• by Karl Greenberg , Staff Writer, March 6, 2012

Nordstrom is going to sell “pre-owned” shoes. This was covered by CNBC last week, but it is a story that has been rattling about my head for a few days. In essence, Nordstrom is reselling returned and very slightly worn shoes at Nordstrom Rack outlet stores. The shoes are labeled “worn and refinished.”

The article quotes branding consultant Robert Frankel, who argues that it hurts the brand because “on a perception level, it turns you into a junk store." He argues that it sends the message that Nordstrom is pinching pennies "if they are selling their garbage."

The story offers contrasting perspectives as well. One analyst, Edward Yruma from Keybanc Capital, says it's a good idea since it's a high-end product and it isn't being sold at Nordstrom's full-line stores.

I think Frankel's wrong. Consumers are used to the idea of pre-owned being pretty damned good. Consider that the luxury automotive market thrives on Certified Pre Owned vehicles these days. For brands like BMW and Mercedes-Benz, CPO is a point of entry for consumers moving up to luxury.

Frankel will reply, "A car isn't a pair of shoes, and people 'moving up to luxury' don't want to move into someone else's sweat-soaked tossaways." To which I'll reply, "Well, I’m good as long as the previous owner’s feet aren’t still in the shoes…" But, seriously, the key here is that those CPO vehicles get a seal of approval, and its buyers are treated pretty much as if they were buying a new car. And those shoes Nordstrom is selling are not really used, they are just returned. They don't have the peripatetic equivalent of 15,000 miles on the odometer.

But beyond that, and apart from the issue of whether the resold products are premium or mass, consumers have reached the point, I'll wager, that they understand the nature of the pre-owned game, and the value proposition. 

I know I have. We have, since 2008, been reading about how even luxury-buying Americans have rejiggered their thinking on luxury and consumption (not the disease.) We read studies that suggest that nowadays what consumers of luxury products want is authentic value and durability.

And if they are loyal to high-end brands, it is just as likely that their passion will be driven by the value of the products as on what the label says about their own status.

But there's something else. Based on the proliferation of second-hand and hip vintage stores in young, fairly affluent neighborhoods in Brooklyn, where I live, whatever stigma used to be attached to buying used "stuff" no longer really exists.

Maybe it's the queasy economy making deal-seekers of us all, or perhaps it's the advent of environmentalism and social justice as a fashion statement (based maybe on a constant flow of news about conditions in third-world factories that make our expensive toys, diminishing natural resources, etc.), but people seem to want to buy things used if they are well made, and cost less. Those stores are doing good business, and there are always lines waiting when they open in the morning.

As for the idea that secondhand stores are embarrassing and classless, I'd suggest one take a look at the Salvation Army store in Williamsburg, or on Atlantic Avenue. I was looking through the former a couple of months back. The place was packed, and it wasn't with desperate people. It was a crowd of fashion-seeking lead guitarists looking for that perfect stage item somehow overlooked by the drummer.

By the way, I picked up a great pair of "slightly worn" Bass shoes a few weeks ago. Perfect shape, thirty bucks. Of course, now that I've announced this, I'll have to throw them out.