From Thrift to Thriving – How Culture Shifts and Economic Pressures are Powering the Op Shop Revolution

03/03/2025

The rise of vintage fashion on social media has transformed Australia’s op shops from hidden gems into retail powerhouses. With hashtags like #ThriftTok and #VintageFashion generating billions of views on TikTok and Instagram, second-hand shopping has shed its stigma to become a badge of honour among young, environmentally conscious consumers.

This digital-driven renaissance is just one part of a perfect storm propelling op shops into the retail mainstream. The Salvation Army (Salvos), St Vincent de Paul Society (Vinnies), and Red Cross have evolved from small-scale donation centres into sophisticated retail operations, responding to unprecedented demand from multiple directions.

Australia’s second-hand economy now exceeds $46 billion annually, with clothing resale growing 21 times faster than traditional retail. This explosive growth stems from a convergence of powerful forces reshaping consumer behaviour. Gen Z and Millennials are leading a vintage
fashion revival, with 80% of under-30s prioritising environmental impact in their purchasing decisions. “Thrift haul’ videos routinely garner millions of views, transforming op shopping into a cultural phenomenon, while influencers showcase creative styling of second-hand finds, directly challenging fast fashion’s dominance in the retail landscape.

The surge in op shop popularity isn’t solely driven by social media trends. With inflation driving up essential costs, consumers across all demographics are actively seeking affordable alternatives to retail chains.

Recent studies show that 68% of Australians report actively looking for ways to reduce spending on clothing and household items. Op shops have positioned themselves perfectly to meet this need, offering high-quality, brand-name items at a fraction of retail prices.

As economic uncertainty has normalised budget- conscious shopping across all income brackets, these stores have found themselves serving an increasingly diverse customer base.

Environmental consciousness plays an equally crucial role in driving this transformation. With fast fashion accounting for 10% of global carbon emissions, consumers are increasingly turning to sustainable alternatives. Each kilogram of reused clothing saves 3.6kg of CO2 emissions, a fact not lost on the 65% of shoppers who now actively seek ways to reduce their environmental impact through purchasing decisions.

Op shops prevent millions of tonnes of textiles from entering landfill annually, turning environmental responsibility into a compelling business model.

This convergence of social, economic, and environmental factors has revolutionised how op shops operate. Gone are the cluttered racks and dusty shelves of yesteryear. Today’s op shops feature curated collections and dedicated vintage sections, professional visual merchandising, and active social media presence.

Many locations now exceed 1,000sqm, offering premium shopping experiences that rival traditional retailers.

These stores seek high-visibility sites in suburban growth corridors and regional hubs, offering excellent accessibility, ample parking, strong demographic alignment, and high foot traffic potential.

For commercial property investors, this evolution presents a compelling opportunity backed by powerful market fundamentals.

The sector’s outlook is particularly bright, with the second-hand market projected to double by 2027. This growth is supported by continued increases in environmental consciousness, broader acceptance across all demographic groups, and rising cost- of-living pressures that show no signs of abating. Furthermore, these assets align perfectly with ESG investment criteria, offering a unique combination of social impact and commercial success.

For investors seeking assets that combine stability with growth potential, properties leased to op shops offer a unique value proposition. They provide exposure to one of retail’s fastest-growing sectors while delivering the security of long-term leases with established national tenants.

Through its extensive experience in this sector, Burgess Rawson continues to identify and secure premium opportunities for investors looking to capitalise on this growing market.

As op shops cement their position as mainstream retail destinations, these assets represent both immediate returns and long-term growth potential in an evolving retail landscape where social responsibility meets commercial success.