The premier e-commerce company FASHIONPHILE (the “company”), which sells only previously used ultra-luxury handbags, watches, and fine jewellery, announced that it has raised $38.5 million in Series B funding, driven by NewSpring Growth, the firm’s dedicated growth and expansion strategy. This round of funding comes after Neiman Marcus made a minority investment in FASHIONPHILE in April 2019, which led to the introduction of the business’ studio drop-off facilities in a few Neiman Marcus stores.
About the FASHIONPHILE
FASHIONPHILE, a pioneer in pre-owned ultra-luxury that was established in 1999, was one of the top ten fashion brands on Google in 2018. The business has a direct buyout strategy, best-in-class authentication, and an endless supply of the most sought-after handbags and accessories. With the help of FASHIONPHILE’s cutting-edge e-commerce technology, unique pricing algorithm, and ground-breaking authentication platform, their groundbreaking retail partnership with Neiman Marcus has sped the luxury lifecycle to a velocity unmatched anywhere else in the world.
This capital will increase operational and geographic scale, allowing them to create regional fulfilment centres both locally and overseas and to further increase their omnichannel presence. With an emphasis on improved automation and artificial intelligence, the money will help accelerate development across the company’s portfolio of intellectual technologies, including patent-pending image recognition technology.
Brief Details
- A 60,000 square foot authentication centre and showroom for the luxury resale store Fashionphile opened last week in New York City’s West Chelsea district, according to a press release from the business. According to the Fashionphile website at the time of publication, appointments are required to see the New York location.
- The area will allow customers to shop the retailer’s selection of high-end handbags and accessories while receiving a behind-the-scenes glimpse at the authentication procedure in addition to hosting corporate offices. Additionally, the facility will have procurement offices where clients can bring their goods to sell.
- According to the press release, the area also has a high-security, climate-controlled storage section nicknamed “The Cage” that houses around 15,000 handbags and accessories, including the biggest collection of Hermès Birkin bags in the whole world. Check Fashionphile Chanel.
Depth Insight:
Fashionphile’s most recent statement aims to directly introduce New Yorkers to the luxury resale purchasing and selling experience. By enabling buyers to witness the verification process first-hand, the shop is also increasing transparency. This technique has led to lawsuits at resale company The RealReal.
In 2019, Neiman Marcus acquired a small stake in Fashionphile, a retailer recognised for its ultra-luxury goods. After that, Fashionphile raised $38.5 million in Series B funding in 2020 with the intention of accelerating its operational and international growth.
Last year, Neiman Marcus included Fashionphile on its list of suggested gifts. Customers may work with Neiman Marcus and Fashionphile style consultants to decide which garments they wished to part with for $345,000 and then fly first class to Fashionphile’s offices to purchase vintage clothing.
The resale market is becoming more and more popular overall, with money going to businesses that engage in re-commerce and big-name retailers entering the industry. Target and Fabletics established garment resale programmes with ThredUp over the past year. In August, Urban Outfitters entered the market by launching Nuuly Thrift. Rebag, a high-end resale company, also raised $33 million in December to help with shop expansion.
According to a ThredUp survey by GlobalData, the U.S. secondhand market is anticipated to more than double by 2026 and reach $82 billion. According to the poll, re-commerce businesses are anticipated to make up 18% of the whole garment sector by 2031. A quarter of shoppers said they would consider purchasing more used clothing if costs kept rising, making the resale market more alluring than ever.