• The RealReal

  Participated · Series B · Apr 2013

  The RealReal is a San Francisco–based provider of authenticated luxury consignment solutions led by CEO and Founder Julie Wainwright. The company operates an authenticated consignment service with 90+ in-house authenticators who inspect thousands of items daily to ensure authenticity. Consigning is supported by free in-home pickup, drop-off service and direct shipping, while retail locations allow customers to shop, meet with experts, and attend workshops. The RealReal also offers free jewelry, watch and handbag valuations at eight luxury consignment offices. The company intends to expand its brick-and-mortar presence into new markets and to support its supply of luxury goods with new e-commerce fulfillment centers. The RealReal operates an authenticated, high-end resale marketplace for women, men, and the home. The six-year-old, San Francisco–based company verifies and sells luxury items including fine jewelry and watches, and still predominantly sells women’s high-end apparel. It employs more than 800 people and is on track to sell $500 million in merchandise through the platform this year. Management has pushed out the timeline to profitability to prioritize brand awareness and expand its physical footprint. Over the last 18 months the company opened six valuation offices (San Francisco, New York, L.A., Chicago, and Washington, D.C.), and it is weighing a brick-and-mortar store strategy starting with a New York location. A prior pop-up in Soho generated more than $2 million in revenue and drew many new customers, informing the offline expansion plan. The RealReal operates an authenticated luxury consignment marketplace for clothing, accessories, watches, jewelry, and home goods, using trained authenticators (gemologists, horologists, art appraisers) to verify items. Sellers send items for the company to photograph and sell on their behalf; sellers typically earn 60–70% of the sale price. The site reports 4.5 million members and more than 2 million items sold to date. The company said it was poised to double its $100 million annual revenue in 2015 and is expecting to double revenue again. Services include in-home pickup in over 20 U.S. cities and valuation offices (initially New York and L.A., expanded to Chicago) for in-person appraisals. The RealReal is expanding both in the U.S. and internationally and placing funds toward strategic investments to outpace competitors. The RealReal operates a full‑service luxury consignment marketplace that vets and authenticates garments, bags, jewelry, art and other items before listing them for sale. It offers a white‑glove service in 18 U.S. cities where luxury managers consult with sellers and pick up items. The company pays consigners 60%–70% of the sale price and retains the remainder. The RealReal reported about $100 million in annual revenue and said it was poised to double that in 2015, though it was not yet profitable. Operating metrics in the article include 3.5 million members, 315 employees, shipments to 61 countries, and 1 million items sold to date. Fastest‑growing categories cited were menswear (225% growth 2013–2014, projected 125% growth in 2015) and fine jewelry and watches (about 250% growth). TheRealReal operates an online consignment marketplace focused exclusively on authenticated luxury and designer goods, including women’s and men’s fashion, fine jewelry and watches, and home decor such as fine art. The service authenticates items and lets consignors receive up to 70% of the sale price while customers buy brands like Chanel and Burberry at discounted prices. Each sale lasts 72 hours, and members can pay $5 per month to access sales 24 hours early. The company reports 2.4 million members, processes more than 40,000 luxury items per month, and has shipped over 450,000 items to date. The site expects to do about $125 million in revenue this year. Management, led by CEO and founder Julie Wainwright, is expanding into additional luxury verticals including fine art and plans more verticals in 2014.

No current team members are available.