This Franchise Saves 6 Items From Landfills Every Second. Here's How It Thinks About Sustainable Growth. With over 1,300 locally-owned franchises and a 99% franchise renewal rate, this resale giant blends purpose with profitability.
By Carl Stoffers Edited by Jessica Thomas
Key Takeaways
- Winmark’s resale model has kept 1.7 billion items out of landfills since 2010 — averaging 182 million items per year, or approximately six items every second.
- The company prioritizes quality over rapid expansion, boasting a 99% franchise renewal rate over the past decade.
- Winmark’s focus on value-oriented resale provides a profitable business model while meeting consumers’ increasing desire for purpose-driven shopping.
Winmark Corporation, the resale franchisor behind brands like Plato's Closet, Once Upon A Child, Play It Again Sports, Style Encore and Music Go Round, has quietly become a sustainability powerhouse. By purchasing gently used items and then selling them, the company has extended the lives of 1.7 billion products since 2010 — a staggering average of 182 million items per year, or six items every second.
The impact is tangible. Last year alone, Winmark franchisees paid out more than $500 million to local sellers across North America, offering a way to make money while diverting items from landfills. "If we weren't around, all that stuff would be in your closet, your basement, your garage or a landfill," CEO Brett Heffes says.
The key to success
Winmark has had a 99% franchise renewal rate over the past decade thanks to its model, which expects franchisees to follow a proven operational playbook that's been refined over 35 years. "We don't sell franchises; we award them. It sounds like a marketing gimmick, but I assure you it's not," Heffes says, emphasizing Winmark's focus on finding candidates committed to running the business the right way.
This deliberate growth strategy has paid off. According to Heffes, since 2002, Winmark's store count has grown by 60%, but systemwide sales have increased by over 400%. "Ninety-five percent of our resources focus on our current stores," Heffes says. "We want them to be better. If they're stronger, more people are going to want to join up."
Instead of prioritizing rapid expansion like some other franchisors, Winmark favors a "slow and steady" approach. Most franchisees operate just one location, and the company carefully evaluates candidates before allowing them to expand.
Value-oriented resale
Winmark's customer-first philosophy fuels its growth. An impressive 90% of franchise candidates start as customers who believe in the business — and the mission. "People want to have a purpose," Heffes says. "Everyone wants to make a living and wants to make a buck, but they also want to have some social benefit and community benefit, and this opportunity allows them to do both."
The company's focus on value-oriented resale — like $11 average price points at Plato's Closet or $5 items at Once Upon A Child — has set it apart from luxury-focused competitors. "We're processing millions of low-priced items every day," Heffes notes.
Leveraging technology
As consumer expectations around sustainability evolve, so does Winmark's strategy. "Winmark is constantly evaluating and evolving our strategies on how AI and automation can enhance the franchisee and customer experience," Gaudette says. Emerging technologies will play a key role in streamlining operations, improving efficiency for franchisees and providing better customer insights.
"From augmenting training and labor to improving personalization, technology will help propel Winmark and our franchise partners forward," Gaudette says.
Related: Greg Flynn Owns 1,245 Restaurants and Makes $2 Billion A Year. Here's How He Did It.
Stability over flash
Winmark's franchisees enjoy more than just strong sales. Its brands have become community staples, and the company's long-tenured leadership team — many with over 20 years at Winmark — continues to prioritize stability over flash.
"We want to cement our place as a legacy asset in the community. We want people and the owners to think of our stores the same way they think about hospitals, libraries, churches — like we're around and we're going to be there regardless of the owner," Heffes says.
Winmark sees significant room to grow. But for now, Heffes remains focused on the basics: helping franchisees thrive, strengthening local communities and extending the life of six more items every second.
