Starbucks Summer Ready Bag, Chanel Bags, Nike Sneakers 'Resale Popularity'
'High Demand' Ensures Profitability... Industry "Domestic Resell Market Expected to Continue Growing"
[Asia Economy Reporter Lee Seon-ae] "Summer Ready Bag available for 100,000 won." This is a post on a secondhand trading community. The Summer Ready Bag is a travel bag gift given when purchasing a total of 17 drinks, including three designated beverages by Starbucks Coffee Korea. From the day after the event started, it became scarce and appeared in the 'resell' market.
According to the secondhand trading app Danggeun Market on the 29th, there are currently over 100 posts selling Ready Bags. There are also over 100 posts selling completed frequency cards (stickers given one per drink; collecting 17 grants a gift) that can be exchanged for the Ready Bag. Many posts report resells completed at an average price of 85,000 won. Additionally, Ready Bags are traded on various secondhand trading communities and apps, with some sold for as much as 100,000 won. Considering the minimum cost required to purchase at the store is about 68,000 won (14 espressos + 3 seasonal drinks), it is estimated that there is a resell profit of around 20,000 won.
◆From Sha-tech, Shoe-tech to Sticker-tech= It's not just Starbucks' Ready Bag. Various products are appearing one after another in the resell market. The most recently spotlighted product is Chanel. Following news of Chanel's price increase, Chanel stores nationwide were crowded for several days. People lined up 4 to 5 hours before department store openings to buy Chanel bags, and open runs occurred where customers rushed into stores as soon as they opened. Right after the price hike, Chanel bags appeared on various secondhand trading communities and apps.
'Resellers'?people who buy limited edition or collectible items to resell at a higher price?prefer Chanel the most. One reseller revealed, "I recently bought a Chanel Classic Medium worth 7.15 million won with a gift certificate for 6.94 million won just before the price increase and resold it for 8.3 million won." The store price for the Chanel Classic Medium is 8.46 million won. Resellers purchased department store gift certificates at about 3% discount and used them to buy luxury goods, making additional profits from price differences. Many posts on secondhand trading communities and apps describe the items as "new products purchased at the department store just before the price increase." On the luxury trading platform Philway, the Chanel Classic Medium is traded at an average price of 8.2 to 8.3 million won. An office worker who bought a Chanel Classic Small size said, "The price rose from 6.32 million won to 7.69 million won, but I am satisfied with buying a new product for 7.4 million won."
Nike is also a brand highly sought after in the resell market. Although the retail price of sneakers released in collaboration with singer G-Dragon is 219,000 won, in the resell market, white logo versions traded in the 600,000 won range, and red logo versions traded in the 3 million won range. Additionally, red logo versions with GD's autograph traded for 13 million won. Since sales were by lottery for those who lined up for over 4 hours in front of stores and submitted entry tickets, there was even a joke that one would have to save the country in a past life to buy them. One reseller said, "I sold a specific size of the red logo for 4 million won to a buyer, achieving a profit margin of 1,726%."
◆Resell Market Booming... Companies Also Taking Action= The domestic resell market is booming. This is due to the combination of resellers engaging in 'investment' and demand from those who want limited edition or brand-identity products with collectible value. New terms have emerged such as 'Sha-tech' (Chanel + investment), 'Shoe-tech' (shoes + investment), 'Rolex-tech' (Rolex + investment), and 'Sticker-tech' (sneakers + investment). Especially, the MZ generation (millennials and Gen Z born from early 1980s to early 2000s) is enthusiastic about reselling.
Kim (32), who operates a professional resell shop in Cheongdam-dong, said, "The economics of reselling is possible because many people jump into reselling with the confidence that profits are guaranteed and because there is demand for the products. Although there are many individual resellers and the market size cannot be precisely estimated, it will inevitably continue to grow due to the enthusiasm of the MZ generation."
The appeal of reselling is that anyone can do it. You just need to post products on online secondhand trading communities or personal social network service (SNS) accounts and trade through comments or direct messages (DMs). Profits are guaranteed. Lee (28), who identifies as an individual reseller, said, "While studying abroad in Italy, I bought luxury goods for acquaintances and realized that reselling is profitable," emphasizing, "Honestly, I don't worry about living expenses." The high demand is also attractive. Park (29), a university student, said, "I really wanted a pair of sneakers, but I couldn't buy them because I lost in both the draw and raffle held by the brand. I was glad I could buy them in the resell market at more than double the price."
Active movements by companies sensing the growth potential of reselling are also noticeable. A representative example is Snow, a subsidiary of Naver, launching 'KREAM,' a limited edition sneaker trading platform, entering the resell market. Korea's largest online fashion platform Musinsa will open the sneaker resell platform 'SoldOut' at the end of this month.
Professor Lee Eun-hee of Inha University's Department of Consumer Studies said, "As consumers' economic levels have improved compared to before, they value their time more, so even if they pay a premium in the resell market, they feel satisfied doing other things during that time," predicting, "The resell market size will grow further."
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