Rebag , an online resale market for high-end bags, is getting another infusion of capital as it prepares to broaden its offline retail operations. The business today revealed $25 million in Series C financing, in a round led by personal equity company Novator, with involvement from existing financiers General Catalyst and FJ Labs.
The round brings Rebag’s overall raise to date to $52 million.
Rebag takes on other high-end products resellers, like TheRealReal, and to some degree with more comprehensive resale markets like ThredUP or Poshmark, which likewise bring in consumers seeking to purchase quality secondhand products. And it exists along with big markets like eBay, along with rental stores like Rent the Runway, which uses an alternative to a website focused just on purses.
In truth, Rebag creator and CEO Charles Gorra invested a quick duration at Rent the Runway prior to delegating begin Rebag in 2014. At the time, he stated he saw an instant chance to not simply lease the products, however to really resell them on a secondary market.
Today, Rebag’s store offers bags from more than 50 designer brand names, consisting of all the majors, like Chanel, Louis Vuitton, Hermes, Gucci and others.
However, in the years following Rebag’s launch, the business has actually broadened its offerings beyond simply online resale to consist of brick-and-mortar retail and, more just recently, a service called Rebag Infinity , which permits buyers to kip down any Rebag bag purchase within 6 months in exchange to get a credit of a minimum of 70 percent off their next purchase.
Last year, Rebag made headings in the style world for offering the unusual Herms White Crocodile Himalayan Birkin collectible usually a bag that costs more than $100,000 for “simply” $70,000, to commemorate the opening of its 57th Street and Madison Avenue shop, its 2nd Manhattan flagship place.
With the brand-new financing, Rebag will broaden its offline footprint, it states. The business presently runs 5 shops in New York and L.A. however prepares to introduce 30 more places in the “medium term.” This will consist of both standalone stores, along with existences within high-end shopping malls.
It’s typical for resale markets nowadays to take their items to offline consumers. TheRealReal , Rent the Runway , ThredUP and others all today use real-world areas, where buyers can search face to face rather of simply online.
Rebag states because it opened its stores in 2015, it moved from being a 100 percent digital operation to 80 percent digital and 20 percent offline. Its sourcing network likewise grew to consist of more than 20,000 stylists, sales, partners and consumers partners.
With the financing, Rebag includes it will likewise fine-tune its rates and bag assessment tools targeted at standardizing the resale procedure, something that might represent another organisation for the brand name (or make it appealing to an acquirer).
“We are an innovation business initially, ” kept in mind creator and CEO Charles Gorra, in a declaration. “Our objective is to end up being the requirement for the high-end resale market, much like Kelley Blue Book is the primary resource for the vehicle market.”
The business prepares to triple its group of 100, which today consists of more recent employs CTO Jay Winters (Delivery.com, Goldman Sachs) and CMO Elizabeth Layne (Bonobos, Appear Here).
Rebag does not share its difficult numbers about sales, earnings, appraisal, consumer base or others, however informed us it has actually tripled earnings because its Series B.