In the sneaker market, brands such as Adidas (ADDYY), New Balance, and Hoka are gaining popularity. However, not all sellers can be trusted. StockX CEO Scott Cutler joins Wealth! Discuss the platform's anti-fraud efforts.
Cutler points out that the U.S. secondary market is projected to be a $70 billion market by 2027, with half of the transactions taking place online. He emphasized StockX's goal to protect against fraud by “physically inspecting” every item sold, and said it rejected more than $600 million worth of items.
The catalog includes more than 200,000 products, and Cutler takes great care to ensure each product is “as described” to maintain the integrity of the platform and consumer trust. It emphasizes the importance.
For more expert insights and the latest market trends, click here to watch the full episode of Wealth.
This post was written by angel smith
video transcript
– Finding the perfect pair of sneakers will take your fit to the next level. So what about sneakers as an investment? We sat down with StockX CEO Scott Cutler to discuss the latest sneaker trends, tips on how to get the most out of your sneaker investment, and how to avoid counterfeits. A good friend of the show.
Scott, I mean, first and foremost, we have to talk about the spinning shoe behind you. In other words, I think some kind of magnet is at work. Tell me exactly what's going on in the cheetah samba behind you. Also, if someone wants to become a seller on StockX, what are the top tips you would look for to be successful?
Scott Cutler: Well, I decided to highlight for you Wales Bonner's collaboration with Adidas on the Samba silhouette, which was one of last year's best-selling products. Yes, it's very cool, it's spinning behind me. This just highlights some of the trends we've seen in this market. It's the rise of Adidas, non-Yeezy, New Balance, Hoka, On, Ugg, and Crocs that are becoming increasingly popular among the demographic on the platform. But as I'd like to share with you today, we're also doing a lot of work around anti-counterfeiting and anti-fraud efforts to make sure this great product gets into the hands of the right consumers. I went.
– Let's talk about that now. How is StockX crushing some counterfeiters? This is always a big concern when you go to a resale platform or a platform where you can buy something you've already bought at a retail store and you're trying to validate not just the experience but the actual product that someone is reselling. Too.
Scott Cutler: So we need to take a step back and realize that the US used market alone is projected to be a $70 billion market by 2027. About half of that is online. That's why we've strived to continue to differentiate ourselves from other marketplaces by physically inspecting every item sold on our platform.
And since we launched, we've verified 55 million products and rejected over 600, sorry, $600 million worth of products on our platform. So it's very important that this report is able to highlight the work that we're doing with technology to not only prevent defective products from entering the market, but also to prevent bad actors from actually getting in. Even when going up to the platform.
– Yes, absolutely. That said, this platform also has a long list of luxury items. People want to make sure it's authentic, authentic. How do you see all those luxury listings? What are the hottest luxury listings on StockX right now?
Scott Cutler: So when you look at the whole luxury thing for us, it obviously includes sneakers and apparel and accessories. Our catalog features over 200,000 of his products. And a key part of that process is actually using the technology to verify that the products being sold on the platform are exactly as represented. The use of this technology has resulted in 325,000 items being denied access to consumers in the last year alone.
And when you look at their use of technology, they've incorporated industry standard things like RFID label scanning into the verification process to ensure that the product still doesn't get into the hands of consumers. Once again, this product represents the best brand in the world. Therefore, given that the second-hand goods market is so important to consumers, we think there is an opportunity here to further collaborate with brands and marketplaces and raise the standards of how marketplaces do things globally. .
