Amazon is strengthening its second-hand luxury product offering.

The e-retailer has found a way to sell the biggest luxury houses on its site by signing a partnership with the What Goes Around Comes Around marketplace.

Second-hand Chanel, Louis Vuitton and Hermès on Amazon.

While the premium second-hand market could experience an annual growth rate of 10 to 15% over the next ten years according to McKinsey, Amazon has found the subterfuge to market second-hand luxury on its platform. Faced with the reluctance of houses to establish themselves on the e-retailer, the web giant has established a collaboration with What Goes Around Comes Around – WGACA -, an independent marketplace specializing in articles second hand top of the line.

A way for Amazon to market luxury second-hand pieces without going directly through the brands, but while specifying on its product sheets that “the WGACA is not an authorized reseller and is not affiliated with any of the brands it sells; the brands are not involved in their authentication process”. As with other partnerships, WGACA will be responsible for selling and shipping the product while Amazon wants to be the relay in the act of purchase.

Thus, the products of the largest luxury entities can be found within the platform. The latter will integrate Amazon’s Luxury Stores, a high-end division launched in 2020 in the United States and rolled out in Europe a few months ago with designers like Elie Saab and Altuzarra. While around 500 products have already been marketed, such as a Chanel Pre-Loved Crystal ‘CC’ & Links necklace, the premium department could accommodate nearly 2,000 second-hand pieces signed Louis Vuitton, Rolex or Hermès.

Screenshot of Amazon Luxury Stores

“Our customers, especially Millennials and Gen Z, have shown interest in second-hand luxury items” said Muge Erdirik Doga, president of Amazon Fashion, emphasizing the company’s ambition to expand its offering.

A consumer trend encouraged by a younger clientele aware of environmental issues, but also by other types of profiles. Collectors, vintage enthusiasts, customers attracted by a more attractive financial aspect, investor buyers… Amazon and WGACA intend to reach a wide audience and gain notoriety in this booming market. Witness the latest report from the second-hand online trading platform Rebag, which reports on the constant growth in the value of second-hand luxury goods.

.

Leave a Comment