No, luxury second-hand is not “dirty” or taboo. In fact, it is a growing trend in the fashion industry that cannot be ignored. When browsing through social media platforms like LinkedIn, it is clear that discussions around second-hand, upcycling, and green fashion are becoming more prevalent. As someone who is immersed in this topic and well-versed in the luxury retail world, I was curious to see the physical presence of luxury second-hand offerings in stores.
During the month of February, I decided to conduct a mystery shopping experience at around fifteen luxury fashion houses located on Rue du Faubourg Saint Honoré. My goal was simple: to inquire if these fashion houses offered a second-hand selection. Considering the significant number of members on platforms like Vestiaire Collective, it seemed like a reasonable question to ask.
To my surprise, none of the stores had a dedicated “corner” for second-hand items. This raised several questions for me. Did I miss something during my visits? Did I not pay attention? Or do these dedicated spaces simply not exist? The answer to these questions became clearer as I observed the responses of the sales teams to my inquiries.
I encountered three distinct groups of responses:
1. The “who do you think we are” group: In these houses, which formed the majority, the salespeople treated the question with disdain. They looked down on the idea of selling second-hand products as if it were beneath their luxury offerings. Some even went as far as suggesting I visit an outlet for cheaper alternatives. This kind of haughty attitude is completely unacceptable and does not reflect well on the brand’s relationship with its customers. It is important to note that vintage products often sell for more than new ones, and the luxury second-hand market is expected to become a significant portion of luxury purchases in the future.
2. The “thank you for your request, but we don’t offer it” group: Unlike the previous group, these houses treated my request with respect and consideration. They acknowledged that it was an interesting question and some even fetched their managers to confirm the absence of a second-hand selection. They took the opportunity to discuss the brand’s initiatives regarding corporate social responsibility (CSR) and provided valuable information on how to differentiate genuine items from counterfeits. While they couldn’t fulfill my request, I appreciated the genuine attention they gave me as a customer.
3. The “we don’t have it in-store, but I have a solution to offer you” group: Only Gucci fell into this category. The salesperson informed me that they didn’t have any second-hand pieces in-store but mentioned their Vault collection on the brand’s website that featured vintage items. They even offered to give me a tour of the store to explore their current collections, even though they knew I wasn’t interested in buying something new. This level of customer service was commendable.
These experiences highlight the fact that the luxury market still views the second-hand sector as taboo. They seem unwilling to engage with it due to various concerns. Some argue that presenting previous collections poses a problem in terms of brand coherence, especially if a different creative director was involved. Others worry that selling second-hand products at a lower value would convey a negative message about the longevity of their items. In watchmaking, the focus has traditionally been on heritage pieces that customers pass down rather than short-term profitability.
Additionally, some houses believe that entering the second-hand market is not profitable enough. The process of buying items at market price, refurbishing them, and reselling them is not contributing sufficient margins for them to consider this activity. This mindset is unfortunate, as it affects their brand image.
Furthermore, there seems to be a perception gap between the automobile industry and the rest of the luxury industry. Pre-owned luxury cars are generally viewed as prestigious, but the same perception doesn’t extend to other luxury products. This can be attributed to the long history of used cars and the acceptance of their market. Mentalities need to evolve to embrace second-hand luxury fashion in the same way.
It is clear that change is needed in this industry. Firstly, salespeople need to treat customers who inquire about second-hand items with respect and consideration, regardless of whether the house offers them or not. This is crucial for maintaining a positive brand-customer relationship. Secondly, luxury fashion houses need to seriously consider entering the second-hand market in the medium term. The landscape of consumer preferences is changing rapidly, and offering second-hand will soon become an obligation rather than an option.
While the economic model and profitability aspects are still uncertain, it is imperative for brands to address this topic. Just like using smartphones become the norm in sales interactions within a decade, offering second-hand will likely follow suit. Ignoring this market could result in significant revenue loss, especially with younger generations who no longer view second-hand as stigmatized.
In conclusion, luxury second-hand is a growing trend that cannot be ignored. Fashion houses need to reassess their attitudes towards second-hand and recognize its potential value. By embracing this market segment, luxury brands can cater to evolving consumer preferences, contribute to a more sustainable future, and tap into a lucrative revenue stream.
Useful links:
1. Vestiaire Collective
2. Bain & Company’s Resale Fashion Market Infographic
