- Pamela Tucker
- 3 days ago
- 5 min read
Updated: 13 hours ago
For the most part, brands and retailers that have launched resale programs have done so as
a way to embrace sustainability, both for their own initiatives and by offering another option to shoppers. Once an item is sold, the resale program might offer one or more payment options: cash (via bank transfer or a payment service), store or brand credit, or a slightly higher amount if you elect to take that value as credit, such as 110% of the cash payment. What’s striking is that some brands then structure those credits, or boosted credits, so they can only be used on new items, even though the whole transaction started with sending existing items back into circulation.
You’ve handed pieces back so they can stay in use, but the value you’ve created is still being channeled into the full‑price side of the business, rather than being allowed to follow you back into pre‑owned. It leaves a neat paradox: the goods are moving in a circle, but the way the credit is set up still directs you toward buying new.
Below are a few examples of resale programs where the credits (or vouchers or gift cards) sellers earn can only be used to purchase “new” items.
The technology partner for Levi’s SecondHand is Trove. Launched in 2020, the program focuses on less seasonal products: jeans, trucker jackets and denim shorts. The Levi’s SecondHand website includes an easy‑to‑read table showing each item type and its trade‑in value. Trade‑in credits range from $5 to $30, depending on the item’s age, condition and original retail price. An in‑store appointment, which can be booked through the website, is required, and up to five items may be submitted per appointment. At the end of the appointment, sellers receive a gift card for the value of the accepted trade‑ins.
On the Levi’s SecondHand site, the FAQs include a note, that was last updated five years ago, that states: “Coming soon, gift cards will also be redeemable on Levi's® SecondHand. Stay tuned.” Five years on, that either reflects a change in direction or a piece of website copy that hasn’t caught up with how the program actually operates. That uncertainty matters, because in practice Levi’s trade‑in gift cards still can’t be spent on Levi's SecondHand purchases and, according to another section of the site, are only redeemable for new merchandise at Levi.com, Levi’s retail stores or outlet stores in the U.S. In other words, the value created by trading in pre‑worn jeans is still channeled into buying new Levi’s, not into buying more Levi’s SecondHand pieces.
The technology partner for New Balance Reconsidered is Archive. In early 2024, New Balance introduced this resale program for buying pre‑owned shoes on a dedicated website, New Balance Reconsidered. Customers can trade in gently worn New Balance shoes either by dropping them off at participating New Balance U.S. stores or by mail. If submitted by mail, a $7.50 fee is deducted from the trade‑in voucher, and there is a maximum of three trade‑in items per customer per day. This structure appears to encourage in‑store drop‑off, where a seller might well end up making a purchase.
In March 2026, the Reconsidered website expanded to include apparel. The apparel is sourced by New Balance itself, mostly customer returns, while footwear continues to be sourced from individuals. The amount that can be earned for eligible trade‑ins is up to 25% of the original MSRP. However, the website notes: “The voucher can only be used online at newbalance.com and participating New Balance retail stores at this time. It cannot be used on newbalancereconsidered.com.” In other words, while trade‑ins help supply the resale channel, the credit they generate can only be spent on new product.
While reviewing the New Balance Reconsidered website, I came across a recent “Special”: from April 16 to April 30” eligible trade‑ins receive an additional 5% incentive for both mail‑in and in‑store submissions increasing the value from 25% to 30% of the original MSRP. It’s not a huge boost, but it does make trading in a little more attractive when you’re planning to buy new sneakers.
Heath Ceramics’ Pass the Plate resale program runs on technology provided by Treet. Heath, a B Corp known for its mid‑century‑inspired dinnerware, tabletop and décor, sells through its own website and a small network of showrooms in California and Texas. Pass the Plate currently supports ceramic pieces shipping from within the United States.
Sellers on Pass the Plate have two payout options. If cash is selected, the seller receives 80% of the sales price and a 20% fee is paid directly to Treet. If store credit is chosen, there are no fees and the seller receives an extra 10% over the cash amount; the store credit is issued as Heath gift cards to be redeemed on the Heath Ceramics website. The website does not specify whether those gift cards can be used on Pass the Plate itself, so I asked for clarification and was told that they cannot be used on the secondhand site.
This is the first time I’ve seen a branded resale partner so clearly identified as the recipient of the fee, which is a level of transparency that many other programs do not offer. At the same time, it’s striking that Heath does not allow the gift card to flow back into Pass the Plate, even though so much of the brand’s language emphasizes sustainability as a core value. Heath describes how, in 1948, Edith Heath developed “a unique clay body still in use today that could be fired at lower‑than‑standard temperatures,” setting “a high standard for sustainability at Heath” that “continues to guide our practices today, from the way we run our factories to the way we approach employee wellbeing.” Safeguarding “the planet and its people” is framed as a long‑standing priority, reinforced by B Corp, California Green Business and Declare certifications, and yet, in this case, the most generous payout option from Pass the Plate still directs spending back to new Heath product rather than back into pre‑owned.
Conclusion: For individuals looking to sell their pre‑loved items, resale can be a straightforward way to participate in circularity and earn some cash, but ignoring the fine print can cost you. Each brand and platform runs on its own rules around payouts and credit, and those rules highlight the complexities of fully integrating circularity into traditional retail models.
For retailers, the incentive to design programs this way is clear: new merchandise traditionally offers higher profit margins, making it financially tempting to funnel trade-in value back to the primary business. However, for the specific issue in this post, it would be encouraging to see brands that currently restrict resale credits revisit that choice. Brands that figure out how to truly close this loop, allowing resale rewards to fund pre-loved purchases seamlessly won't just be living up to their sustainability commitments. They will keep their most engaged customers shopping within their own ecosystem and build authentic loyalty that fine print can't buy.
Full Disclosure: The content in this post is based on my personal opinions and observations. It is intended for informational purposes only and should not be considered professional, financial or legal advice. Research for this post was conducted between April 16, 2026 and April 21, 2026, and it is possible the information noted above might have changed. I do not have any relationships with the companies discussed in this post, nor have I received any compensation for writing this piece. The image with the words "Resale Credits" was generated by Gemini AI Pro.
