“Lululemon Expands into Resale Market for Like New Clothes”

Lululemon, a popular retailer, has ventured into the resale market, aligning with the trend of second-hand shopping moving beyond traditional thrift stores and online platforms to brands’ own channels. This move follows in the footsteps of other renowned brands like Canada Goose and Arc’teryx, who are also reevaluating their strategies regarding pre-owned clothing.

A 25,000-square-foot processing facility in Calgary operated by Tersus Solutions is at the heart of this transformation for Lululemon. At this facility, returned Lululemon items undergo cleaning, grading, and processing for resale as part of the brand’s Like New service. This facility, the first of its kind in Canada by Tersus, handles not only returns but also manages pre-owned Lululemon items sold for resale by customers nationwide.

The appeal of resale to companies is clear from experts’ perspectives. It offers the opportunity to resell products that might have otherwise been written off, allowing companies to garner buyer loyalty. Customers benefit by saving on newer products, contributing to sustainability efforts as well. Last month, Lululemon introduced its Like New program in Canada, enabling customers to buy and sell pre-owned Lululemon clothing through an online platform.

Customers participating in the Like New program can receive either 70% of the sale price in cash or 90% in store credit, as stated on the program’s FAQ page. While a proof of purchase receipt is required to sell an item, some items may still be eligible for trade-in without a receipt, as per the Like New website guidelines.

Tersus Solutions’ Calgary facility inspects and cleans clothing using a proprietary liquid CO2 cleaning system, which does not require water, before refurbishing and grading the items. Despite primarily focusing on returned items for resale currently, the facility has been processing a remarkable number of orders, receiving between 1,000 and 1,500 items daily.

Peter Whitcomb, the CEO of Tersus, highlighted the significant growth in the company’s U.S. business over the past five years, emphasizing the increasing interest from brands in recovering value from returned and used merchandise. Working with brands like New Balance, the North Face, and Arc’teryx in the U.S., Tersus plans to expand its operations in Canada.

Retail analyst David Ian Gray noted the rising trend of retailers entering the second-hand market, driven by the increasing popularity of platforms like Facebook Marketplace for pre-owned items. A study released in August 2025 revealed that 77% of Canadians had purchased pre-owned items in the past year. For retailers, incorporating resale under their brand umbrella can attract new customers and offer products at different price points and quality levels, catering to varying consumer preferences and economic situations.

Anián, a Victoria-based clothing company, was an early adopter of resale, launching its own marketplace for customers to sell Anián products to other shoppers in 2021. The company’s COO, Jeff Papa, emphasized the focus on circularity and sustainability within Anián’s operations, with the resale site garnering significant traffic and contributing to waste reduction efforts.

IKEA Canada’s Sell-back program, initiated in 2019, has seen success, with customers returning over 12,000 items in the 2025 fiscal year in exchange for in-store credit. Gray emphasized that offering resale does not equate to devaluing a premium brand but rather serves as an avenue to operate within different price points and cater to diverse consumer needs.

Overall, the shift towards embracing resale within the retail landscape reflects a broader movement towards sustainability, cost-effectiveness, and meeting evolving consumer demands.