- The second-hand luxury market is expected to reach $60.55 billion by 20291
- The original Hermes Jane Birkin handbag sold for $10.1m this week3
- Vinted sells the most clothing in France in terms of sales volume5
Financial markets have largely remained unphased by this week’s US tariff deadline extension, and while the waters are relatively calm, we wanted to discuss an exciting and emerging trend amongst consumers – the rise of second-hand shopping. The global second-hand apparel market is set to grow three times faster than the global apparel market, with Gen Z leading adoption4. The industry is expected to reach a value of $60.55bn by 2029.
This trend spans price point, with the average amount paid for women’s high street clothing just £3-£5 on Vinted and the original Hermes Jane Birkin bag fetching $10.1m via Sotheby’s auction this week. The second-hand market also spreads across item types with watches, jewellery and celebrity memorabilia fetching fortunes as well. For example the Patek Philippe Grandmaster Chime Ref. 6300A-010 was the most expensive pre-owned watch ever sold, purchased at Christie’s in 2019 for $33.65m8.
Though it’s not just challenger online platforms like Vinted and Depop that are looking to compete for market share. In 2022, Amazon launched Luxury Stores in Europe. A curated collection of designer fashion and beauty which comes with a guarantee of authenticity 7. With such a high percentage of second-hand purchasers being below age 34, (67% of 18-34-year-olds) we expect other businesses to tap into such a market for years to come.
Source: Evri research, 2025
It would be remiss not to mention the sustainability benefits of re-selling used items since fashion has become one of the most polluting industries in the world today. It is estimated to account for c.10% of global carbon emissions, and many concerns over workers health and safety still exist within the supply chains of reputable brands. Research from WRAP suggests that extending the lifespan of clothes by just 9 months could cut waste by 22% and save 33% of water consumption6.
Bowmore portfolios
Second hand items isn’t a theme that we allocate to in Bowmore portfolios – though we do have luxury goods exposure via our European equity allocation within the ESG mandate. Carmignac’s European Leaders fund focuses on high-quality companies across Europe that demonstrate strong competitive advantages and sustainable growth potential. The fund has returned 38.9% over three years.
Hermes is currently bought within the fund, given it’s extreme pricing power, focus on responsible material sourcing and exceptionally low staff turnover rate signalling a positive work environment. The average tenure of an employee is over 20 years2.
Source: LSEG DataStream, data as at 10/07/2025
The value of your investments can go down as well as up, so you could get back less than you invested. Past performance is not a guide to future performance.
Sources:
1 Business Wire, 2025
2 Hermes, 2025
3 BBC, 2025
4 ThredUp.com, 2025
5 Ecommerce News, 2025
6 Oxfam, 2025
7 Luxury London, 2025
8 Guiness World Records, 2025