Though we know that you are still a student, have you developed your own investment technique? These days, the range of investing is not confined only to stocks. Various investment techniques, such as “Art Tech,” “Plant tech,” “Zzan tech,” etc., have begun to emerge. ST would like to introduce Resell Tech, one of the hottest techniques nowadays, in which the MZ generation makes profits by selling, for example, Nike’s dunk series products at higher resell prices. Let’s discover the scarcity of the product, resell it, and revive it! ..................................Ed
Recently, interest in MZ generation‘s “Resell Tech” has become hotter than ever. Resell Tech is a compound word with ‘resell’ and ‘tech’ as keywords in managing investment. Resell refers to the act of purchasing rare products, such as limited-edition items or luxury items, and selling them back at a premium. This is a trend among the MZ generation, and it is emerging in the era of financial technology. The background of the growth of resell tech can be seen through the characteristics of the limited edition. The limited edition has a limited sales period and quantity, and is characterized by scarcity as it is specially produced. The scarcity that evokes consumption desire fits the consumption pattern of the 2030 generation, which values cost-effectiveness (cost-to-satisfaction ratio) and consumption, and the resell market has expanded to the area of resell tech.
The rapid rise of the resell tech market can be seen as a result of the high price and supply restriction policy of luxury brands. After the COVID-19 pandemic, demand for “compensatory consumption” was concentrated on luxury goods. Luxury brands have raised prices, or reduced supply to increase their value. Therefore, all products have become “limited editions,” and, naturally, the prices of unopened products have soared. In the resell tech market, Lego, coins, artworks, Starbucks Ready Bag, and McDonald’s BTS Set are traded in a variety of rare products. In particular, the most frequently traded item among the MZ generation as resell tech is limited-edition sneakers, such as Nike’s Kwondo 1 and the Jordan series. In the case of limitededition sneakers, prices rise from as little as hundreds of thousands of won to as much as 10 million won, requiring experts to select whether the product is fake or genuine, and a platform to help secure cash transactions. As a result, resell-only platforms such as “KREAM,” “soldout” and “frog” began to appear to check and guarantee the authenticity of the product through expert inspection, and help ensure safe and quick transactions. Most of the resell-only platforms are currently operating. The market, which began with limited-edition sneakers in the early days of the market formation, has recently expanded to luxury goods. Furthermore, as much as you want expensive products, there is also a way to make a profit by making a piece investment. “PIECE,” a spot sculpture investment platform, is a method of distributing ownership of luxury and rare spot assets in pieces and distributing profits after reselling them to investors.
Due to this rapid rise, various domestic conglomerates have jumped into the resell tech. Naver’s resell tech platform, “KREAM” acquired Naver cafe, “Nikemania,” with 1 million members for 8 billion won in August. It is planning to take the lead in the market through Nike, a key brand in the limited-edition sneakers resell market. “Musinsa,” which is Korea’s largest online fashion platform, has also opened its sneakers resell platform, “soldout”. “soldout” is putting forward a 100% genuine product certification solution that guarantees safe purchases. Sellers and buyers can check the transaction status based on real-time price fluctuation data and determine the transaction price through a bidding system. When a transaction is concluded, the seller sends the product to the soldout inspection center, and only the products certified by the inspection team are delivered to the buyer. The influence of resell tech is growing not only online, but also offline. Lotte Department Store, a retail conglomerate, joined hands with “OUT OF STOCK,” Korea’s first sneakers resell platform. They plan to open an offline store that sells limited-edition sneakers in collaboration with OUT OF STOCK. In particular, Lotte is expected to enter the sneakers resell market by utilizing its strong offline distribution network and strengthening its presence online through various content and collaboration in the long run. Furthermore, “Bungaejangter” acquired the sneakers community, “Footcell,” in October last year. Since then, Footcell’s first offline store has opened in The Hyundai Seoul, Yeouido. Galleria Department Store also recently opened a reselling shoe editing shop, “Stadium Goods,” at Apgujeong Luxury Hall.
There is also something to be careful about, as many people from the MZ generation are interested in the resell tech market due to low entry barriers, high returns, and its growing prospects. First, you should check whether the transaction involving the product that you want to resell is legal. There are products that cannot be resold, such as tickets for performances, movies, and exhibitions. If you are caught reselling these product, you may be punished accordingly, so be careful. Second, there is a high possibility of fraud because there is usually plenty of trade between individuals, and the information on the trader’s counterpart is not accurately known. Finally, in order to utilize the resell tech well, it is necessary to be able to fully grasp the needs of consumers that could change any moment or season. Not all limited editions are briskly selling in the resell market. There is no point in buying limited edition products if they’re sold well. Therefore, it can be said that the most crucial ability is prediction and information power to understand the value of resell tech and to know exactly the needs of consumers.
Seo Min-ji (ST Cub-Reporter)
seomin2003@soongsil.ac.kr
Lee Yun-so (ST Cub-Reporter)
yunso9914@soongsil.ac.kr
