Farfetch bolsters resale expansion with Luxclusif acquisition

Farfetch is expanding its pre-owned proposition following the purchase of resale platform Luxclusif.

The acquisition includes Luxclusif's technology platform and team of employees joining the group, further boosting Farfetch's resale capabilities with key technology and service features such as automated pricing, and faster geographic and category expansion of its resale service, Farfetch Second Life.

Founded in 2013, Luxclusif is a business-to-business service providing acquisition, authentication and sale of second hand luxury goods to and from auctions, retailers, e-commerce platforms, and stores worldwide.

Giorgio Belloli, Chief Commercial and Sustainability Officer of Farfetch said: "Luxclusif joining the Farfetch group allows us to expand the company’s pre-owned offer for our customers, for brand and retail partners and for other suppliers of pre-owned products.

"We aim to become the leading global platform for pre-owned luxury. The pre-owned market is growing extremely fast and is increasingly important to both luxury customers and to the luxury fashion industry as a whole."

Farfetch added that it has "worked closely with the platform for a number of years", first through its start-up accelerator program and most recently through its resale service. Following completion of the transaction, the Luxclusif team will operate Farfetch's Second Life platform service, integrating both existing and new partners into the program.

Additionally, Luxclusif will continue to sell pre-owned product they acquire from specialist suppliers and luxury consumers through Second Life or similar programs they operate for other luxury industry partners. They will also be able to operate white-label pre-owned propositions for FARFETCH Platform Solutions brand partners.

The secondhand market is a growing sector for the luxury industry, with environmental concerns and positive public sentiment driving luxury players such as Gucci, Burberry and Valentino to adapt to growing consumer demand. Farfetch's Conscious Luxury Trends Report 2020 showed that more than half of its customers have bought or sold pre-owned in the last year and industry estimates suggest the pre-owned category is growing three times faster than the primary market.

Guilherme Faria, Co-founder and Chief Operating Officer of Luxclusif added: "Farfetch and Luxclusif share a vision of a cleaner, conscious, circular and inclusive fashion industry and we are also aligned as tech enablers and industry leaders in our fields. We believe that we now have the opportunity to be the global leader in resale technology by joining Farfetch, with its size, reach and recognition within the fashion industry. We have a very exciting journey ahead.”