{"id":3492,"date":"2016-09-20T21:16:34","date_gmt":"2016-09-21T01:16:34","guid":{"rendered":"http:\/\/162.223.13.186\/~zacksim\/a-new-stock-exchange-for-shoes\/"},"modified":"2022-02-26T13:20:53","modified_gmt":"2022-02-26T13:20:53","slug":"a-new-stock-exchange-for-shoes","status":"publish","type":"post","link":"https:\/\/zacksim.com\/blog\/a-new-stock-exchange-for-shoes\/","title":{"rendered":"A New Stock Exchange\u2026.For Shoes?"},"content":{"rendered":"

Looking for that rare pair of Nike shoes? Try looking in the stock market\u2026of sneakers! StockX, which launched in February 2016, is the online secondary market for high-end branded kicks in \u2018deadstock\u2019 condition, i.e., unused with the original box in place.<\/span><\/p>\n

The website shows real-time updates of bids and asks for each pair of shoes listed on its portal (while maintaining traders\u2019 anonymity), and validates the authenticity and condition of each item before it\u2019s shipped, while charging sellers a 10% commission.<\/span><\/p>\n

With an emphasis on price transparency, StockX uses data spanning the last 12 months from various secondary marketplaces\/resale platforms including its own to graph (re)sale price movements and <\/span><\/em>to display metrics such as the latest price premium over the original retail value, total quantity sold, and the average selling price for each deadstock pair featured on the site. It also quantifies price fluctuations by metrics such as volatility index, 12-month range and \u201852-week highs\/lows\u2019.<\/span><\/p>\n

The similarities with actual financial stock markets don\u2019t end there. Through the portal, \u201csneakerheads\u201d can even get their entire kicks collection \u2013 or, their \u2018sneaker portfolio\u2019- evaluated at the latest resale market prices (just like an investor would measure their investment portfolio\u2019s worth). Actor Mark Wahlberg is among the \u2018portfolio holders\u2019 on StockX.<\/span><\/p>\n

Also featured on the site is a blog which has the latest buzz on new\/upcoming releases by coveted sneaker brands as well as important updates about the secondary market.<\/span><\/p>\n

StockX ventured into a sort of \u2018IPO of things\u2019 recently when Roc-a-Fella Records collaborated with the website to launch its new line of limited edition T-shirts and posters to mark the 20th<\/sup> anniversary of rapper Jay-Z\u2019s debut studio album, \u2018Reasonable Doubt.\u2019 Following a pre-bidding session on StockX for 48 hours, purchasers were able to resell the items.<\/span><\/p>\n

Sneakerhead Turns His Passion into Business<\/span><\/strong><\/p>\n

It all started when former IBM employee Josh Luber, a self-proclaimed \u201csneakerhead,\u201d was hooked on bidding for shoes on eBay, which led him to the idea of having a logbook to better capture information on sneakers\u2019 secondary market prices.<\/span><\/p>\n

In 2012, he built a data blog named \u201cCampless\u201d for his idea. The name is derived from the practice of sneaker-lovers lining up or, \u201ccamping\u201d outside retail stores to get their hands on a just-released item. Those who are \u2018rationed off\u2019 due to the sneakers\u2019 limited number can later bid for them on the secondary market, where Campless data came in handy.<\/span><\/p>\n

When billionaire mortgage lender Dan Gilbert partnered with Luber, Campless was remodeled from a data warehouse into something more\u2014a sneaker marketplace and data center and active blog, which they named StockX.<\/span><\/p>\n

Bottom Line for Investors<\/span><\/strong><\/p>\n

Incorporating equity market-like trading features for sneakers, StockX is fast emerging as the latest trailblazer in eCommerce. At a time when the annual market size for sneaker reselling ranges between $200 million to $500 million (as estimated by an NPD analyst), the StockX model looks promising. That\u2019s also evident from the unbelievable premiums sneakers can trade at in the secondary market: for instance, a size 10 pair of Adidas Yeezy Boost last resold for $2,235 \u2013 more than 538% than its original retail price.<\/span><\/p>\n

Already featuring data for around 5,000 kinds of sneakers, StockX is expected to expand into a more variegated \u2018stock market of things.\u2019 Luber has expressed plans to include watches, clothes, handbags, toys etc. on the exchange. That should only add to the popularity of the site, which already boasts of associations with celebrities like Eminem and Ne-Yo.<\/span><\/p>\n

In addition to functioning as a trading platform and guide for buyers and sellers in the resale market for branded items, StockX may also be creating \u2018value\u2019 (read: hype) for high-end brands \u2013 something that can possibly boost demand for their forthcoming primary market release. At the end of the day, StockX is further evidence that prices are determined by supply and demand, measured most effectively by a marketplace. \u00a0<\/span><\/p>\n

Whether you have a love for sneakers of not, StockX shows how consumer spending is causing a shift to e-commerce platforms. It is important to keep in mind that spending does not only affect shopping preferences, it is also a key factor to consider as you plan for retirement. In fact, managing spending\u00a0is a key step\u00a0to planning for retirement. To get an inside look into effective ways to plan for your retirement, download “4 Steps to Managing Your Retirement Assets.” Click on the link below to download this guide today:<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Looking for that rare pair of Nike shoes? Try looking in the stock market\u2026of sneakers! StockX, which launched in February […]<\/p>\n","protected":false},"author":1,"featured_media":4124,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71,72],"tags":[],"class_list":["post-3492","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-private-client-group","category-steady-investor-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/3492","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=3492"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/3492\/revisions"}],"predecessor-version":[{"id":11190,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/3492\/revisions\/11190"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=3492"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=3492"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=3492"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}