With the advent of the era of consumer upgrades, consumer dress buying needs and habits are changing. More and more people are in favor of second-hand clothing, creating huge supply and potential for second-hand clothing trading market.
At present, the second-hand clothing market has gradually developed into a major trend in the clothing market. According to the 2019 retail report released by online second-hand clothing distribution companies, the US growth rate was three points. The second-hand market has been a second-hand clothing market in the past three years, and is expected to grow from today's $24 billion to US $51 billion in 2023.
South Korea's second-hand clothing market is also gradually developing.
In South Korea, the main consumer group of second-hand clothing market is young people over 20 years old, according to a recent report by the central daily. Accustomed to sharing the economy, these more and more favor second-hand clothing, Korean second-hand clothing market is also gradually developing. As the main force of future consumption, this group is very concerned about the second-hand clothing market. This means that they not only tend to use less money to buy practical high-quality clothing, but also do not shy away from second-hand products used by others.
"MarketInU" is a second-hand clothing store. There are three branches in Seoul. Jin Shengjing, the representative of MarketInU, said, "most of the people who come to shop are customers who want to sell products with high quality at low prices, and young people who are accustomed to using and sharing culture for the two time". Jin Shengjing also said, "for the more accustomed to sharing, rather than have this generation, second-hand clothing is only a choice, no special significance. They prefer to express themselves in a mix and match rather than wearing costumes with obvious brand styles.
Zheng Ensong, the representative of Millionarchive, another second-hand clothing store, said: "the media constantly report celebrities wearing the second-hand clothes to attract the young people to find interesting and unique designs." Moreover, buying second-hand clothing has also satisfied young consumers' sense of environmental contribution. Secondhand clothing has attracted much attention when people discard the fast fashion products accused of environmental pollution as "principal offender" and look for a slow lifestyle but valuable "slow fashion" trend.
More and more clothing brands begin to enter the second-hand market.
The secondary market is full of huge business opportunities, and this industry means huge profits. For example, last year, H&M group announced that it would launch a pilot project in Sweden to sell second-hand and antique clothing of its brand &OtherStories, and this pilot project's cooperation is Sellpy, which is creating a "second-hand clothing" section for &OtherStories on its website.
Since 2015, H&M group has invested sellpy5000 kronor through co:lab. As for increasing sellpy holdings, nannaandersen, director of co:lab, said: "we have been focusing on sellpy, we value its unique business model, and the common point of recycling and recycling in h&m."
As Yerdle chief executive officer AndyRuben said, "this is the biggest opportunity in the supply chain." Yerdle is a company that specializes in providing technical and logistics services for brand resale projects.
Ruben said, "our wardrobe is two times bigger than it was 30 years ago, but there are more things in wardrobes, and fewer times we wear them. This is a business opportunity. " These items that have not been worn before may be only a sundry object in a closet, but for another, it is a cheap discovery. The creation of a unique rotary wardrobe is attracting a large number of shoppers.
"In recent years, the retail industry has successfully dealt with a variety of factors, such as falling prices, fast fashion and e-commerce. We believe another key factor is emerging: resale market," an analyst at Wells Fargo said in a recent report. Wells Fargo said The luxury market is most seriously affected by the resale market. Companies like TheRealReal, the second hand luxury resale website, have the ability to buy second-hand luxury goods at a discount, introduce brands to new customers, and earn surplus / resale value through more channels to promote more sales. At present, RealReal has 9 entity stores in the United States.
This partly explains why in the past year, the luxury goods market has become one of the most important words of luxury brands after digital transformation.
At the end of last year, TheRealReal released an updated report on the value of luxury brands through the analysis of its own data and the statistics of luxury brands.
According to the report, French luxury brands Herm s, VanCleef&Arpels (Van Cleef & Arpels), Italy luxury brand Gucci and luxury feather down brand Canadian geese are the most promising brands in the second hand luxury market. They are also the best performing brands last year in terms of resale value.
In the women's market, Herm s ranks the top among the most valuable second-hand luxury items with its three handbags of Birkin, Kelly and Constance. The resale value of these handbags increased by 7% over the same period last year. Other star series bags include Goyard with a resale value of 80%, and some of the Moncler brand's selling price is up to 90% of the original price.
Male consumers also contribute significantly to the secondary luxury market. In the male category, the Canadian Canada goose ranks the top, with the resale value increased to 82%. Tide brand is still the backbone. Among them, the resale price of Off-White, one of the popular brands, has increased by 12% compared with the same period last year, while the resale value of Off-WhiteXNike sneakers is far more than that of the original retail value.
The secondary market of high-performance sports apparel is also awakening. This kind of clothing can be worn in sports. Outdoor luxury brands Patagonia and R.E.I. are well known for their environmental management and commitment to outdoor activities. They also sell second-hand goods.
In addition to the sale of second-hand equipment, R.E.I. also has a rental project, which has been expanded in 2019, including ski boots, skiing and camping equipment. The project aims to provide products for all outdoor consumers, whether they want to try before buying, or because they can't afford to buy it, or travel too frequently. Leasing or buying second-hand goods is more realistic than buying new ones.
"In essence, we are experiencing and sharing professional outdoor knowledge," said EricArtz, R.E.I.'s interim president and chief executive officer. As long as we focus on this and meet the needs of our customers, we will find ways to do good things for our customers and the whole planet. "
Demand for second-hand clothing is booming, releasing huge market potential.
The resale market report of ThredUp, a second-hand clothing consignment website in the US, said in 2019 that "the secondary market will exceed the fast fashion market in 10 years". It is estimated that by 2028, the secondary market will grow to nearly 1.5 times the size of the fast fashion market. Resale is taking up the share of the retail market.
NeilSaunders, general manager and chief market analyst of GlobalData, said: compared with the overall garment market, resale growth is amazing. As the market has its unique performance to satisfy consumers' preferences for various items, values and sustainability, we expect this high growth intensity to continue.
Data show that in 2018, the scale of the global luxury goods market was nearly $25 billion, and it is still rising. Berenberg, a German financial institution, has predicted that this category will continue to grow at a rate of 10% per year in the global market, perhaps two times higher than that in the first class market of luxury goods.
ThredUp, a second-hand clothing consignment website in the US, predicts that by 2023, the secondary market will reach $51 billion, much higher than the $24 billion in 2018. In the Z generation, 1/3 will buy second-hand goods in 2019. ThredUP and GlobalData, a retail analyst, show that by 2028, about 13% of the clothing in women's closets may be secondhand, compared with 6% in 2018.
Under the tide of sharing concept, the development of second-hand clothing market is irresistible.