Recommerce is booming, and the secondhand fashion market set to double in three years.
June 5, 2020
As the desire to break the consumption economy model grows for both brands and consumers, recommerce has emerged because of a variety of considerations including environmental concerns, sustainability initiatives and — importantly — online selling.
Recommerce is “secondhand shopping for the digital age,” according to the U.S. Chamber of Commerce, which goes on to note that it is the fastest growing category in fashion retail.
The secondhand market is expected to double its 2018 numbers, becoming a $51 billion industry by 2023, according to ThredUp. While fashion is one of the biggest examples, recommerce is common in a variety of industries, including electronics and physical media.
Recommerce offers advantages for brands, consumers, the environment and more.
Ensuing authentication is one of the biggest hurdles for secondary sellers — particularly of luxury goods. Their reputations depend on providing consumers with products that are not counterfeit. When a brand has included an NFC tag connected with an authentication experience, secondary sellers provide their customers with peace of mind that the item is authentic.
Secondary sellers can also use NFC to authenticate items that weren’t initially connected by brands. Sneaker Con, for example, attaches their own NFC-enabled authentication experience to shoes that have been verified by their own experts.
For platforms like Rent the Runway that rent out luxury items, a Blue Bite-powered experience can offer confirmation that the item being returned is the same one that was rented out, reducing risk even after an initial authentication takes place.
In addition to providing consumers peace of mind that their item is authentic, brands also open a new communication and sales channel with the second (or third or fourth) owner of a product
Brands now have the opportunity to tell the brand story to a new owner. They also gain the opportunity to connect with consumers through product registration and offer additional sales directly through the digital experience.
Luxury brands like PINKO embed NFC tags directly into their items. A consumer that scans the tag with their phone launches a digital experience that confirms they’ve tapped an authentic PINKO item, thus avoiding counterfeits.
Brands promoting sustainability and working to keep items out of landfills use Blue Bite experiences to connect consumers with simple ways to resell or recycle items — getting consumers involved with their sustainability initiatives.
Because Blue Bite analytics can show when a consumer indicates they are looking to resell an item, brands use the direct sales channel capabilities to offer one-tap opportunities to buy upgrades or related products.