fashion re-commerce update—12 catalysts for apparel … · times faster than the broader retail...
TRANSCRIPT
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
1) Themarketplaceforonlinefashionresale(“re-commerce”)continuestoevolverapidly.
2) USfull-priceretailersaresufferingwhilere-commerceisthriving,andre-commerceiscurrentlyoneofthefastest-growingsectorsinretail.Thetotalapparelresalemarket(brick-and-mortarandonline)isexpectedtogrowataCAGRof13%from$18billionin2016to$33billionin2021.
3) Keyfactorsdrivingcontinuedgrowthofthefashionre-commercesectorincludemillennialpenetration,desireforvalueandcostsavings,theentertainmentfactorofthetreasurehuntforuniqueitems,decluttering,environmentalconcerns,greaterinterestfromhigher-incomeshoppersandmalecustomers,aswellasresellersopeningphysicallocations.
4) Wehavealsoseentheemergenceofmobilepeer-to-peerre-commerceplatformsofferinginnovativeandeasy-to-usetechnologicalfeaturesincludingsocialmediafunctionality.
5) Onlinesecondhandresellerscouldposeacompetitivethreattooff-priceretailerssuchasTJX,asbothoffersteepdiscountsonbrandedmerchandiseandprovideatreasurehuntshoppingexperience.
Deep Dive: Fashion Re-Commerce
Update— 12 Catalysts for Apparel Resale
Growth
Deborah Weinswig
Managing Director,
Fung Global Retail & Technology
US: 917.655.6790
HK: 852.6119.1779
CN: 86.186.1420.3016
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
TableofContents
ExecutiveSummary........................................................................................................................................3
Introduction...................................................................................................................................................4
DefiningRe-Commerce.......................................................................................................................................4
AnEvolvingandExpandingSector......................................................................................................................4
TheResaleApparelSegmenthasSeenUnprecedentedGrowthinthePastYear..............................................5
TheRiseofPeer-to-PeerMarketplaceRe-CommerceApps...............................................................................5
Depop............................................................................................................................................................6
Letgo..............................................................................................................................................................7
OfferUp..........................................................................................................................................................7
12CatalystsforRe-CommerceGrowth...........................................................................................................8
ValueandCostSavings.......................................................................................................................................8
Digital-SavvyMillennialsMarketPenetrationIncreasingRe-Commerce............................................................8
TheEntertainmentFactoroftheTreasureHuntShoppingExperience..............................................................8
GettingOvertheStigmaofUsedClothingBecauseQuality,CleanlinessandCurationareControlled..............9
DeclutteringandThePerceptionof“HavingTooMuchStuff”...........................................................................9
MakingExtraIncome........................................................................................................................................10
ConcernsaboutSustainabilityandEco-Friendliness,EspeciallyAmongtheMillennialandGenZDemographics...................................................................................................................................................10
Re-CommerceOffersaVeryAttractiveCompetitivePropositionComparedtoOtherRetailers,EspeciallyOff-PriceRetailerssuchasTJX.................................................................................................................................10
SellersBecomeBuyersandBuyersSellers........................................................................................................10
High-IncomeShoppersJoiningtheAct.............................................................................................................11
MenAreStartingtoShopOnlineasWell..........................................................................................................11
Brick-and-MortarLocations..............................................................................................................................11
KeyTakeaways..............................................................................................................................................12
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
ExecutiveSummaryTheexperienceofbuyingandsellingpre-wornclothinghasevolveddramaticallyovertheyears,fromthriftshopsandconsignmentstorestoeBayandfinallytoe-commercewebsitesanddigitalappsthatoffersimplicity,convenience,socialinteractionandsomeevenbrandauthentication.US-basedThredUPhasemergedastheleaderinthelow-to-mid-pricere-commercesegmentandTheRealRealinthepremiumandluxurysegment.
Anaturalevolutionhasbeentheintroductionofsocial-media-type,peer-to-peerre-commerceapps,whichareexpectedtoattractmoreyoungbuyersandsellerstothere-commercemarket.Theriseofnewresellingpeer-to-peermarketplaceappssuchasOfferUp,LetgoandDepophasfacilitatedaverysimplelistingandtransactionprocesstotradeusedgoods.SmallermobileappplatformshavebeenmuchmoretechnologicallyinnovativeandaretakingmarketsharefrompioneeringdigitalsecondhandmarketplacessuchaseBayandCraigslist.
Besidessimpleusabilityfeatures,thenewpeer-to-peermarketplaceappsincludesecurityfeaturesthatbuildtrust.Establishedsellershaveatransactionhistoryandstrongratingsfromcustomerswhohadpreviouslypurchasedgoodsfromthem.Individualscanalsoconsignitemstoestablishedsellerstosellforthem.
USfull-priceretailersaresufferingwhilere-commerceisthriving,andonlinere-commerceiscurrentlyoneofthefastest-growingsectorsinretail.Thetotalapparelresalemarket(brick-and-mortarandonline)isexpectedtogrowatacompoundedannualgrowthrate(CAGR)of13%from$18billionin2016to$33billionin2021.Re-commercedisruptorsaregrowing20timesfasterthanthebroaderretailmarketandfivetimesfasterthanoff-priceretailers.
Whetherthroughonlineaugmentedresellersorthroughmobilepeer-to-peermarketplaces,amultitudeofkeyfactorsaredrivingcontinuedgrowthofthefashionre-commercesector.Theseinclude:millennialpenetration,thedesireforvalueandcostsavings,theentertainmentfactorofthetreasurehuntforuniqueitems,decluttering,environmentalconcerns,greaterinterestfromhigher-incomeshoppersandmalecustomers,aswellasresellersopeningphysicalpop-upandbrick-and-mortarlocations.
Anaturalevolutionhasbeentheintroductionofsocial-media-type,peer-to-peerre-commerceapps.
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
IntroductionDefiningRe-Commerce“Re-commerce”—buyingandsellingsecondhandgoods—isonefactorreshapingtheapparelmarket.Empoweredbymobileconnectivity,consumersarebuyingandsellingpre-ownedapparelonline.Onlinere-commercecompaniesandpeer-to-peermarketplaceshavemadeitmucheasierforconsumerstobuyandsellsecondhandclothing,footwearandaccessories.Re-commercecompanieshaveadoptedavarietyofdifferentbusinessmodels.
Source:iStockphoto
Onlinere-commercecompaniessuchasThredUPandTheRealRealprovidesellerswithaugmentedlogisticsservicessuchasitemphotography,pricing,postinginventoryinformationonlineandcustomerservice.
Peer-to-peermarketplacesbringbuyersandsellerstogetherwithinahostedplatformtoperformtransactions.TheseincludeOfferUp,LetgoandDepop.
AnEvolvingandExpandingSectorThemarketplaceforonlinefashionresalecontinuestoevolveandexpandrapidly.US-basedThredUPhasemergedastheleaderinthelow-to-mid-pricere-commercesegmentandTheRealRealinthepremiumandluxurysegment.Thesecompaniesareprofiledinmoredepthinourfirsttwore-commercereports,OnlineConsignmentMarketandDeepDive:FashionRe-CommerceEvolution.
ThredUPpublisheditsfifthannualresaletrendreportinearly2017,andthiscontainssomeinterestingfindingsbasedonuserdata,andshedslightonchangingcustomershoppinghabits.Wehaveusedthereportfindingstoinformouranalysisofsectormomentum.
Inthisupdate,weanalyzethecontinuingevolutionandgrowthoftheapparelre-commercesegmentandfeaturekeydatafromThredUP’sreport.Wediscuss12factorsthataredrivinggrowthinthefashionre-commercesector.Finally,weprofiletwonew,mobilere-commerceplatforms,OfferUpandLetgo,andprovidemoredetailonpreviouslyfeaturedre-commerceappDepop.
Onlinere-commercecompaniesandpeer-to-peermarketplaceshavemadeitmucheasierforconsumerstobuyandsellsecondhandclothing,footwearandaccessories.
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
TheResaleApparelSegmenthasSeenUnprecedentedGrowthinthePastYearWhilemanyUSfull-priceretailersaresufferingfromsoftconsumerdemand,there-commercesectoristhrivingandonlineresaleiscurrentlyoneofthefastest-growingsectorsinretail.AccordingtoThredUP:
• ThetotalUSapparelresalemarket(brick-and-mortarandonline)willgrowataCAGRof13%from$18billionin2016to$33billionin2021.
• Re-commercedisruptorsaregrowing20timesfasterthanthebroaderretailmarketandfivetimesfasterthanoff-priceretailers.
• Clothing,shoesandaccessoriescurrentlymakeup49%oftotalUSresalesales.
Figure1.USResaleMarketbySegment(%)
Source:ThredUP/FungGlobalRetail&Technology
TheRiseofPeer-to-PeerMarketplaceRe-CommerceAppsTheexperienceofbuyingandsellingpre-wornclothinghasevolveddramaticallyovertheyears,fromthriftshopsandconsignmentstorestoeBayandCraigslist,andmorerecentlytoe-commercewebsitesanddigitalappsthatoffersimplicity,convenience,socialinteractionand,insomecases,evenbrandauthentication.
Theriseofnewresellingpeer-to-peermarketplaceappssuchasOfferUp,LetgoandDepophasfacilitatedaverysimplelistingandtransactionprocesstotradeusedgoods,includingapparel,footwearandaccessories.SmallermobileappplatformshavebeenmoretechnologicallyinnovativeandaretakingmarketsharefrompioneeringdigitalsecondhandmarketplacessuchaseBayandCraigslist.Lessthan20%ofitemssoldoneBayinthefourthquarterof2016wereuseditems,andauctionsaccountforjust13%oftotaleBaysales.
49%
16%
14%
11%
10%
Clothing,Shoes&Accessories Other
Books Media
Electronics
ThredUPwillsellover10millionitemsin2017andthebusinessisexpectedtodoubleforthefourthconsecutiveyear.
Re-commercedisruptorsaregrowing20xfasterthanthebroaderretailmarketand5xfasterthanoff-priceretailers.
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
Besidessimpleusabilityfeatures,thenewpeer-to-peermarketplaceappsincludesecurityfeaturesthatcanbuildtrustamongshoppers.Establishedsellershaveatransactionhistoryandratingsfromcustomerswhohavepreviouslypurchasedgoodsfromthem.
Belowweintroducethreere-commercedisruptermobilepeer-to-peermarketplaceapps.
Depop• Depopispredominatelyanappplatform,butcanalsobeaccessed
onadesktop.
• Thecompanywaslaunchedin2012andisheadquarteredinLondon.ItalsohasasmallofficeinNewYorkCity,asitisseekingtoenlargeitspresenceintheUS.
• Depophassixmillionusers,including350,000–400,000activedailyusers.
• Depopappealsmainlytoteenagersandmillennials,anditpermitsusersfromtheageof14years.Thecompanystatedthatapproximately70%ofitsusersarefemaleandamajorityareagedbetween16and26.TeenagersandyoungadultsuseDepopasabusiness,searchingvintagestoresandfleamarketsandresellingitemstomakeextraincome.
• TransactionsaremadeonlineviaPayPalorbycashpayment.Theappchargesa10%commissionondigitalsalesanddoesnotchargeacommissionwhentransactingpartiesmeetinpersonandexchangecash.
• DepopmakesparticipationsimplewithasocialinterconnectivityaspectsimilartoInstagram.Vendorspostimagesofitemstobesoldandsellerscanleaveitemsthattheysoldontheirprofiles,buildinguparetailingprofilewhichbuildsafollowerbase.Followerscan“like”andcommentonproductsandsellerprofilesandindependentlycommunicatewithsellers.Generally,themorefollowersasellerhas,theeasieritistoattractmorebuyers.
Source:www.depop.com
Depopappealsmainlytoteenagersandmillennials.
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
Letgo• Letgowasfoundedin2015andhasraised$375millioninfunding
includingfromSouthAfricaninternetgiantNaspers.Theapp’sannualtransactionvolumeisexpectedtoreach$23.4billioninthe12monthsfromJune2016toJune2017.
• Theapphasbeendownloadedover45milliontimesandhas20millionmonthlyactiveusers(MAU).
• LetgohasofficesinNewYorkandBarcelonaandisavailableintheUS,CanadaandpartsofEuropeandTurkey.TheappisalsobeingtestedinAsiaandLatinAmerica.
• Theappoffersaveryquicklistingprocess,asitssoftwareautomaticallyscanstheitemtobesoldandcategorizesitusingartificialintelligence(AI)andimagerecognition.Theselleronlyneedstoaddaphoto.Buyerscontactthesellerthroughanin-appchatsystem.
• Currently,thereisnochargetouseLetgo,butinthecomingyearsitwillstarttryingtomonetizetheservice,throughadvertisingorbychargingsellerstoimprovelistingvisibility,accordingtothecompany.
• In2016,Letgospentanestimated$100millionontelevisionadvertisingintheUS,accordingtotheadvertisinganalyticsfirmiSpot.
OfferUp• US-basedOfferUpwasfoundedin2011andoperatesonlyintheUS
market.TheappoffersasimilardesignandexperiencetorivalLetgo.
• OfferUphasacompanyvaluationofapproximately$1.2billionaccordingtothecompany.
• OfferUpforecaststhatcompanysaleswillreach$20billionin2017.
• Theapphasbeendownloadedover23milliontimesand,accordingtothecompany,ithad14millionMAUinMarch2017.
• OfferUpmarketsthroughtelevisionadvertising.
• OfferUpincludessecurityfeaturessuchasverifyingaccountsthroughFacebookandadriver’slicenseforidentificationpurposes.Theappfeaturesbuyerandsellerratings.
• OfferUpdoesnotcurrentlychargebuyersorsellerscommissionsorusagefees.Thisyear,thecompanyhasbegunexperimentingwithmonetizationstrategies,includingin-apppayments.
OfferUphasbeendownloadedover23milliontimesandhas14millionMAU.
TheLetgoappcategorizesproductsusingartificialintelligenceandimagerecognition.
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
12CatalystsforRe-CommerceGrowthWhetherthroughonlineaugmentedresellersorthroughmobilepeer-to-peermarketplaces,wesee12keyfactorsdrivingcontinuedgrowthofthefashionre-commercesector.
ValueandCostSavings• Approximately94%ofAmericanwomenstatedthattheyrarelybuy
clothingthatisnotdiscounted,accordingtoaThredUPsurvey.
• TheaveragediscountonThredUPis80%andtheaverageordersavescustomers$177.Thecompanystatedthatshoppingsecondhandexclusivelyforoneyearwouldsavecustomersaround$2,129onaverage.
Digital-SavvyMillennialsMarketPenetrationIncreasingRe-Commerce• AccordingtoThredUP,millennialsandwomenover65arethetwo
demographicgroupsmostlikelytoshopsecondhand.
• Approximately,30%of18–24year-oldshaveshoppedsecondhandinthepast12months,and21%saytheyintendtoshopsecondhandinthefuture.
• About79%ofThreadUP’ssalesarecompletedthroughmobiledevices.
• Approximatelyone-thirdofTheRealReal’scustomersaremillennials.
Figure2.LikelytoShopSecondhandbyAgeGroup,in%
Source:ThredUP/FungGlobalRetail&Technology
TheEntertainmentFactoroftheTreasureHuntShoppingExperience• Thenumberonereasonforre-commerceshoppingappealisthe
entertainmentfactorofatreasurehuntshoppingexperienceduetoconstantproductrotation,and76%ofshopperssaythefunfactorisoneofthetopthreereasonstheyshopatre-commercecompanies.
• Some63%ofThredUPsurveyrespondentsclaimresaleshoppingisthrillingbecauseyouneverknowwhatyouaregoingtofindandthereisasurpriseelement.
Approximately94%ofUSwomenrarelybuyclothingthatisnotdiscounted.
One-thirdofTheRealReal’scustomersaremillennials.
30%
25% 26%
32%
Millennials GenX BabyBoomers Grandmas
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
GettingOvertheStigmaofUsedClothingBecauseQuality,CleanlinessandCurationareControlledRe-commercedisruptorsfocusonhigher-quality,gently-used,brand-nameproductsandofferamorecuratedproductassortment.
• ThredUPtypicallylistsonly40%ofthegarmentsitreceivesaftereachpassesathree-pointinspectionprocess,and60%ofthemerchandiseisrejectedduetoqualityissues.
• Luxuryre-commercesiteTheRealRealreceivesabout150,000itemsmonthly.Alargeportionoftheitemsthecompanyreceiveshavebarelybeenworn,andsomeitemsevenhaveoriginalpricetagsonthem.ItemsatTheRealRealareinspectedandauthenticatedpriortobeingshippedtocustomers.Thecompanyalsosendssalespeopletoclearoutclosetsinwealthyareas.
DeclutteringandThePerceptionof“HavingTooMuchStuff”Wehavereachedapointof“peakstuff”andconsumersaretryingtoconsumeeverfewerresources.
• AbouthalfofAmericansthinktheyhaveover$1,000worthofunuseditemsand41%havenotdeclutteredinoverayear,accordingtoarecentreportbyOfferUp.
• TheaverageAmericanwomandoesnotwear60%oftheitemsinhercloset,representing$220billionofunwornwomen’smerchandiseintheUS.
• Asdepictedinthegraphbelow,theaveragenumberofclothingitemspurchasedbyUSwomendeclinedfrom51itemsin1996to37in2016.Thatnumberisforecasttofallfurtherto32itemsby2021,accordingtoThredUP.
Figure3.AverageNumberofClothingItemsPurchasedbyUSWomenEachYear
Source:ThredUP/FungGlobalRetail&Technology
51 5247
4037
32
1996 2001 2004 2011 2016 2021E
TheaverageAmericanwomandoesnotwearapproximately60%oftheitemsinhercloset.
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
MakingExtraIncome• ThredUPhaspaid$58milliontoconsignorsinthepastfiveyears.
• Approximately65%ofmillennialsspendtheirsecondhandsavingsonexperienceswithfriendsandfamily,accordingtoThredUP.
• ThredUPsendsbuyersaboxtofillwithbrand-nameapparel.Thesellercankeep5%–80%oftheitem'sresalevalue,dependingonthefinalsaleprice.
ConcernsaboutSustainabilityandEco-Friendliness,EspeciallyAmongtheMillennialandGenZDemographics
• Millennialsare2.4timesmorelikelytobemotivatedbyeco-consciousfactorswhenshoppingthanotherconsumers,and84%prefersocially-consciousbrandsthatsharetheirvalues,accordingtoThreadUP.Hence,resalecaterstothisdemandbyprovidingtherecyclingofclothingandnotwastingresourcesonproductionofnewmerchandiseandfillinglandfillswitholdapparel.
Re-CommerceOffersaVeryAttractiveCompetitivePropositionComparedtoOtherRetailers,EspeciallyOff-PriceRetailerssuchasTJXOff-priceretailerssuchasTJX,BurlingtonStoresandRossStoreshavebeenperformingstrongly,whilemuchoftherestoftheapparelretailsectorintheUShassuffered.Thesuccessofoff-priceretailerscanbeattributedtotwofactorssharedwithonlineapparelresellers:offeringbrandedgoodsatadiscountandprovidingatreasurehuntexperiencebasedonaconstantly-rotatingarrayofproducts.However,off-priceretailersdonotsellonline.Hence,onlineapparelresellersarguethattheyposeaviablecompetitivethreatforoff-priceretailers.
• About78%ofUSwomenstatethattheyrarelyfindanythingneworexcitingwhenshoppingattraditionalretailstores.
• Althoughoff-priceretailersaddthousandsofnewitemsweeklytotheirassortment,theydonothavee-commerceplatformsandcustomerscannotsearchorpurchaseproductonline.
• Off-priceretailersofferbrandedin-seasonmerchandisediscountedby20%–60%offregularretailprices,whereasThredUPoffers75%–90%offretailprices.
• Some50%ofThredUPshoppersclaimedtheirsecondhandpurchasesreplacedonestheymadeatoff-priceretailers.
• Around75%ofoffpriceshopperslistthethrillofthebargainhuntastheirprimarymotivationforshoppingatoff-priceoutlets,and88%ofre-commerceshopperslistthesameastheirprimarymotivation.
SellersBecomeBuyersandBuyersSellers• Approximately69%ofThredUPsellersalsoshopsecondhand,and
41%ofbuyersalsoreselltheirclothes.
• TheRealRealhasstatedthatthecompanyattractsfourbuyersforeveryconsignerandhalfofconsignersarealsobuyersonthesite.Buyerspurchaseproductsthattheyknowhaveahighresellvalue.
ThredUPhaspaid$58millionbacktoconsignorsellersinthepastfiveyears.
About78%ofUSwomenstatethattheyrarelyfindanythingneworexcitingwhenshoppingattraditionalretailstores.
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
• Overhalfofmillennialsconsidertheresalevalueofanitembeforetheymakeapurchase,accordingtoThredUP.
High-IncomeShoppersJoiningtheActBasedonThredUP’sreport,itisnotjustlower-incomecustomersthattendtoshopresaleapparel.Thedatafoundthatthewebsite’scustomersincludeshoppersfrommoreaffluentdemographics.High-incomeshoppersarethemostlikelytoshopapparelresale,accordingtoThredUP.
• High-incomeshoppersare35%morelikelytotrysecondhandthanlow-incomeshoppers.
• Approximately77%ofThredUPshoppersareworkingprofessionals,71%ownahomeand73%areurbandwellers.
Figure4.NetWorthofThredUP’sMostActiveShoppers,in%
Source:ThredUP/FungGlobalRetail&Technology
MenAreStartingtoShopOnlineasWell• About20%ofTheRealRealshoppersaremenwhoareshoppingfor
themselves,forwatches,leathergoodsandalsoapparel.
• Men’saverageordersizeontheplatformissmallerthanwomen’s,butmen’spurchasereturnratesarelower,accordingtoTheRealReal.
Brick-and-MortarLocations• TheRealRealiscontemplatingopeningaseriesofbrick-and-mortar
stores,withthefirststoreslatetoopeninSoho,NewYork.TheRealRealhasalreadyoperatedpop-upstoresinNewYorkforatwo-weekperiodtoshowcasemerchandise.Thepop-upshopgeneratedover$2millioninrevenueandhalftheshopperswerenewcustomers.
23%
10%
21%
36%
10%
Lessthan$50K $50K-$100K $100K-$250K
$250K-$1M Millionaires
About20%ofTheRealRealshoppersaremenshoppingforthemselves.
High-incomeshoppersare35%morelikelytotrysecondhandthanlow-incomeshoppers.
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DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
• ThredUP’sfounderandCEOstatedthatthecompanyisconsideringsettingupphysicalstores,as85%ofapparelisstillpurchasedinstores.Thecompanymayinitiallytestopeningstoresthroughpop-ups.
KeyTakeaways• Themarketplaceforfashionre-commercecontinuestoevolve
rapidly.
• Theemergenceofsocial-media-type,peer-to-peerfashionre-commerceappsareattractingmoreyoungbuyersandsellerstothere-commercemarket.
• Re-commercedisruptorsareacompetitivethreattooff-priceretailers.
Re-commercedisruptorsareacompetitivethreattooff-priceretailers.
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June29,2017
DeborahWeinswig,ManagingDirector,FungGlobalRetail&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2017TheFungGroup.Allrightsreserved.
DeborahWeinswig,CPAManagingDirectorFungGlobalRetail&TechnologyNewYork:917.655.6790HongKong:852.6119.1779China:86.186.1420.3016deborahweinswig@fung1937.comEvaKubickaSeniorResearchAssociate
HongKong:8thFloor,LiFungTower888CheungShaWanRoad,KowloonHongKongTel:85223004406London:242-246MaryleboneRoadLondon,NW16JQUnitedKingdomTel:44(0)2076168988NewYork:1359Broadway,18thFloorNewYork,NY10018Tel:6468397017
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