Consumer Trends Leaning Towards Durability and Culture-Influenced Styles, with Prada as Gen-Z’s Favorite Brand
The RealReal has shared its 2024 Resale report, which reflects both a deep influence by cultural trends on platforms such as TikTok – especially when it comes to Gen-Z – as well as a concern for luxury resale’s sustainability and longevity aspect. The report emphasizes the crucial role that culture plays in fashion, particularly in an era when consumers opt for “what’s going to last” as opposed to “what’s next,” especially amidst economic hardships.
“This unprecedented collision of fashion and culture is empowering consumers to shape trends themselves, driving demand for unique, high-value items that reflect their personal style,” Rati Sahi Levesque, president and chief operating officer at The RealReal said. “They’re looking to invest in quality more, especially during a time of economic insecurity. For the second year in a row, we’re seeing both average order values and average sale prices rise across all generations, with increases up to 14 percent. More than ever, shoppers are curating their wardrobes with a focus on distinction and enduring value.”
The retailer’s study spanned across all genders and generations to identify current consumer shopping trends. Louis Vuitton, Chanel, Prada, Gucci, Loewe, Miu Miu, Celine, Bottega Veneta, Dior, and The Row were the top-searched brands this year. This accounted for higher spending on brands deemed as high-value like Cartier, Tiffany & Co., and Van Cleef & Arpels in jewelry sales.
Prada was the most sought-after brand by Gen Z, although Chanel and Gucci handbags were the most searched items on the site, particularly among Baby Boomers and Gen Z shoppers.
The report also highlights that news about creative changes within brands significantly influenced demand this year. For instance, Dries van Noten saw a 200% increase in demand following his retirement announcement. Similarly, Valentino ready-to-wear saw a 20% demand increase after Pierpaolo Piccioli’s departure was publicised.
The report flagged “vintage business attire” as a standout trend this year, which favored brands like Calvin Klein, Donna Karan, Gianfranco Ferré, St. John, and Thom Browne. At the same time, streetwear brands like Supreme, Off-White, and Nike Jordans experienced a dip in demand.
Differences were noted across generations for regional high spenders. Majority of Baby Boomers were located in New York, Los Angeles, and San Francisco while Gen X shoppers in Palm Beach, Florida scored the highest per order spending. Millennial shoppers from New York accounted for the most gross sales regarding any other demographic or state. The RealReal’s data pinpointed that Gen Z shoppers in Atlanta had the highest per order spend compared to other cohorts.
The report confirmed that fine jewelry witnessed the biggest growth this year. The authors believe that this trend likely stems from consumers seeking a sure ROI on high-value pieces during economic uncertainty.
Regarding jewelry, the report discovered an upward shift in maximalism interest. Searches for emerald gemstones and onyx items rose by 20%. Resale value for turquoise pieces surged by 79% of MSRP. Simultaneously, gold bangles saw a 353% increase in searches while cuff bracelets received a 32% surge — specifically, Tiffany Bone Cuffs went up by 118%. Cartier collar necklace sales increased by 146% and Tiffany & Co. signet rings sales boosted by 70%.
In terms of handbags, according to the report’s authors, shoppers have noticed price increases for top-tier luxury. Hence, consumers continue to spend 20% more on bags than five years ago with The RealReal, favouring styles from brands like Miu Miu and Loewe alongside emerging brands. Shoppers in the $1,000 to $3,000 price bracket have grown by 13% YoY.
In 2023, The RealReal’s authentication of handbags intercepted over 7,000 counterfeits, which the company stated are becoming “alarmingly similar to the real thing.” Brands most counterfeited were Hermès, Chanel, Louis Vuitton, and Gucci, with a noticeable rise in Celine and The Row counterfeits this year.