How are brands turning their second-hand programs into profitable growth drivers?

In 2024, one thing is clear: e-commerce growth is getting more and more expensive.
Customer Acquisition Cost (CAC) has skyrocketed due to a combination of saturated acquisition channels, declining ad engagement, and growing competition from marketplaces and pure players.
As a result, brands are being forced to rethink their growth strategy without sacrificing margins.

In this context, some brands are getting ahead of the game. How?
By rethinking the role of their customers, including those who were previously considered “outside” the classic purchase journey.
Because yes, second-hand customers are now powerful drivers of revenue, profitability, and loyalty reactivation.

As long as you have the right circular model.

‍

Redefining e-commerce growth: a 2025 necessity

‍
Most premium and luxury brands have heavily invested in their e-commerce channels since 2020.
But warning signs are multiplying:

-Average acquisition cost has doubled in three years on Meta and Google.

-E-commerce conversion rates are stagnating, despite UX optimizations.

-Average basket size is declining amid consumer budget restraint.

-Promotions are eating into margins, now essential to clear inventory.

Faced with this, one truth emerges: buying traffic is no longer enough.
Value must be created differently.
And that’s exactly what an integrated circular channel — like the model developed by Faume — can do.

‍

A circular model designed for profitability

‍
Faume offers brands a simple yet powerfully effective logic to create profit where there was none before: the resale of pre-worn items.

Step 1 – Take-back:
The customer sells back an item from the brand (in good condition) in exchange for a voucher worth 30% of the original retail price. This process happens directly on the brand’s platform, in white label.

Step 2 – Resale:
The item is collected, quality-checked, refurbished if needed, then resold at around 50% of the original retail price on the brand’s second-hand shop, also operated by Faume.

Step 3 – Reactivation:
The customer uses their voucher on the brand’s main website. Data shows that 80% of vouchers are used, and they generate on average +50% in upsell (customers buy more than the value of the voucher).

In practice:

-New price: €200

-Voucher issued: €60

-Second-hand resale: €100

-Voucher usage: 80%

-Average upsell: +50%

The result: net resale margin, additional revenue on new products, and a re-engaged customer.

‍

Three immediate business impacts

‍
Beyond the mechanics, it’s the strategic impact of the Faume model that wins brands over.

1. A new margin source
While promotions eat into profit, second-hand gives new value to a product that might otherwise gather dust.
By adding quality treatment (inspection, cleaning, photoshoot), the brand can resell at the right price — maintaining a net margin even after commissions and refurbishment costs.

2. A client reactivation lever
Faume’s programs help reach inactive or occasional customers.
They resell an item… and come back to buy.
The loop is closed — and the brand turns an outbound transaction (sale on Vinted, Le Bon Coin…) into a qualified inbound purchase.

3. Stronger brand loyalty and attachment
By embedding a circular experience into their customer journey, brands boost their image of modernity and responsibility.
Consumers are increasingly looking for responsible brands offering a real alternative to fast fashion.
Faume helps structure that alternative — without operational overload.

‍

Tangible results on the ground

‍
Some brands have already seized the opportunity. Isabel Marant, Sandro, Ba&sh, and Lacoste all use Faume to power their second-hand channels.

The numbers speak for themselves:

-80% of customers use their voucher within 3 months: the take-back creates strong reactivation.

-In store, 95% of vouchers are used immediately, with baskets +50% higher than the voucher value: a hot upsell opportunity.

-Regular service users increase their Customer Lifetime Value (LTV) by over 50%: proof of stronger, lasting engagement.

-The program generates a 30 to 50% net margin — higher than sale campaigns — while preserving brand image.

Another key benefit: the model is self-financed.
Logistics, customer service, support, pricing, and tech are all included in Faume’s solution and covered by the resale margin.

‍

Conclusion: second-hand as a growth channel that drives profitability

‍
Long seen as a constraint or a mere image opportunity, second-hand is now a strategic and profitable growth channel for brands.

Thanks to an integrated and data-driven circular model, brands can:

-Reactivate dormant customers,

-Increase their margin,

-Boost e-commerce performance without relying on paid media,

-And meet consumer expectations for responsible alternatives.

The question is no longer “Should we go second-hand?”
But: “When do we launch?”

‍