ThredUp will manage the selection of inventory that will appear in JCPenney and Macy's stores, which lessens the amount of logistical challenges they'll have to take on. The biggest risks for JCPenney and Macy's are that the resale section will cannibalize some of the sales that their full-price sections would have gotten. Though Macy's has said that it's tried to limit this risk by giving ThredUp a list of brand names that appear in its full-price sections and thus doesn't want to appear in the resale sections. But Hogan said that alone won't be enough to avoid cannibalizing sales.