According to reports, the American e-commerce company Etsy is buying Depop, a British second-hand fashion app popular among younger users, with Etsy CEO Josh Silverman describing Depop as “the resale home for Gen-Z consumers.”
“Depop is a vibrant, two-sided marketplace with a passionate community, a highly-differentiated offering of unique items, and we believe significant potential to further scale,” Silverman added.
The two companies announced on Wednesday that Etsy will be purchasing Depop for $1.6 billion.
“The cash deal, which is expected to close by the third quarter of this year, underscores the growing influence of clothing resale platforms,” noted The New York Times. “More shoppers are turning to the secondhand market for something cheaper and — potentially — greener as the overproduction of clothing increasingly adds to landfills.” The Times also pointed out that this trend seems to have been “accelerated by the pandemic.”
Depop allows users to buy and sell second-hand clothes, while permitting users to negotiate on prices and postage. According