The second-hand sneaker trade. Major profits in collectible Nikes.
Sticking with our recent topic of sneakers, we recently read a fascinating article by Lisa Chow in fivethirtyeight.com about the second-hand sneaker market. We all knew there were sneaker collectors. Those fanatics willing to stand in line on a Saturday morning to pick up the latest pair of Jordans or Lebrons but who knew they could be resold for thousands of dollars.
While the majority of individuals are buying for their own collections, some entrepreneurial spirits are collecting on Nike’s strategy of offering limited edition and supply sneakers. With a secondary market estimated to be approximately $230 million, it’s not chump change.
While we love living in a pair of comfortable sneakers, second only to a great pair of flip-flops, you do need to know when to leave them in the closet for a pair of casual shoes but if the occasion calls for it maybe your next pair of kicks will be something with a small Jordan figure leaping across the back.
Shirod Ince sat at the front of a line of more than 100 people, mostly guys in their early 20s, on a Friday evening last month. For two days, he and his friends had been taking turns waiting outside a Foot Locker in Harlem to buy the new LeBron sneaker. Through the long, restless hours, they had sustained themselves on Popeye’s, McDonald’s and a belief that it would all pay off in the end.
Ince had no plans to wear the new Nikes. No, for the past two years, the 22-year-old basketball coach has been reselling the sneakers he waits for. And he thought he could double, triple, possibly even quadruple his money for this particular pair, getting anywhere between $500 and $900 for a sneaker that was selling for $250 retail.
Read the entire article here: http://fivethirtyeight.com/features/you-see-sneakers-these-guys-see-hundreds-of-millions-in-resale-profit/