Joys and sorrows of a steadily growing market, from those who live it from the inside.

Source: Highsnobiety

Everyone knows: the Reselling market is very profitable. It has been estimated at around 130 million dollars globally, and that most of the business revolves around a few online website: Depop, Grailed, Vestiaire Collective, StockX etc.

The business – in its simplest form – consists of owning a highly sought-after product, in many cases rare, and reselling it at an increased price to those who could not buy it.

In order to approach concretely the volume of business of reference, it is enough to think that in June Etsy bought the second hand fashion giant “Depop” for the “modest” amount of 1.6 billion dollars, while the French luxury vintage site “Vestiaire Collective” was valued at 1.7 billion dollars.

The new generation of resellers are mostly young entrepreneurs who are abandoning their corporate positions or institutional university paths to follow this alternative path.

Resellers have credibility in Sneakers, Streetwear, Art and Toys collectibles; they spread the latest trends, and often customize products to increase their value.

Highsnobiety interviewed 4 successful resellers, who reveal some of the tricks of the trade, the challenges they face in a constantly inconsistent market, the future of reselling and sustainability.

 

Joseph Lewis IG @eluxive_

Lewis started with a simple “showcase” of his Ralph Lauren and Tommy Hilfiger collection on Grailed, eventually becoming the top 100 seller with nearly 3,000 transactions and opening up to the luxury market. He now sells brands such as Chanel, Louis Vuitton and Rolex.

 

Tom DeCeglie IG @tommymcbuckets

A New Jersey native, Tom turned his college dorm room into a flagship store for friends and colleagues first, and NBA players like Chris Paul, Montrezl Harrell, Taurean Prince, later. His core business is Vintage T-Shirts.

 

Daniel Walters IG @sadsac

Daniel hails from rural Ireland and began his journey as a reseller by wandering the various “charity shops”, recycling products and drawing comics. His passion for recycling has made him a star seller on Depop, going on to collaborate with adidas and Caterpillar.

 

Eduardo de Palma IG @eduardo_shopper

With a degree in business management and a job at a major Italian fashion company, Eduardo also specialized in the luxury shopping market through direct experience as a personal shopper. Currently, he sells luxury clothing, such as Gucci and Hermes, on Vestiare Collective.

How did you build your brand?

Joseph Lewis:

The way I’ve purchased so many things, from so many people, has served as an example of how to do a good or bad job. I tried to evaluate all aspects of each experience, and put only the good ones into my business.

Tom Deceglie:

My brand matches the way I am, it’s me. It’s the vintage t-shirts I love, sports, a certain type of music. The nostalgia and taste of pop culture is shared with many of my generation, this helps me create a natural connection with the target audience. You can’t pretend what you’re not.

Daniel Walters:

You can’t fake it with culture, background-there are so many vintage T-shirts on the market, but it’s all reducible to the type of curator you are, and the brand itself. It’s all closely tied to the individual behind it.

Eduardo De Palma:

You have to be an authentic person, first and foremost, pleasant with clients, so that they know your true “self” and decide whether to collaborate with you or not.

 

Have you ever envisioned your brand growing in this direction?

Joseph Lewis:

No, that wasn’t part of the plan. But by monitoring inventory and sales day in and day out, it was natural to focus on the things you do well and that keep you going.

Tom Deceglie:

Right out of college, I was working as a clerk, nine to five, at a regular company. Which I deeply hated. I quit my job, resulting in anger from my parents. But I wanted to run my own business, even if I wasn’t fully aware of what I was doing at the time and what direction it would go in. Fortunately, things worked out, and they work out every time.

Daniel Walters:

I never anticipated a development like this. When you work in a business like reselling, everything is uncertain: one day it’s good, the next day it’s bad. The market is unstable and you have to accept that mentality first.

Eduardo De Palma:

I never thought it could be my full-time job. I studied Business Management but I never wanted to be an entrepreneur, I just wanted to work in a big fashion company.

At the same time, I wanted to be the master of my time and my future. What surprised me the most is that I thought I would do more personal shopping, but instead it’s all focused for my business.

What do you think contributed to your success as a Reseller?

Joseph Lewis:

I think Networking played a big role, talking to literally everyone, especially since you never know who you might run into. Connections are everything, especially in this type of business.

Tom Deceglie:

I don’t think it’s about how hard you can work, rather how much more creative you can be. Trends change, styles change, and as a result you have to adapt to all of that as well. It’s about asking yourself the question, “How creative can I be?”

Daniel Walters:

This market is constantly inconsistent, as is the lifestyle we’ve chosen, so the first thing is to adapt. Second thing is you can’t fake who you are, what you like and your background, you have to have passion for this business, and for innovation and creativity related to it.

Eduardo De Palma:

In my opinion you have to be innovative. I think innovation is really what motivates and makes a difference. I can sell anything that people may consider “trashy”, but it only takes a VIP, a photo shoot and a post done in the right way to make it really appreciated. The beauty of this business is that everyone can see a cultural shift: what’s worth $12 today might be worth $1,200 next year.

 

What role does sustainability play in your business?

Joseph Lewis:

I focus on the quality of the products so that they have lasting value.

Something you can buy today and keep it intact for the next five years, without jumping from one purchase to the next, chasing trends based on what other people are buying.

Tom Deceglie:

Quality is the most important thing to me. You can’t expect to have the same quality, fit and style as a shirt made 20 years ago. Something has to be given up in the name of quality, otherwise you can go buy it at the mall.

Daniel Walters:

Reselling old items is something I love, I love charity stores and Thrifted stores – they feed my creativity. Also, no new things are made, there is recycling and reuse.

Eduardo De Palma:

I think it’s critically important, not just to have a sustainable product, but a whole sustainable business plan. We’re selling clothing to make money, and it should not be limited to selling things that people don’t need, for profit.

It has to be something that people perceive as creative, something that will last a very long time, and that has a superior quality.

 

Is there anything people should know about being a full-time Reseller?

Joseph Lewis:

People think it’s a lot easier than it actually is.

You always have to be on the lookout, you never know when there’s going to be an opportunity to buy something interesting, we don’t have fixed suppliers – we buy and sell from time to time.

We also always have to look for new things that others don’t sell, and have the motivation to explore and learn about what you’re selling, to keep up with a market that changes every day.

Tom Deceglie:

It’s a 24/7 job. You can’t take a couple of days off without checking your sales or updating your page.

Daniel Walters:

It’s all about survival-sometimes we work for a month straight, other times we invest all the money, fill the warehouses, but don’t have the necessities to get by. It’s a tough lifestyle that not everyone is willing to do, but without getting discouraged by the hard times, it works.

Also, what people don’t consider is the time spent: to make $100, you may have spent 20 hours getting that product. The return is in branding; you can make a lot of money in an hour, but really what really matters is the investment we’re making in our brand, for the next 20 years.

Eduardo De Palma:

It’s definitely a 24/7 job. People think that because you sell very expensive things, you make a lot of money. That’s actually not true: you could sell a bag for 2000 pounds and have paid 1800 for it, for example. The biggest margin is with T-Shirts: one for 20 pounds you can resell it for 150 so actually make more money with T-shirts than with luxury bags.

People want to go straight into the luxury market mistakenly believing you make more money, actually that’s not always true.

 

What do you think the future of reselling will look like?

Joseph Lewis:

Toward sustainability. People are looking for something that is more sustainable, more creative and has a strong identity. I think in that sense, the industry will grow oranically and authentically.

Tom Deceglie:

I don’t know if I want to call it a trend, but the vintage “style” is not yet at its peak. I think this market is just getting started.

Daniel Walters:

I think vintage resellers will become a key part of the market, and they will influence future trends. It’s already happening.

Eduardo De Palma:

I think people are getting more and more creative in the way they choose to buy, and the reselling market has an incredible future.