How to Price Luxury Items for Resale and Consignment

Luxury Consignment Pricing with the Individual Market-Based Method

Luxury consignment demands extra care. When you focus on high-end designer goods (Chanel, Louis Vuitton, Hermès, Cartier, etc.), each item represents a significant investment. This means authentication, precision, and trust are paramount.

In the luxury space, the market-based individual pricing method is a necessity. This post walks luxury consignment or resale store owners through pricing each designer item by researching real resale data, ensuring accuracy and confidence.

Step 1: Authentication and Inspection

Before pricing, always verify authenticity and assess condition. Unlike mid-range items, a luxury counterfeit or even a minor flaw can destroy customer trust and the store’s reputation. When it comes to authenticating luxury inventory, there are three main methods:

1. Human verification via photos

The following businesses will ask you to send in photos of the item, and human experts will verify the item for you. The following businesses all use human experts to authenticate luxury inventory for resale and consignment stores:

2. AI verification via photos

The tools below use AI (and some human interaction) to authenticate luxury items for stores that are consigning and reselling:

3. Certification and in-house verification

There is always the option to take courses from brand workshops and learn to become an authentication expert yourself. With that said, there is no one-stop-shop to become an expert on all brands and the quality of workshops differs.

Thorough authentication justifies the high prices and protects consignors. It may add time or cost (some stores charge a fee or absorb it for authenticity services), but luxury buyers demand guarantees. A single counterfeit slipping through can erode customer confidence overnight.

Consider checking out our full series on how to price your consignment inventory from start to finish.

Step 2: Research High-End Comps

With a real, authentic item in hand, the next step is to find comparable sales; it’s important to search sales, since those prices best indicate what inventory is actually selling at rather than simply being listed. The gold standard platforms for luxury resale are The RealReal, Fashionphile, Rebag — these sites specialize in authenticated designer goods. In addition, eBay remains invaluable (especially for older/vintage pieces), and even high-end boutiques might check Poshmark or Chrono24 (for watches). Gather pricing data as follows:

• The RealReal: Search by brand and model. The RealReal often lists many iterations of classics (e.g. “Chanel Classic Flap” shows current listings). Note whether listings are marked “Sold” (if available) or look at active listings for similar condition.

• Fashionphile: Similar approach, especially good for handbags. Fashionphile sometimes marks sold items or has a “price drop” notice showing how their prices change.

• Rebag (or other specialized boutiques): Rebag provides a price guarantee tool on their site and has a wide selection of bags and small leather goods.

• eBay: Use precise keywords (brand, model, year, color) and filter by “Sold items.” Compare finishes; eBay is especially useful if your item is old or hard-to-find.

• Luxury consignment competitors: If you know other luxury consignment stores, check their invenntory online. The closer their market resembles yours, the better.
  
  

Collect at least 3–5 price points from recent sales or listings. For example, if you have a Chanel Classic Medium Flap (2020) in black lambskin, you might find that The RealReal sold one for $3,000 last month, and Rebag shows a $3,200 listing, while an eBay sale was $2,900. This tells you the market range is roughly $2,900–$3,200. A good strategy is to price your item slightly below the lowest realistic point (say $2,850) to stay competitive, assuming condition is equal. This ensures buyers see value in your listing. However, you will always want to adjust for your market conditions

As Alexandria Hammond of My Girlfriend’s Wardrobe (a boutique with many luxury items) puts it: “We compare listings and sold prices on Fashionphile, The RealReal, Rebag, and even eBay. ‘I need to make sure our pricing is in line with the big dogs.’” Her success — selling 30 Louis Vuitton items in 25 days — came from this exact market-driven method. Follow her lead: price based on what savvy luxury customers are actually paying, not just on a flat percentage of original retail.

Step 3: Setting the Price Precisely

If you’re selling online, remember to consider any shipping or platform fees (though many luxury boutiques ship at cost).

Condition adjustments: As opposed to non-luxury inventory, luxury inventory pricing is more heavily affected by condition. If your item is brand-new or includes extras (dust bag, box, paperwork), you can lean toward the higher end of comps. If it’s “very good” or has minor wear, subtract accordingly. Always note condition descriptors prominently in the listing (e.g. “NIB” or “Excellent Used”) so buyers understand any price differences.Here are some guides on how to adjust for differing conditions:

• New in Box/Has Extras: Add 10-15%

• Excellent Used: No adjustment necessary

• Very Good, Light Wear: Subtract 10-15%

• Good, Visible Wear: Subtract 20-30%

• Missing Accessories: Subtract 10-15% for each missing item

• Poor Condition (if the bag smells of smoke, has noticeable damage, lacks any paperwork, the item can be lowered around 25%)

Consignor communication: Document your research to reassure consignors. Showing them the comps you found (screenshots or links) can build trust. For instance: “We saw two sold prices of $55 on eBay, so we listed yours at $50” (mid-range example) or “Comparable Chanel bags were $3,000+ on The RealReal, so we feel $2,800–$2,900 is appropriate” (luxury example). This transparency is appreciated and prevents disputes.

Turnover expectations: Luxury items often sit longer than mid-range ones, so your store policy may allow a 90-day (or even longer) selling period before markdowns. During that time, resist the urge to slash prices prematurely unless the market softens. Luxury consignment shops “often forego blanket markdown schedules” because each piece is unique. Still, keep an eye on trends: if a designer’s popularity wanes, be ready to adjust down.

Check out Alexandria's journey (as well as her tips and tricks) to becoming a luxury-focused consignment store.

Common Pitfalls to Avoid

• Skipping authentication. Selling a fake is fatal. Never price a designer piece without confirming its genuineness. A mislabeled item can void a sale or worse, damage your reputation.

• Relying solely on outdated formulas. The old “one-third of retail” rule rarely works for luxury items. For example, a vintage Gucci belt trending at $300 would be badly underpriced at $75. Always check current data.

• Using a brand list without research. In luxury, blanket brand tiers can leave money on the table or turn off customers. Treat each piece on its own merits.

• Underestimating condition. Even a few scratches can knock hundreds off a handbag’s value. Double-check every scuff and mark. If necessary, get professional cleaning or minor repairs before listing.

• Ignoring market shifts. Luxury resale prices fluctuate (new collections, celebrity trends, economic factors). If comps from months ago differ from today, trust the newer data.

• Misjudging margins. Remember, in consignment you split revenue. Overpricing may seem like a bigger consignment check, but if it doesn’t sell, you lose twice: unsold inventory and an unhappy consignor. Conversely, underpricing hurts the consignor’s return and your margin.

Check out how Alexandria uses sales data to adjust her luxury pricing.

Step-by-Step Pricing Checklist (Review

1. Authenticate and document: Use specialists or tools to verify. Record serial numbers, note any restoration.

2. Search luxury resale sites: Look for same model/color. Record recent sold and active prices (use TRR, FH, Rebag, eBay, etc.).

3. Assess condition: Grade it (New, Excellent, Good, etc.) and photograph any wear and tear.

4. Determine range: From comps, decide a target price window.

5. Set your price: Tag just below market peers. If selling online, consider listing fees or shipping.

6. Annotate: In your POS, mark the research source and rationale for future reference.

7. Communicate: Tell the consignor your price and data if needed. Transparency builds trust.

8. Monitor: Track how long it sells. If it doesn’t move after your preset period (e.g. 60–90 days), consider a cautious markdown.

   
   

Pricing luxury consignment items individually is a meticulous process, but it yields higher returns and happier consignors. As luxury expert Tomas Weddle advises, be patient and precise: “the low profit margin doesn’t give you the luxury to make mistakes”. By following these steps and avoiding common pitfalls, your luxury boutique can price high-end pieces with confidence, maintain strong consignor relationships, and turn designer inventory faster.