What: Vestiaire Collective is launching a community equity fundraising round in partnership with Crowdcube, aiming to raise a minimum of EUR 1 million.

Why it is important: The company’s community equity fundraising and strategic shift towards profitability and IPO represent a significant evolution in the luxury resale market, emphasizing sustainable fashion and customer engagement.

Verstiaire remains resilient in the fluctuating luxury market, benefiting from both the luxury boom and downturn. It plans to expand its market share in the U.S. and focus on increasing the share of ready-to-wear and shoe categories.

The company’s strategy includes acquiring U.S.-based platform Tradesy and targeting lower price points to attract new customers. The company aims to hit profitability before its IPO, positioning itself ahead of competitors like The RealReal and Poshmark.

CEO Maximilian Bittner highlights the company's approach to profitability, with recent internal fundraising and plans for an IPO. Vestiaire Collective has seen significant growth, with a 25% revenue increase in 2023 and a doubling of gross merchandise value and sales over three years.

Bittner emphasizes the company's commitment to sustainable fashion and community engagement, with initiatives like becoming a B Corp and issuing impact reports to reinforce its message of sustainable reuse of clothing.

Vestiaire Collective launches community equity fundraising round