The RealReal is a fashion site that majors on selling second-hand items of various brands including Louis Vutton and Gucci. This luxury style spot has recently been head-over-heels on investors about coming up with one hundred US Dollars in fresh funding according to Record. Since this company was initiated seven years ago, it has raised over one hundred and seventy US Dollars.
There are several reasons why the firm is up for new fundraising. First and foremost, the company may not be at a position to appeal to acquires and investors for money other company needs capital and a little more time to attest its operations in the long run as a standalone business. In another view, the company might have realized that the second-hand business for luxury items is a greater opportunity than they expected and they are confident and ready to take a much bigger risk by investing on growth more.
Julie Wainwright founded the RealReal company in 2011. The company functions typically on the consignment model. The supplier ships the items to the RealReal company, which then sells the commodity and the profit is shared equally or at sixty percent with the supplier. The company has a team that authenticates the items typically against fakes before displaying them on the website. This company used to focus mainly on women luxurious items, but it has since grown into home décor, jewellery, and menswear.
The company has an inventory control system that makes it outshine other online marketplaces. It also provides quality services for suppliers like sending the company’s drivers to pick up consignment items. The stores “no fakes policy” has also largely contributed to the high returns over the years. The turnover on stock for the company is high too since most of the products sold within a month. All of the commodities available in the store are also available for online shopping. The sales associates usually scan the items and removed online once purchased. The RealReal shop has a great impact on people’s way of shopping in its seven years in operation.