>> Louis Vuitton, Chanel, Gucci, Hermès, these luxury handbags usually retail for hundreds or thousands of dollars each. In the past, only a few people could afford to buy them, but now online startups are making luxury goods more affordable and changing the way consumers shop. TheRealReal is one of those sites, an online curated consignment store that sells used designer goods at a discount.
>> We take all items, we inspect them, we make sure they're of the best quality and they're real.>> After six years in business, The RealReal has 5 million members and expects to sell more than $500 million worth of preowned merchandise this year.>> It is a new market business and half of our consigners have never consigned before.
And half of our buyers have never thought about buying resell, so it does show that there has been an awakening.>> And retail experts say the time is right for such businesses to thrive.>> Actually, ever since the recession, the consumer became very frugal, they learned what value is.
And value wasn't just lowest price, value is about brand names for less.>> Amy Wayne from Manhattan is one of the millions of people who now think twice before paying full price for a designer item. She has bought several handbags, jewelry, shoes, and clothing on the secondary market.
She has also sold many of her own designer items.>> And what the RealReal has done for me is really allowed me to clean out items that I have felt guilty keeping. Or that I should never have bought and that I stared at for such a long time, now it's out on a website that sells my items.
Sell right away, and it's made such a difference to just emotionally be able to let go and get rid of some of this baggage.>> Even as websites like The RealReal continue to make luxury more accessible. You still need to have a few hundred bucks lying in the bank if you want in on luxury goods, even if they're used.