Online marketplace StockX is valued at over $1 billion after the latest round of financing of $110 million. The company’s goal is to be the “stock market of things,” where buyers and sellers come together to determine the price of collector sneakers, watches and collectibles.
The market for resale sneakers in the U.S. is projected to top $6 billion by the year 2025 from $2 billion today. Investment bank Cowen Equity Research believes sneakers are emerging as an alternative asset class. “We propose the idea that sneakers are now an emerging alternative asset class that 1) earns illiquidity premiums; 2) provides diversification – non-correlated with traditional asset classes; 3) earns favorable risk-reward characteristics,” an analyst recently wrote.
They estimate the overall global sneaker market to be nearly $100 billion.
Not only does StockX buy and sell authentic sneakers, but it also offers watches, handbags, collectibles, electronics, and streetwear. Recently, StockX published their latest edition of the Snapshot report, otherwise known as the annual Current Culture Index, where they summarize key facts and figures on the state of the market. The report is basically a giant infographic containing the most popular cultural collectibles and the numbers behind them.
StockX is one of the first stops for sneaker aficionados, but they are also impacting other markets in a huge way. The trading card craze has not let up, and StockX is capitalizing on the recent trends. Sales of trading cards have increased a whopping 4,000% over the past year on the platform. NBA stars Luka Doncic, Zion Williamson, Ja Morant, and Michael Jordan are the top four selling players on the platform recently.
StockX has also expanded into the collectible toy market. Kaws, Supreme, Bearbrick, and Virgil Abloh are the top sellers in their recent report.
StockX Growth in New Territory
Some of the key drivers for StockX growth noted in the report are the increase in female users, which grew 100% over the last year. Trading in electronic gear was 75 times what it was a year earlier.
The crew at StockX is serious about growth, global growth, that is. Buyers outside the United States increased over 100% in the last year, which makes the international market extremely important for the future growth of the company.