It is impossible to predict what TikTok trend will become the next big thing. There are niche communities appearing every week. These include #BamaRush and #ArchiveFashion. The Gen Z social media platform has become a hot spot for fashion-minded people. Creators uncover old trends, offer lessons in fashion history and transform forgotten pieces into fashion must-haves. This phenomenon is proving to be a huge success for the luxury resale industry.
According to The RealReal’s 2021 Resale Report, Gen Z is leading the trend, consigning more on the site than any other generation. There has been a 33% increase in purchases year-over-year and an 86% increase in consignment.
Sasha Skoda is head of women’s sales at The RealReal: “We have seen more growth among Gen Z buyers than ever before,” she says. “The rising demand for vintage by Gen Z and millennials is driving up the prices for sought-after vintage handbag styles at an rate well beyond their modern counterparts.”
According to the report, Gucci and Louis Vuitton are the top-selling luxury brands over the past two years, followed closely by Chanel, Prada and Dior. With multiple of their products becoming viral, Gucci and Louis Vuitton are now the top luxury brands on TikTok.
Gucci’s Jackie bag is one example. It was first released in 1961, and named after Jacqueline Kennedy. The #gucci app has received over 3.1 billion hits, while the #guccijackie1961 video has garnered over 21 million views. This is due to creators sharing their hauls, styling tips, and news about the brand. According to The RealReal the Gucci Jackie bag’s demand has increased by 50% over the past year, which in turn has driven up the average price of the bag by 65%.
Louis Vuitton has a similar case. It currently has more than 3.6 billion users on the app. TikTok has over 1 million people viewing its monogram Pochette bag (#lvpochette). According to The RealReal the popularity of the bag has resulted in a 47% increase in demand year-over-year. However, the average price for Multi Pochette bags by the brand, which have a small pouch at the strap, has increased 137%.
Skoda says that luxury investments are a hot topic among Gen Z and millennials. Skoda says that millennial shoppers are now turning to luxury goods for significant returns, even on worn pieces.
The report also shows that Gen Z is shopping for mules and cocktail rings as well as crop tops. The most likely demographic to shop for barely there fashion is the millennials. They love halter tops and mini skirts as well as cut-outs.
