With the global surge in demand for pre-owned luxury items, the ability to authenticate these products has become a crucial differentiator among platforms vying for credibility.
The market for reselling fashion and luxury goods is experiencing an impressive annual growth rate of 10%, significantly outpacing the 3% growth seen in the market for new items, as detailed in an October 9 report from Boston Consulting Group and luxury resale platform Vestiaire Collective.
This study anticipates the global resale market could swell to as much as $360 billion by 2030, up from its current valuation of approximately $210 billion.
As more consumers turn to pre-owned designer items, establishing trust has become crucial. "With counterfeit production reaching new levels of sophistication, even luxury brands sometimes inadvertently service fake goods, occasionally repairing counterfeits without realizing it," noted Jaewha Choi, CEO of South Korean online marketplace Bunjang.
Stories of consumers spending thousands on counterfeit Hermès bags or Rolex Oyster Perpetual watches with altered parts are rife on the internet. Some counterfeit items, known as "superfakes," are crafted with materials sourced from the same suppliers as the authentic brands, making them particularly deceptive.