There has been a shift in acceptance to own pre-owned luxury items. Within a short spa, in 2019 the industry is estimated to have captured a market of 268 billion USD. Industry trends have predicted a growth of 14 per cent in the period of 2019-2024.
There are a number of factors that aid this growth and contributed to the exceptional statistics of this industry. Most prominent being urbanization, a rapidly increasing urban population and an expanding demand for luxury goods. Increasing incomes have led to fuelling a demand for luxury goods. This has led to a direct impact on an increasing demand for pre-owned or second-hand luxury items.
Revival of economies of developed nations has led to a growing demand of luxury goods. On the other hand developing nations in the APAC region like India and China, recorded higher net disposable incomes, which aided the growth of the industry. What is remarkable is that Asia Pacific holds the largest share in the market of second-hand luxury items.
In the space of second-hand luxury items, clothes, bags, accessories, clothes constitute 49 per cent of the share of the industry. Last year 44 million men and women bought a pre-owned or second-hand luxury item, which is 9 million, more than the number of people in 2016.
In the United States the market of luxury goods is expected to reach an estimated $305 billion, which is just 25 per cent less than the market share of pre-owned luxury goods.
A survey conducted by us revealed that 67 per cent of the people bought a brand they aspired to own, by purchasing a second-hand item. They also re-instated the fact they would buy a pre-owned product again. 20 per cent of the buyers claim they do so because of sustainability and environmental conditions. Majority of the sellers are people who rarely purchase second hand goods.
The main concerns remain of authenticity and pricing. For the purpose of which our in house team at The Thrift Shop hires the best to authenticate and price the products in accordance with its condition and prices by competitive companies.
Majority of the buyers opt for second-hand goods because they are looking for value of money and saving. You can find limited editions, vintage products as well as products that are only a season old too.
The year 2020 is deemed to be revolutionary for the industry of second-hand or pre-owned luxury items. Join the movement!