately R6.38 trillion.
The concept of pre-loved clothing or items is nothing new to the ordinary South African hand-me-downs from older siblings or extended family members, to even thrift shopping, it’s a tradition that has been passed on for generations.
Resale markets allow sellers to generate new income streams while providing budget-friendly quality items for buyers.
The second-hand market has certainly grown in popularity and so have e-commerce platforms; from the days before Gumtree to Facebook Marketplace to new kids on the block Yaga.
Privately owned Yaga was launched in 2020 and is an online platform for South Africans to buy and sell second-hand fashion items, they have nearly a million users, have sold over two million items, and their sellers have made over R600million in the past five years.
Multiple factors have contributed to the rise of the second-hand economy in South Africa, including the rising cost of living, the growing popularity of second-hand items, and more people seeking sustainable alternatives to the rapid expansion of ultra-fast fashion companies.
Lize De Klerk at Yaga explained that the platform offers a great alternative because preloved items are typically 50-80% cheaper than new ones and often in excellent condition.
“By shopping preloved, you can afford higher quality items that last longer and stay out of landfills for longer,” said De Klerk.
Yaga’s top three best-selling categories in 2024 were womenswear, beauty products, and menswear—a trend that has remained consistent over the years. However an emerging category that saw the fastest growth in 2024 was learning materials, particularly textbook.
Yaga was born when founder and CEO, Aune Aunapuu, tried selling a baby stroller on a social media marketplace and realized there had to be a safer, more efficient, and integrated way to do it. Picture: Supplied
Image: Supplied
Last year, over 300 000 new users joined Yaga, a clear indication that more people are joining the bandwagon.
“Many sellers are amazed at how easily they make a few extra thousand rands just by selling items they no longer use—some even say they’ve become addicted to it! After all, who wouldn’t want to earn some extra cash?” quipped De Klerk.
Initially, Yaga’s main buyers were women aged 25-45 who are budget-conscious. However, they are now seeing a growing number of shoppers across all income brackets. “In 2024, the most expensive item sold on Yaga was a Rolex watch for R66,000—a clear sign that more people are embracing the idea of preloved shopping.”
Social media has undeniably been a driving force behind the growth of the online secondhand market. Yaga brings both worlds together and helps expand a seller’s business to a new audience who is looking for a more secure option.
“The secure escrow payment system ensures that funds are released only after transactions are completed, fostering a level of trust and security that sets Yaga apart from other online marketplaces,” said De Klerk.
The Yaga community is essential in helping report suspicious listings and have also implemented technology to detect and remove counterfeit items as quickly as possible. They are exploring AI-driven solutions to further strengthen our efforts in maintaining a trustworthy marketplace.
IOL spoke to Metro FM presenter and actress Zola Ayabulela Mhlongo and while she no longer thrift shops as she once did in Varsity, she sees the value in the second-hand market.
“I think the pre-loved market is continuously growing, you find yourself having so many clothes in your cupboard, some of them you’ve only worn once or twice and instead of getting rid of them or giving them away why not make a little money out of it, sell someone a really good quality item at a reasonable price.
Yaga has nearly a million users, has sold over two million items, and sellers have made over R600m in the past five years on the platform. Picture: Supplied
Image: Supplied
Mhlongo added that the benefit of buying a second-hand item is you can get a luxurious item at a much more affordable price than its original store amount.
“Sometimes you even get things that are not on the market, from buying preloved items you could find a gem that nobody has. On the other hand, if you are the one selling, that’s an entire business of clothes that you got the chance to wear.”
Mhlongo also reflected on how social media following can also be beneficial to a seller. If a creator’s content is around fashion and now they start selling items to their followers who are into their style meaning they have already found a target market for their pre-loved items.
Aside from safety, Mhlongo shared that one of the most important things when it comes to shopping online for pre-loved goods is the price. “It always needs to make sense for me, all the time.”
Actress Zola Nombona’s first experience with the second-hand market was when she purchased her first car and with the current standpoint in South Africa’s economy, she understands why more South Africans are joining the trend.
“Things have changed and now we need to start looking at other avenues to get the things we want in life. If something is in good condition, why not buy it?”
Nombona added that the quality of a pre-loved item is very important as is safety, as no one wants to be duped buying a preloved item off the internet.
Actress and model Luyanda Zwane expressed she was open to selling and buying pre-loved goods, especially those limited edition items that are loved and rare.
Zwane also agreed that many South Africans are turning to online platforms as they are cheaper, offer a diverse range of items and allow people to get their hands on scarce items or even from abroad and not available locally.
The rise of scammers also has Zwane putting safety on the list of things she prioritizes when it comes to shopping for pre-loved goods online.
The second-hand economy in South Africa has evolved into a dynamic and lucrative market, particularly in the fashion sector, where affordability, sustainability, and accessibility drive its growth. However, concerns around quality and safety remain key considerations for buyers and sellers alike.
As second-hand shopping grows, it challenges traditional consumption patterns and helps drive industries toward more sustainable practices.
Yaga’s team has noticed that once people embrace one sustainable habit, such as shopping preloved, they are more likely to adopt additional eco-friendly behaviours, like using fabric shopping bags, reusable cups, and supporting ethical brands.
IOL