Etsy is a website where you can buy trendy secondhand clothing. Depopulate
Etsy has announced that it will purchase Depop, a popular app among young people who want to buy and sell worn apparel and retro trends from the early 2000s.
Etsy, based in New York, has agreed to pay 1.6 billion dollars for Depop and wants to manage it as a separate business in London, where it is currently based.
Etsy, which is best known for selling handmade soaps and jewelry, will get a larger share of the vintage clothes industry as well as access to millions of Generation Z customers (those born between the late 1990s and roughly 2016). Depop’s user base is primarily composed of people under the age of 26.
Secondhand clothing has been increasingly popular in recent years, with customers looking for one-of-a-kind pieces that are less expensive than new and keep the old things out of landfills. Several websites and applications have made trading secondhand apparel easier.
Even amid the pandemic, online resellers ThredUp and Poshmark, which both went public this year, have flourished. Big manufacturers like Levi’s and Patagonia, for example, are reselling worn jeans and fleece coats on their own websites.
According to GlobalData, the overall second-hand market, which is presently valued around 30 billion dollars, is anticipated to more than double to 64 billion dollars by 2024.
The purchase is expected to finalize before the end of September, according to Etsy.
In morning trading on Wednesday, Etsy Inc’s stock increased 2.58 dollars, or 1.6 percent, to 166.04 dollars.