Auchan offers second-hand clothes in five hypermarkets
For three months, the company will test second-hand clothing outlets and if the results are positive, the concept will be generalised.
Auchan has been offering second-hand textile spaces in five hypermarkets in France for a few days now. In association with the Patatam company, the hypermarkets are testing this type of format for three months for possible deployment in the rest of their hypermarkets.
The year 2020 definitely seems to be a turning point for second-hand clothing chains and hypermarkets. After the announcement by Kiabi, which is going to set up its first second-hand spaces in its network, Auchan is launching into this type of activity.
For the past few days at Auchan, these second-hand fashion spaces that can be identified with green signage have been set up in the hypermarkets of Roncq (Nord), Melun (Seine-et-Marne), Hirson (Aisne), Marseille (Bouches-du-Rhône) and Bordeaux-Mériadeck (Gironde).
The garments are then checked to ensure their quality.
Regardless of the brand, all T-shirts are sold at 3 euros, skirts at 5 euros, trousers and sweaters at 8 euros and coats at 15 euros.
The company Patatam, based in the Basque Country, supplies these second-hand articles which it collects online or in certain points of sale. These garments are then checked to ensure their quality. In practice, 40% of the garments treated are not resaleable in France and generally go into an export circuit or are donated to associations.
At the same time, customers of these hypermarkets can drop off second-hand clothes at collection points to obtain vouchers to be used in the hypermarkets’ new clothes departments.
The second hand, a 6 billion euro market
In any case, the arrival of mass distribution in this second-hand market could even have a windfall effect by partially offsetting the erosion of hypermarket sales. Moreover, as these second-hand products are located in a mid-range niche, this allows Auchan, whose sales are rather concentrated on basic products, to diversify its offer.
In France, the second-hand market for all products is estimated at 6 billion euros in France, largely driven by the Internet, which accounts for 40% of transactions with sites such as the Bon Coin, eBay, Facebook Marketplace or by platforms more specialized in the sale of clothing and shoes. In France, the Vinted application generated an estimated business volume of between 700 and 800 million euros France.
According to the French Fashion Institute, the second-hand market for clothing alone is estimated at one billion euros, while Patatam, which generates 2.5 to 3 million euros in annual sales, could announce new partnerships with tricolour fashion brands as early as spring.