Where secondhand and thrift shops get their clothes varies greatly from shop to shop. Some shops have different sources. In this blog post we list the most common methods:

1. Used-clothes container

The big secondhand chains, such as Humana or ReSales, have their own used clothing containers from which they get their clothes. This means that they have a complete infrastructure with sorting, cleaning and possibly recycling facilities.

2. Donations from private individuals

Some shops get their clothes as donations from people in the neighbourhood. There are also charity shops such as Oxfam, Cartias and AWO.

3. Consignment

Consignment means that people bring their clothes to the shop and receive a revenue share when an item of clothing is sold. What is not sold goes back to the person or is donated. How the revenue is split depends on the concept of the shop and the value of the clothing. Often around 40% is paid out. This way, the shop bears less risk. We have developed Circle-Hand specifically for this purpose in order to make the processes involved as simple and automated as possible. The consignment is used for all types of secondhand, but is currently particularly popular for children's and luxury clothing.

4. Direct purchase from individuals

Some shops also buy the clothes directly from individuals in their neighbourhood. The shop then takes on more risk and can therefore pay less for the clothes. However, people are often happy to be able to sell their items quickly and easily. Here too, our Circle-Hand software can save you a lot of time.

5. Source clothing from commercial sources

Clothing is also often bought from commercial wholesalers. There are several options here:

- The clothing is ordered online in bundles. Often called 'bales'. These are called 'surprise packages'. The goods are then often sold weight, e.g. kilo. It is also possible to buy certain categories or brands in bundles, e.g. Vintage Wholesale Europe, Seve Fripe, Vintage Suppliers Europe oder Raes Vintage Wholesale.
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- Some shops also travel to wholesalers to hand-pick the right parts. Some shop owners even travel as far as Italy, the Netherlands (https://www.vintage-clothing-wholesale.com/en/) or Eastern Europe to visit the large sorting centres there.
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- Some online wholesalers offer video tours where you can 'hand-pick' items, also known as 'campicking'. This is offered by Vintage Wholesale Berlin, HustlerRags or Vintage Fiasco.

6. Dead stock and Second-Season

Technically, these are not second-hand items as they have never been worn. However, vintage and second-hand shops often sell items that were sold the previous year or simply haven't been sold by first-hand retailers for a long time. They would clog up their stock and are then sold cheaply. This is still better than destroying the clothes. A practice that is unfortunately widespread, but soon to be banned in the EU.

7. Rent-a-rack

With shelf rental, delivery clients pay a fixed price to rent a shelf or rack for a set period of time. They then hang their own clothes and set their own prices. In most cases, a consignment is also charged when the clothes are sold. The concept is particularly popular in the Scandinavian countries, but is also slowly gaining popularity in other countries.

8. Flear market and Vinted

In most cases, this is not the only source of supply for the shops. Some shops complement their stock with clothes they find at flea markets or on Vinted. The main aim is to find clothes that have a good retail value but are offered at a lower price. This is often called hand-picking. Some shops travel long distances to find the best pieces. It can also be worthwhile for shops to buy clothes online at a bargain price that will fetch a higher retail price in a bricks-and-mortar store. This is because people are more willing to pay if they are confident that a garment will fit well.

9. House and flat clearances

Shops that source their goods mainly from clearance sales usually sell not only clothes, but also furniture, kitchen appliances, decorative items and all sorts of other things. In most cases, they receive the goods free of charge or even money for collection. However, they often have to take care of the disposal of the unwanted items. One example is PeekUp.

FAQ - How thrift stores source their inventory

Where do thrift stores get their inventory?

Thrift stores primarily source inventory through 4 channels: donations, consignment agreements, direct buy-outs, and commercial liquidation. While donations remain a staple for nonprofits, modern resale shops increasingly use consignment to secure higher-quality, "curated" stock without upfront costs. Tools like Circle-Hand help stores manage these complex sourcing streams by automating consignor payouts and tracking individual item origins, ensuring a steady flow of inventory that aligns with current market trends and sustainability goals.

How can thrift stores source high-quality "designer" inventory?

To acquire premium or designer inventory, shops are moving away from random donations toward curated consignment from private and "hand-picking" from wholesalers. By offering consignors a transparent profit-sharing model (typically 40-60%), stores attract higher-end items. Many successful boutiques such as CoutureUSA or Loop Generation use Circle-Hand’s integrated price-finder and AI-description tools to accurately value designer goods, ensuring both the consignor and the shop maximize their return on unique, one-of-a-kind fashion pieces.

What is the most efficient way to manage thrift store inventory?

Managing one-of-a-kind items requires specialized software that differs from traditional retail POS systems. The most efficient approach is a hybrid setup: using Shopify or Square for front-of-house sales while integrating Circle-Hand for back-end inventory management. This allows stores to automate intake, generate unique barcodes for varied items and provide vendors with a portal to track their own sales, drastically reducing the manual labor associated with processing diverse thrift stock.

Can I source thrift inventory from online platforms like Vinted or eBay?

Yes, "online arbitrage"—buying undervalued items on platforms like Vinted and reselling them in-store—is a growing inventory strategy. This "hand-picked" approach ensures a curated aesthetic. To maintain profitability, stores must track the cost of these direct purchases separately from consignment. Using modern software like Circle-Hand, owners can link these items to specific sourcing costs and calculate real-time margins, ensuring that digital sourcing remains a scalable and profitable part of their business model.