In a world of fleeting fashion trends and escalating production costs, the fashion luxury industry finds itself at a crossroads. Second-hand fashion luxury represents both an opportunity and a threat for traditional brands. Could the true essence of luxury lie in the timeless allure of high-quality, limited-edition pieces from decades past? If so, how should traditional brands adapt?
The Age of Shrinkflation and Threats to Scarcity in a Globalised Luxury Industry
Once upon a time, acquiring a luxury item often required a pilgrimage to a specific city, where local brands cultivated exclusivity and craftsmanship, defining qualities of luxury. Long before the digital boom and the rise of luxury conglomerates, each market had its unique set of offerings, heightening the sense of rarity and personalization.
Fast forward to today, and one finds near-identical luxury products, ubiquitously available around the globe,