The RealReal works under a consignment model, where sellers ship goods to the company and the company then sells an item and shares the proceeds - usually around 50 to 60 percent - with the individual.
I’d ask Wainwright whether either of these views are fair, but she hasn’t yet responded to multiple requests for comment. On the other hand, it might be the case that The RealReal and its investors have realized that the secondhand market for luxury goods is a much bigger opportunity than they initially thought, and they feel confident that the site can take even greater market share by investing more in growth. On the one hand, it could be that the company has not yet reached the scale that would appeal to public-market investors and acquirers - or that the business needs more time and capital to prove it works as a standalone business long-term. There are a couple of ways to look at the reason for these new fundraising efforts. The company has already raised more than $170 million since it launched seven years ago.
Wainwright, the founder of the luxury fashion site that specializes in the sale of secondhand clothing from brands like Gucci and Louis Vuitton, is currently pitching investors about raising a fresh $100 million in new funding, multiple sources have told Recode. For several years, The RealReal’s CEO Julie Wainwright has proclaimed that her company’s next round of private financing would be its last before an eventual IPO - only to then go ahead and secure a new investment.
0 kommentar(er)
