One thing about social media algorithms is that you watch something once, and it stays with you.
You watch something twice, and suddenly, it becomes your whole personality. Thus, it is thanks to the latter that the question at hand is being asked.
What is going on with the luxury resale platform The RealReal?
Early last month, an attention-grabbing video dated February 3rd, emblazoned with The RealReal is Fake Fake, gained traction on TikTok, garnering over half a million views with an engaging audience leaving a whopping 1,860 comments.
A Real Scam?
The 2-minute, 50-second video was posted by a consigner who sent in a brand new with tags unworn Zimmermann dress to sell on TRR (retail $2,100). Following her original video, user @sage__haley chronicled her experience in a series of 4 videos of what ensued during the selling period and thereafter with customer support.
She explained how, over the course of 6 weeks, the selling price of her dress continued to decline, including after one buyer returned the dress to TRR, this time in worn condition, resulting in a commission of only $184.
After various communications with TRR’s customer support team and attempts to right the wrong (they offered a $50 credit but eventually sent the seller the dress back, one that, ironically, was the incorrect size), the experiences still left the consignor at a monetary loss, and a pact to never again sell to TRR.
While, yes, bad experiences do happen from time to time, this consignor is not the only seller to swear off TRR.
In fact, the swarm of comments this user received is packed full of other bad experiences. Not to mention, the app itself has become a dumping ground for story times laden with quality issues, supposed fakes, and selling prices that seem too bad to be true.
Can The RealReal Get It Together?
This isn’t the first time TRR has come under fire; in fact, The Cut published an expose back in 2022, yet the bad experiences have continued. Still, the company promises its profitability, having undergone a complete overhaul of its business model.
That overhaul is all about efficiency and better operational practices. Two things that COO Rati Levesque explains are setting up TRR for a bright future, telling Forbes, “Our business has always been about sustainability and keeping goods out of landfills. But our P&L wasn’t so sustainable. Now we can double down on the sustainability message all around.”
Founded in 2011, The RealReal announced its IPO in 2019 and recently made headlines for reporting profitability for the first time since going public in 2019. Still, its business relies on not only its buyers but also its consignors, who provide in-demand products for sale.
In the age of social media, a few viral bad experiences are enough to halt even the loyalists. Though TRR has reported that business is on the uptick, with its reputation consistently under fire, can The RealReal, which has its sights set on retail growth, stay afloat?
This is tough spot for TRR. I don’t re-sell anymore because I’m always disappointed by the time, effort and financial return involved. I never get as much as I think I should price-wise. I also hate how much prospective re-sale prices was influencing how I shopped. I’ll be honest – I don’t care that it’s new with tags or what the original purchase price – I would not even consider the dress described in the article until the price hit $500 or less. It’s the seller’s choice to buy new at such a high price – as the buyer, I’m happy to help the seller recoup some of the cost – but I don’t feel any obligation at all to subsidize anything near all of it. Now – how the return of the merchandise was handled by TRR is undoubtably bad and cannot be defended.
It’s interesting to read the comments both complaining about the returns policy and then also bemoaning items that aren’t able to be returned. And to see as a buyer you want the deal but as a seller you are dying for more money. I think ultimately the secondary market is full of dichotomies that will NEVER please both sides of the industry and there is little true competition when it comes to reach, payouts and eyeballs on the company (being publicly traded). Agreed that the service and operational aspects seem to use work but I think we should be taking a step back and looking at ourselves –the consumer and reseller – and remove some of the anger as its simply just how it is. Brands price items sky high to cover Madison Avenue flagships and high marketing spends and influencer gifting and the true intrinsic value of the materials is so low in comparison and the secondary market highlights this. I just think this forum could use a bit of self reflection. As can TRR of course in regards to the experience. But the market is out of their hands.
I think alot of the “complaining” and ‘bemoaning” comes from the unethical behaviour of The Real real and its staff. The lying and hiding the truth and giving customers the run around doesn’t sit well with folk. People are looking for fair and The Real Real isn’t delivering this. When this isn’t being delivered people get angry and it’s often justified.
I agree completely; very dissappointed as they are NOT trustworthy. Refunds as not timely despite, having confirmed receipt of returned item.
This is completely true and why I don’t resell anymore. Sellers and buyers are naturally at odds over pricing, returns, etc. I think TRR really needs to have a different level of service for high-value items (provide some additional services, like provide a pricing estimate for the item before accepting it for sale, giving a firm schedule for price reductions and clear instructions/windows for returning items to the seller). And when it comes to returns, I think a lot of secondhand shoppers ignore prohibitions on returns – and sites like TRR are notorious for bending those rules – so when they do finally stand firm, buyers get mad. They need to be consistent (and have tight controls on their inventory and photos of items as the enter the shipping process).
If anyone can learn from her experience and also mine they should take heed. I purchased a Chanel Boy bag, from TRR, that was not in the “new” condition they stated or pictured. It had scratches, worn corners, etc. I contacted them and despite their policy of “no returns” they would “make an exception because I was a good customer” & so I returned it. This is where the real nightmare started. I tried for 2 months to get my money back only to talk to several people who “promised it would be refunded soon”. I took down every name, dates & times I called, etc. but to no avail. Finally, I told them to return it to me and within 3 days I received it back. Then, 2 weeks later I received an email that I “could return it for a full refund”, but I had already sold it to FP at a significant loss. I’m a seasoned shopper and seller, but this situation was ridiculous & can’t be unique to only a few people. Needless to say, I never sold or bought from them again.
I was duped also. Bought a Chanel bag that was in very good condition. When I got it the handles were worn out and split. Of course, no return unless you “buy “ the warranty! So now I am stuck with a bag with torn handles. They also have a bag for me to sell for 2 years. Nothing.
That’s terrible! Also, can you sell your bag at Fashionphile (FP)? They are fairly quick to respond and have a buy out program, if you’re interested. Or, Anns Fabulous Finds (AFF)?
Thinking of getting my 2 year not sold bag back from them. Then selling a few others I have also somewhere. Maybe I’ll try FP. Thanks.
Just the fact that they don’t accept returns has kept me away. Any reputable company accepts returns.
I have consigned quite some items with them. Talking about returning, they don’t accept returns for high-price bags (I think lately they changed this policy with buyers paying quite some fees to gain the rights for returning) , but their 21-day retune period for regular items is very unfriendly to the consigners. What if buyers wore or carried the items then requested the return after their usage? I have sold a brand new with tag Chanel brooch, they listed with Very Good condition and sold it. Buyer returned it, then they marked 30% off afterwards. TRR charges significant amount of commissions, not to mention it took them 3-4 weeks to list it. I am done with TRR.
But sellers – especially of high value items don’t want platforms like TRR to allow returns because a handbag being shipped back and forth is going to constantly risk damage or loss and as a result, likely lose value. I would never consign a bag with a platform that allowed returns for this reason.
Same. My experience hasn’t been too terrible. Sold and bought from them. Though, my recent experience with my YSL bag was in as new condition (only used once) and they sold it for less than expected and on their website marked the bag as good condition even though it most certainly was not. But I didn’t get too significant of a loss. But I told myself I won’t sell with them for a while.
Same, totally agreed
I haven’t looked at their site in years. I just tried to look, why do I have to sign in to even browse? No thanks.
I must be very lucky because I’ve only been disappointed once with the site. It was my fault, and I should have done a better job with reading the description.
Buyers and sellers have two different goals in mind. I don’t sell…period. Too much of a hassle. As from a buyer’s perspective, I’m looking for a deal. I don’t care what a retail price is. I also think that this is where the problem lies with secondhand sites/businesses. Also, a lot of sellers are delusional (for lack of a better word) about the value of their used items to other people. Secondhand shoppers are a lot more savvy than people think.
Finally, don’t get it twisted. This is not just happening on The Real Real. I’ve seen plenty of complaints about Fashionphile and their pricing as well.
I have been both a buyer and seller at TRR for several years. I’ve had had many positive experiences with their customer service team. As a seller, I am happy that they don’t offer returns on bags. I think this helps to deter you tubers and influencers who buy items, video and photo them and then return the items. I don’t want someone jerking wide open one of my bags to show how dark the interior is or just in general misusing the bag because they know they aren’t going to keep it anyway. My favs KWShops and MinksForAll actually own and use their items. This past week I consigned an Alma BB and I got an email asking me to confirm the price before it listed. The email said there were four brands they were doing this on now, and one of them was LV. I had bought the bag from Rebag, and I made a little more money by selling it on TRR than I would have by consigning it back to Rebag. I also take pictures of the item and any collateral such as dust bags before I send the item in. I’ve had several occasions where the listing details were incorrect such as the collateral was missing, and I was always able to resolve the issue as long as I was willing to send multiple emails and follow up regularly. I don’t expect to make money on an item that I have not had very long. Bags are just like cars IMO. Unless I am willing to hold them for a very long time or I just snagged a low purchase price, I am likely not going to make money. BAGS ARE NOT INVESTMENTS! As a buyer, I spend some time researching items on other sites and on YouTube before I buy. I carefully examine the pictures of the item and ask questions before I pull the trigger. I asked a question once about the color of a bag and they even pulled the item and sent me some more close-up pictures. As for authenticity, I’ve never had an item authenticated, but I’ve never received anything that looked questionable to me. I mostly buy a few seasons back or vintage bags so fakes maybe weren’t done as often in the past? Also, by not allowing items to be returned, I think the prices are a bit lower on TRR than on FP or Rebag. Although they have recently added the option to pay a fee and be able to return the bag. Even adding this fee, I still find that in general, their prices are better than other sites. So overall I have had more positive experiences than negative, although I can tell that they are tightening up on how they handle purchasing issues. I plan to shop and sell with them in the future.
I’m with you…..I have been a member since 2016 and have had way more positive experiences than not. I’m pretty happy with their commission on item sold over $200 as I’m a VIP. However, if you send something that’s under that, then the commission is not that great. I’m usually happy with when my bags sell since that’s where I see the biggest return. If I have anything that’s going to sell for less, I’m better off just bringing to a consignment store near me and get 50/50 split. I’m always happy to get a designer bag for not a lot of money though….so we can’t have it both ways I suppose. You have to look at it this way, you already spent the money, at least you’re getting something back, right? You just have to keep watching your stuff and see what the prices are being reduced to so if it gets below a certain amount, you can always ask for it back….but you have to be checking the ‘my sales’ page all the time.
Agree. It is better to check on items regularly if you have a strong feel for how much commission you’re willing to accept. I’ve requested items to be returned if I am not pleased with the original selling price, or I don’t want the item discounted. I’ve never had an issue in doing this.
I have been a TRR member since 2012. What started as an interesting business model with good customer service has devolved into a hot mess. My last experience sums up the ever increasing problems with this resale site. I recently consigned a new in box chanel 19 in pristine condition. Since I consigned in person, I had the valuation that showed it was in pristine condition. A few weeks later it was listed as being in very good condition. When I reached out to see how a pristine bag with tags (when it left my hands) ended up in very good condition, I got the run around from several people who never answered my question. Ultimately the bag was listed in excellent condition and sold in less than 12 hours. I no longer trust TRR with high value items. Not worth the headache.
I’ve consigned and bought from them for years and stopped for awhile. I recently started again and remembered why I stopped in the first place. The commissions are insanely low. I stalk the site so that as soon as something is listed and the price is low I ask for it to be returned since I give them NWT items and get a commission of $10-20. Also, they allow items to be returned multiple times which results in wear and tear on your item! I am over it. It’s a full-time job looking after your items. They have underpriced and sold many of my items resulting in large losses in NEW items.
As a buyer, I rarely receive the correct item and only shop if I have a consignor credit. I suspect they will be going out of business within the year.
My recent experiences as a seller have not been good. Sent a pair of Ippolita earrings to sell. Were posted with replacement backs and no pouch. I sent them in with the original backs and branded pouch. I am positive. I take impeccable care of my things. I still have no explanation from them on what happened. Of course, this impacts the sale. This is just one of several mishaps lately with them. I used to really trust them but not lately. Their offshore customer service is a nightmare. Makes me sad.
I’m the same with my things and they’ve sold some of my items without original parts, such as a bag insert. I’m just about done working with them 🙁
TRR is for sellers whose time is more valuable than their money. The sellers want to get rid of items but don’t want to go through the work of posting, selling, and shipping themselves. So they’re ok with a bit of money because TRR is saving them time and effort.
If your money is more valuable than your time, DO NOT sell on any major resale site including TRR. It will severely cut into your margin by only giving you 10-25% of the retail price. They’re trying to sell quickly which means they will drop prices. Sell on eBay or FB groups instead with the understanding that you’re taking on the work of essentially a small business owner.
Well said!
Have had terrible experiences recently with TRR: a pair of Prada shoes incorrectly listed as women’s when they were men’s, mistakes in my own listings as well no matter how many emails/conversations I have with customer service.
At least now many bags offer return guarantee– overpriced, but you can get something verified.
If they don’t get their act together, I suspect they’ll go out of business.
I am done with them. Their service is terrible. Twice I have bought things but received the wrong item. I have received items I didn’t order. They have processed returns I didn’t I ask for….like I still have the items but they marked them returned. They have credited me for sales that are not mine. And it seems like items don’t sell unless they are marked 50% off or more. I am done. I have a $300 to use and then I am done with them. Hopefully they send me the right item.
This does not sound accurate at all.
I sent a Valentino dress $3,900.- retail worn once in excellent condition and still on the various websites for that price . 3 weeks later I get a commission for $241.80 it had sold for 372.00
something is up !!!! BEWARE
I’ve been a VIP RR customer for many years. I’ve been extremely disappointed since the takeover for a myriad of reasons. Bottom line is the company is increasing their revenues at the expense of both buyer and seller. Often the changes are subtle but they all benefit the company. So many examples but don’t have room to enumerate.
With others here, so many experience hard to recap.
1) As to no returns for handbags, when consigning, at least once it is purchased, I am not worried about a fake or worse than consigned condition bag being returned. As a buyer, I believe part of the company decline was numerous people took advantage of the buy up front pricing that was available for a period of time for certain handbags and price points. With that came a flood of items and sadly fakes and super fakes. I purchased a bag which a seasoned eye could identify was a super fake. Ultimately it got rectified. I am now very careful and limit to only considering unique, unlikely replicated bags.
2) As to clothing/returnable items, I get charge a fair shipping price and try to reduce multiple returns, returns from doing a review, and wear it once returns. The exorbitant shipping and return fees have limited my purchases. Hard to purchase clothing online as it is. Even harder when consigned clothing might have been altered, or listings/measurements are inaccurate. Buy a $100, $200 item and it costs $14.95 each way if I return it… pass.
What once was a great place has given me far more reasons to stop buying and consigning with them.
I don’t think it’s a good sign that they’ve placed adsense banners both on their website and in their app. Makes me think they’re desperate for additional revenue. I’ve never sold to them, but I’ll purchase if I find a great deal. I mostly stick to jewelry or eyewear.
I refuse to buy or sell from The Real Real as I think their standards and authentication processes are non-existent. But I think Vestiare Collective is just as bad if not worse. I purchased a bag listed as never worn. When I received it, it appeared to have been painted and was heavily stained. Vestiare finally agreed to accept the bag back, but instead of refunding my money, they determined the bag was as described (I should also note the holographic sticker had fallen off and appeared to have been glued on from another bag). Then Vestiare listed the bag in my account for sale without my permission, and described the bag as never worn. There are some YouTube videos, such as Super Dacob, where other people have had the same experience. I will never shop with Vestiare again!
I don’t trust TRR or the fashionphile. I looked into consigning with them several times, but changed my mind after doing a little research and finding the information like presented in this article. I always end up consigning with my local consignment shop. It’s way safer, I can always come in, see my items, get updates and take the items back if the price isn’t to my liking. I also believe it’s better to support a local small business vs. sending your items to a black hole.
I have consigned with them on and off for years with mixed results but I haven’t found another comparable site (and honestly not done any research either). Anyone working with other companies that are treating both consignors and buyers well?
Try Labellov in Belgium.
Oh boy, TRR has been in decline for awhile now. I’ve sold THOUSANDS of dollars in designer goods and depending on who you get, the selling price can be way off. An example: a Dior sweater that was in season and retailing for about $2,000 was priced at around $200 on site, meaning after commission, I got about $140 if memory serves me correctly. Another time I had them sell a Fendi dress. When they marked the dress down so heavily, I asked for the dress back. They complied via email but then sold the dress anyway! I had to fight tooth and nail to get my money back.
Then, I had two experienced buying Fendi sweaters and they were very, very FAKE! I mean, obviously fake. The tags inside said they were made in India.
I also went into a location a few weeks ago to consign some handbags and give the site another shot. This will be my last shot. The handbag expert was quite knowledgable and kind, but did not budget on price for a very high-valued, coveted LV bag. He cited it selling for XXXX on another website and said the market had spoken. I find this to be complete BS as he didn’t take into account condition (mint) or the fact it would be the only one on the market.
Ultimately, you can see how disappointed I am with TRR and plan to use all my remaining credits and be done with it ASAP!
It’s important to realize that the goals of TRR (and similar online consignment shops) and a consignor are actually at odds for each other. Most consignors would actually like it to sit on the site for a few months in hopes it well sell at a high price, whereas TRR would rather have it sell faster for cheaper because all they care about is volume.
For example, I had an new, unused, bag that TRR said they’d initially list at $2400. It was too low for me. I put it on eBay, and eventually sold it for $3300, but it took two years. I was happy to wait 2 years, but no consignee will.
Now this was maybe an extreme case, but it’s exactly the same reason why that TRR will price it low, and make prices cuts quickly and swiftly. They just want it out the door.
I have been a seller, and buyer, there since winter of 2015 And was very happy for a long while. Lately, not so much. As a seller I am seeing the changes and not for the better. Price points are all over the place! One item they price far below value and basically give it away. The next item they overprice, and it sits for months on end.
I have my wonders if some of the employees are using items before they are listed. I had shipped a brand new pair of shoes off and in the photos they are clearly worn. I know I have never worn them, they were the wrong size and I got very ill and missed the retailers return window.
I had a lot of good to say about TRR and a friend shipped a dozen items in and three items went missing. A coat was listed as a mans small when it was a womans small. Another item sold three times and was returned twice. Last time it sold she got a whopping 3.00 commission.
My other complaint is the damn plastic bags they now use! I had a brand new with tags Burberry trench shipped out and it was so smashed in the bag that I did not even bother to try it on. Of course that was basically 30.00 wasted in shipping costs. I too am about to join the others who have said goodbye to TRR unless they get their act together and quickly.
I have used RR quite a bit. I have never sold on there only purchased. The descriptions were incorrect a few times. For example a pair of heels that were sold as size 8 but they were like at least a half size too big. I really liked them and thought it was me and tried to make them work with an insert to no avail. Later, and before I resold, I contacted the designers store and inquired about the 0 stamped on the bottom and learned that they were actually a size 10. Annoyed with myself for not returning when I had a chance and holding RR accountable. Now with no returns at all it does make me hesitate to buy from them when they are so sloppy. I also saw a Gucci outlet bag on there – actually multiples – and the fact that it is an outlet bag is not disclosed even though it is priced over $1k. I caught a corner of the label in a shot and its stamped as an outlet bag. That should be disclosed. The label should be photographed and it never is on RR. I would not sell on there either as their markdown policy is a bit scary. My question: where is a good place to sell designer goods?
TRR is like a Pharmacy Benefit Manager in the pharmaceutical industry. Bad news. They apply the same unsustainable, buy low, sell high strategies of any retailer.
Sadly, they take their consignors along for the ride, wherever it goes. They have an aggressive markdown policy that serves to drive down commissions. Commissions that are already low. It is appalling to see that their return policy is so utterly flawed. Once again, the consignors pay for these blunders. I would never consider consigning with them again. Their profits are off the backs of consignors and duped customers.
That doesn’t make sense. If I was TRR, I would want to keep prices as high as possible because the cheaper an item is when it sells, the less their cut (minus all of their costs to accept, inspect, list and ship these items). I suspect the aggressive discounting is because listings are aging at high prices, and there is significant cost to letting your inventory sit around unsold. I do agree that their business model may be unsustainable. I wonder if high end resale is really best when the platform is just a platform, like Ebay, and not trying to be a middleman with regard to the actual handling of merchandise – let the seller do the heavy lift of listing, marketing and shipping.
I currently have 3 bags on sale at TRR. I’m considering pulling them and just taking them to a local consign business. They are 50% off. However TRR is going to charge me $15 which would be deducted from my current credit, i believe.
I agree that TRR has so many issues, I’ve returned a fake (crooked brand logo), dealt with being begged to send things in, only to have them all rejected and sent back, the shipping charge on every.single.purchase with no option to pick up in store (like every “sustainable” company offers, the return fee etc.
however, I do take TRR’s side when all of these people on tiktok complain about overpaying for a YSL blazer they bought in 2015 expecting to get paid almost the full value years later. If they scan prices, they can see apparel is typically the best bargain on the site. Why did they think their listing would be different?
I also used to sell to The RealReal. In the beginning it was pretty good compared to the crap offers I would get on Posh ( don’t even get me started on that insanity). Anyway, I would send in items in pristine condition and one of two things started happening. 1. They would reject the item bc they no longer accepted “skirts or whatever from that designer “, even though it was on the accepted Designer Directory. 2. They would accept the item but they would keep it for some reason and keep marking it down until it sold for nothing.Even if they first quoted me it was $200 on site, by the time it sold for 70% off and they got their 20%, I ended up with jack profit.
I haven’t shopped there in a few years, and I’m sad to hear it’s gone so far downhill. I never sold on the platform since the commissions were super-low and their model meant the ability to adjust listings/list on other platforms was out of my control. But I enjoyed buying on the site, since I often found things I wouldn’t have found anywhere else. The last few times I was browsing I noticed they weren’t listing measurements on all dresses. I emailed customer service to see if I could get the measurements of a dress I was interested in, and they wouldn’t send them. I imagine that was probably when it started to go downhill.
This is a long story, that I will try to keep short. In 2018, I gave them the largest amount of clothing, shoes and accessories ever. This was back when you could still get a good return. Only some of the items were listed for sale, and when I asked where were they rest, they said they couldn’t find them. Perhaps they were lost in the warehouse, so it would be looked into. They also gave me the number of someone on the west coast. Someone high up on the chain. Perhaps a vice-president. I had several phone calls with her, and she seemed to be taking my problem very seriously. She said she would get to the bottom of it by the end of the week. I didn’t hear from her, so I called her number early the next week. She had left; she no longer worked for the company. I was bounced around again and again, and after a month or so, they offered to pay me about $1,600. The items they received valued retail around $6,000. It was that or nothing, so I took the payment. A couple months later, they called and said they had found some of my items. They had been misplaced in more than one warehouse. I asked for them back. I told myself I would never use them again.
Fast forward to last year. I had some items I just wanted to get rid of and be done with it. The representative was very late. The reason? They were having cocktails with the previous client. Late AND half-drunk. I also asked for all of my items back because they so quickly went to clearance.
I want to clarify that when they found “some” of my items, they found THREE things out three big bags of stuff. THREE. Probably all stolen by the rep who came to my house.
I only bought items from the RealReal. Quite a few items with very few problems that were rectified quickly. Then I took the dive into buying a beautiful Hermes handbag (authentic). I received the bag with the security padlock still attached which made it unusable. Back and forth we went. They didn’t accept phone calls at the time and their text wasn’t working. They emailed me to send it back to the warehouse. I said no. I offered a few reasonable suggestions but they eventually stopped emailing me back. I wrote to the new CEO a brief letter with no response. Was completely surprised and let down by their terrible customer service. I was keeping the handbag. I wasn’t asking for money back. To make a long story brief; I will never purchase from them again. I eventually found someone to remove the security padlock without damaging the handbag.