Working Smarter For More Profit in Consignment and Resale
The resale industry is booming, with a nearly 50% year-over-year growth rate. Since 2016, the resale sector has grown 21 times faster than traditional retail. ThredUp and GlobalData forecasts predict that the global resale market will reach $350 billion by 2027, with $70 billion in the U.S. alone. This rapid expansion presents unique challenges and opportunities for consignment and resale businesses.
Why Resale is on the Rise
Consumers are increasingly drawn to secondhand goods for their affordability, sustainability, and the thrill of finding unique items. While online sales keep increasing, resale can also drive traffic to physical stores without compromising a robust online shopping experience. However, managing an efficient consignment business requires careful planning and efficiency.
The Challenges of Consignment
Resale can be costly to manage due to the individualized nature of sourcing items directly from consumers. Each product needs to be processed, authenticated, and stored, leading to necessary overhead operational costs. Traditional processes can be time-consuming, but Aravenda offers an easy solution to streamline operations.
The Benefits of Consignment Software
Consignment software enables businesses to manage costs efficiently through surcharge functionalities that spread expenses across individual items. Aravenda’s mobile-enabled software also helps you manage your business on the go, allowing you to enter and process items directly from your smartphone. This eliminates the need for additional cameras or offsite photo storage, saving you time and money.
Keys to a Successful Resale Business
Successful consignment stores often focus on a specific niche or group of products they know well. They also emphasize efficiency by using consignment software to manage their operations. Instead of investing heavily in marketing, these stores rely on their online presence to attract customers. Aravenda’s cross-posting capability allows them to easily manage and augment their online presence by expanding sales capabilities on a variety of social platforms.
Boosting Your Online Visibility
A strong online presence is crucial for resale businesses. The more content and pages you have on your website, the more people who can find your items. Consignment software automatically creates a page for each item on your website, increasing your visibility on search engines like Google. This not only attracts more customers but also makes it easier for consignors to find you. The more items you have online, the higher the chances of being found in search engine queries.
Flexible Scheduling and Expanded Opportunities
With a robust online system, you and your employees can process items even when your store is closed, allowing you to offer flexible work schedules and list more items efficiently. Furthermore, Aravenda allows consignors to list items themselves, with constraints and requirements that you customize and approve using your consignment software dashboard.
The Direct Correlation Between Inventory and Sales
The more items you have listed online, the more you’ll sell. Stores that offer both in-store and online shopping often experience a 10-40% increase in sales due to improved search engine visibility. This leads to increased consignments and a stronger customer base, both in-store and online.
Maximizing Your Success with Aravenda
A strong online presence leads to more inbound consignments and more sales. Some stores even hold back on posting new items to avoid selling out too quickly. Aravenda can help you optimize your consignment management, ensuring that your business thrives in this growing industry.
The Path Forward
As the resale market continues to grow, leveraging the right software is key to staying competitive and profitable. If you’re in the resale or consignment business, Aravenda could be your pathway to success.
Book a call with our team here.