When you see something on the runway that you must have or a purse that just speaks to you, the price is probably one of the things that put you off of it almost immediately. What if you could own not item for a fraction of the cost or what if an item you thought was long gone could be available to you even if it’s only gently used? Over at The RealReal’s offices, they have felt the pain of wanting something that is way beyond your price range. In order to facilitate more access to these items for more people, they have opened a shop with a consummate model that is specifically tailored to secondhand luxury fashion items. This allows individuals to own things that they only dreamed of before with up to a 90% discount on them. Sellers are able to consign their items with The RealReal by only forfeiting up to 50% of the commission for such an item. In this particular business model, everyone wins and everyone makes money.
According to a recent article featured on Recode.net, The RealReal is looking to expand their funding and financial holdings. “The RealReal-The Fashion Site That Sells Secondhand Gucci and Louis Vuitton-Wants to Raise a New $100 Million Investment” speculates that the company is looking to make a significant financial move in the near future. In fact, the CEO Julie Wainwright has been hinting for a while that the company will go through an IPO very soon. If this were to happen, this is one of the last times the private investors will be able to jump on the bandwagon that is The RealReal.
In the meantime, The RealReal continues to enjoy an enormous success. They have increased their value and profits to almost $170 million since their opening seven years ago. This solidifies them as a powerhouse and they are available to people in almost 140 different countries. The need for used luxury goods is a worldwide phenomenon and The RealReal will continue to enjoy success in this area should they maintain the impeccable quality that they have become known for in this market.