Lululemon has expanded into the Canadian second-hand market with its Like New resale platform, joining brands like Canada Goose and Arc’teryx that are moving used clothing ecosystems in-house.
Inside the Calgary Tersus Solutions Processing Hub
The operational backbone of Lululemon’s Canadian resale push sits inside a facility managed by Denver-based Tersus Solutions. According to Tersus general manager Steve Bommer, the Calgary hub has received between 1,000 and 1,500 items a day, numbers that are “far exceeding” initial expectations. Most of the current volume consists of in-store or online returns.
Instead of using traditional water-based washing methods, the facility cleans textiles using a proprietary liquid CO2 system. Tersus CEO Peter Whitcomb stated that the company’s U.S. business grew tenfold over a five-year span as brands sought ways to recover value from returned inventory. “If you talk to any of our customers, they would actually say this is one of their higher margin business lines because these are damaged goods that are getting written off and they’re getting sold again,” Whitcomb said, noting that Tersus also works with brands like New Balance, The North Face, and Arc’teryx in the United States.
Financial Mechanics of the Like New Program
Lululemon launched its Like New platform in Canada, allowing customers to buy and sell pre-owned gear online. According to the brand’s FAQ page, participating sellers can receive 70 per cent of the sale price in cash or 90 per cent in store credit. Transactions typically require a proof-of-purchase receipt, though select items may qualify for trade-ins without one.
Maureen Erickson, Lululemon’s senior vice-president of retail experience, emphasized the durability of the brand’s inventory in a news release. “Our products are created with high standards for technical performance and quality, which makes them perfectly suited for life well beyond a single owner,” Erickson said. “Like New extends the life of that product, giving guests a trusted way to keep great gear in use.” Lululemon declined an interview request from CBC News.
Retail Analysts Point to Surging Demand for Pre-Owned Goods
The push toward branded resale captures a massive shift in consumer habits. David Ian Gray, a retail analyst with DIG360 Consulting and an instructor at Capilano University in North Vancouver, pointed out that platforms like Facebook Marketplace have normalized second-hand shopping across the country. A DIG360 and Angus Reid Institute study published in August 2025 indicated that 77 per cent of Canadians bought pre-owned items over the preceding year.
“They could be drawing in some new customers and they could be bringing different price points and different quality levels to people that maybe economically, especially right now are under some pressure to manage budgets,” Gray said. He added that running a resale channel does not turn a premium label into a discounter, describing it instead as a model operating at a different price point.
Early Adopters and Long-Term Market Precedents
Other Canadian companies built circular models years before Lululemon’s national rollout. Victoria-based Anián launched a peer-to-peer resale marketplace for its recycled natural wool and cotton garments in 2021. According to COO Jeff Papa, the site generated about $200,000 in sales and 250,000 visits over a two-year window, keeping roughly 3,600 pounds (1,630 kilograms) of textile waste out of landfills.
“It’s an easy entry into the brand at price points that are 40 per cent of what our retail value is,” Papa said, noting that sellers receive full value back as store credit. Meanwhile, IKEA Canada has operated a Sell-back program since 2019, reporting that 12,371 items were returned through the initiative during the 2025 fiscal year in exchange for store credit.
Frequently Asked Questions
How does Lululemon’s Like New program work in Canada?
Customers can buy and sell pre-owned Lululemon clothing online. Sellers receive either 70 per cent of the sale price in cash or 90 per cent in store credit, typically requiring a receipt.
Who processes the returned Lululemon items?
Tersus Solutions handles the cleaning, grading, and refurbishing at a 25,000-square-foot facility in Calgary using a waterless liquid CO2 cleaning system.
What percentage of Canadians buy pre-owned goods?
According to an August 2025 DIG360 and Angus Reid Institute study cited by retail analyst David Ian Gray, 77 per cent of Canadians purchased pre-owned items over the past year.
Explore more retail industry insights on our site, or subscribe to our weekly newsletter for the latest updates on Canadian business trends. Have thoughts on brand-run resale ecosystems? Drop a comment below.
Keep reading