GoodwillFinds CEO Matthew Kaness reveals the unexpected consumer enthusiasm for their new e-commerce platform and the operational scramble to keep up. Learn how a century-old non-profit is rapidly scaling its online presence, navigating inventory challenges, and competing in the cutthroat digital resale market against platforms like ThredUp and The RealReal, all while trying to maintain the "treasure hunt" appeal of physical Goodwill stores.
Key takeaways
GoodwillFinds experienced unanticipated high demand, highlighting the market's readiness for accessible online thrifting and forcing rapid operational scaling in staffing for customer service and fulfillment.
The platform discovered strong demand for non-clothing items, which now account for 75% of sales, indicating a broader market opportunity beyond expected apparel dominance in online resale.
Scaling a decentralized, brick-and-mortar operation online requires significant focus on streamlining pick, pack, and ship processes across multiple locations to handle increased order volume.
Replicating the "treasure hunt" experience online is challenging; focus on compelling product discovery features without sacrificing operational efficiency.
Building a successful online resale platform necessitates adapting to customer preferences, as seen with GoodwillFinds pivoting to accommodate the high demand for diverse non-apparel items.
GoodwillFinds is trying to bring the century-old Goodwill network to the era of ThredUp.
The new e-commerce platform has only been live since October, but has already seen pretty steady growth. When it first hit the market, GoodwillFinds offered 100,000 items for sale from four different Goodwill locations around the country. Now, that number is approaching 200,000 items. CEO Matthew Kaness said the organization plans to have a catalog of over 1 million products for sale by the end of the year. GoodwillFinds is in the process of onboarding four more locations -- and Kaness said dozens of other locations are in the pipeline to be added in 2023.
Kaness joined the Modern Retail Podcast to talk about the growing program. While most anyone in the U.S. knows about Goodwill, the organization has never had a centralized online presence. The idea with GoodwillFinds is to try and do just that -- as well as compete with other digital resale leaders like Thredup and the RealReal.
While the platform has only been around for a few months, Kaness said that the struggle hasn't been finding customers, but instead making sure the program can run smoothly while scaling. "We didn't expect the consumer response to be as great," he said. "So we are chasing some of the operations -- staffing up customer service, and adding more staff at pick, pack and ship [sections] within the various Goodwills."
The business is also trying to figure out what sells best on the online platform. While apparel has been one of Goodwill's most popular categories, Kaness said GoodwillFinds has seen "such a strong demand for non-clothing." In fact, apparel currently only accounts for one-quarter of the platform's sales.
The platform is still constantly being upgraded, with more products and features being added everyday. But the hope is to create the Goodwill experience online. That being said, Kaness was clear that the well-known treasure-hunt Goodwill experience can't be mimicked by an online app. "What we're
What does this episode say about retail & omnichannel?
GoodwillFinds experienced unanticipated high demand, highlighting the market's readiness for accessible online thrifting and forcing rapid operational scaling in staffing for customer service and fulfillment.
What does this episode say about supply chain & operations?
The platform discovered strong demand for non-clothing items, which now account for 75% of sales, indicating a broader market opportunity beyond expected apparel dominance in online resale.
What does this episode say about brand & content?
Scaling a decentralized, brick-and-mortar operation online requires significant focus on streamlining pick, pack, and ship processes across multiple locations to handle increased order volume.
What does this episode say about dtc strategy?
Replicating the "treasure hunt" experience online is challenging; focus on compelling product discovery features without sacrificing operational efficiency.
What does this episode say about retail & omnichannel?
Building a successful online resale platform necessitates adapting to customer preferences, as seen with GoodwillFinds pivoting to accommodate the high demand for diverse non-apparel items.
