Rakuten, eBay team up to test US market for used Japanese fashion goods

Published Fri, May 24, 2024 · 12:18 AM

The tie-up with Ebay, which started on May 8 with just seven vendors on Rakuten’s second-hand goods unit Rakuma, aims to capitalise on the currency effect and also a move towards bargain hunting as cost-of-living pressures around the world crimp spending. PHOTO: REUTERS

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JAPAN’S Rakuten Group is partnering with eBay to test US demand for used Japanese fashion goods, made all the cheaper with the yen trading near a 34-year low.

The tie-up, which started on May 8 with just seven vendors on Rakuten’s second-hand goods unit Rakuma, aims to capitalise on the currency effect and also a move towards bargain hunting as cost-of-living pressures around the world crimp spending.

In exchange for commissions on sales, eBay lists Rakuma’s selected goods on its site, while a Rakuten-contracted vendor handles shipping and customer service in the US

The trial is starting with used fashion and accessories, which have cache overseas due to Japanese users’ reputation for treating their luxury goods gently, said Rakuma general manager Kenichiro Hasegawa.

“Because of the use of cases and covers and such, these second-hand goods are in quite good shape,” Hasegawa said. “To say something is ‘used in Japan’ gives some immediate value.”

Investment and tourism are booming in Japan, partly because the yen’s slide has made the country’s goods relatively cheap. Second-hand stores, notably in Tokyo’s electronics district of Akihabara, have been swarmed by overseas customers looking to snap up vintage games and toys.

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Rakuten did not provide a sales target for the venture with eBay. Hasegawa said the seven vendors have not provided feedback yet, but if the trial goes well the goal would be to link up all Rakuma shops and users with eBay.

Used and refurbished items make up about 40 per cent of eBay’s gross merchandise volume, a company report said.

After the US, eBay’s biggest markets include Canada, the United Kingdom, Germany and Australia. The “ultimate goal” would be to expand Rakuma offerings to those countries, said Naoki Kitamura, eBay Japan’s head of category management.