Julie Wainwright began The RealReal in 2011. The consignment company offers customers proof of authenticity of the products they purchase. Individuals can make purchases online or in the New York store. The store has widespread popularity based upon the amount of merchandise it has provided to customers. Primarily, the merchandise is sold by the RealReal within a month.
The company is seeking $100 million dollars from investors. The RealReal has prior successes with obtaining nearly twice that amount from investors. It is believed the company is aware of the potential the RealReal has in expanding their luxury consignment brand. The company has a profit sharing model with the customers who ship their items to the business. It is possible the expansion efforts may include additional stores.
Customers are making more luxury purchases because of the shift in thinking in the marketplace the RealReal has created. Shoppers see there is value in buying luxury items because they have a place like the RealReal to recover some of the cost of their purchases.
The perception of the RealReal has changed over time by designer brands and stores. The RealReal is no longer regarded as an adversary of luxury retailers. Designer retail corporations have recognized the existence of the RealReal has increased their marketing and demand for their products. Some luxury brands have changed their strategies on how they address the designer consignment corporation. The RealReal has obtained the respect of some designer stores that have decided to offer gift cards to their customers to the RealReal’s internet site to obtain online marketing space from the high end consignment retailer.
The RealReal provides a variety of items for purchase for potential and current customers. Some of the categories of items sold by the luxury retailer include: women’s apparel, Men’s apparel, jewelry, watches, artwork, home décor, children’s apparel, and beauty products. Shoppers can subscribe to the RealReal on the company’s internet site using an email address or a Facebook profile.