Lululemon introduces a trade-in and resale program amidst inflation concerns for shoppers.

• Lululemon will introduce a trade-in and resale option for its pre-loved leggings, tops, and jackets this month.
• Lululemon customers can exchange their used Lululemon items for a gift card at any of its U.S. stores.
• On the retailer's website, there is a separate page for used items that can be purchased, with new items being added daily.

The company will introduce a trade-in and resale option for its pre-owned leggings, tops, and jackets this month, after a successful pilot program driven by increasing consumer prices and a dedication to sustainable shopping.

Lululemon's "Like New" program was launched after the retailer tested a re-commerce platform for customers in Texas and California, which began in May.

Customers can exchange their previously worn Lululemon items for a gift card at any of the retailer's U.S. stores through the "Under Like New" program, powered by Trove. Additionally, customers can purchase from a selection of used items on a separate page on the retailer's website, with more items being added daily.

Lululemon's senior vice president of Global Guest Innovation, Maureen Erickson, believes that pushing into resale will help the premium brand within the athletic apparel sector attract customers who are looking for deals.

Erickson stated in a phone interview that the guest purchasing from Like New tends to be younger and values cost-effectiveness.

Lululemon announced last month that it would increase selective prices to offset pressures in its supply chain, as consumers are seeing higher prices on various items including gas, milk, bread, and Prime subscription plans.

With inflation persisting, many Americans may become more inclined to search for deals and feel more at ease purchasing pre-owned clothing.

The resale market for used clothing and other items has been steadily growing, with estimates showing a rise from $1 billion in 2015 to $47 billion by 2025.

Lululemon merchandise is being sold on third-party resale sites such as eBay and Poshmark.

Lululemon aims to increase sales and retain customers by introducing an in-house resale platform. Customers can have confidence in the quality and authenticity of secondhand merchandise purchased from the original retailer, Erickson stated.

"We've successfully shifted our customers to our platform, enabling us to maintain our vertical business model and retain control over guest relationships," Erickson stated.

Before its official launch, Lululemon's Like New website has a used women's "All Yours" cropped hoodie listed for $49, a discount of $60 from its new price of $108. A used pair of women's "Strides Ahead" high-rise shorts is available for $39, a reduction of $30 from its original price of $68. Additionally, the popular men's ABC slim-fit pants are being sold at resale for between $65 and $75, a decrease of $63 from their original price of $128.

The company announced that it will not be purchasing and reselling specific items, including bras and undergarments.

Erickson didn't rule out the possibility of a brick-and-mortar test of a resale section in Lululemon's shops, although the secondhand merchandise will initially only be sold online.

The retailer aims to reduce its waste by promoting sustainability and using sustainable materials for its products. The company has set a goal to achieve 100% sustainability in its products and end-of-use solutions by 2030.

Erickson stated that every brand should determine how to live into a more sustainable future, which is a global priority.

As sustainability becomes more important to younger shoppers, thrift shops are becoming increasingly popular, and clothing items are being reinvented to reduce consumption. In response to this trend, Target has partnered with ThredUp to list used items for resale as part of its sustainability initiatives.

Piper Sandler's "Taking Stock with Teens" survey shows that Lululemon has moved up one spot on teens' top 10 favorite apparel brands, indicating that the brand is doing it right in the eyes of Generation Z consumers.

Both female and male teens aged 13-19 participated in a survey from Feb. 16 to March 22, revealing that 61% of them purchased secondhand clothes this spring, while 56% admitted to selling their clothes to secondhand marketplaces.

This year marks a "turning point" for re-commerce, according to Andy Ruben, founder and CEO of Trove.

Ruben stated in an interview that getting more value for less money has always been popular. However, with rising gas prices and supply chain disruptions, it becomes more advantageous to utilize items that are already in our wardrobe, rather than purchasing new ones.

Lululemon’s re-commerce site will launch on Earth Day, April 22.