Biz Lifestyle: SA’s aspirational spenders drive pre-owned luxury goods market growth.
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South Africa's largest pre-owned and authenticated luxury reseller, Luxity, recently reported an 86% increase in growth during the 2021/22 financial year and a 190% spike since the start of the pandemic. In contrast, South Africa’s retail trade sector grew by 6.4% in 2021, compared to a 7.1% slump in 2020. Despite this uptick, it continues to underperform in comparison to pre-Covid times. This outperformance signals growing adoption of the pre-owned sector in the minds of South African consumers.
Luxity Co-Founder, Michael Zahariev, believes that the growth experienced by the company echoes global trends. The global pre-owned luxury market swelled to US$36 billion in 2021, galvanised by increased demand and supply. In fact, this market grew by 65% between 2017 and 2021, compared to 12% for first-hand items. As a whole, the international fashion resale market is predicted to grow 11 times faster than the broader retail clothing sector by 2025.
Luxity Co-Founder, Michael Zahariev, believes that the growth experienced by the company echoes global trends. The global pre-owned luxury market swelled to US$36 billion in 2021, galvanised by increased demand and supply. In fact, this market grew by 65% between 2017 and 2021, compared to 12% for first-hand items. As a whole, the international fashion resale market is predicted to grow 11 times faster than the broader retail clothing sector by 2025.
