How The RealReal Went from Slow Start to an IPO

The RealReal is one of the world's leading luxury consignment websites, but it wasn't always that way. When the company launched in 2011, it was slow out of the gates and faced stiff competition from several other luxury resellers. I joined the marketing team in 2012 and was tasked with building a team, reducing customer acquisition costs (CAC), and increasing lifetime value (LTV). We recruited some of the best and brightest minds in the industry. We accomplished many of these feats, but by 2016 we were hitting a wall and competition was at our heels.

Our digital agency, at the time, recommended broadening our funnel beyond Google and Facebook and expanding our awareness. Even though we were doing well in terms of revenue, we had less than 2% awareness in our target market. We were battling the competition for the same pool of customers on digital. As a result, we made the investment in testing TV advertising, and the rest is history. In 2019, we took the company public and today The RealReal is the leading and most recognized luxury resale platform in the world.

If you're facing challenges in your business, with the right strategy shift you can find the next leverage point in your business. Disclaimer: Not all TV execution is equal. 

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