TThe RealReal Has Changed The Market In Admitting That What’s Secondhand Is Gold

“It is reported that thirty-three percent of women have shopped secondhand in 2017, competing with mainstream new apparel. Further, upwards to seventy percent of secondhand shoppers are new to this marketing phenomena. This transformative shopping of woman’s clothing will not be found in stores like Value World or The Salvation Army. It is estimated that the general resale market for all items by 2022, will be valued at forty-one billion dollars. Of that amount, almost fifty percent of the market is secondhand apparel with a tiny percentage, about two percent, in deep-discounting new apparel.

The RealReal secondhand apparel online merchandising business which sells only luxury clothing with present funding of $173 million with the hopes of an IPO. RealReal, which was launched seven years ago, is referred to as a managed marketplace. Julie Wainwright, the CEO, is the RealReal Founder. RealReal only markets secondhand clothing such as Gucci and Louis Vuitton.

She is seeking an additional $100 million in private investment because there is the opportunity to seek a larger market share in luxury secondhand apparel. RealReal receives goods from sellers on consignment and then authenticates the apparel. This authentication develops trust, and the buyer is comfortably wearing an authenticated designer product. Upon selling the apparel, RealReal and the seller shares the profits.

RealReal has branched out to a brick and mortar facility and now sells men’s apparel, including jewelry, Rolex watches, home decor, and art. Branching out to other products satisfies RealReal’s consignor base that wants to place their goods with RealReal. Further, consigning with RealReal upgrades any negative aspects associated with Pawn Shops. The upgrade is accomplished by RealReal establishing valuation offices across the United States which have their gemologists and watch experts.

The manufactures of luxury brands no longer see RealReal as an unworthy competitor because secondhand sellers of luxury drive up the market of all sellers of luxury, both new apparel and secondhand. The success of RealReal is measured by the fact that it has sold items, on a regular basis, for $30,000, $40,000 and $50,000.”

Fabletics Defeats Overwhelming Odds

Fashion isn’t an industry that people get into just because they want to. It’s very difficult to establish a brand name and compete with the powerhouses already dominating the industry. The only way to even begin trying to succeed in fashion is to find a small, unexplored market and dominate that first.

As difficult as that seems, that’s exactly what Fabletics did. Fabletics is an activewear brand that found a way to compete with powerhouse brands like Lululemon. Fabletics was the first activewear company to offer on-trend fashion at affordable prices. It also uses a subscription mechanic combined with a personalized service that makes members feel special.

Despite some controversy over its membership models, Fabletics was able to attract 1.2 million paying members. It also has over 20 million Twitter followers and countless non-sponsored bloggers praising the brand. The most impressive achievement is the 18 retail stores nationwide. Opening physical stores in a digital world isn’t easy.

There are a lot of contributing factors that makeup Fabletics’ success, but having affordable prices immediately comes to mind. Most high-quality brands sell single items for upward of $80 to $100. Most Fabletics members can buy two or three items for about the same amount.

That kind of marketing brilliance is quickly making Fabletics one of the most preferred brands. Being a members-only brand may hold it back at some point, but they use that method to give their customers extra attention. Every month, each member receives a list of outfits Fabletics’ experts predict fits their personal styles best.

With features like that, Fabletics is going to enjoy a big piece of the activewear movement. Last year, the movement generated $44 billion in the U.S. alone. Morgan Stanley predicts that by 2020, U.S. consumers will be spending twice that much on activewear.

As the future of activewear is being predicted, the future of every company is being decided by their customers. Traditionally, companies used marketing and advertising to present the brands to customers however they wanted. Now, a new consumer behavior has given all that power to the customers.

Online reviews, or user reviews, are quickly becoming a source of valuable information for potential customers. People no longer trust traditional marketing, and instead, trust online reviews as though they’re personal recommendations from people they know.

JustFab Introduces Fabletics, A New Activewear Company

Although JustFab was created by two men as a fashion company that would sell wholesale items to their customers, bringing Kimora Lee Simmons on board was an excellent choice because it helped to launch the company into fame and popularity. Kimora Lee Simmons on Facebook already had her own reality series, which documented her day-to-day life as well as showing what a fashion mogul she is. Even though Kimora also had a very famous husband, who is also into fashion and has a very successful hip-hop clothing line, Kimora joining forces with JustFab remains one of the best decisions she’s ever made in her career. JustFab has gone on to be a powerhouse that has several different companies attached to its original name.

One of the most known companies by JustFab is Fabletics, which is a newer company that has the backing of Kate Hudson, who loves activewear. Fabletics is a clothing line meant for active women, who like clothing that they can exercise in, do yoga in, and do Pilates in. Those who want to join Fabletics can simply go to the website, and search around for clothing that they want to purchase, and they can sign up for membership, and the clothing will be shipped free of charge. It’s possible to get an entire outfit for $25 from Fabletics, which is unheard of with many other activewear companies that easily charge that price for a single piece of clothing.

Even though Fabletics is doing great, JustFab hasn’t stopped promoting their other companies, such as ShoeDazzle, which is a pet project of the Kardashian’s, who are a well-known family when it comes to fashion. ShoeDazzle sells all types of shoes that are fashionable and affordable. Another company owned by JustFab is FabKids, which is a great company and website for those who want to outfit their children in great clothing. Many tend to find it hard to find good clothes for their children that are fashionable, and that’s where FabKids comes in, especially since the prices are low in comparison to many other children clothing stores.

All the products that are sold on JustFab websites can be purchased online and will be shipped directly to the person’s home on Youtube, and this is all done for a small monthly membership fee, which helps to keep the prices of the clothing, shoes, handbags, and jewelry as low as possible. Those who shop on the website a lot will find themselves saving an incredible amount of money, which is why many have told their friends and family members about the JustFab websites, and the websites have grown to over 35 million members and counting. Those who want to join JustFab websites should simply go to directly to the sites. Source: https://www.instagram.com/fabletics/?hl=en