- Social commerce platform Luxury Promise registers a five-fold increase in revenue this year
- The luxury resale market is growing four times faster than the primary luxury market, says CEO Luxury Promise Sabrina Sadiq
The Middle East’s love for luxury is fuelling rapid growth in the second-hand luxury goods sector.
Whilst the pandemic has resulted in reduced in-person shopping, online platforms have profited from a surge in demand from millennials keen to acquire high-end goods at affordable prices.
Sabrina Sadiq, founder and CEO of Luxury Promise, a leading social commerce platform for the world’s most exclusive, rare and luxurious second-hand goods and accessories, said, “Our revenue increased fivefold this year due to more customers shopping online throughout the lockdowns.”
Traditionally, consumers from the Middle East region have preferred to shop for new goods. But the trend has changed due to younger, more environmentally conscious consumers looking for affordable high-end goods in prime condition.
Following its launch in 2017 and with offices in Dubai and London, Luxury Promise successfully opened a flagship boutique in Mayfair, London, and is growing its business in the GCC as it serves a 120,000 strong and growing global community. The platform is popular due to its reliability, community focus and authentication prowess.
“The luxury resale market is growing four times faster than the primary luxury market, and this is all driven by the appetite of consumers,” Sadiq said.
Sales growth at Luxury Promise has averaged over 35% month-on-month in the first quarter of this year. According to a report published by Bain & Company, the Dubai market for luxury goods sales was worth $3 billion (Dh11.97bn) last year, ranking the region as 20th on the world list for luxury goods sales. Globally, the personal luxury goods market is estimated to be worth around $374 billion by 2025.
“The Middle Eastern fashionistas I have met have some of the most fantastic and awe-inspiring collections of handbags,” says Sabrina.
The business was born to connect clients globally through a shared love for high-end designer bags, accessories and clothing. Most websites selling pre-loved items offer only a consignment option, but Luxury Promise’s unique instant cash offering speaks to the global customer seeking seamless service.
Luxury Promise is positioning itself to capitalize on the growth in this space. The firm has recently strengthened its leadership team in Dubai with the appointment of Sebastian Mitchell, former Chief Operating Officer at The Modist.