Seel Report: Gen Z Drives the Secondhand Economy, Trust Remains Key to Future Growth

San Francisco —

May 28, 2026,Seel— an agentic after-sales platform — released its 2026 Gen Z Shopping Confidence & Loyalty Report. The report shows that Gen Z has become the core driver of secondhand transactions, while building consumer trust is a key lever for future retail growth. Seel surveyed 1,100 U.S. consumers, analyzing their online purchasing behavior over the past 12 months and purchase considerations across age groups. The full report is available at:seel.com/blog/gen-z-shopping-report。

The report comes at a critical juncture for the resale market. The U.S. secondhand apparel market is projected to reach$78.8 billionby 2030, with an annual growth rate of 7.3%, nearly four times faster than the overall apparel retail market.

"Gen Z is already buying secondhand in record numbers," said Seel's Chief Revenue OfficerLaura Huddle, "but the next phase of growth in this category will belong to platforms and retailers that invest in trust. Brands that win long-term customer loyalty won't rely solely on the best product selection—but on those that make consumers feel at ease when it comes to returns or exchanges."

Gen Z Leads Secondhand Spending, but ~60% Abandon Brands Due to Poor Return Experiences

Gen Z's secondhand purchase rate surpasses all other generations. In the past 12 months, 57.4% of Gen Z respondents purchased secondhand or resale items online, compared to 52.8% of Millennials and only 26.2% of Gen X.

As Gen Z's purchasing power continues to grow, this gap has a direct impact on the future direction of the resale market. The report found that poor return or refund experiences are directly harming brands' conversion rates and long-term loyalty.

• 61.2% of Gen Z respondents said they had decided not to purchase an online item due to return policies; 57.1% of Gen Z said they stopped buying from a brand due to a poor return or refund experience.
• 54.1% of Millennials said they stopped buying from a brand due to a poor return or refund experience; 58.3% said they had abandoned an online purchase due to return policies.
• 42.4% of Gen X respondents said they stopped buying from a brand due to a poor return or refund experience; 51.7% said they had abandoned an online purchase due to return policies.

Secondhand Purchase Motivations More Pragmatic Than Commonly Perceived

The motivations driving secondhand consumption are consistent across generations: purchasing behavior is driven by both practicality and principle. Among active secondhand buyers of all ages, the top motivation is lower prices (54.8%), followed by better value for premium or branded items (39.9%), and positive past experiences (38.1%). Environmental or sustainability reasons, while meaningful, ranked lower at 27.8%.

Among non-buyers, key barriers include uncertainty about seller or platform reliability (24.0%), preference for new items (24.5%), and concerns about product quality or condition (23.2%). The gap between buyers and non-buyers is largely a trust gap, and platforms that can bridge it will have significant growth opportunities.

Trust Is Built or Broken After Checkout

The report found that building confidence and trust begins with the post-purchase experience. For 35% of Gen Z, customer reviews are one of the top factors in building confidence in secondhand purchases, and the quality of reviews depends on the experience behind them. This cycle begins with speed: 86.3% of Gen Z respondents expect issues to be resolved within two to three days or less, with only 1.1% considering more than a week acceptable. Across all age groups surveyed, consumer electronics and fashion are the two categories with the highest need for after-sales protection, with nearly three-quarters (76.5%) of respondents saying that checkout protection would increase their likelihood of purchase.

Brands that excel in after-sales service can win the reviews that drive the next customer. This cycle is self-reinforcing, making after-sales performance not just a customer service metric, but a top-of-funnel growth driver. Platforms that resolve issues quickly and reliably create favorable conditions for both first-time buyers and loyal customers. For platforms competing in resale, there is little room for error in meeting these expectations.

The full 2026 Gen Z Shopping Confidence & Loyalty Report is available atseel.com/blog/gen-z-shopping-report.