Luxury is in. But for so many families watching their budget, paying luxury prices is not.
Designer names have exploded in popularity since the pandemic five years ago, thanks to TikTok, Instagram, and influencers showing off their “hauls” for the world to see.
But the good news is that the luxury resale market is giving fashion-conscious shoppers a way to own designer items at a fraction of retail prices, with the industry now valued at more than $8 billion in 2024.
At Your World Consignment Boutique, manager Lisa Schindler showcases racks full of high-end designer items that sell for significantly less than retail.
"Chanel is a top seller for us as well as Louis Vuitton," Schindler said.
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The price differences can be substantial, with luxury footwear available at steep discounts.
"These shoes are $99," she said, pointing to a pair of designer platforms. "And these would be $500 shoes or more."
See some of the designer items you can get for half price or less at consignment shops:
Each week, the boutique receives premium branded clothing, purses, and accessories, all brought in by customers hoping for a 50-50 split from the proceeds.
Only items that are barely worn, and look almost new, are accepted for resale.
"Versace sunglasses, you have Tom Ford sunglasses," Schindler said.
The savings compared to retail stores can be dramatic.
"When you go into some of the retail stores you are paying almost three times as much as you are paying here, so our prices are phenomenal," Schindler said.
Social media spurs surge in secondhand selling
Social media has played a significant role in driving the popularity of secondhand luxury goods, with the U.S. luxury resale market experiencing substantial growth due to influencer marketing.
Melissa Morales, owner of Back By Popular Demand Consignment, attributes much of this growth to younger consumers' social media habits.
"They care about looking cute in their Instagram photos, which means they can't have the same purse all the time," Morales said.
The desire to emulate social media personalities with extensive luxury collections is a powerful motivator.
"They want to look like these people that they follow who have these closets that have 500 Chanel items and 200 Tiffany's," Morales said.
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Morales demonstrated the value proposition with a Louis Vuitton purse priced at just 20% of its original cost.
"It's only $502! Oh my goodness," Morales said.
The consignment model benefits middle-income consumers who can now access luxury items that would otherwise be out of reach.
"The other benefit of consignment is that a lot of influencers, not all of them, but they don't want what everyone else has. They want to be unique," Morales said.
Both buyers and sellers benefiting
The system works for sellers too, who can quickly get fair value for their used luxury items.
"We want to price it right the first time, the consigner is making a good amount of money, and the buyer is getting a good deal," Morales said.
So check out consignment shops in your neighborhood, as well as luxury resale sites such as The RealReal, Poshmark, ThredUp, and Vestaire Collective.
Just know that at a local store like Your World Consignment, owners stand behind their products as authentic. Online, you need to be much more diligent that you are buying the real thing.
For regular customers like Leslie Julius at Your World, the savings are substantial.
"I've saved a ton of money. Because about 75% of my clothes come from here," Julius said.
And that way you don’t waste your money.
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