Why Are Thrift Stores Getting More Expensive Lately Supply And Demand Shift

In recent years, a quiet transformation has taken place in the aisles of thrift stores across North America and Europe. What was once a haven for bargain hunters, vintage enthusiasts, and budget-conscious families is increasingly becoming a destination where $20 jeans and $15 sweaters are no longer rare. The prices at many thrift stores—especially nonprofit chains like Goodwill and Salvation Army—are climbing steadily. Shoppers who remember buying high-quality clothing for under $5 a decade ago now find themselves paying full retail prices or close to it on select items. This isn’t anecdotal; data confirms that secondhand apparel inflation has outpaced traditional retail in several categories since 2020.

The explanation lies not in greed or mismanagement but in fundamental economic forces: a significant shift in both supply and demand. As consumer behavior evolves, so too does the value chain of used goods. Understanding this shift requires looking beyond surface-level price tags and into broader cultural, economic, and environmental trends shaping how we buy, sell, and value clothing today.

Changing Consumer Behavior and the Rise of Secondhand Fashion

why are thrift stores getting more expensive lately supply and demand shift

The modern secondhand market is no longer defined by necessity alone. While thrifting was historically associated with financial constraint, today it's often a lifestyle choice driven by sustainability, individuality, and fashion-forward thinking. Younger generations, particularly Millennials and Gen Z, are redefining what it means to shop secondhand. According to a 2023 report by ThredUp’s Resale Market Report, 66% of Gen Z consumers prefer shopping secondhand over fast fashion brands due to environmental concerns and a desire for unique styles.

This cultural pivot has led to increased foot traffic and higher competition for desirable items. Vintage band tees, designer denim, and retro sportswear now attract collectors and influencers alike, driving up demand. In urban centers, some thrift stores open limited inventory drops—similar to sneaker releases—that draw lines around the block. When demand rises faster than supply, prices naturally follow.

Moreover, social media platforms like TikTok and Instagram have turned thrifting into a form of entertainment and personal branding. “Thrift haul” videos amass millions of views, showcasing how users transform overlooked garments into stylish outfits. These viral moments don’t just inspire—they create micro-trends that spike demand for specific items overnight. A single influencer post can cause a surge in searches for 90s flannel shirts or corduroy blazers, quickly depleting local inventory and pushing up resale values.

Tip: Visit smaller neighborhood thrift stores early in the week before popular items get picked over by resellers.

Supply Constraints: Where Have All the Donations Gone?

Demand isn’t the only factor reshaping the thrift economy—supply is shrinking. Nonprofit thrift stores rely heavily on public donations, but donation rates have declined significantly over the past decade. Several interrelated factors contribute to this trend:

  • Overconsumption fatigue: After years of fast fashion saturation, many households own more clothes than they need, reducing the volume of usable donations.
  • Decline in garment quality: Cheaply made synthetic fabrics deteriorate quickly, making them unsuitable for resale even after light use.
  • Increased disposal alternatives: Consumers now have access to buy-back programs (like Poshmark Clean Out or ThredUp Goodybags), recycling bins at retail stores, and direct online resale options, diverting potential donations away from physical thrift stores.
  • Pandemic hangover: During lockdowns, people cleaned out closets en masse. Post-pandemic, that wave of decluttering has slowed, leading to thinner donation pipelines.

Goodwill Industries reported a 30–40% drop in donations between 2019 and 2022 in major markets, forcing locations to adjust pricing strategies to maintain revenue. With fewer incoming goods, thrift stores must maximize returns per item sold. This means holding back inventory during peak seasons, investing in better curation, and pricing premium pieces closer to their perceived market value.

“Donation volumes haven’t recovered to pre-pandemic levels, but demand keeps growing. We’re having to be much more strategic about how we price and present our inventory.” — Lisa Johnson, Regional Operations Manager at Salvation Army Thrift Services

The Reseller Effect: How Online Markets Influence Brick-and-Mortar Pricing

Another major driver of rising thrift store prices is the professional reseller. Armed with apps like eBay, Depop, and Grailed, individuals scour thrift stores for undervalued items, flip them online for profit, and extract high-margin goods from circulation. This arbitrage model creates upward pressure on prices in two ways:

  1. It reduces the availability of high-value items for regular shoppers.
  2. It signals to thrift store managers which categories command premium prices, prompting them to adjust internal pricing algorithms accordingly.

Many large thrift chains now employ dynamic pricing models similar to airlines or ride-sharing services. Data analytics track real-time sales performance, competitor listings, and search trends to optimize markups. For example, if vintage Levi’s 501s are selling rapidly at $25, the system may prompt staff to increase the next batch’s price to $28—even in-store.

A mini case study illustrates this phenomenon: In Portland, Oregon, a local thrift store noticed that nearly all its men’s XL vintage work jackets were being bought within hours of restocking. Staff reviewed nearby Depop listings and found identical jackets selling for $75–$120. Within weeks, the store raised its average jacket price from $12 to $22. While controversial among loyal customers, the change stabilized turnover and reduced loss from bulk reselling.

Environmental Awareness and the Value of Reuse

Beyond economics, there’s a philosophical shift underway. As awareness of fashion’s environmental toll grows—textile waste accounts for nearly 10% of global carbon emissions—the act of buying secondhand carries moral weight. Consumers aren’t just purchasing a shirt; they’re participating in a movement against waste and overproduction.

This added value translates into willingness to pay more. A 2022 McKinsey survey found that 60% of consumers consider sustainability when buying clothes, and 40% are willing to pay a premium for eco-friendly options—even in the secondhand space. Thrift stores, especially those affiliated with charities, benefit from this sentiment. Shoppers feel good knowing part of their purchase supports job training or community programs, justifying slightly higher prices.

At the same time, thrift stores are responding by improving their offerings. Many now feature curated sections—“Designer Finds,” “Vintage Streetwear,” or “Sustainable Style”—with enhanced lighting, display racks, and cleaning processes. These upgrades improve perceived value and allow for higher price points. Some locations even hire fashion-savvy sorters to identify hidden gems, ensuring top-tier inventory reaches the floor.

Market Comparison: Thrift Store Prices Over Time

Item Category Avg. Price (2015) Avg. Price (2023) % Increase Notes
Men’s Button-Up Shirt $4.99 $8.99 +80% Especially higher for flannel/plaid
Women’s Jeans $6.50 $14.00 +115% Designer labels now $20+
Vintage Band Tee $7.00 $18.00 +157% Driven by collector demand
Coat or Jacket $12.00 $25.00 +108% Wool/corduroy see highest gains
Children’s Clothing (per piece) $2.50 $4.00 +60% Less affected by resellers

The data shows consistent double-digit increases across most categories, with vintage and branded items experiencing the steepest climbs. Notably, children’s clothing remains relatively affordable, likely because it’s less targeted by resellers and purchased more out of necessity.

What You Can Do: Smart Shopping in a Pricier Secondhand Market

Rising prices don’t mean thrifting is no longer worthwhile. With smarter strategies, savvy shoppers can still find excellent deals. Here’s a checklist to stay ahead:

  • ✅ Shop mid-week when new stock arrives
  • ✅ Sign up for email alerts about discount days (e.g., color tag sales)
  • ✅ Focus on non-fashion categories (home goods, books, kitchenware) where prices remain stable
  • ✅ Learn basic fabric identification to spot quality materials (cotton, wool, linen)
  • ✅ Inspect seams and underarms for wear—small flaws can justify negotiation
  • ✅ Build relationships with staff; some stores offer loyalty discounts
Tip: Use the “touch test”: High-quality garments feel substantial, not thin or plasticky. Natural fibers age better and hold value longer.

FAQ: Common Questions About Rising Thrift Store Prices

Are thrift stores price-gouging, or is this inflation-driven?

No evidence suggests widespread price gouging. Most nonprofit thrift stores operate on thin margins and reinvest profits into social services. The price increases reflect real changes in supply, demand, and operational costs (e.g., sorting labor, transportation, rent). Unlike retailers, they don’t markup based on scarcity alone but respond to actual sales velocity and market data.

Is it still worth donating clothes if thrift stores are raising prices?

Absolutely. Donations support charitable missions, reduce landfill waste, and provide affordable clothing to low-income communities. Even as prices rise, many items are still sold below market value. Plus, unsold inventory is often baled and sold to textile recyclers or international buyers, ensuring nothing goes entirely to waste.

Will prices keep going up?

Experts predict continued moderate increases, especially for fashionable or durable goods. However, market corrections may occur if reseller activity slows or if fast fashion improves durability (increasing future donation quality). Long-term, the secondhand market is expected to grow—from 12% of apparel sales in 2023 to nearly 20% by 2027, according to GlobalData—meaning pricing will remain dynamic.

Conclusion: Adapting to a New Era of Secondhand Shopping

The era of $3 blazers and $1 graphic tees may be fading, but the spirit of thrifting endures. What’s changing is not the mission of reuse, but the marketplace dynamics surrounding it. As sustainability becomes mainstream and digital resale empowers individual entrepreneurs, thrift stores are evolving from charity outlets into curated retail experiences. This transition brings higher prices, yes—but also greater accountability, better inventory, and expanded cultural relevance.

For consumers, the key is adaptation. By understanding the forces behind rising prices, shopping strategically, and supporting ethical reuse, you can continue to enjoy the thrill of the hunt while contributing to a more sustainable fashion ecosystem. The secondhand revolution isn’t over—it’s just entering a more mature phase.

💬 Have you noticed price changes at your local thrift store? Share your experience, favorite finds, or tips for scoring deals in the comments below!

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Lena Moore

Lena Moore

Fashion is more than fabric—it’s a story of self-expression and craftsmanship. I share insights on design trends, ethical production, and timeless styling that help both brands and individuals dress with confidence and purpose. Whether you’re building your wardrobe or your fashion business, my content connects aesthetics with authenticity.