Vintage fashion resale site Vestiaire Collective reviews its sales commissions
today Apr 9, 2019
From April 10, French pre-owned fashion resale site Vestiaire Collective will overhaul its commission structure, notably introducing a €15 ceiling for articles sold below €150, and a €1,500 ceiling for articles sold for over €7,500. The changes would enable Vestiaire Collective to respond to a frequent criticism aimed at its product catalogue, and to attract new sellers.
Vestiaire Collective was launched in 2009, and currently claims to carry a range of over 900,000 articles, with 3,500 new ones introduced daily, and has a community of 8 million consumers across 50 countries. One of the site’s exclusive features is the ability to verify the authenticity of the items on sale through resident experts at its Paris, London, New York, Milan, Berlin and Hong Kong offices. Such expertise and geographical reach have a price for the site’s sellers, to whom the new policy is directed.
For example, Vestiaire Collective told FashionNetwork.com that, from April 10, a shirt previously sold for €100 will now be priced at €75, plus a €2.99 transaction fee. There will be no change for the seller, who will still receive €60. In future, sellers who set their own prices (except for the Conciergerie consignment sale offers) will need to update the prices themselves based on the new system. Vestiaire Collective will apply the highest commission on products sold for between €151 and €2,000, on which the commission is 25%.
“This commission restructure is one of the first major changes I wanted to impact the business since joining Vestiaire Collective at the start of this year,” said Maximilian Bittner, the new CEO of Vestiaire Collective. “This significant drop in commission will encourage more sellers to the site, knowing they will be able to sell their item at a fast rate whilst also making a strong profit. I believe that giving our users more direct value is the most powerful medium to keep them engaged and excited. This is a significant moment for Vestiaire Collective as we continue to ensure we remain the most desirable global resale site for must-have pre-owned fashion,” added Bittner.
In the past, Vestiaire Collective had to regularly defend its commission structure with its C2C sellers, notably in comparison with direct competitor VideDressing, a second-hand fashion website with a mass-market positioning, recently bought by LeBonCoin. VideDressing doesn’t apply a commission for articles sold below €150, then applies a 15% above that threshold, up to a maximum of €300.
Copyright © 2019 FashionNetwork.com All rights reserved.