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3 new things in retail: Resale markets, shapewear sales, and semiconductor shortages

1. Pooja Sethi, senior vice president and general manager of Resale-as-a-Service at thredUP, joined Insider Intelligence for a Q&A on retail, resale, and everything in between:

Insider Intelligence: How can brands encourage consumers to buy secondhand items?

Pooja Sethi: The consumer is already seeking and purchasing secondhand, and according to thredUP’s 2021 Resale Report, 62% of retail executives have said that their customers are participating in the resale industry. Shoppers will come if brands offer secondhand items as an option.

Consumers care about sustainability, value, and quality, and resale delivers all of those.

Read the full interview here.

2. Following the news that Blackstone has acquired a majority stake in Spanx, we take a look at who’s who in shapewear and how the category is faring:

  • 27%: The percentage that shapewear sales were up year over year (YoY) in Q3 2021, per The NPD Group. The best-selling products have shifted from waist cinchers and bodysuits to more comfortable and versatile options, like tank tops and thongs.
  • $1.2 billion: The current valuation of Spanx, as of last week, per Blackstone. Spanx was founded by Sara Blakely, who will maintain a significant equity stake.
  • 2019: The year that Kim Kardashian West launched her shapewear line, Skims. Next month, Skims will drop a capsule collection in partnership with Fendi that will include shapewear, lingerie, swimwear, and outerwear, per WWD.
  • $100,000: The amount shapewear company Shapermint spends per day on Facebook advertising in 2021, per Forbes. In July, the apparel and accessories category accounted for 53.3% of all posts and reactions to content across Facebook, Instagram, and Twitter—making it the category with the largest social media footprint, per Shareablee.
  • 25.5%: How much we expect the apparel and accessories category to grow this holiday season, fueled by the return of in-person events. For the first time since 2014, Gen Z consumers rank clothing as their top priority, making up 22% of their wallet share, per Piper Sandler.

3. Semiconductor shortages are shrinking the global smartphone market and threatening holiday supplies:

Global smartphone shipments slipped 6% in Q3 2021, per Canalys—and market dynamics are shifting as vendors navigate component shortages and struggle to meet demand.

Given that the effects of the shortage are expected to intensify, scarcity and price increases will likely get worse long before they start improving, per Gadjo Sevilla, senior analyst at Insider Intelligence.

Read more about the implications of this shortage.