Shein Taps Into Second-Hand: An Industry Trapped in 20 Meters
Athletics is a discipline that has always fascinated me. I have never practiced it, I have been more of into team sports, but I admit that I have always admired the ability of athletes to withstand tension.
Especially relay runners, and especially during that moment that lasts just 2 seconds in which a runner at maximum speed has 20 meters to hand over to a teammate, already on his back, the baton to take him to the finish line. A life or death transition, a transition that is worth a race.
The textile industry, today, is trapped in those 20 meters. More than a decade of tug-of-war in the transfer of a baton that is the key to its own survival. In this textile race, the linear model is finishing its final lap and the circular model is ready to take off.
Shein and the second-hand
In January this year, at the World Economic Forum, it was estimated that the circular transformation presents a 4 trillion opportunity by 2030. Today we dawn reading that Shein is launching into the sale of second-hand clothing. Last week we learned of the opening of Zara Pre-Owned.
If embracing second-hand is accompanied by a decrease in linear production, this is very good news. If, on the other hand, the objective is to continue boosting the sale of new clothes while also adding the second-hand business, it is that the industry does not really understand that both runners cannot cross the finish line holding the baton.
Betting on circular
The linear system is not reconcilable with the circular system. They are substitutes, not complementary. To unlock said circular potential, the exhausted model has to take advantage of those 20 meters to decelerate and hand over the baton to the runner who is already looking ahead, with their hand outstretched and ready to sprint.
Betting on a circular model requieres transformation, it means a transition, and therefore requires a period of adjustment and preparation for such change. The more efficient companies are in going through those 20 meters to hand over the baton, the sooner and better will they benefit from the inmense potential of circularity.
It is up to us to whether accelerate the transition and stay ahead of the race, or clench our fists and turn our backs on this vital change.
Let’s make the most of those 20 meters.
