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28ФИНАНСЫ. НАЛОГООБЛОЖЕНИЕ. КРЕДИТ
Бизнес- модели благотворительных second hand и комиссионных магазинов в России
Ермолаева Юлия Вячеславовна,
научный сотрудник, сектор исследования профессий и профессиональных групп, Федеральный научно-исследовательский социологический центр Российской академии наук E-mail: mistelfrayard@mail.ru
Социально-экологическое предпринимательство в рамках концепции секонд-хендов и комиссионных магазинов в России начало развиваться в 2010 году. В России экологические НКО и бизнес-сектор представлены как социальная сеть, поддерживающая собственный экологический жизненный цикл перерабатываемой одежды. С 90-х годов XX века до настоящего времени рынок рос из традиционных моделей секонд-хенд, которые были изолированы на модном рынке, до устойчивого зеленого бизнеса с высоким уровнем активности граждан, экологической ответственностью, но с низким уровнем окупаемости. На данный момент создаются новые экологические и устойчивые бизнес-модели коммуникаций в зеленой моде, которые существовали только в тесной связи с другими экологическими организациями. В процессе изучения кейсов автор обнаружил три типа эффективных зеленых моделей создания подобного рода предприятий, все они представляют коллаборации: 1) сотрудничество между индустрией моды и другими отраслями (2) межотраслевое сотрудничество, (3) партнерство с дружественными НКО. Самые крупные сети создали модель медленного создания стоимости с использованием гибридной системы: бизнес-цепочки и коммуникации со сбором и переработкой одежды и сети НКО для организации части благотворительной деятельности. Распространение таких бизнес-моделей в области зеленой моды в России может быть продуктивным как пример успешной деятельности малого и среднего бизнеса.
Ключевые слова: социология профессии, зеленые рабочие места, экологическая модернизация, устойчивые рабочие места, зеленый бизнес, зеленая экономика, зеленый рынок труда, зеленая мода, нулевые отходы.
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If you want to spot tomorrow's fashion disruption - find where the waste is today
According to the British Ellen MacArthur Foundation, the total annual greenhouse gas emissions from textile production are 1.2 billion tonnes in 2017. The fashion system uses natural resources and large amounts of textile waste [1]. Retail and multinational brands are focused on low production costs, which significantly lowers both the price of clothing and negatively affects its quality.
Only in the late 1980s and early 1990s, sustainable fashion entered public life as well-known companies such as Patagonia and ESPRIT introduced sustaina-bility into their business programs.
One of the directions of the slow movement, in relation to the slow fashion, the term was introduced by Keith Fletcher in 2007 (Center for Sustainable Fashion, UK)[2]. The "quality is more important than quantity" it's means slowing down the consumption and choosing mew tools and items that will last longer than macdonalizated fast-fashion. A progressive approach to clothing is about avoiding overconsumption and following current trends that change from 6-7 times a year to 20. The Copenhagen Fashion Summit has since brought together thousands of people from the fashion industry in their efforts to create a movement in the industry of green fashion in 2012. In this year the Sustainable Apparel Coalition launched the Higg Index, which is a measurement standard designed to measure and promote sustainable supply chains in the apparel and footwear industry for a non-profit organization that includes apparel and footwear brands, retailers, industry affiliates, and trade associations.
The Global Change Award created by the H&M Foundation have prepared a 2017 trend report on the future of sustainable fashion[3]. Highlighted next mega-directions:
• "The power of nature", examines innovative materials from waste.
• "Rent a Closet", a clothing sharing trend - with a community that maintains a "shared" wardrobe, web apps that build a database of clothing with users who donate or changing their garments. This also includes charitable commission stores. The trend will ultimately reduce the purchase of clothing and increase the recycling rate, which reduces the actual amount of waste
• "Long live fashion" - saving and reparing vintage clothing that extends the life cycle of clothing. Companies such as RE / DONE, Vintage Twin and Frankie Collective are engaged in the mass sale of vintage, and its professional repair. There are specialized luxury clothing repair shops in Russia.
• "innovative recycling methods" - clothes made from organic fibers, oranges, coconut, high-tech and easy recyclable materials
• "connected closed" - smart clothing that contacts its wearer - tracks live trekking, regulates heat, strives for versatility in wearing in relation to the weather mode
• "we buy less, but prefer quality" - safe for our health, biota and environment
• "upcycling "- extending the life cycle of clothes: we hand over unnecessary clothes to thrift stores, thrift stores or organizations or exchange at free markets, buy in second hand stores, support local producers, cultural crafts where possible
In this work we stop on the last point, charity commission shops and second hands shops. The global trade of secondhand clothing played important role in textile exhange. In the middle of 19th century, and after World Wars second hands was acquiring clothing. Charity shops catering for the low income population. Since the 2nd World War the quantity increased bea-cease of after war economic collapse.
Charity shops dominated on the second hans market from the 1960s to the 1970s on the Global West, firstly in USA, quiclkly spreading commercial second hands for the fashionable female demographic and offered women and children designer clothes, and occasionally high-end formal wear for men.
With the sustainable business framework and ideology "People, planet, profit) on the base of greening economy promoting the ideologies environmen-talism and zero waste community was spreading only in 70-80 s XX. Secondhand clothing, recycled of by users, and the retailer saves of unwanted clothing from landfills. The largest exporters of used clothing are the US, followed by the UK, Germany and the Netherlands[4].
Sustainable fashion insists on changing the culture of wearing - instead of haute couture - made to measure Business models for slowing down and closing the life cycle of a thing: processing, exchange (trade) of recycled materials, take-back (acceptance by brands / clothing stores for further processing), extended manufacturer's responsibility for the disposal of its products at the end of their useful life. The ethical responsibility and actions of the green consumer are becoming more and more important.
Following the most popular definition, proposed by Osterwalder and Pigneur[5], their business theoretical model describes the rationale of how an organization creates, delivers, captures value applied to different levels, that can be include in green business fashion models. The business infrastructure shows how the value proposition is created. The customer interface links the value proposition to the customer. The financial model includes the costs from the business
infrastructure, and the revenues from the custom interface. The value proposition, representing products and services. Key activities, resources, and partners, making up the business infrastructure. Customer relationships, channels and segments as elements influences on costs structure and revenue streams, which are included in the financial model. After going through the challenges and risks we analyzing collaborative models. For Russian experience will useful the concept of analyzing kind of partnerships: (1) collaboration between the fashion industry and other industries (2) cross-sector collaboration, (3) NGOs partnerhips.
Methods. Used structured case studies of the most popular charity second hands for few points: 1) analyzing trends and challenges in business management frameworks of charity second hands in RussiaT context 2) business models and forms of cooperation between different sectors, including in interactions with charity second hands in Russian cities challenges with ecological and social management models. Data collected from open access governmental and NGO sectors statistics, shop reports, open-accessed interviews in mass media (n=20).
Context and Challenges for charity second hands in Russia
The first mentions of second hand in Russia and other CIS countries date back to the 80s of the last century. Already before the collapse of the USSR, second-hand clothes brought in Russia by business tourists and "shuttle traders". However, at that time, this category of goods was not in great demand among buyers for several reasons at one time. Firstly, only poor quality things reached for the buyers, since all the "cream" was taken apart by the suppliers themselves and their acquaintances. Secondly, the sale was carried out in most cases at clothing markets, where clothes and shoes were simply scattered on the ground. The negative aspects of the second hand of that time also included general rejection. The mentality of the majority did not allow buying used things. This state of the industry continued in the first half of the 90s. However, at this stage, second-hand goods were imported and bought more often. However, the main reason for the increase in demand was the general impoverishment of the inhabitants of Russia and other countries of the former USSR. Therefore, the suppliers were not particularly concerned about improving the quality of service. Only in the late 20th - early 21st centuries, significant changes began to take place in the industry.
The developing of charity second hands business in Russia meets with complex challenges in waste crisis. About 70 million tons of household garbage are thrown out in Russia annually and up to 90-95%% of this volume is disposed in landfills and lose their quality for subsequent sorting and processing. There is no separate state program for the management of textile waste, social entrepreneurship, totally separate collection infrastructure. The content of textiles in Russian waste ranges from 3 to 7%, 450 thousand tons
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are produced annually only in Moscow[6]. The goal of this investigation to describe this models as case studies from popular companies in the context of Russian challenges.
The second-hand market is undergoing a renaissance. The export of second-hand clothes, in January-September 2017 increased by 73%[7]. The main buyers for retailing and recycling were Ukraine, Belarus, Kazakhstan, Poland and Latvia[8]. More than 70 percent of items from US and European charity stores are resold in second-hand stores in Russia, Poland and Ukraine, in the markets of Ghana, Pakistan, Uganda and Nigeria[9]. The first charity store appeared in Russia in St. Petersburg in 2010 Spasibo! Network and now there are 7 charity second hands in Moscow, 7 in other cities in Kazan, Cherepovets, Novosibirsk, Yakutsk, Ulan-Ude, and Irkutsk.
Challenges: lack of support from the state without benefits, subsidies in comparing Europe and America where shops received up to 80% of tax benefits, as well as subsidies for renting retail space.
• Lack of separate collection infrastructure. The infrastructure for collecting things, sorting and storing them is divided only into processed and non-processed fractions.
• Consumer practices playing key role in providing second hand sector by textile for recycling, but according to citizens survey in Moscow and Kazan (n=1500 citizens), only 10% citizens recycling their textiles, try to extend the life cycle of clothes by repairing only 24.4%, usually buying clothes in second hands 7.5%. The priority of nature for the buyer is still lower than the effectiveness of the product [10].
• There is competition from the part of a large mass market (H&M, monki, etc) for a discount coupon But there is positive changes: The way of representation model of second hand becaming to a modern eco-lifestyle boutique and throught digitalization for on-line shops second hands grew up.
Business model and forms of cooperation between different sectors
Key stakeholders. Social business is a multilevel collaboration with involving of complex net with key stakeholders of process with social and ecological functions. The private sector working with inclusive social groups, expands charity money or using eco-technological advancement that helps to reduce pollution and waste production. The establishment of an environmentally responsible companies complying with the standards of the emissions reduction, development of the corporate social responsibility policy. Non-profit organizations coordinate with one of the institutes and carry out educational and organizational activities practices, cooperating with sustainable and responsible ^ business. Customers have more power and responsible = as actors, that provide business sector for recyclable e garmets and things, as consumers, they self-educated about eco-problems and prefer vote as consumer by ° financial action (donating money, environmentally sb friendly consumption, reducing the occurrences of the
destructive behaviour or abandoning it, improving the efficiency of individual behaviour. The government an the institutional level provides grants, supporting and encouraging public engagement and participation, monitoring of the functioning of the exclusive groups directly or for NGO sector as foundation.
Creation of values program. Sustainable business models begins from value creation. Shops in small Russian cities as "Shop of joys", "Lifestyle", "Blagobutik", "SHOP OF JOY", "Chumodan". In Novosibirsk - Gusto, in Yakutsk - "Blagodaryu", in Cherepovets - "It's so simple", in Ulan-Ude - "Dobroshop". These values and mission -they are responsible part in chain and helping for: 1) prolonging life cycle of garments 2) charity or helping for some social group. "Second breath shops" and "Spasibo" created multidimensional values program. For example, the mission of the fund Second Breathe- conscious consumption as a way of life and these values respresented as corporative social responsibility of company.
RESPONSIBILITY «We understand the consequences of irresponsible consumption and believe that we need to act now. Bravery "We are not afraid to improve the existing order of things" (helping and charity of different exclusive groups with variety of social projects. MOVE. "We move forward and constantly improve. Changes are in the nature of what we do." RATIONALITY "We we check every step we take for expediency and act wisely. OPENNESS "We simply and sincerely talk about what we are doing. and you plan to open a similar project in your city, we are ready to share experience and knowledge, join our business internships. And main line: "you can bring them to our store and buy others. We exactly know what to do with clothing at any stage her life. "
For «Spasibo» all goals its efficiency: ecological, social, economic with using these resource valid "use the resource of unnecessary clothes in a big metropolis". "Effectively is to dress the needy, to make a fund-raising tool, to preserve the valuable, to remake the unfit."
Portrait of buyers
The choice of buying the product is based on idea of the social differentiation, i.e. as a product, a person votes for a lifestyle by assigning himself to a particular consumer image category. The green market is focused not only on sales, but also on maintaining a balance between providing for people and preserving the environment, which means that green ethics imposes social responsibility on the consumer[11 ]. Ecomarketing assumes that a person who buys a "green" product is motivated not only by their personal needs, but also by respecting and maintaining the well-being of the whole society, since the green consumer takes into account the environmental consequences (costs and benefits) of his personal daily consumption, in addition to the obvious benefits for his health. Regardless of whether the primary motive is paramount - selfish or altruistic in the context of consumption, the consequences for the environment are positive in any case. There are different
view on the types of consumers: "prevention type" who feel a moral obligation towards greener lifestyles and who are more focused on their aspirations and dreams (promotion type) and do not feel much pressure to quickly adjust their behavior towards becoming more environmentally friendly[12].
- exclusive social categories of population with a limited budget, low-income families in all regions. They prefer selling clothes by weight and for "next-to-nothing" prices[13]. This category on different second hands can be until 70-90% discounts in the last days before the range is updated[14].
- creative professions (stylists, actors, musicians, artists), brand hunters (vintage or top/ luxury / brands) They prefer and looking for Extra (экстра), LUX
- the category 6-35 years old, who want to wear good quality clothes without spending a lot of money (40% discounts (in the middle of the cycle) [15]
- sustainable consumers who prefer natural and responisible consumption by re-using old clothes in conission shops instead of buying new from the mass market
- secondhand dealer "treasure hunters" (choosing the best garments) and trading on-line
Social instruments and key social activities
Second Breathe, "Spasibo!" in SPb had the most comprehensive guns of social key activities - charity, education, social sales, stock organization. The environmental goals - creating full cycle from collection and processing of recyclable. These companies have similar sustainable models, that stand up and broading in values. Also, the companies that created NGO funds for charity operations, which makes possible to cooperate with the state, fill out a grant application and cover the costs of educational and environmental projects (installation of waste collection containers), its became as type of collaboration (NGS + government sector). The created b2b cooperation between shops and recycling organizations in one or few sectors. The "Spasibo" and "second breathe shops" works with the most popular and responsible green eco movements -separate waste, ECA in Rissian that created sustainable green net of business and promoting win- to- win values. Customer relationships, channels and segments as elements influences includes the process of choice the most sustainable and responsible actors.
Spasibo! case. At the end of 2019, 882 tons of garmets was collected, for charity was picked up 25,794,403 rubles. Social service centers, district administrations and the Ministry of Emergencies of St. Petersburg work with the Spasibo, and activists from all over Russia are trained to create charitable shops. "Through containers installed in the city," Spasibo! " collects clothes from the population, and after distributes to charitable organizations and makes it possible to dress other social groups that needs clothes. Some of the clothes going for sale, other part provides the organization with profit. The net profit of
the organization finances its social projects and supports city charities. In May 2015 "Spasibo!" passed the certification procedure at the reputable british company Social Enterprise Market. The Social Enterprise Mark CIC certificate is a kind of special mark that informs consumers (state organizations or private individuals) that a particular company really works for the benefit of society and at the same time operates on the principles of self-financing[16].
Second breathe case. This company created an infrastructure for receiving unnecessary clothes, which is used by more than 200 thousand people in 18 Russian regions annually. The store also uses a hybrid form of activity: the work of stores is carried out by a commercial legal entity, collection, delivery and recycling and created a non-profit foundation for charity. In 2018, the funds transferred to the fund amounted to more than 6 million rubles for charity. The project was invented in 2013, when the founders collected their unnecessary clothes, organized a small market, spending four thousand rubles and earned 134 thousand. This money was transferred to the Up Equal Opportunity Center. Fond social and environmental projects that have appeared with the growth of clothing. "Buying clothes from us, you create jobs for young people with disabilities who work in our stores as sales assistants and get the opportunity to self-actualize and communicate with other people" [17]. Shops appeared in Kazan, Kostroma, Rostov Veliky, Yaroslavl. In 2019, was collected 726.8 tons of clothes more than 120 items for receiving clothing opened in the cities of Moscow, Kostroma, Yaroslavl, Rostov great, Kazan and in the stores of our network partners throughout Russia; 89 non-profit organizations from 18 regions received clothing assistance for subsequent distribution between their wards (institutions and individuals). They are the winners in the Forbes annual 30 to 30 ranking.
Others shops in Russia as "Shop of joys", "Lifestyle", "Blagobutik", "SHOP OF JOY" chain of stores, "Chumodan", Lifestyle, Novosibirsk: Gusto Yakutsk: "Blagodaryu", Cherepovets: "It's so simple", Ulan-Ude: "Dobroshop", Irkutsk: "Orange Sun" select one or several target groups, and transfer part of the profit to them, or, alternatively, arrange sales. In small towns, the need for social function is more in demand. Krok and Zyabra specializes in children's things and helping those in need. Its one-goal business model in comparing with multidimensional program of charity shops reflects their representation of values.
"Chumodan" A social project aimed at collecting (on a charitable basis) unnecessary things and their disposal. It is distinguished from other charity second-hand sales by the possibility of donating and acquiring not only clothes, but also other items such as tools, books, home furnishings, furniture, antiques, etc. Svalka currently implements an environmental mission, but redistributing things among citizens and prolonging the product life cycle, or from time to time arranges socially oriented or ordinary sales. The creators of the "Svalka" called the partnership program
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"Cosa Nostra" as the model of the Italian mafia. "The essence of the mafia is that it relies on the support of people, in return offering the support of an entire organization." [18]
Environmental life cycle assessment and impact of charity second hands shops
Charity shops including and working with waste clothes of citizens and prolonging the reusing cycle. In small Russian cities small one dimension task using store space for collecting and inventorying clothes. Large networks Charity shop and Spasibo organized containers for clothing in friendly NGOs, shops, which are united by one goal of reducing waste. Later they opened their own centers for cloth recycling with recycling batting (wad) material. This fiber can be used in construction as a soundproofing material. It is also used in the manufacture of cotton pillows, mattresses, blankets, furniture, toys, work clothes and other products. Regenerated fiber sent to the project partners for further use[19]. All things that are not suitable for wearing are divided by type of fabrics - cotton and acrylic, mixed fabrics, synthetics and sorted separately, and future raw materials are separated by colors, and accessories are separated too. Things from cotton become wiping rags: they are mainly used for the production of denim and other dense cotton fabrics. Items made from 100% polyester or nylon can be recycled into polyester and nylon, respectively. For this the resulting dust under the influence of temperature and pressure is polymerized again and new fibers are pulled from the melt, the rest is burned for energy. Synthetics goes to batting production. Foot wear is taken along with clothing, but is recycled at individual facilities. Recently, shoes can be recycled in Russia -they began to receive them at Vagabond and RendezVous stores.
Conclusion
Second hands in Russian can be typologized as second hands as usual and charity second hands with environmental or\and social mission (commission shop). Because there is the luck of social business framework law for environmental social business, charity second hands creating hybrid model of self-representation as a second hands and as a social business. There is strong center with 2-3 business with full multidimensional eco and social business values, goals and programs. They solved the problem with law regulation with creation of social fond separately, also this practice helps them realize communication and using financial foundation from government in solving organizational and citizens education problem and challenges with luck of waste policy problem in Russia. Only these organization creating their own process of cloth recycling, now this business spreading through regions. Other second hands in small cities realized only social function, because recycling unprofitable due to lack of raw materials. All organizations using all kinds of collaboration with the more (1) sustainable and responsible NGS, (2) inside and outside of sectors with recycling companies and
(3) media persons as brands, creating their own net chain of exchange by materials. The typical scenario of growing this kind of social business grew up from personal or group initiatives and transforming for a business value model.
SUSTAINABLE BUSINESS MODELS OF CHARITY SECOND-HANDS IN RUSSIA
Ermolaeva Yu.V.
Federal center of theoretical and applied sociology of the Russian Academy of sciences
The social - environmental entrepreneurship in Russia began to develop only in 2010 within the concept of second-hand stores and thrift stores. In Russia green NGO and business sector represented as social network, supporting their own environmental life cycle of recyclable garments. From 90's XX cent until nowadays it's grew up from traditional second hands models, isolated in fashion market for sustainable green business with high level of promotion citizens activity, environmental responsibility, but stay in the low level of payback. There are created new ecological and business sustainable communications models in green fashion, that existed only in close link with other green organizations. In the process of case studying studying, author found three types of effective green models in collaboration: 1) collaboration between the fashion industry and other industries (2) cross-sector collaboration, (3) NGOs partnerships. The most big networks created slow value creation model using hybrid system: business chains and communications with picking up and recycling of garments ang NGO's chains for organizing the part of charity activities. The spreading these kinds of green fashion business models in Russia can be productive as the examples of successful small and middle business activities
Keywords: sociology of profession, green jobs, environmental modernization, sustainable jobs, green business, green economy, green labour market, green fashion, zero waste.
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