How Vinted became pre-loved fashion’s favorite Unicorn

Online second-hand shopping is nothing new, of course, so how is Lithuanian ‘unicorn’ Vinted becoming our go-to for pre-owned items?

Vinted’s stratospheric rise started somewhat under-the-radar. Trading since 2008, the brand has played a long game that is now, finally, paying off. Despite operating at a not-so-insignificant loss between 2020 and 2021 (reportedly due to a strategic push in ad spending), the company posted net profits of $17.8 million in 2023. Following that, a share sale put its value at $5 billion.

Central to that valuation are the marketplace’s 75 million users across 16 markets. We now all either are, or know, avid Vinted users – buyers and sellers alike. Despite financial challenges, the brand now finds itself at a new peak. So, why now? Is it lucky timing, great UX, or something deeper?

Features, features, features

In short, there are countless reasons to use Vinted and very few reasons not to. Vinted’s user experience (UX) is genuinely user-centric, and its functionality and algorithms are ever-evolving to not just meet but anticipate the needs of its users.

The marketplace’s features and functionality are all designed to give a single impression: there’s little excuse left for not selling unwanted items. Setting up a (free) account is straightforward, with no painful slog of online admin.

The platform’s ban on images from retail websites provides an extra layer of reassurance for buyers. There’s also a luxury goods verification service and both buyer and seller can engage in a bit of bartering with the ‘make an offer’ tool for all items.

Another big draw for sellers is free listing – a feature that holds so much sway that in April of this year, it made second-hand giant Ebay flinch when it removed all listing fees for pre-owned clothes, permanently.

Shipping, too, is streamlined, with auto-generated shipping labels and real-time delivery notifications.

Consumption without cost?

In the age of sustainability and over-consumption, it can feel like we’re constantly chastised for our purchasing decisions while fast-fashion giants employ increasingly aggressive marketing tactics.

Vinted promises the perfect solution to this retail rock-and-hard-place: conveniently shop for a plethora of items (which now includes homewares, entertainment and electronics), bag a bargain, embrace sustainable shopping and say ‘no’ to retailers that manufacture mindlessly (and at times unethically).

Then there’s the global cost-of-living crisis, which has forced many to change their buying habits. Selling unwanted clothes offers these people a small second income stream. It’s not just acceptable to buy and sell second-hand, for some, it’s now essential – to clear space, and to fund new purchases. This all helps to create a genuine sense of community amongst Vinted users.

Doing it on purpose

At the core of all this success lies Vinted’s most fundamental attribute: purpose. Brand purpose – the integrity of having objectives beyond profit – is increasingly important to consumers. Brands lacking it are falling behind in customer loyalty.

Vinted, true to the vision of founders Milda Mitkutė and Justas Janauskas, remains committed to showing the world how brilliant second-hand fashion can be. The positive impact of shopping on Vinted (on society, the planet, and the individual) is undeniable. What started as one woman wanting to resell her unwanted clothes to friends morphed into something that so many of us not only want, but in the current climate, need.

The growth wasn’t instant, but the founders so deeply believed in their offer, they stayed the course. They also understood that they had to always put their customers at the center of the company’s brand and business model.

At a time when so many fashion purchases carry with them the guilt of contributing to climate crisis, it feels good to use Vinted. That palpable brand purpose is communicated and upheld through its design, messaging and innovative UX. Viva La Vinted!

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