Luxury Resale Market Hits $50 Billion as Secondhand Becomes the New Luxury

The global market for pre-owned luxury goods has grown to $50 billion annually, according to Bain & Company, as a fundamental shift in consumer attitudes toward sustainability, value, and authenticity transforms the luxury industry and creates a new category that is growing three times faster than the primary market.

The resale market has been driven by two distinct consumer groups: younger buyers who want access to luxury brands at more accessible price points, and experienced luxury consumers who are increasingly treating their purchases as investments that can be resold at a profit.

The RealReal, the largest luxury consignment platform in the United States, processed more than $2 billion in gross merchandise value in 2024, with Hermès, Chanel, and Louis Vuitton being the most traded brands. The platform's data shows that rare Hermès Birkin bags have appreciated an average of 14% per year over the past decade, outperforming the S&P 500.

Vestiaire Collective, the European market leader, has grown to 23 million members across 80 countries and processes more than €1 billion in transactions annually. The platform recently launched a "Direct Shipping" feature that allows sellers to ship directly to buyers, reducing the time and cost of transactions.

"The resale market is not a threat to luxury brands — it is an extension of the luxury ecosystem," said Cyrille Fabre, a partner at Bain & Company. "It creates a secondary market that supports primary market prices, attracts new customers to luxury brands, and aligns with the values of a new generation of consumers who prioritize sustainability."