“Pre-owned luxury is now a real and deeply rooted trend, especially among younger customers,” François-Henri Pinault, chairman and chief executive officer of“Rather than ignoring it, our wish is to seize this opportunity to enhance the value we offer our customers and influence the future of our industry toward more innovative and more sustainable practices,” he added.
Pavlovsky said the main purpose of the chips is to ensure that after-sale service is only provided for genuine bags that benefit from a five-year warranty. “It’s important to preserve the image of the brand,” he said. ‘”If it’s a counterfeit bag, it’s not the same thing. We’re not going to legitimize fakes.”
“Regardless of how much success they’ve had on these third-party sites, they really feel a lot better about both selling or buying products directly from the brand,” he said, noting that the same trend has been in development in the events and ticketing markets for much longer. “But in the end the brands don’t own the customer and don’t have 100 percent control over the process,” said Brewster, who argued that brands can build their own online resale platforms without cannibalizing their existing primary market business — and help elevate the consigning experience much further.
The more direct-to-consumer secondary sales take place, the more records of the transactions will be kept by brands, making authentication that much easier. Vestiaire added that the partnerships have helped increase customer engagement with the brands and tap into new audiences — so much so that it’s not a matter of if, but when, more luxury names will be joining in.
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