Recode recently did an article on The RealReal getting investments before obtaining an IPO.
The RealReal’s CEO is Julie Wainwright
The company The RealReal has made 170 million in 7 years. It has potential to make more and is interested in investors to target a brick and mortar store which is in the works now.
Wainwright is pitching investors for a 100 million. It is speculated by recode that the new investments might be due to the new attitude in second hand high fashion luxury clothing, jewelry, art and home decor is changing to a more positive one as in the recent past. The investors might see the potential for sales in this market as something new and up and coming. The fashion industry is on both sides and retail sales are always trending and no need to rethink investing in Gucci or Louis Vuitton. But what about these companies that want to sell those brands secondhand? Those brands as stated before like the idea now because they have seen repeat customers to their home brand as well as the second hand business that are trending now as well. Wainwright does all she can to build a reputation for quality and they will collaborate with the companies to get repeat customers. Wainwright makes sure to authenticate the luxury items before they are listed on the website. Previously, it was thought that companies that sell secondhand luxury items were the enemy but that is not so evident anymore. There have been a handful of other companies who have tried to sell secondhand luxury clothing and items, but some have sold out or are no longer in business. The brand companies like to see sellers wanting more of their products and this type of purchase power allows the buyer to try the item at a lesser cost and eventually want to replace it or buy new product.”