Source: The Business of Fashion
Summary
The resale market is influencing the way people perceive luxury goods, with a new generation of digitally native consumers being more educated about the historic, cultural, and financial value of design objects. According to The RealReal’s annual Luxury Consignment Report, the resale market is growing rapidly, with online sales of authenticated designer goods increasing by 15% in 2022. The report also found that 71% of consumers consider the resale value of a product before making a purchase.
Our Reading
The trend returns with a new name. The luxury resale market is not new, but its growing influence on consumer behavior is. Designers like Gucci and Chanel have long been aware of the value of their products on the secondary market. The RealReal’s report highlights the growing importance of resale value in purchasing decisions. The look feels familiar, as it echoes the 1990s and early 2000s, when vintage and second-hand shopping became mainstream.
Resale Market Growth
The resale market is growing rapidly, with online sales of authenticated designer goods increasing by 15% in 2022. This growth is driven by a new generation of consumers who are more educated about the value of design objects.
Changing Consumer Behavior
71% of consumers consider the resale value of a product before making a purchase. This shift in consumer behavior is influencing the way luxury brands approach their business.
Designers and Resale
Designers like Gucci and Chanel have long been aware of the value of their products on the secondary market. They are now incorporating resale value into their business strategies.
The 90s Revival
The growing importance of resale value in purchasing decisions echoes the 1990s and early 2000s, when vintage and second-hand shopping became mainstream.
Authenticity and Value
The RealReal’s report highlights the importance of authenticity in the resale market. Consumers are willing to pay a premium for authenticated designer goods, driving the growth of the resale market.
Author: Evan Null
