H&M’s online fashion resale start-up Sellpy has announced plans to expand across 20 new markets in a major international push.
Sellpy, which is now around 70 per cent owned by H&M, is set to dramatically expand its presence from just four markets, including its native Sweden, Germany, Austria and The Netherlands, to 24 countries across Europe.
The second-hand marketplace has become a key focus for H&M since it first bought a stake in the company in 2015, banking on Sellpy to expand its revenue steams outside of its core fast-fashion offering.
Sellpy’s unique methods, focusing on sustainability, make it a favourite with increasingly conscientious shoppers and it believes demand is continuing to “grow rapidly”.
Unlike other resale services like Depop, Sellpy will collect a bag of unwanted clothes from a customer, sort through them then sell the goods on its own platform, giving customers 40 per cent of the proceeds.
Donators can track the items being sold on Sellpy’s app and either have it transferred directly to their bank accounts or choose to donate it to a number of partnering charities. Anything not sold will also be donated to charity.
It is understood that H&M has now invested around €20 million (£17.2 million) into Sellpy, and has works with the company in order to give it access to warehouse space and distribution networks.
Resale platforms are fast becoming major players in the fashion sector amid growing pressure to move towards more sustainable models, and are predicted to become 1.5 times larger than the fast fashion industry by 2028.