When buying expensive items such as handbags Louis Vuittonbelts Versace and sports shoes Gucci, a number of young people in the US advanced last year. Bailout packages provided by several governments to fight inflation, combined with support offered by businesses, have boosted sales of these three luxury items significantly. However, this year, without this support and with a visible decline, the buying habits of young people are expected to change. As Oliver Chen, managing director of retail and luxury at investment bank Cowen, says, “The middle-income consumer is under a lot of pressure. There are less dollars on the market for select items now.”

Despite this, Bain & Co predicts that the personal luxury market will grow by 3-8% during 2023, according to a report from the South China Morning Post. However, even in difficult times such as the one we are experiencing now, Mr. Chen believes that “traditional shoppers” will not stop buying luxury goods and even believe that they will still give preference to major designers such as Chanel. Dior. and Louis Vuitton than other smaller ones. But what are the fashion experts waiting for? For starters, they think luxury resale is going to break records.

Luxury reselling has long been the domain of vintage boutiques, thrift stores and, more recently, online marketplaces such as the Vestiaire Collective. Experts expect more luxury brands to engage in their own resale of used goods in the coming year, and designer boutiques are expected to be equipped with their own resale department.

Next year, more luxury brands will resell their used items themselves.

For example, Rolex has already launched a certified pre-owned watch program for its watches from December 2022. Brooke Cuddiff, co-founder of e-commerce platform Cortina, says shoppers are tired of walking into a high-end department store and seeing extravagant items like a $1,000 sweatshirt. At the same time, the departure of Alessandro Michele from Gucci in November was proof of that, Ms. Cadiff said. In his seven years as creative director of the brand, Michele has become famous for his maximalist design. But now customers are looking for simpler, more personal pieces that they can wear over and over again.

Three experts noted that designers with higher price ranges will continue to be in high demand. These are brands such as Hermès, known for their Birkin bags, which range in value from tens of thousands to hundreds of thousands of dollars.

Chanel, where a pair of ballerinas cost over $1,000. But on the flip side, shoppers who could use their disposable income to buy a $500 pair of shoes from a relatively more reasonably priced designer could be held back by adverse economic conditions, two analysts say. However, according to Ms. Cadiff, accessories are still superior to other garments such as clothing.