Nonprofits are constantly in search of sustainable revenue, and thrift stores are a perfect way to obtain a steady stream of income. However, the success of a thrift store depends on a consistent flow of inventory. After all, if you don’t bring in items, you won’t have anything to sell to customers.
Although you may be an expert in soliciting financial donations, obtaining in-kind donations requires different strategies you might not be familiar with. Let’s explore tips for acquiring clothing donations for your nonprofit thrift store in this guide!
Note: Nonprofit thrift stores can stock many items outside of clothing! However, with the rise of the secondhand clothing market (the U.S. market for used clothing was valued at $43 billion in 2023), apparel is a surefire way for nonprofits to turn a profit. That’s why we’ll focus on clothing in this guide!
Why run a nonprofit thrift store?
Before we dive into strategies for increasing clothing donations, let’s discuss why running a thrift store is a great idea for nonprofits. If you’re already familiar with the benefits of running a thrift store, feel free to skip to the next section!
Here are a few common reasons why charitable organizations open thrift stores:
- Build consistent revenue. Nonprofits that rely solely on gifts may not have consistent revenue, as there may be periods of high giving and periods of very low giving. With a thrift store that’s open year-round, you’ll reduce your reliance on fluctuating income sources.
- Support sustainability. As thrift stores sell secondhand clothing, you can save apparel from landfills and encourage reuse in the community. This supports environmental and sustainability initiatives by promoting a circular economy.
- Increase community engagement. A common challenge nonprofits face is engaging their supporters beyond making asks of them, whether that is donation solicitations or requests for volunteers. A thrift store allows your community to engage with your mission without making a gift in the traditional sense.
- Boost awareness of your mission. Individuals who may not already be aware of your mission may come into contact with your nonprofit through your thrift shop. This increases your ability to acquire new supporters and may even lead to more donations down the line.
All of these benefits make thrift stores a valuable opportunity for charitable organizations to pursue. Plus, running a thrift store might not take as much overhead as you think because you can leverage donations as an inventory sourcing method. You just need to know how to obtain these donations.
1. Establish donation guidelines.
Receiving unsuitable donations is an awkward experience since you must inform the donor that their gift, though appreciated, won’t work for your needs. Some donors may demand an explanation, which you might not be prepared to give. Other donors may feel slighted or that your nonprofit is ungrateful for their support.
Establish clear donation guidelines to prevent this situation from happening in the first place. First, determine what kind of items you need based on your goals. If your nonprofit aims to provide low-cost clothing to the community while generating revenue, you’ll have a different strategy than a thrift store that wants to sell one-of-a-kind vintage clothing.
Then, outline your guidelines on the donations you’ll accept, starting with:
- Item types: What types of clothing will you accept (casual wear, formal wear, outerwear, seasonal clothing, accessories, shoes, etc.)? Will you accept clothing for children, adults, or both?
- Condition: Will you only take like-new items, or are gently worn items acceptable? Should the items be free of visible stains, odors, debris, or rips? Do items need to be laundered before they are donated?
- Limits: Is there a limit to the number of items an individual can donate? Are there items you’ll accept only during certain times of the year (such as winter coats)?
- Other: Do you have any additional guidelines not covered by the above categories? For instance, are there any clothing items your thrift store is prioritizing?
Publish these guidelines on your thrift store’s website and print them on signage for display in your store. These are also great places to feature a quick list of benefits for donating to your nonprofit. You can include your mission statement, explain how donations help your cause, and give a quick overview of tax benefits for donors.
2. Provide multiple donation methods.
Your community members are busy individuals who likely want to donate clothing to your thrift store but might not have the time to do so. Meet their needs by giving them multiple donation avenues so they can choose the method that best suits their schedules.
Here are a few common strategies:
- Dropoffs: This is the standard donation method that almost all thrift stores use. To make it easier for donors, give clear instructions for the dropoff process, including the dropoff location within your facilities, so they know where to go.
- Pickups: Certain segments of your supporter base might find it difficult to drop off their donations, especially if you only accept donations during certain times of the day. Help them support your thrift store by sending a staff member to collect their donations. If enough individuals are interested in pickups, you can optimize your pickup routes for greater efficiency.
- Donation drives: With the changes in seasons and events like back-to-school, there are times when a larger-than-average amount of clothing is disposed of. You can leverage these times by hosting donation drives. Advertise these events widely across your marketing channels, encouraging supporters to donate the clothing they are considering throwing away.
Invest in a thrift store POS system to help you manage your donation methods efficiently. For example, ThriftCart offers features for dropoffs and pickups, including self-scheduling, pickup zones, optimized donation routes, and donation e-receipts.
3. Partner with local organizations.
As a nonprofit professional, you know firsthand the difficulty of reaching a wide audience and inspiring them to take action. For events like galas and auctions, you probably work with sponsors and other partner organizations to boost visibility — a cornerstone of a strong nonprofit marketing strategy. You can apply that principle to your thrift store by leveraging another organization’s influence to expand your donor base and increase clothing donations.
When you want to acquire more clothing for your nonprofit thrift store, start by partnering with the following types of organizations:
- Clothing retailers
- Schools and universities
- Religious institutions
- Other nonprofits
- Community groups and clubs
- Environmental or sustainability organizations
You can pitch these partnerships as one-time projects or as long-term collaborations, depending on your nonprofit’s needs and the other organization’s preferences. Regardless, the focal point of your proposal should be how this partnership benefits your partner organization.
For example, let’s say that you connect with a business for a clothing donation partnership — after all, Double the Donation lists in-kind gifts as one of the most common types of corporate philanthropy. While you should mention the impact these gifts will have on your thrift store, highlight perks the business will gain, such as an improved reputation, access to your audience as potential customers, and increased employee engagement.
With proper management and the right strategies, your nonprofit thrift store can become a valuable, consistent revenue source for your mission. Don’t let your inventory challenges get you down! Rally your community around your organization’s cause to bring in more clothing donations and maximize your nonprofit’s impact.