The first handbag Sarah Davis ever sold was a Louis Vuitton red Epi bucket bag. As a law student looking to make money, she’d bought it at a DC thrift store in 1999 for $250 and flipped it on eBay. She used the proceeds to buy two more and do the same.
While she ditched eBay and outsourced procurement, she’s essentially doing the same thing 25 years later as the founder of Fashionphile, a secondhand luxury platform. Over the past 25 years, the company said it has sold 2 million accessories — including several Louis Vuitton red Epi bucket bags.
The company expects to sell more than $500 million worth of products this year and is profitable, it said.
Fashionphile’s rise has coincided with a surge in the luxury resale market.
The secondhand fashion and luxury market is expected to grow two to three times as fast as the firsthand luxury market over the next two years and reach $317 billion globally by 2027, according to a November report from McKinsey.
Affordability and accessibility are driving the growth.
“There was a day that there were two real, in my opinion, entry points to luxury,” Davis said: Coach and counterfeits. “Now they don’t have to do either. They can come straight to us.”
As secondhand becomes second nature, consumers are shopping with resale in mind.
Luxury watches, jewelry, and bags — all of which Fashionphile sells — are popular investment pieces, the McKinsey report said. They tend to hold their value and can sell for more on the secondhand market than they do on the primary one.
Davis buys into the model. One of her favorite bags is a mini Chanel flap bag that she’s had for more than a decade. She bought it used, of course, and plans to resell it soon, only because her new phone can’t fit.
“I could sell it for thousands more, even in the shape it’s in,” Davis said.
As the ultimate handbag reseller, Davis shared three tips for shopping and selling handbags on the secondhand luxury market.
Madeline Berg
1. Classics are classics for a reason.
If you’re looking for resale value, stick to signature styles.
Fashionphile’s No. 1 selling bag this year is the Louis Vuitton Speedy. The Chanel Double Flap and Hermès Evelyne are also hits.
“We sell, every day, dozens of the classics,” Davis said. “They get on the site; they move very quickly.”
These bags are never on sale, and their prices increase every year. That means if you wait it out long enough — and treat your bag well enough — there will be a payday.
“You take that Louis Vuitton bag, keep it for a few years, you will be able to sell it for more than you bought it for,” she said. “It’s kind of like buying a house; you sell that, get more money, build your way up to your Birkin.”
2. Black and brown can equal green.
Like classic styles, classic colors hold their value the best.
“Black is always a go,” Davis said.
Brown — ranging from taupe to caramel to chocolate — is Fashionphile’s second most popular color.
Unlike other colors, which can trend in and out, these neutral tones are timeless, which means you can resell an item in one of these hues next year or in 10 years.
3. Don’t be afraid to dig.
Getting the best deal, whether or not you’re planning to resell, takes work, Davis said.
“There are so many bargains to be had — 70%, 80% off retail — if you’re willing to do the search,” she said.
Fashionphile has tens of thousands of items available at any given moment. Most users, she said, won’t go through them all, focusing instead on new arrivals or the most popular styles.
Some of the best deals are on items that are a slight variation of the classic. A navy Chanel bag will sell for less than a black one, for example, and a more obscure shape Louis Vuitton will sell for less than a Speedy.
“There are some funky little styles, and you take a little bit of color, you’re going to get an incredible deal,” she said.
