With The RealReal, millions of people can now access previously rare and expensive designer items at affordable prices. As a leader in the $6 billion global luxury resale market, the high-end consignment company specializes in the purchase and resale of luxury items at discounted prices. The RealReal was founded in 2011 and has since successfully handled over 8 million pieces comprised of clothing, accessories, and other heritage pieces from its physical stores and pop-ups situated in New York, San Francisco, and LA as well as the website. Economist Rati Levesque, The RealReal‘s Chief Merchant in Los Angeles, talked to Jenni Avins about the $450 million company that she helped launch.
Owning a Chanel item for the first time is like taking the gateway drug. Once you experience the perfect fit, designer cuts, and exquisite fabric, you will keep coming back for more.
When compared to fast fashion, a designer item can hold its resale value much more gracefully. When the luxury item is super cute, and you can get over 70% of its value back later, nothing should stop you. Join the life cycle of luxury and benefit from the revolution in the luxury market today.
People no longer view the purchase of luxury items as wasteful, not when you can earn up to 80% of your money back later. Simply make well, buy well, and resell.
Considering buying or reselling a luxury item? Go for it.
We provide you with information about current trends, so you know what to consign today and what to keep. If Loius Vuitton trail boots are selling well, we make sure to let you know so that if you are not wearing your pair, you can consign it for a good price. Our prices are adjusted according to demand and supply, so you’re assured of receiving the best deal each time.
Having been in the market for close to a decade, one of our best lessons has been not to let any item stay on our shelves for too long because it’s an indication that the item is highly priced especially if it’s not sold well yet. A lower price usually does the trick.
Timing is everything
When Phoebe Philo announced that she was leaving Céline, for instance, search results for Céline products shot up by 30%. This rise in demand presented our consignors with an excellent opportunity to resell any Céline products they were not using.
As we spread the word for consignors to bring in their valued products, we also increased the prices of some Céline products on the shelf by about 20%. You will not believe what happened, not to mention that the sales created more visibility for other items in the stores including Louis Vuitton, Burberry, Prada, and Valentino.
Leather Strapped Vintage Watches are currently Trending
As our clientele expands to accommodate more Millennials and Gen Zs over the past two years, we have seen a rise in demand for watches. Shinola and leather strapped vintage Cartier Tanks for women seem to be their favorite investments as well as top-tier marquis brands like Rolex and Hermès. Now is the best time to consign these items.
You may also have noticed that people want to own items that set them apart from the crowd, more so in the wake of social media. It is no wonder that typical marquis varieties and other heritage pieces continue to enjoy such high demand.
More about the business
The Real Real attributes its growth to its signature stores and pop-ups spread across San Francisco, New York, and LA. City business has seen sales rise by 40% as customers and consignors transact more, and new walk-in clients increase.
We specialize in the pick-pack-and-ship model because we value the customer’s time. Similar to a mini-warehouse, everything you find on the shelf is available online. Shopping online, thus, is similar to visiting a physical store.
Each item on sale is chipped using the RFID system for easy identification. The moment a client moves any item from the display into the fitting room, it automatically goes on hold on the website.
The system also sends automated notifications to clients to alert them when an item they had previously expressed interest in is available in a store close to their location like, “Hey, your Louis Vuitton Cherry love is in the LA store, so go check it out.”