Bloomingdale’s is stepping into the resale market with a new partnership with Rebag, offering pre-owned luxury accessories on the retailer’s ecommerce site and in five stores across the U.S.

The collaboration will involve Rebag with the resale of more than 2,500 secondhand designer handbags, watches and jewelry online at Bloomingdales.com. In addition, Rebag will handle 500-plus items displayed in Bloomingdale’s stores in New York, New Jersey, Florida and California.

Bloomingdale’s is part of Macy’s Inc., which ranks No. 14 in Digital Commerce 360’s Top 1000 list of North America’s largest online retailers, where it falls under the Apparel & Accessories category. Rebag, a digitally native reseller, specializes in pre-owned luxury items, buying, authenticating, and reselling them directly rather than through a peer-to-peer or consignment model. Digital Commerce 360 projects Macy’s web sales will reach $7.3 billion in 2024.

Macy’s web sales by year

How Bloomingdale’s resale partnership with Rebag will work

Rebag’s CEO, Charles Gorra, highlighted the partnership’s blend of new and pre-owned luxury.

“By bringing Rebag’s expertise in sourcing and vetting luxury goods to Bloomingdale’s discerning clientele, we are setting a new standard in the luxury retail experience,” Gorra said in a statement.

The “Rebag x Bloomingdale’s” collection is now live on Bloomingdales.com, with in-store sections set to open soon. Both online and in-store selections feature high-end, “meticulously curated” items.

In Bloomingdale’s stores, Rebag’s custom-designed concessions will echo the look and feel of Rebag’s own shops and be located on the accessories floors. The “shop within a shop” concept will debut at The Mall at Short Hills, New Jersey; Town Center at Boca Raton, Florida; Westfield Fashion Square in Sherman Oaks, California; Fashion Valley Mall in San Diego; and Bloomingdale’s in White Plains, New York.

Bloomingdale’s customers will also have the option to sell their luxury items in-store through Rebag’s resale service. Rebag’s AI tool, Clair, evaluates millions of data points to quickly determine item value and provide accurate quotes. Launched in 2021, Clair AI uses advanced image recognition and machine learning, with its accuracy improving over time. The tool is also available online at Rebag.com, where users scan items with their phone to get a fast price offer, even without knowing specific details like the brand or model.

Rebag’s other retail partners

In its December 2023 Clair Report, Rebag analyzed millions of data points on luxury resale transactions, revealing “quiet luxury” as the key trend. Brands like The Row, Loewe, and Bottega Veneta showed strong value retention, while Telfar, the top performer in 2022, continued to excel with a 228% average value retention.

Alongside Bloomingdale’s, Rebag partners with Moda Operandi and ThredUp. ThredUp ranks No. 591 on Digital Commerce 360’s Top 1000 list. It operates as an online consignment and thrift store where users can buy and sell high-quality secondhand clothes.

In November, Rebag and ThredUp unveiled a new collaboration allowing customers to resell their items on ThredUp for Rebag credit and shop a selection of Rebag’s inventory directly on ThredUp’s site.

Earlier this year, Rebag also launched a membership program offering perks like up to 10% off, free shipping, and free returns. Rebag+ members pay $50 a month or a one-time fee of $500, which converts into store credit. If members don’t hit the $500 mark or decide to cancel, the fees are refundable.

On a broader scale, the secondhand clothing market is booming as consumers look for savings and sustainability. ThredUp’s 2024 Resale Report shows U.S. apparel resale grew seven times faster than the overall apparel market in 2023. That’s driven largely by online resale, which saw 23% year-over-year growth. And ThredUp predicts that by 2028, online sales will represent half of all secondhand spending. ThredUp also predicts U.S. online resale reaching $40 billion in 2027.

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