Shift in spending patterns sees Vinted match Primark in cashless transactions
Consumer patterns amongst young people may be shifting after online ‘pre-loved’ marketplace Vinted matched Primark in cashless transactions during March and April.
According to consumer and location specialist CACI’s platform Brand Dimensions, both retailers delivered nearly 900,000 cashless transactions in March and almost 1 million in April.
The data platform compares spending across 300 large brands representative of the UK market.
CACI said that the findings represent three key findings: the growth of Vinted; the increasing consumer demand for value retail both online and in-store; and the shift in spending patterns for younger people.
Over the last 18 months Vinted has seen growth of 680%, supported by advertising campaigns and partnerships with television channels such as ITV and Channel 4.
CACI added that the data shows the growing relevance of pre-loved fashion, as a “more sustainable and lower value choice”. It was also found that Vinted, which had traditionally appealed to middle-affluence groups, had increasingly begun to shift its appeal to higher-affluence groups.
Alongside the findings, CACI’s Centre Dynamics data revealed that all UK city centres have reduced their clothing and footwear offering, along with 99% of town centres and 93% of regional shopping centres. This shift in physical markets may point to why online marketplaces are continuing to do well.
Rachel Bedford, brand dimensions lead at CACI, said: “The data […] points to an interesting online vs offline perspective with consumers still seeking value, whether that’s on the high street, or via a digital marketplace. You would expect Primark customers to continue to engage in value retail, but Vinted is increasingly attracting higher affluence groups, so there is a growing pool of shoppers seeking a better-value-for-money experience. This may be driven by economic factors including the ongoing cost of living crisis, or perhaps a sway towards an eco-friendlier approach to retail, with consumers choosing second-hand over new.”