So what luxury products are we buying in 2017? Baroque Access checks out a report that has just been released by digital leader in the luxury resale market, The Real Real, offering an insight into what luxury goods people have bought in the first half of this year
So what is the state of the luxury market? According to The Real Real, it’s an interesting state of affairs. Named ‘The digital consignment queen’, this luxury secondhand online shopping store’s figures reveal that it’s the fastest-growing of all, with customers like America’s royal family (the Kardashians) and Saudi royalty. Today, the site boasts five million users, has sold over four million items and is expected to reach a figure of more than $500 million in revenue by the end of the year.
Founder and CEO of The Real Real, Julie Wainwright started the company in 2011 and says the secret to its success is simple; it’s trust, which is a major factor in luxury shopping as well as online purchasing.
So what brands have everybody been spending their money on this year? Top of the list is Chanel, followed by Hermès and then Louis Vuitton. Fourth in line is Gucci, which is doing 10% better than number five, Celine, proved by the fact that worn Gucci loafers sell for 80% of their original retail price.
Sixth in line is Christian Louboutin whose legendary footwear is extremely popular, in fact, according to the site, these and other high end shoes in the $500 range are selling faster than designer bags at the same price.
Some popular brands have dropped down the list, such as Burberry, which dropped four places to number 15 from number 11. In addition, Lanvin, which was number 20 on the list, is not in the top 20 anymore. Designer brands that have moved up the ladder include St Laurent, Vetements, Rosie Assoulin, Self-Portrait and Zimmerman, all of which grew exponentially. Latest brands to cause a stir are Supreme and Off-White, whose search rates increased an unbelievable 1,500% and 730% respectively in the past six months.
The number one accessory of 2017 is the backpack, which is selling 40% better than any other type of handbag and has also seen the largest growth in resale value. And we’re not talking about leather handbags here; nylon is even more popular, as the search rate for Prada’s Tessuto nylon backpack showed a 46% increase.
Another fascinating fact is that the retail site is selling more engagement rings than ever before – a rise of 150% in the past year. Who would have imagined that one would spend a fortune online on a diamond? Well, people do, and more of them than we ever thought possible.
Another fascinating fact revealed by the Real Real report is that 33% more people are buying on their phones, instead of on their computers. And who are these buyers, you ask? Well, that’s another surprising fact – they are Generation Z, people aged 22 and younger.
The Real Real sees the luxury retail business as a $1.5 trillion industry, and they have certainly revolutionized it. From a site that started out at CEO Julie Wainright’s home to a premier site for online luxury consignment with over 600 employees in just six short years, The Real Real is the real deal, the premier site for online luxury goods.