OPERATING SECOND HAND RETAIL SHOPS
The categories of highest-quality clothing are sold in the group’s retail shops. The surplus generated from the second-hand shops is used to make charitable donations to international development projects for poor and disadvantaged people in the world, in accordance with its objectives. In addition, the Company helps people on a low budget to get clothing through the sales of second-hand clothes in shops with prices down to less than one euro per piece during sales, while also promoting nature conservation.
The Humana shops use a unique business concept. Shops in bigger cities operate on a five-week circle, and in smaller towns – on a two-week cycle.
At the beginning of a five-week cycle, the shop is stocked with all new pieces of the best quality from the sorting centre, and it makes a very high sale on the first day of the cycle. Every day the shop is restocked according to what is sold. From the third week in the cycle, the shop starts with discounts and a steady falling maximum price per item in the shop. The shop is still restocked daily. The cycle ends with an all-out sale with prices down to less than one euro per piece, after which the few remaining items are returned to the sorting centre. At the end of the cycle, unsold second-hand clothing is returned to a sorting centre and, after re-sorting, it is sold.
Humana shops in the provinces focus more on lower prices, while still providing good quality. They use a two-week cycle system, starting discounts already on the 2nd day, instead of the regular five-week cycle system.
This concept is very dynamic – which in itself draws in customers and secures a high turnover of pieces, which helps keeping the costs per item and thereby the prices down – again drawing in more customers. Most shops cater for customers who acquire goods for the whole family, while some shops cater especially for a growing group of customers who wish to dress in vintage clothes.