Carousell Group acquires Singapore’s leading luxury bag reseller LuxLexicon

Adgully Bureau |

Carousell Group, leading multi-category platform for secondhand in Greater Southeast Asia, has acquired the business of Singapore’s leading luxury bag reseller and authenticated luxury consignment platform LuxLexicon to supercharge growth of Luxury, one of the Group’s largest categories, with an omnichannel strategy and expanded premium luxury offerings. 

The total luxury resale market in Southeast Asia, Hong Kong and Taiwan combined is projected to grow to US$7.5 billion by 2026, based on research by RedSeer Strategy Consultants. The Group has observed similar organic growth over the past few years, and is well positioned to cement its recommerce leadership. This is mainly organically driven by Carousell where its luxury bag category listings in Singapore have grown monthly by 71% over the past two years. 

To further encourage more users to choose secondhand, the Group has launched programmes in 2023 to make buying and selling authenticated luxury bags more trusted and convenient. Carousell Certified Luxury, which allows users to buy authenticated luxury bags, has quadrupled transaction volumes since launch. While Sell to Carousell Luxury, which allows users to sell or consign their bags directly to Carousell, has more than doubled in leads. 

With the success of these programmes proving that consumers increasingly want a more trusted and convenient option for luxury bag resale, Carousell Group acquired the business and assets of LuxLexicon to further enhance its portfolio with their strong reputation, wide supply in premium luxury bag resale and consignment, and deep expertise in offline retail. The acquisition will also allow LuxLexicon to leverage Carousell Group’s expertise in online recommerce and overseas expansion for future growth. LuxLexicon will continue to be led by founder Mrs Florence Low and operate as its own brand, retaining its name, retail space, and team. 

“We are excited to partner with Florence and the LuxLexicon team to accelerate our ambition of creating the largest managed marketplace for authenticated secondhand luxury bags where users can buy and sell with trust and convenience. We originally met Florence to partner with LuxLexicon for our Carousell Certified Luxury programme. After conversations, we realised 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,” said Marcus Tan, Co-founder, Carousell Group.

Florence Low, Founder, LuxLexicon, said: “LuxLexicon and Carousell Group share a common goal of providing a trusted and accessible platform for buying and selling authenticated luxury bags. Additionally, we both see similar strong consumer demand for popular brands such as Hermès, CHANEL and Louis Vuitton. This acquisition allows us to offer more variety of bags and recommend interested consumers to each other. I am excited to further grow the brand with Carousell Group’s scale, investment and regional expertise in the coming years and beyond.”

Tan said: “We have been strengthening our recommerce foundations to drive our multi-category approach on our top growth categories. Part of these efforts were acquisitions for fashion, mobiles and autos over the years, and we are thankful to have these founders not only continue to partner with us to drive our mission, but also lend their expertise to the wider Carousell Group’s businesses over the years. Beyond growing organically as a top priority, we will continue to seek acquisition opportunities with the right partners across our focus categories and markets to accelerate the future of secondhand in Greater Southeast Asia.”

This acquisition follows Carousell Group’s 2022 acquisition of Laku6, Indonesia’s electronics recommerce platform in Indonesia and REFASH, Singapore’s largest omnichannel fashion recommerce retailer. In 2023, Carousell Group launched Carousell Campus, its regional headquarters dedicated to advancing recommerce capabilities and housing its various Group brands under one location.