All 2023 Predictions Come Down to Staying Close to Your Customers and Offering More Value
It’s been a week of 2023 prediction soup.? Nearly all the prediction lists included Resale–some predictions driven by younger customer preferences, some by value in difficult economic times, and some for sustainability-oriented shoppers.? I appreciated Forbes ' point of view on what this means for retailers.? The article quotes Davide Camisa, managing director of BCG, who warns against relying heavily on "conventional levers" such as strong-arming suppliers and continued discounting.
Instead, the Forbes piece points toward the need for innovation: leveraging new tools such as AI to better collaborate with suppliers, communicating value, and offering secondhand merchandise with high trust.? The article concludes with a recommendation for retailers to “...examine how they can incorporate second-hand or resale into their models without cannibalizing sales of new goods or losing money.”
Regarding cannibalization, it’s something to watch and easy to call out. However, Trove’s recommerce data spans millions of items with some of the best brands in the world, and we have yet to see cannibalization as an issue.? It’s something to keep an eye on as a brand, but the opportunity to present more relevant items to your customers is far more significant at this point.
The NYT piece, Cheap Meets Eco-Chic on the Ski Slopes , pointed out the increasing number of players in the outdoor space, including brand-owned experiences at Patagonia, REI, The North Face, Arc'teryx, and Burton, as well as emerging 3rd party platforms, Out & Back who are investing in growing their customer base.
Vogue pointed out the similar competition for the secondhand customer in luxury watches playing out today, comparing models across “secondhand platforms such as Vestiaire Collective and The RealReal, generalist behemoths like Ebay, auction houses including Sotheby’s, and brands themselves.? Key differentiators in the piece were authentication, trust, and investment in repair/refurbishment.
Several Web3 predictions pointed toward more immediate value in the authentication.? As Charles Hambro, Co-Founder & CEO of Web3 data platform, points out in Jing Daily , “As we continue to move past the metaverse hype, it can no longer be all gimmick. Phygital offerings need to be part of a reasoned, long-term strategy that offers genuine value for the buyer, rather than just a branding opportunity.”? I love this practical nature of how some of Web3 energy moves toward authentication of items for brands.? To me item identification and authenticity remain the closest in “killer app” for the digitization of items.
Finally, The Week ran a piece with a fascinating headline, Are the rich ruining thrifting? ? The article was quite balanced and reached what I see as the correct conclusion in the end.? Of course, thrifting is evolving as retail is evolving.? It’s not being ruined, growing, and getting more life out of what we’ve already made is one of the bright spots for modern retail.? The reality remains that we have more than $2 trillion in resellable items still sitting around, not being used, while we produce more daily.? Let’s keep our eye on the bigger picture.
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The So What
?Until Next Week,
Andy Ruben | Founder & Exec Chair of Trove
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Shopping and product trends experts expect to see in 2023
From month-long sale events to secondhand goods, experts predict that these trends will make waves in 2023. The past year was huge for secondhand goods — and there are no signs that this interest will slow down. According to data from resale retailer thredUp and GlobalData’s 2022 Resale Report, the secondhand market is expected to grow 127% by 2026. Increasing resale marketplaces, rising inflation, environmental concerns, and unique value drives consumers, mainly Gen Z shoppers, to secondhand marketplaces like Depop and TheRealReal.
Is eBay’s Love Island Recoupling a Sign of Fashion’s ‘Vibe Shift’?
Trend forecasters are calling an end to the age of excessive consumption, while the resale platform says its tie-up with the hit reality show has converted millions to secondhand shopping.??
The hard luxury resale race heats up
Retailers and brands of all sizes and specialisms are vying for the €38 billion hard luxury resale market. But authentication costs are onerous, and opinion is divided over which business model will be the key to long-term success.
Four Trends That Will Shape Retail In 2023
After the pandemic-led disruption of 2020 and 2021, the retail industry had pinned its hopes on 2022 being a return to something approaching normality. Surviving in 2023 will require close attention to key industry trends impacting how customers buy, shop, and communicate. The global apparel resale market grew an estimated 30.1% to $182.4 billion in 2022, according to data and analytics company GlobalData. This rapid growth is set to continue, with a forecast of 85.5% growth between 2022 and 2026, taking global apparel resale spending to $338.4 billion.
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68 founders reveal their predictions for business trends in 2023
This year, startups are poised to make significant strides in healthcare, artificial intelligence, and cannabis. That's according to 68 founders Insider surveyed for their predictions of what's to come in 2023. Of course, the future is uncertain, but these entrepreneurs discussed themes like how companies can adopt AI and blockchain technology, consumer health, and brand transparency.?
The Top Web3 Luxury Fashion Predictions For 2023
If 2022 were the year Web3 found its footing, then 2023 would be when the landscape officially gained ground. The past 12 months saw big names and big projects, including Nike x RTFKT and Tiffany’s Cryptopunks take the helm across the virtual space. Today, new trend cycles are already emerging — showing us what we can expect to see across a potentially explosive year for luxury and the metaverse. Jing Daily rounds up the key themes and predictions to keep on your radar for 2023.?
5 things to look forward to in the luxury watch industry in 2023
We are watching out for the return of in-person trade shows, anniversaries of horology icons, and a more excellent range of options for buyers across all spectrums. In the past couple of years, secondary-market prices for sought-after timepieces, trendy steel sports watches, skyrocketed to multiples of their retail price. In recent months, however, prices for those timepieces have fallen to saner levels, although they are still trading at well above their retail prices — a testament to the resilience of the luxury-watch market.
Weekend Briefing: Fashion NFTs’ trademark limits will be decided in the courtroom
At Hermes, the luxury company is suing artist Mason Rothschild over his selling of “MetaBirkins,” NFTs based on Hermes’ Birkin bags, which Hermes had nothing to do with. The trial is set to begin on January 30. Hermes’ argument is simple trademark infringement, while Rothschild will argue that the NFTs have clear “parodic” and “absurdist” intent. The trial calls to mind a similar ongoing legal conflict between Nike and StockX. The former sued the latter for selling NFTs with images of Nike sneakers. StockX’s argument at the time was that the NFTs are merely symbolic ownership rights of a real pair of sneakers held in StockX’s vaults.
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Buying second-hand clothes is ‘form of activism’ – Oxfam fashion show stylist
According to a star stylist, wearing second-hand clothing has become an act of “rebellion” for young people concerned about climate change. Bay Garnett, who put together the outfits for Oxfam’s forthcoming London Fashion Week show, said shopping in charity shops is a sustainable way of enjoying fashion. The stylist, who has dressed stars including Kate Moss in charity shop fashion, also said she believes the culture of wearing a new outfit just once for a social media post will become a thing of the past.
What really happens to your clothes after you donate them
Donating has long been a popular, convenient, and essentially guilt-free way to get rid of clothes you don’t wear anymore. But how much of your donated clothing finds a new home or helps someone in need? Far less than you probably might think, experts, say. “We often fantasize as consumers that ‘This is going to a good home’ and ‘Someone’s going to love this,’ ” says Cosette Joyner Martinez, an associate professor in the department of design, housing, and merchandising at Oklahoma State University.
Cheap Meets Eco-Chic on the Ski Slopes
Alpine gear is expensive, but online dealers of used jackets, boots, skis and more are enticing newcomers with bargain prices and promoting recycling in an era of climate change. After years of holding pop-up resale events, Patagonia introduced its Worn Wear program, selling used Patagonia goods and apparel online, in 2017. A used men’s Snowshot Jacket in “great condition,” which would have retailed for $399 when it was new, was recently listed on the site for $266. The outdoor retailer REI Co-op held resale “garage sales” events in its stores for about 60 years before instituting its trade-in program and e-commerce site for used gear, known as Re/Supply, in 2020. It now also has brick-and-mortar resale stores in Manhattan Beach, Calif., and Conshohocken, Pa.
Are the rich ruining thrifting?
Some argue that thrifting has essentially become gentrified because of its trendiness. Wealthier people have begun to frequent thrift stores, shopping for the same items as low-income people who were the original customers of the secondhand shops. In addition to wearing the clothes themselves, many thrifters in recent years also began to resell the clothing on websites like Depop at a higher rate.
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1 年Love this.