- Angela Gonzalez-Rodriguez |
The U.S. company, which resembles a stock market where sports shoes are treated as stocks, has recently secured 44 million dollars in funding. The retail disruptor will use the investment to expand into Europe.
This new injection of capital increases the company’s potential for marketplace disruption, according to analyst John Kernan. In a research note published earlier this week, Kernan said that the funding round, led by GV and Battery Ventures alongside other high-profile investors, “should help StockX grow its user base, improve the user experience and boost the marketplace's authenticity and liquidity.”
Previous investors in the marketplace include celebrities such as Eminem, Karlie Kloss, Steve Aoki and Mark Wahlberg.
StockX treats its sneakers like stocks, with a bid and ask price for every shoe; a running ticker for every model; and indexes for the major brands. The company’s founder explained in a Detroit Fintech Association meeting in May how he took inspiration from the stock market, which he dubbed the “most efficient form of commerce” for hundreds of years.
StockX is applying the concept to consumer goods rather than equities, Luber further explained, adding that “You literally are buying the Yeezy index instead of the Dow Jones,” when you operate on the platform.
Users are able to buy or sell items immediately at the lowest listed price. Alternatively, buyers can place a bid that individual sellers can accept, with sellers being able to place an “ask” that a buyer can later accept.
StockX tokick off its European venture in the UK
Advancing his intentions for the company’s first European foray, Josh Lube, co-founder and CEO of StockX said in a corporate communication that “It is our ambition that StockX will completely revolutionise e-commerce in the UK, giving consumers access to a huge number of otherwise inaccessible products with the guarantee of complete authenticity and the opportunity for consumers to grow their own portfolio of products.”
StockX takes authenticity very seriously, having opened its first European “authentication centre” in west London where all products will be physically inspected for quality and authenticity before being sent to the buyer.
According to Lube, over eight million people used the platform in the U.S. every month, generating more than 2 million dollars in sales daily.
Regarding his plans for Europe, Lube said: “We are constantly looking for ways to improve the StockX experience and we are excited about the first step of our global expansion, starting with the UK and Europe where we know there is already a thriving and dedicated sneaker, streetwear and luxury consumer goods community.”
Image:StockX official website