The RealReal reports 51% GMV increase in November
San Francisco-based digital-first luxury resale marketplace The RealReal announced on Thursday that gross merchandise value (GMV) on its platform totaled approximately $146 million in November, representing an increase of 51% compared to the same month in 2020 and a rise of 46% when compared to November 2019.
According to the company, this growth was, in part, driven by the four-day period running Black Friday through Cyber Monday. The platform’s GMV over the course of this long weekend reflected a year-over-year improvement of 49%.
In particular, The RealReal highlighted this year’s Black Friday as an especially important milestone, as it was the company’s largest single day for GMV ever.
The platform also revealed that its average order value (AOV) in November was $514, up 17% from November 2020 and 10% from November 2019. The month’s fastest growing categories were watches, menswear and women’s handbags.
The RealReal has had a solid three-month run of strong growth, with September and October posting year-over-year GMV improvements of 44% and 45%, respectively. Compared to the same months in 2019, September’s GMV was still up 44%, while October’s rose 38%.
In the third quarter ended September 30, 2021, the company reported total GMV of $38 million, up 50% compared to the prior-year period and 46% compared to Q3 2019. Total quarterly revenue was $119 million, increasing 53% and 46% compared to the same periods in 2020 and 2019, respectively. Net loss at the company was $57 million.
The RealReal, which was founded in 2011 and went public in 2019, has become a leader in the ongoing luxury resale boom. Alongside competitors such as Poshmark, ThredUp and Vestiaire Collective, the company has helped construct a global luxury resale market that, as pointed out by a recent McKinsey study, is currently estimated to be worth between $25 billion and $30 billion.
The success of these platforms has even persuaded well-established resale stalwarts to review their approach. Online marketplace pioneer Ebay, for example, has been building out its authentication capabilities over the last few years in order to more effectively compete when it comes to luxury goods, and recently acquired a footwear authentication business from New York’s Sneaker Con.
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