The RealReal Provides Holiday Update

SAN FRANCISCO, Dec. 02, 2020 (GLOBE NEWSWIRE) -- The RealReal (Nasdaq: REAL)—the world’s largest online marketplace for authenticated, consigned luxury goods—today provided a business update in accordance with the SEC’s disclosure guidance with respect to the ongoing COVID-19 pandemic.

The RealReal’s business recovery continued in November, highlighted by record monthly new and repeat buyers, an approximately 10% Y/Y increase in 5 day holiday period order volume, and an approximately 3% Y/Y increase in order volume. These improving underlying trends were partially offset by supply headwinds in the Fine Jewelry and Watch (FJW) category, which negatively impacted category gross merchandise volume (GMV) mix and average selling prices in November. As a result of the category mix shift, November GMV decreased approximately 3% Y/Y, an improvement versus the 5% Y/Y decline in October. For the 5 day holiday weekend, GMV declined by approximately 2% Y/Y.

Other November business highlights included:

• New buyers achieved a monthly record and increased approximately 24% Y/Y;
• Retail and Luxury Consignment Office (LCO) supply units shipped momentum continued and accelerated to approximately 51% Y/Y growth versus 48% Y/Y in October;
• Vendor supply units shipped increased approximately 121% Y/Y; and
• Palo Alto store units shipped during its first 10 days exceeded New York Madison Avenue store units shipped in its first 10 days.

“We continue to make progress on our business recovery and were especially pleased with the record number of new and repeat buyers in November, the 24% Y/Y growth of new buyers in November, and the order volume momentum during the holiday shopping weekend,” said Julie Wainwright, founder and CEO of The RealReal. “While COVID-19 continues to present challenges to our supply acquisition, especially in the FJW category, we are optimistic that category mix will normalize as we emerge from the pandemic. We remain focused on making the necessary strategic investments to drive the business forward during the pandemic and to position us for sustained, healthy growth in the years to come.”

The following table represents GMV trends for each month beginning January 2020 through November 2020, with February growth normalized for an extra day:

January

February

March

April

May

June

July

August

Sept.

Oct.

Nov.

Y/Y Growth

28%

30%

-15%