I shop therefore I consign - A study of the global online fashion resale market

Extract

[...] Some brands and department stores have chosen to collaborate with luxury resale websites. In April 2019 Neiman Marcus became the first luxury retailer to invest in luxury resale through its exclusive collaboration with the website: Fashionphile. The website was founded in 1999 and specializes in pre-owned handbags and accessories. This partnership is a clever way for Neiman Marcus to propose a new service to strengthen customers' involvement while attracting a younger clientele. The two companies are innovating by creating a marketplace where luxury buyers and sellers overlap. [...]

[...] I shop therefore I consign - A study of the global online fashion resale market The global online resale market for fashion and accessories has grown 21 times faster than apparel retail over the past three years. In the second hand luxury sector pioneer websites, such as TheRealReal, have through a sustainability oriented narrative managed to transform resale shopping into a responsible and trendy activity. Since 2010 the luxury resale market has grown exponentially, and in 2018 the US luxury resale market totalled billion according to Bain & Co. [...]

[...] However, in the process the delays in authentication and order shipment have increased, losses of orders are more and more frequent and negative reviews have multiplied on the company's social accounts. The risk of reputation is the major threat of luxury resale websites because their business model is based on trust. Luxury second hand websites have deeply transformed the luxury and fashion retail market. In the next years, their evolution will be shaped by consumers shift, technology and social issues. [...]

[...] To conclude, we are witnessing a deep transformation of the retail market. Today the border between new and used is blurred because consumers are more value oriented and environmentally conscious. Luxury resale website are the most accessible way for luxury customers to take part in the circular economy. Therefore to keep growing in size and customers numbers those websites should capitalize their communication on sustainability and the peace of mind that comes with a sustainable lifestyle today. Indeed percent of TheRealReal clients declare shopping on the website as a replacement for fast fashion. [...]

[...] Indeed, "trust" is the cornerstone in TheRealReal physical shopping experience: employees are not sales assistants but luxury experts who share their insights, anecdotes and experience with clients. They share the same knowledge than luxury sale assistant but the friendly atmosphere is strikingly different. They act as advisor and will always provide an estimation of the percentage the client will make if he/she decides to sell them back the product in the future. The "classical" aspects of a luxury boutique, such as personal stylist and a repair service are present as well. [...]