Rethinking deadstock - Afterthoughts on Vestiaire Collective’s findings about resale and circular fashion

Latest from Vestiaire Collective & BCG: Resale surges, deadstock standards rise

The newly released 2025 report by BCG and Vestiaire Collective, Resale’s Next Chapter, lays bare how resale is becoming a strategic imperative for fashion and luxury brands. Based on a survey of 7,800 consumers drawn from the Vestiaire Collective community, the report finds that resale is growing at 10 % annually - three times faster than the primary market - and is projected to reach US$ 320 - 360 billion by 2030, up from today’s estimated US$ 210 - 220 billion.

In the survey, 28 % of respondents say that secondhand items already fill a portion of their wardrobes - rising to 30 % for clothing and 40 % for handbags.Over half (55 %) of them buy via digital resale platforms (Vestiaire, The RealReal, Vinted), and nearly 80 % cite affordability as a primary motive.

As Fanny Moizant, co-founder and President of Vestiaire Collective, puts it:

“Whether seeking desirable pre-loved fashion pieces at affordable prices … resale is now firmly embedded in how people shop and build their wardrobes.”

And from the BCG side, Felix Krueger, Managing Director and Partner, declares:

“With resale now growing three times faster than firsthand fashion and luxury, the market has gone from experimental to essential.”

The report also stresses the rising importance of digital product passports (DPPs). For consumers, 70 % value authentication when buying and 67 % when reselling; 68 % want in-depth product specification.DPPs can mitigate trust friction, support transparency, and give brands control over downstream value flows. As Catharina Martinez-Pardo, BCG Managing Director and coauthor of the report, notes:

“Digital product passports go beyond ticking a compliance checkbox. They reduce friction … ensure authenticity … and create new ways for brands to capture value throughout a product’s lifecycle.”

The deadstock challenge & the foundstock standard

While resale deals in used garments, the issue of deadstock - unused or unsold inventory - remains murky and rife with greenwashing risk (Vogue Business ).

According to the article, Stephanie Benedetto, cofounder and CEO of Aloqia, emphasizes the problem of definition:

“A big part of the problem is that deadstock doesn’t have an official definition.”

Extended Producer Responsibility (EPR) laws in Europe will soon push brands to account for the afterlife of all textiles, having a credible, auditable definition of deadstock/foundstock becomes essential. The Foundstock Standard hopes to fill that gap—and ensure deadstock monetization is defensible and transparent.

Strategies to monetize loss & excess

Here are strategic pathways brands can adopt:

1. Internal resale / trade-in platforms Brands like Gucci and others are piloting their own pre-loved channels, maintaining control over brand narrative and margins.

2. Partnership with resale marketplaces Resale-as-service models allow brands to plug into established platforms and audiences without building from scratch (e.g. Chloé × Vestiaire integration using DPPs).

3. Certified deadstock / foundstock programs Using standards like Foundstock helps legitimize excess inventory reuse. The requirement to price below original cost helps align incentives away from overproduction.

4. Digital product passports + data feedback loops With robust DPPs, brands can feed resale data, repair history, and condition back into their product design and forecasting systems, refining future collections.

5. Discount or outlet channels for excess Rather than destroying or heavily marking down, brands can channel deadstock into lower-price arms or resale tiers.

   
   

When these strategies are executed well, they can turn what would otherwise be sunk cost or waste into revenue, loyalty, and sustainability differentiation.

Why returns & losses matter more than ever

Returns- especially from e-commerce represent one of the richest sources of near-pristine inventory. Though this specific report doesn’t provide return rates, industry benchmarks often place return rates at ~40 % (globally), or even higher in categories like footwear. Processing, grading, and routing returns quickly is key to capturing value before they degrade or are discarded.

For deadstock, the Foundstock Standard aims to give brands a defensible framework; for returns, the opportunity lies in fast, accurate assessment, predictive grading, and local resale orchestration. At CIRQUEL, our approach uses AI-powered anomaly detection, quality forecasting, and a network of local resale/rental hubs to ensure brands recoup value from stock that might otherwise vanish.

Final thoughts

The 2025 BCG / Vestiaire report confirms that resale is no longer optional; it’s central to brand survival. With innovations like DPPs and deadstock standards emerging, the infrastructure is forming to support circular, data-driven economies.

👉 Read the full BCG + Vestiaire report here: Resale’s Next Chapter 

👉 Learn more about the Foundstock Standard via Vogue Business coverage

CIRQUEL stands ready to bridge the gap - helping brands turn returns, deadstock, and excess into sustainable revenue streams, while aligning with a circular, accountable future.