– The worldwide secondhand market is predicted to develop by a CAGR of 15% to 20%
– Secondhand consumption is basically pushed by shoppers’ wishes for affordability, choice availability, and sustainability
– Buyer segmentation is vital to understanding secondhand commerce
PARIS, Oct. 20, 2020 /PRNewswire/ — Vestiaire Collective, the main world group platform for fascinating preowned vogue, and Boston Consulting Group have partnered for the second 12 months working to launch a brand new survey, The Customers Behind Trend’s Rising Secondhand Market, exploring the evolving dynamics of the worldwide resale market. The survey–of 7,000 people from six countries–reveals the varied buyer attitudes and behaviors of its respondents, the rising significance of sustainability–among different drivers–in driving the resale growth, and a few of the methods luxurious manufacturers can profit from the rising resale market.
The resale market is presently estimated to be value $30 to $40 billion, with the market predicted to develop by a CAGR of 15% to 20% globally over the subsequent 5 years, and even greater in developed markets, which might see a 100% YoY development. The enlargement is being pushed by a rise within the variety of clients beginning to purchase secondhand and by the variety of secondhand items shoppers are buying. Mixed, these developments are resulting in a share of secondhand clothes in individuals’s closets that’s predicted to develop from 21% in 2020 to 27% in 2023.
Accelerated Shopper Developments
Though affordability, choice availability, and merchandise uniqueness have contributed to the rising recognition of the secondhand market, the survey reveals that customers’ mounting environmental issues are additionally contributing to the secondhand market’s development. This shift has been additional accelerated by the pandemic, with 70% of respondents in 2020 saying they really feel compelled to buy preowned items in an effort to change into extra sustainable, in contrast with 62% in 2018.
A Thriving Secondhand Market Drives Sustainable Consumption
The survey additionally reveals consumers’ needs: to personal fewer, higher items; to cut back overconsumption; and to take higher care of what is of their closets. The presence of a thriving preowned market encourages all three objectives.
The Upscale Impact: “Purchase Fewer, Higher Gadgets.”
85% of preowned consumers take part to cut back overconsumption by buying and selling up quick vogue to fewer, higher-quality, longer-lasting objects.
The Sturdiness Increase: “Take Better Care of My Issues.”
70% of vogue shoppers say that the existence of a secondhand market encourages them to take higher care of the objects they personal.
The Round Life Cycle.
60% of sellers would haven’t given a second life to their items with out the secondhand market.
Buyer Segmentation Is Key to Understanding Engagement within the Secondhand Market
Trying past normal preferences, the report additionally identifies six client segments, every with distinct attitudes and behaviors, representing the varied methods through which members have interaction with the secondhand market. The evaluation affords beneficial insights to assist manufacturers higher perceive the consumers of right this moment and tomorrow, which will even be helpful in recognizing how secondhand shoppers could evolve from occasional consumers of luxurious objects, for instance, to full-fledged model loyalists.
Luxurious Manufacturers Profit from a Wholesome Secondhand Market
There are numerous methods luxurious manufacturers can seize worth from the preowned growth, taking into consideration that greater than 62% of client respondents mentioned they might be extra keen to purchase from vogue manufacturers that companion with secondhand gamers. Potential advantages embody:
The flexibility to reply to rising client want for purpose-led organizations, as 60% of shoppers need to purchase from firms of this kind.
Buyer acquisition, contemplating that customers uncover manufacturers by way of secondhand procuring; amongst these surveyed, 48% bought a model that was new to them by way of secondhand channels previously 12 months and would take into account shopping for the identical model once more.
Buyer loyalty as a result of the secondhand market represents a chance to get sellers to purchase extra objects with the cash they earned from their gross sales; 31% of market members function this fashion.
With 69% of shoppers keen to eat extra secondhand items sooner or later, the preowned market seems to be poised to handle shoppers’ rising want for wardrobes which are distinctive, of fine worth, and sustainable.
Notes to Editor:
Based mostly on a survey carried out in June 2020 to 7000 Vestiaire Collective members positioned in 6 nations (The US, France, Spain, Italy, Germany and the UK).
About Vestiaire Collective:
Vestiaire Collective is the main world platform for fascinating pre-owned vogue. It’s devoted to selling the round vogue motion as an alternative choice to the wasteful and dangerous practices of the fast-fashion business. Curated by its trusted group of vogue activists, members encourage each other while promoting and shopping for distinctive items from one another’s wardrobes. Encouraging shoppers to hitch the round financial system and undertake a extra acutely aware method to vogue consumption, the platform is exclusive on account of its extremely engaged group, its uncommon fascinating stock, and excessive stage of belief it has constructed on account of its authenticity and high quality management course of. Launched in Paris in October 2009, Vestiairecollective.com has over 10 million members worldwide with places of work in Paris, London, New York, Milan, Berlin, and Hong Kong. Over 70,000 new objects are submitted by its group of sellers each week, which allows consumers to look amongst extremely coveted and bought out vogue items @vestiaireco
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SOURCE Vestiaire Collective; BCG