Core Insights - The global resale market for fashion and luxury items is growing at an annual rate of 10%, significantly outpacing the firsthand market, and is projected to reach $360 billion by 2030 from approximately $210 billion today [1][11]. Market Dynamics - Trust and authentication are becoming critical as counterfeit manufacturing becomes more sophisticated, with even luxury brands sometimes unable to detect fakes [2][4]. - The secondhand market has traditionally operated under "caveat emptor," emphasizing the need for buyer vigilance [4]. Authentication Efforts - Resale platforms are investing heavily in verification processes to combat the rise of "superfakes," with companies like Carousell opening physical stores for luxury items to provide grading services [5][6]. - Carousell has developed a proprietary database covering nearly 500 product styles, ensuring that higher-valued items undergo multiple checks before listing [9]. - Bunjang claims a 99.9% authentication accuracy rate, utilizing a combination of visual inspections and AI trained on extensive data [10]. Business Impact - Verification processes have positively impacted sales, with Bunjang reporting that luxury goods account for over 25% of its $1.1 billion annual gross merchandise value, with a 30% year-on-year increase in transactions for luxury items [11]. - Carousell has experienced strong growth in its luxury segment, leading to the establishment of its first physical store [11][12]. Consumer Trends - Affordability is the primary motivation for purchasing secondhand luxury items, cited by 80% of respondents, but there is also a growing interest in rare or discontinued collections [13][14]. - Younger consumers, particularly Millennials and Gen Z, are reshaping the luxury market by preferring to buy, enjoy, and quickly resell items, indicating a fundamental shift in engagement with luxury goods [16].