| Pub. Date | : | Dec, 2023 |
|---|---|---|
| Product Name | : | The IUP Journal of Brand Management |
| Product Type | : | Article |
| Product Code | : | IJBRM021223 |
| Author Name | : | Hemantha Y |
| Availability | : | YES |
| Subject/Domain | : | Marketing |
| Download Format | : | PDF Format |
| No. of Pages | : | 11 |
Secondhand luxury or resale of luxury goods has been gaining prominence across the world, allowing global fashion companies to adopt newer business models. The paper presents the various facts and concepts related to secondhand luxury by reviewing the pertinent literature. It provides a conceptual understanding of the secondhand luxury market, along with resale models adopted by a few luxury fashion companies. Besides, it addresses the purchase patterns of consumers through a qualitative survey, which comprised shopping patterns dimensions. The study highlights the marketing strategies, factors influencing secondhand luxury consumption, and sustainability issues related to the industry.
With the secondhand luxury sector gaining prominence across the world, it is paving the
way for new business transformation. Various market reports indicate that there is
significant growth in secondhand luxury consumption through online platforms. In this
fast-growing market, consumers purchase and sell pre-owned luxury products that include
fashion and lifestyle accessories such as leather bags, etc. Luxury retailers are leveraging
this opportunity to attract customers and expand their business (Ducasse et al., 2021). This
is called resale market or secondhand market online. For example, Reflaunt is practicing
Raas-Resale as a service, which is a resale platform for luxury brands and retailers, where
circular fashion and resale are integrated in their business models. Their major customers
are brands such as Balenciaga and Saks Off 5th. Besides, Reflaunt offers resale services for
Net-A-Porter, Harvey Nichols, and The Outnet, among others (Forbes Report, 2023).
Secondhand purchases take place due to factors such as economic, exhilaration and
experimentation, as compared to brand new firsthand luxury (Guiot and Roux, 2010).
Secondhand luxury market has been growing rapidly since the last decade and is
considered as better alternative to traditional purchasing. However, few studies have
focused on the motives behind why people choose secondhand luxury products over brand
new ones. This study seeks to understand the perspectives of luxury companies and the