Startup secured $54.3M funding on February 4th, 2025
Have you ever bought or sold anything on eBay? Maybe it was some tools or items? What if, for example, Levi's themselves handled the resale of used Levi's? Today's startup helps brands with the resale of pre-owned items.
Core Idea
Archive offers fashion brands the opportunity to sell second-hand items that were originally produced by the brand itself — whether it's a worn item or a return that can no longer be sold as new.
The startup has a wide range of solutions that help brands enter the resale market. This includes everything from launching sections dedicated to selling pre-owned items to building entire online marketplaces specifically for buying and selling second-hand products from a particular brand. In some cases, brands are also encouraged to donate items to charity, for example, to orphanages.
But if you thought that setting up online stores and marketplaces was all that Archive has to offer, you'll be pleasantly surprised to learn that the startup provides a whole range of services and solutions, which also include:
Software for tracking the movement of second-hand items (logistics)
Sourcing and connecting supply channels for pre-owned goods of the specific brand
Storage, refurbishment to restore a sellable appearance, and delivery of items to customers
It should be emphasized, however, that the startup acts as an integrator, connecting external partners who actually perform the services — such as handling logistics, dry cleaning, garment repair, and more. In other words, the startup itself does not directly provide these services but helps set up and coordinate all these processes.
This is exactly how Archive, with a team of around 40 people, manages to serve as many as 50 brands, including names like Dr. Martens and North Face, as well as many other popular brands from different countries around the world.
The startup has raised a total of $54.3 million in investments so far, with $30 million raised in the latest round. Archive does not publicly disclose its financial figures, but Forbes magazine, based on the investment data, suggests that the startup has either already reached break-even or even moved into profitability.
Fun Facts & Highlights
The startup was founded in 2021. As Archive states, today, they are no longer asked "why," but only "how," whereas two years ago the situation was the opposite. Brands have realized why they need to get involved in the resale of their own items by observing the success of brands already working with Archive.
The idea of selling the same product multiple times with minimal costs is simply too attractive to ignore. For example, the startup Trove claims that brands can earn up to one-third of their revenue this way. Still not convinced?
Let's turn to the statistics: since 2023, 40% of Gen Z consumers are already buying second-hand clothes.
The reasons behind this trend are as follows — Gen Z is obsessed with creating individual styles and looks. Assembling multiple looks from second-hand items at reasonable prices is far more interesting than putting together just one expensive outfit.
Another (and perhaps even the main) reason is the fact that Gen Z does not see anything wrong with wearing clothes that someone else has worn before. It is no longer viewed as a sign of poverty; quite the opposite — being economical by choosing second-hand over new items is considered conscious and responsible, both financially and environmentally.
Experts predict that, based on current trends, the global second-hand clothing market will grow to $350 billion by 2028. This growth rate is three times faster than that of the new clothing market. Even in the US, last year showed that the second-hand clothing market grew seven times faster than overall retail sales growth.
Guess how many brands have started paying attention to reselling their own pre-owned items between 2020 and 2023? The number has increased by 155 brands. Think that's a small number? In 2020, there were only eight.
And if all that still isn't convincing enough — 74% of brands that are not yet engaged in resale have stated that they plan to launch such initiatives soon.
Another important reason: customers are already practicing buying second-hand items, and it would be strange for sellers to ignore this habit.
90% of retail executives agree with this point.
Brands believe that within five years they will earn around 10% of their total revenue through second-hand clothing sales.
They especially hope that satisfied second-hand buyers will eventually start purchasing new products from them as well. And what about those brands that have not yet entered this market?
Their main excuse boils down to one thing — companies simply don't know where to start and consider it too complicated.
That's exactly why services like Archive and Trove are relevant now and will continue to be, considering how many brands have yet to enter the second-hand market.
Where Are We Runnin’?
There’s still a ton of money to be made in this market — all that's left is to craft your own "shovel" in the form of platforms that serve the resale industry.
Statistics show that between 40% and 60% of the population in the UK, US, France, Germany, and other countries bought second-hand goods in 2023.
And this only means that the trend is far from over and will continue to grow.
But the second-hand market isn't limited to clothing — popular categories also include: household appliances, children’s items (a good stroller doesn’t come cheap), electronics, furniture, shoes, accessories, and even home and garden products.
In addition to Archive and Trove, there are also other companies offering similar services:
The startup Minimist created an app that allows quick creation of a product listing for newly received second-hand goods, standardizing them for your catalog and quickly posting them for sale in your online store.
Minimist has raised only €350,000 in investment so far but already has 14 European stores as clients, including one of the world's largest second-hand chains.
The startup Fleek has raised $20.9 million for a wholesale marketplace for second-hand goods, with distribution centers in the UK, India, and Pakistan.
The startup Croissant raised $24 million for a platform for clothing stores, where buyers are offered a guaranteed buyback option for their purchases within 12 months.
Croissant collects these items, restores them to a sellable condition, and resells them on second-hand marketplaces.
The startup Hemster launched the B2B service (Re)vive, which receives clothing returned to stores by customers, restores it to a sellable state, and either returns it to stores for resale or lists it on second-hand marketplaces, shipping purchased items to buyers from its own warehouses.
This service raised $3.5 million in new investments.
And these are far from all the startups entering this market. And believe me — there's still plenty of room for new ideas. Which side would you want to approach the resale market from? What services could you offer in this market? Or maybe you would focus on a specific category of second-hand goods?
About Company
- Name: Archive
- Website: archiveresale.com
- Latest round: $30M, 02.04.2025
- Total Fundings: $54.3M, Rounds: 4