The RealReal is a luxury consignor that has decided to invest in more retail store locations after its launching of a New York-based brick-and-mortar store. Allison Somer, the director of marketing for The RealReal termed 2018 the year of the pop-up for the company and commented on the fact that stores help to make online brands more legitimate. The idea for The RealReal is to test new markets with new stores, and part of the reason for the decision is the fact that average brick and mortar store orders are much larger than online orders. The RealReal also had some success with two pop-up stores that it launched in San Francisco in November, and since they opened the stores, online purchases have increased in the San Francisco area five-fold. This has encouraged the company to open a Las Vegas location as well as more to come in 2018.
The RealReal’s website currently has 7 million members that are located all over the globe, but the company has expressed that its real challenge comes from trying to introduce itself to customers who are not aware of its model. Allison Somer revealed that many of the new sellers that come to The RealReal have never consigned before, and she also expressed the fact that the new brick and mortar locations have encouraged more people to give consignment a try. The company has plans to continue expanding its reach through its online properties and its rolling out of more pop-up stores.
The RealReal is a San Francisco company that has been around for six years that offers its customers a platform for finding high-end, authentic items that are up for resale. The company has been supported with $50 million in funding that came from Great Hill Partners, which is a private equity firm. With over 800 employees, the company is focusing its efforts more on its branding and has opened offices in Washington D.C., New York, L.A., Chicago, and, of course, San Francisco where it is headquartered. The company has decided to move into the retail store sector, as well, and opened its first one in New York.