SOMETHING OLD, SOMETHING NEW
RECENT DEVELOPMENTS IN RETAIL HAVE SEEN THE FUSION OF PRE-USED AND NEW CLOTHING INVENTORIES IN THE SAME SPACE
REPORT
Shoppers are used to the separation of these merchandise groups: for used clothing, there are consignment, thrift, charity and vintage shops, and a host of other options for new items. In years past, retailers have tested these boundaries, from long-closed Paris department store Samaritaine’s vintage concession to the collectable pre-loved accessories and fashion sold by Liberty London. Yet today, something new is afoot, with resale’s increased importance and mainstream fashionability.
This trend is apparent in multibrand boutiques and online retailers, such as Farfetch, with its new vintage section. Another example is Assembly whose two shops in L.A. and New York mix new and old merchandise – distinguished subtly by garment tags – in minimalist displays. This merger infuses the value behind new items into vintage. Also in New York’s East Village is Duo NYC, the multilabel womenswear boutique that integrates one-off anonymous vintage pieces easily in their inventory of emerging, independent designers, due also to the similar aesthetic of both.
Driving the resale push is a younger clientele, trained to consider the environmental impacts of fast fashion as they shop. The connection between preused and sustainability is key to its renewed fashionability, but there is another attraction: collectable limited-edition items by hip streetwear and skatewear brands like Supreme. The resale site Grailed was conceived to tap into this trend, and (largely male) hypebeast and sneakerhead consumer groups. Product ‘drops’ generate hype around these cult items, and the resale of these drops holds potential for retailers.
The re-commerce market, led by Vestiaire Collective, The RealReal and Depop, is set to exceed 50 billion USD by 2023, according to GlobalData. For ThredUp, the global market for secondhand – growing 21 times faster than retail-atlarge – will exceed fast fashion in the next decade. This means that retailers of all business models should look for ways to incorporate pre-owned clothing into their offerings in ways that align with their brand identity. For some this means hiring vintage buyers, and considering inventory – i.e., is your clientele after luxury handbags or sneakers (the status symbols Grailed and Rebag trade on) or other offerings entirely? Others might encourage clients to consign their pre-used garments to the store.
The combination of resale and e-commerce is key, too. The creation of online marketplaces could allow retailers to glean useful data on customers. Or they could work with resale platforms: Vestiaire and The RealReal are seeking to collaborate with retailers and brands in the primary market. Neiman Marcus has just invested in Fashionphile, which, unlike consignment or peer-to-peer platforms, buys items directly from the seller. Whatever the method, retailers may need to mix and not separate secondhand and new merchandise to increase profits and retain their customers.