Draft:Resale-as-a-Service

Resale-as-a-Service (RaaS) is a business model that enables brands and retailers to offer secondhand sales as part of their own e-commerce operations. RaaS providers manage the logistics, technology, and operations needed for brands to resell pre-owned items, allowing them to enter the circular economy without building in-house infrastructure.

Business model

RaaS platforms typically provide end-to-end solutions, including product authentication, pricing, listing, fulfillment, and customer service. These services, sometimes described as reverse logistics, can be integrated into a brand’s existing e-commerce channels, enabling seamless resale under the brand’s own identity. Revenue models vary but often include a mix of subscription fees, sales commissions, or service-based pricing.

There are two primary types of RaaS solutions:

• Fully Managed Resale – The service provider handles all aspects of resale, including logistics, inventory management, pricing, and fulfillment.
• Peer-to-Peer (P2P) Resale – The brand provides a resale marketplace, but customers list, price, and ship their own items, with the platform facilitating transactions.

Industry impact

The rise of RaaS aligns with increasing consumer demand for sustainable shopping options and brand-led circularity initiatives. By outsourcing resale operations, brands can extend the lifecycle of their products, reduce waste, and create new revenue streams from second hand while maintaining control over customer experience and brand identity.

Some luxury and high street brands have implemented branded resale platforms through RaaS partnerships. For example, Balenciaga partnered with Reflaunt to launch a resale program within its own ecosystem. Analysts note that RaaS has evolved from a sustainability-focused marketing tactic to a core revenue-generating business strategy for fashion brands.

Notable RaaS Companies

Several technology providers offer Resale-as-a-Service solutions to fashion brands and retailers. These companies vary in their approach—some offer fully managed resale logistics and operations, while others provide peer-to-peer resale marketplaces or white-label integrations.

• Trove – A U.S.-based RaaS platform that partners with major brands such as Patagonia, REI, and Lululemon. It offers end-to-end resale infrastructure including reverse logistics and fulfillment.

• ThredUp (RaaS) – Offers a white-label resale platform for brands, handling listing, logistics, and customer service. Clients include brands like PacSun, Kate Spade, and Madewell.

• Reflaunt – A Europe-based platform that enables luxury brands such as Balenciaga, COS, and Harvey Nichols to launch branded resale programs, often through peer-to-peer models.

• Archive – Provides resale infrastructure to brands like Oscar de la Renta and The North Face. Its solution integrates resale into a brand’s direct-to-consumer website.

References

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• Business models