3 min. reading

How M&S Turned Charity Donations Into eBay Revenue Stream

Marks & Spencer is opening a secondhand store on eBay after collecting 36.5 million pieces of clothing through donations over the past decade. The British retailer wants to make money from clothes that previously went straight to charity shops. The company has run a clothing donation program called "shwopping" since 2013, recently renamed Another Life. Until now, charity partner Oxfam got all the donated items to sell in their shops. M&S got nothing back except good PR.

Katarína Šimčíková Katarína Šimčíková
Partnership Manager & E-commerce Content Writer, Ecommerce Bridge EU
How M&S Turned Charity Donations Into eBay Revenue Stream
Source: ChatGPT

New System Splits the Money Four Ways

Things are changing. The best donated M&S clothes will now go to a repair company called Reskinned, get fixed up, then sold on eBay. Four parties split the profits: M&S, eBay, Reskinned, and Oxfam takes 15%.

Customers still donate the same way – fill out a form online or scan a QR code in store. A courier picks up the clothes for free and takes them to Reskinned. The company decides what can be sold and what goes to recycling or Oxfam shops.

Bribing Customers With Vouchers

M&S offers customers a £5 voucher for online shopping over £35 if their donation bag contains at least one M&S item. It’s a clever way to make sure people donate M&S clothes rather than other brands.

The voucher only works for online purchases, not in physical stores. The company quietly corrected this detail after initially saying it worked everywhere.

Secondhand Fashion is Big Business Now

The timing makes sense. People are buying more secondhand clothes online than ever before. Depop just hit $1 billion in annual sales, up 35% in three months. Vinted made €813 million last year, jumping 41%.

Even traditional retailers are getting involved. Primark, H&M, Uniqlo and Zara all offer repair services or sell secondhand items now. The secondhand market isn’t a side business anymore – it’s serious money.

Testing Before Going All In

Katharine Beacham runs sustainability in fashion for M&S. She says the eBay partnership lets them learn what customers want from secondhand shopping. If it works, M&S might start selling used clothes on their own website or in stores.

M&S clothes are already popular on eBay – the company says it’s one of the most searched brands on the platform. The official store should capture some of that existing demand.

Government Wants Less Waste

The UK throws away 700,000 tonnes of clothing every year. Mary Creagh, the government minister for circular economy, supports programs like this. She wants businesses and government working together to reduce fashion waste.

The M&S program offers a way for companies to make sustainability profitable rather than just expensive. Previous donation schemes cost money to run. This one could make money instead.

The shift is significant. M&S used to pay to run their donation program as a corporate responsibility initiative. Now they’re turning it into a potential revenue stream while keeping the environmental benefits.

Based on The Guardian report

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Katarína Šimčíková
Partnership Manager & E-commerce Content Writer, Ecommerce Bridge EU

Partnership Manager & E-commerce Content Writer with 10+ years of international experience. Former Groupon Team Lead. Connects European companies with Slovak and Czech markets through partnerships and content marketing.

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