Savers Value Village unveiled a new artificial intelligence-based pricing platform called ThriftIQ designed to streamline and standardize the valuation of merchandise across its stores. The tool focuses on men’s and women’s apparel and has already been implemented in 58 pilot locations, where it has priced over 25 million items. The company anticipates doubling this figure by year’s end.
The platform was developed in partnership with Kaizen Analytix, a data science and technology consulting firm, and incorporates proprietary datasets that Savers has compiled over the course of nearly two years. CEO Mark Walsh emphasized that the technology reduces manual pricing work while maintaining pricing consistency and improving sell-through rates and basket sizes. Walsh clarified that ThriftIQ does not employ dynamic pricing methods; once items are priced and tagged, the price remains fixed.
Savers operates 375 stores as of the second quarter and processes over 1 billion pounds of reusable goods annually. The company plans to roll out the platform across additional U.S. and Canadian locations through early 2028. Management stressed that the tool aims to enhance worker productivity rather than eliminate jobs. The pricing platform is designed to maintain customer affordability, keeping average prices between roughly 40% and 70% below traditional retail levels.
The rollout occurs amid a period of significant growth in the secondhand retail sector, driven by macroeconomic factors including elevated inflation and diminished consumer confidence. Savers reported second-quarter net sales of $448.2 million, representing a 7.4% increase year-over-year, with comparable store sales rising 4.4%. The company achieved net income of $21.6 million, or 14 cents per share, compared to 12 cents in the prior-year period, and marked its third consecutive quarter of year-over-year earnings growth. Management projects reaching a high-teens adjusted EBITDA margin within three years, incorporating ThriftIQ’s anticipated impact.
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