The Realreal Temporary Closure (2024)

FAQs

What is The RealReal controversy? ›

In the filing, Chanel alleged that The RealReal sold at least seven counterfeit Chanel bags on its website, challenging The RealReal's claim that its in-house luxury experts authenticated each item as genuine Chanel products.

While it reported a net loss of $168 million for the year on revenues of $549 million and $1.7 gross merchandise value, the loss gap narrowed from $196 million last year, so the company is finally moving in the right direction.

(iii) If an Accepted Item has not been Sold by the end of the Consignment Period, We will contact You and, at Your option and Our expense: (A) return the Accepted Item to You, in accordance with the terms of the Return Policy, or (B) re-purpose or donate the item to a charity of Our choice.

On June 28, 2019, The RealReal went public on Nasdaq under the symbol REAL and raised $300 million during its IPO. On June 22, 2022, The RealReal announced that its founder and CEO Julie Wainwright had stepped down. The company appointed President and COO Rati Sahi Levesque and its CFO Robert Julian as interim co-CEOs.

TRR expects the highest standards of ethical conduct in all of our endeavors. Supplier shall always be ethical in every aspect of its business, including relationships, practices, sourcing, and operations.

The RealReal is the world's largest online marketplace for authenticated, resale luxury goods, with more than 37 million members. With a rigorous authentication process overseen by experts, The RealReal provides a safe and reliable platform for consumers to buy and sell their luxury items.

RealReal's analyst rating consensus is a Moderate Buy. This is based on the ratings of 5 Wall Streets Analysts.

The RealReal's Authentication Process

We are one of the only resellers that takes possession of every item we sell, physically evaluating each one; all items are put through a multi-point, brand-specific authentication process.

“In the fourth quarter of 2023, The RealReal delivered positive Adjusted EBITDA and positive free cash flow. These are historic milestones and firsts for the company since our IPO in 2019. Our strategic shift to re-focus on the consignment business is delivering strong progress in our results.

To return eligible items, you must request a return within 14 days of in-store purchase or original shipment date, and return the item(s) within 21 days of in-store purchase or original shipment date. Items received after 21 days may be eligible for consignment (excluding beauty).

What percentage does The RealReal give you? ›

We handle everything from expert authentication, copy writing, and photography. Thanks to 25+ million shoppers items sell faster on The RealReal. Earn up to 85% of the sales price. That's 3 times more than other resellers.

When you trade your items, you will receive payment upfront (within two weeks) in the form of The RealReal site credit. When you sell your items, you will receive payment upfront (within two weeks) by direct deposit.

The RealReal is a luxury fashion reseller, meaning that all of the products are considered second-hand, having been owned by another consumer before arriving at The RealReal.

I contacted The RealReal about these authentication concerns, and the company invited me to tour its center in Secaucus, New Jersey, where it receives, authenticates, prices, posts and ships products.

In-network, our vision insurance covers up to $25 for lenses and $150 allowance for featured-frame brands. We partner with Modern Health and offer up to 6 coaching sessions and up to 6 therapy sessions.

The RealReal has struggled with selling counterfeits, was sued by Chanel and settled an $11 million dollar class action– which had been led by one of their own investors.

The RealReal's Authentication Process

We are one of the only resellers that takes possession of every item we sell, physically evaluating each one; all items are put through a multi-point, brand-specific authentication process.

The RealReal demographics by department

30% of The RealReal employees are male and 70% of The RealReal employees are female. The most common race/ethnicity at The RealReal is White. 52% of employees at The RealReal are White.