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Charity shops go digital to compete with booming second-hand fashion apps

by April 21, 2025
April 21, 2025
Charity shops go digital to compete with booming second-hand fashion apps

Charity shops across the UK are increasingly turning to online platforms in a bid to keep pace with the meteoric rise of second-hand fashion apps such as Vinted and Depop, as in-store sales come under pressure from rising costs and shifting consumer habits.

New analysis from the Charity Retail Association (CRA) reveals that while physical shop income declined throughout 2024, online sales rose by more than 10 per cent in every quarter. As a result, three-quarters of charity retailers now sell online — a significant shift for a sector long reliant on bricks-and-mortar presence.

“There’s no question these are tough times for charity retailers,” said Robin Osterley, chief executive of the CRA. “The increase in the national living wage, which we support, is going to be painful, and the rise in the national insurance contributions threshold is going to hurt quite substantially.”

He cited a worrying decline in donation quality, attributing it in part to consumers now sorting their second-hand items between bags for online sale and bags for charity. “Where people used to keep a bag in their bedroom for the charity shop, now they might have two,” he said.

Many charities have responded by embracing the digital shift. The British Heart Foundation (BHF) has become the largest UK charity seller on eBay, with 2.5 million items sold and a following of nearly 330,000 users. It is also ramping up activity on Depop, with more than 23,000 followers, and sells specialist items such as defibrillators through its own online shop.

“BHF retail has seen strong profit years post-Covid,” said Mike Taylor, the charity’s commercial director. “But 2024 has been more challenging. Like many on the high street, we expect to see a reduction in profits due to the tough trading environment.”

Despite maintaining a consistent physical presence with 680 shops, BHF now sells over 500,000 donated items online each year, the majority of which are listed directly from its stores — a model that has helped it become one of Depop’s top charity sellers.

Oxfam, which operates around 500 shops nationwide, has also seen its online revenue soar. The charity’s online shop generated over £10 million in the last financial year, with its Vinted store among the first to take advantage of the platform’s dedicated “Pro” offering for charities.

“Retail sales are holding relatively steady,” an Oxfam spokesperson said, “but rising utility bills and fierce competition in the second-hand market are significant challenges.”

Depop’s senior brand director Steve Dool confirmed the growing presence of charities on the platform, especially since the pandemic. “Many use Depop to move excess inventory they can’t sell in-store or to reach buyers beyond their local community,” he said. “We’re seeing high repeat-buyer rates among the most established charity profiles.”

While some might view apps like Vinted and Depop as rivals, Osterley takes a collaborative view. “We don’t have any beef with online marketplaces,” he said. “In fact, a lot of our members benefit from shoppers who buy things in charity shops to resell on those platforms. We’re quite happy living in the same ecosystem.”

As the charity retail sector adapts to new consumer behaviours and a changing high street, the shift online may prove essential not just to survive — but to thrive.

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Charity shops go digital to compete with booming second-hand fashion apps

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