Luxury Goods Resale

Luxury Goods Resale

The luxury goods resale market or secondary market comprises all the used luxury products that enter the market again at a cheaper price. The luxury goods resale market has steadily risen due to multiple factors, like the increasing demand for second-hand luxury goods, which has led to the market's growth. Several other factors, such as increasing varieties of second-hand luxury goods in the market and a surge in company collaborations & partnerships, are driving the global luxury goods resale market.

The Luxury Goods Resale Market is expected to grow at a steady rate of around 9% owing to the rising company mergers and acquisitions. For instance, in March 2024, Fashionphile acquired Two Authenticators Inc., a Montreal-based wholesale distributor of authenticated, pre-owned luxury vintage. Several other factors, including the rising digitalization & social media influence, the expanding distribution channels, and strategic partnerships between companies, drive the market's growth during the forecast period. Apart from this, improving the affordability and accessibility of luxury goods are also driving this market steadily.

• Based on the product category, the market is segmented into clothes, jewelry, end-user, and others. The clothes segment dominated the market in the year 2023. The clothes segment in the luxury goods resale market is flourishing, driven by consumer demand for sustainable product recycling. The market continues to grow, with trends of thrifting among youngsters. This segment will likely expand as consumers increasingly prioritize affordable clothes that are easily available on e-commerce platforms. Thus, the clothes segment held a significant market share in the year 2023 among the product categories.
• Based on the end-user, the market is segmented into kids, men, women, and unisex. The women segment dominated the end-user segment in the year 2023. The women segment within the luxury goods resale market is driven by rising consumer preference for sustainable and eco-friendly fashion choices. Innovations in marketing strategies, sustainable sourcing, and distribution are key trends shaping this segment. The continued trend of AI-driven search algorithms and augmented reality features for virtual try-ons gives a positive outlook for women as consumers in the luxury goods resale market. Thus, the women segment held a significant market share in 2023 among the end-user segments.
• For a better understanding of the market adoption of luxury goods resale, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Europe dominated the market in the current scenario of 2023 due to the rising company expansions and changes in consumer preferences for thrifting. For instance, In July 2022, the Luxury Closet, a clothing resale marketplace established in the Middle East, launched in the UK as the company kickstarted expansion plans within Europe. Other factors, such as the improving affordability and accessibility of these products, propel the region's market growth. Thus, amongst areas, Europe held a significant share of the market in 2023.
• Some of the major players operating in the market include Yoogi's Closet, Inc.; Vestiaire Collective; Luxepolis.com; The Luxury Closet; Fashionphile Group, LLC; The RealReal, Inc.; Timepiece360; GARDEROBE PRE-LOVED LUXURY FASHION; FARFETCH UK Limited; ThredUp Inc.