Reebonz Announces Positive Sell Back Guarantee Data
Sees increased spend by 80% from buyers that converted to sellers
August 22, 2019 09:00 ET | Source: Reebonz Limited
SINGAPORE, Aug. 22, 2019 (GLOBE NEWSWIRE) -- Reebonz Holding Limited (the “Company” or “Reebonz”; Nasdaq: RBZ), a leading online luxury marketplace and platform in Asia Pacific, announced today that the Company’s new Sell Back and Sell Back Guarantee services have helped increase lifetime value, ARPU, and total spend of approximately 80% of the buyers who took advantage of these services. Reebonz believes that the positive data speaks to the power of the Company’s network effects, and provides proof of concept of the new service.
The Sell Back Guarantee is one of the newer and more innovative features that Reebonz has launched as it seeks to address a gap in the market by easing the process of selling pre-owned luxury products. Customers can trade in their products for Reebonz Credits and use the Credits to make other purchases on the platform. The Company believes this service essentially creates a virtuous cycle with network effects within the Reebonz ecosystem.
Early data shows that customers who have chosen to take advantage of the Sell Back Guarantee services, have generated approximately SGD$2.00 to $2.50 of GMV for Reebonz for every dollar of credit utilized, inclusive of GMV generated by reselling the pre-owned products the Company receives.
Samuel Lim, Co-founder and Chief Executive Officer of Reebonz, commented, “We are extremely excited to share some of our early observations about the Sell Back and Sell Back Guarantee services. It has been encouraging to see that the number of credits issued have approximately doubled every quarter since launch. Our users are realizing that there is real value in their closets in the form of pre-owned products that they don’t use anymore. They are able to update their collections quickly by selling items and buying new products with a combination of cash and credits. Some of our customers have already used the Sell Back Guarantee over 5 times since launch! As we convert more buyers to sellers, and sellers to buyers, we believe we can achieve a clear path to profit with high quality repeat customers, and the ability to aggregate more inventory and sellers. The Sell Back Guarantee is still in its early days, and we continue to be in an experimentation and expansion mode. However, we are excited about the early results.”
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