The luxury secondhand market is growing four times faster than the primary luxury market, and up until recently, most luxury brands had yet to capitalize on the booming secondhand market. However the latest news from Reuters proves that’s all continuing to change.
While its subsidiary Gucci joined forces with the RealReal last October, parent company Kering just announced its investment in resale platform Vestiaire Collective. Though the concerns that luxury groups have over the secondary market (diluted brand images, weakened control over distribution) are valid, there are benefits, one of the main ones being a better grip on the selling of counterfeit goods.
As many of us aim to shop more sustainably and thoughtfully, finding irresistible deals in the meantime, the resale market has grown, and it is estimated that the proportion of pre-owned pieces in closets will grow from 21% this year to 27% in 2023. Unsurprisingly, Vestiaire Collective reported double its transaction volume year over year.
Meanwhile Kering, a French luxury group that houses other brands in addition to Gucci like Saint Laurent, Balenciaga, Bottega Veneta and more, has invested in Vestiaire Collective by purchasing a 5% stake in the company. This latest news proves that the pre-loved market boom hasn’t yet reached its peak, which is great news for consumers with a heightened focus on sustainability and those looking to score a good deal.
How do you feel about luxury fashion groups joining the resale market?