All anyone in the consumer technology space can talk about these days is “the internet of things,” as everything from your refrigerator to your thermostat becomes connected to the world wide web (does anyone call it that anymore?). Well, now there’s a “stock market of things.”
Campless, the website that provided data on sneaker reselling, has rebranded itself as StockX, an online stock exchange focused on the buying and selling of goods with a viable secondary marketplace. The initial sector that StockX will focus on is sneakers.
The move follows Campless, which was founded by Josh Luber, taking an investment from Quicken Loans founder and majority owner of the Cleveland Cavaliers, Dan Gilbert (you may recall his fondness for the Comic Sans font). The new StockX allows users to buy and sell limited edition sneakers anonymously in real-time with more transparency than transactions conducted on eBay or other reselling destinations such as Flight Club or Stadium Goods.
StockX is launching with approximately 15,000 sneakers representing 3,500 models. Only “deadstock” sneakers, meaning shoes that are unworn and in their original box, can be sold on the exchange, and trades will not be fully executed until the sneakers have been verified as authentic. StockX will also provide historical pricing and trading volume data for its sneakers so that buyers and sellers are better equipped when it comes to timing their transactions.
The site even has a ticker scrolling across the bottom with stock symbols for popular sneaker models, green for shoes whose price has increased and red for those whose value is declining. At the time of writing this, there had been an estimated $308,991 in Jordan sales over the past 24 hours, a drop of 5.2% from the previous period. And the 52-week high/low for a pair of tan Adidas Yeezy Boost 350s was $1,750/$600. The cheapest price that a seller would part with a pair for was $755 while the highest price that a buyer was willing to shell out was $900.
Sellers are the only ones who incur a fee for conducting transactions on the site. That fee is 10% of the sale (7% for StockX and 3% for payment processing). Ebay also assesses a 10% final value fee for transactions while Flight Club charges 20%.
“The online secondary sneaker market has been around for more than 15 years, and it has grown exponentially during that time,“ says StockX founder Luber. It has been estimated that sneaker reselling is a billion dollar plus market.
With the introduction of StockX perhaps now we’ll see hedge funders enter the space. It’s funny to picture a trading desk of bros screaming into phones about buying Bred Air Jordan 11s and selling Adidas Ultra Boosts. Who knows? Maybe the next Billions will be about sneaker resellers.