Carousell Group Acquires LuxLexicon, Expanding Luxury Segment Reach; Monthly Listings Surge by 71%

By John Lopez

Apr 02, 2024 02:53 PM EDT

E-commerce giant Carousell has made a strategic move to strengthen its luxury segment by acquiring LuxLexicon, a Singapore-based reseller of luxury bags.

The acquisition aims to bolster Carousell's position in the upscale market while capitalizing on the growing demand for used luxury items.

Carousell Pushes Into the Luxury Retail Sector with LuxLexicon Acquisition

According to Carousell, the luxury resale sector in Southeast Asia, Hong Kong, and Taiwan is poised for significant expansion, projected to hit a market value of US$7.5 billion by 2026. This growth trajectory highlights the lucrative potential in the luxury segment, prompting Carousell's aggressive push into this space.

Over the past two years, Carousell has witnessed a remarkable surge in high-end bag listings, with a staggering 71% increase in monthly listings. This uptick reflects the escalating interest among consumers in pre-owned luxury goods, driving Carousell to capitalize on this trend and cater to evolving consumer preferences.

Marcus Tan, co-founder of Carousell, emphasized the company's commitment to creating a robust marketplace for authenticated second-hand luxury bags, ensuring trust and convenience for users. 

He highlighted Carousell's recent initiatives, including the Certified Luxury program and Sell to Carousell Luxury service, which has garnered positive feedback and heightened user engagement.

"After conversations, we realized that we had a similar vision, and by joining forces with LuxLexicon's expertise, we could help each other supercharge our luxury bag business in Southeast Asia, Hong Kong, and Taiwan over the next few years," Tan said in a statement.

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 Carousell Group Acquires LuxLexicon, Expanding Luxury Segment Reach
Carousell bolsters luxury market presence with LuxLexicon acquisition, aiming to dominate upscale resale. Capitalizing on rising demand for used luxury items, Carousell eyes strategic growth in e-commerce.
(Photo : Image via Carousell)

What's Next?

Integrating LuxLexicon into Carousell's ecosystem is expected to leverage LuxLexicon's expertise in the luxury bag market, particularly in resale and consignment.

LuxLexicon will maintain its brand identity and operational autonomy under the leadership of founder Florence Low, ensuring continuity in delivering exceptional service to customers.

The acquisition of LuxLexicon underscores Carousell's strategic vision to expand its luxury offerings and enhance the overall customer experience. Focusing on fostering trust and convenience in e-commerce, Carousell remains poised for further growth and innovation in the competitive e-commerce landscape.

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