According to a report by research firm Research and Market, the high-end second-hand market in Europe is experiencing robust health, with revenues reaching $16.6 billion in 2022.
A Shift in Consumer Habits Driving Second-Hand Acquisitions
From jewelry and shoes to furniture, art objects, clothing, and watches, all categories of luxury goods now have their own thriving second-hand market. This trend has been fueled by a growing preference for sustainable and affordable luxury consumption, leading to various initiatives by both brands and platforms in recent years.
Notable initiatives include the Rolex Certified Pre-Owned program, Balenciaga Re-sell, Gucci Vault dedicated to housing archival pieces, and the Valentino Vintage operation. These endeavors, whether internal or in partnership with external entities, have the potential to contribute significantly to company revenues, estimated to account for 20% of total revenue by 2030, as forecasted by Joëlle de Montgolfier from Bain & Company.
Research and Market’s latest report, “European Second-Hand Luxury Market: Trends, Market Share, Size, Growth, Opportunities, and Forecasts 2023-2028,” focuses on key industry players such as Fendi, Vestiaire Collective, Cartier, Chrono24, and Audemars Piguet.
The report indicates that the European second-hand luxury market, which generated $16.6 billion in revenues in 2022, is projected to witness significant growth, with sales expected to reach $26.5 billion by 2028, reflecting a compound annual growth rate of 8.11%.
Several factors contribute to this market expansion. Firstly, changing socio-economic and cultural dynamics in European countries have fueled the demand for pre-owned luxury goods. Secondly, the popularity of limited-edition collections and price increases in brands like Rolex and Louis Vuitton have enhanced the appeal of rare and unique products, driving consumers towards more accessible alternatives. Lastly, technological advancements, exemplified by Chloé’s Digital ID, have bolstered trust and confidence in the authenticity and provenance of luxury pre-owned items, addressing concerns related to counterfeiting.
The evolving market for pre-owned luxury goods in Europe presents lucrative opportunities for both consumers and industry players, highlighting the increasing demand for sustainable luxury and the desire for unique and exclusive pieces.
