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The RealReal Competes for the Decisions Behind Luxury Purchases

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The RealReal Competes for the Decisions Behind Luxury Purchases

Luxury resale platform The RealReal reported record quarterly GMV, revenue and orders for the third quarter, prompting it to raise its full-year outlook, according to the company’s Q3 earnings call Thursday (Oct. 29). Revenue increased 19% year over year while GMV grew 23%. Adjusted EBITDA margin expanded 290 basis points, reflecting stronger operating efficiency even as the company invested in marketing and customer acquisition.

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CEO and President Rati Levesque said the results reflect a broader shift in how consumers approach luxury fashion, with shoppers using the platform to discover products, assess resale values and decide which items to sell.

“That is the new operating system for luxury ownership, and we are building it,” Levesque said.

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The company is working to strengthen that relationship by attracting new buyers, expanding its supply of luxury goods and improving the shopping and selling experience through technology. New buyers grew more than 20% in the third quarter, while buyers who had been with the platform for at least five years generated 47% of GMV. Gen Z remains its fastest-growing customer group, with buyers in that cohort increasing more than 60% since 2023.

Technology is playing a growing role in that strategy. The company’s AI-powered Athena system is expected to process nearly half of all items by year-end.


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