Luxury brands are having a tough time. LVMH’s leader Bernard Arnault has seen his fortune tumble of late due to a 16% slump in the conglomerate’s share price this year. Smart travel retailers are therefore looking beyond yet another high-priced branded boutique and turning to the ‘pre-loved’ vintage market to drive conversion.
Germany’s Gebr. Heinemann has just expanded its pre-loved luxury concept with the opening of a dedicated 215-square-foot store at Copenhagen Airport selling certified second-hand items, including luxury bags from Chanel, Dior, Fendi, Hermès, Louis Vuitton, and Saint Laurent.
The shop—described as a “joint strategic move” alongside the operator of the hub—is Heinemann’s first pre-loved standalone boutique at an airport. However, the company has already tested demand on several cruise ships where the concept has been successful: Royal Caribbean’s Icon of the Seas and Utopia of the Seas both have pre-loved retail spaces.
On Utopia, whose debut sailing from Port Canaveral in Florida was in July, Heinemann opened a shop selling pre-owned luxury products including handbags and watches from brands like Rolex, Louis Vuitton, Hermès, and Chanel.
The offering sits alongside shops filled with new watches from brands such as Tag Heuer, Hublot, and Breitling, as well as the latest in perfume, cosmetics, liquor, and tobacco. Heinemann Asia Pacific also began selling pre-owned watches in its Luxury Timepieces store at Auckland Airport earlier this year.
In Copenhagen, the concept will be tested for one year. Sören Borch, Gebr. Heinemann’s director of sales experience and excellence, commented: “In our mission statement, we promise consumers a spectacular assortment with products that are among the most exclusive, trendiest, and rarest in our industry. The new pre-loved shop in Copenhagen perfectly complements our assortment and gives us the opportunity to tap into new consumer groups.”
Rising resale market dominated by Asia
Those consumer groups are looking for more second-hand products according to online pre-owned retailer ThredUp’s 2024 Resale Report. By 2028, it claims the global second-hand apparel market will reach $350 billion, dominated by Asia (excluding Australasia). But among the top 20 best resale brands, none are in the luxury category based on sell-through and volume of sold items in ThredUp’s marketplace in 2023.
Travel retail has a bigger share of high-spenders but even they have been cutting back, making second-hand luxury products a good alternative and also a more sustainable choice. Commenting on pre-owned stores, a Heinemann spokesperson told me: “They allow travelers to treat themselves to a luxury good at a comparatively low price and enable a sustainable form of consumption.”
Jan Richter, who heads up purchasing of fashion, accessories, and watches at the retailer, believes there are many reasons why pre-owned luxury stores are a good idea at airports, aside from consumer price sensitivity.
He said: “Luxury products are characterized by a long life cycle and therefore interesting for the pre-loved market. In addition, special pieces can be purchased that are hard to find, so it is also about availability.” Ask anyone who has tried to buy a new—or used—Birkin.
Heinemann is not the first airport retailer to enter the second-hand fray. Aer Rianta has opened pre-owned fashion stores at Lisbon and Montréal Trudeau airports (the latter store as far back as 2021), and cruise retailer Starboard (soon to step on dry land) has rolled out vintage luxury accessories and leather goods with Virgin Cruises and Celebrity ships Beyond and Ascent, among others, through What Goes Around Comes Around.
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