In 2011, The RealReal started their online presence selling consignment items. After having much success with their online store, they ended up opening a permanent location in New York. Recently, they have decided to open a second physical location. This is during the time when many e-commerce brands are looking to take over the physical locations of many bankrupt brands such as Rue21, Toys R Us and RadioShack.
The second store for The RealReal will be in Los Angeles. Lately, the company has also been testing many pop-up locations around the country to test viability. They have completed a Series G financing round which brought in more than $116 million to use towards expansion of their company and to open more physical locations across the country. The founder and CEO, Julie Wainwright, spoke of the company’s success and future plans recently with CNBC.
Many department stores are struggling these days to offer their customers unique shopping experiences like The RealReal. The company puts itself above other competitors by offering a variety of high-end brands to luxury shoppers that love to treasure hunt for good deals.
The CEO wants her company to change people’s idea of what consignment shops are like. They are not just for people who are poor or have no money to spend on brand name products at full price. Wainwright says consignment stores can be for anyone and she personally knows rich people who also love to shop consignment. People of all income levels love to find good deals.
The new location in Los Angeles is going to be located on the famous Melrose Avenue. It will be in close proximity to other well-known retailers such as Glossier, Nordstrom and Away. This new location is going to be at least triple the size of their first location in New York. The spacious 1,500 square feet location will have plenty of room for displays and a small food court that will serve things like coffee, pastries, salads and pressed juice for the customers to enjoy while they are shopping around and looking for great deals on luxury brands.