Luxury Shoe Club, the app that allows you to trade in your shoes for points then use those points to purchase other shoes on their app launched Monday. Yep, you won’t receive money but you will receive half the resale value that they determine as soon as you list and the remaining half when they sell. This is not a new concept, using points to trade luxury goods but shoes is a whole different thing. There’s a reason why shoes take so long to sell and the resale value is much lower on most brands. While I applaud them for what they are doing (or trying to do) it will be interesting to see how long they are around. I’ve gone through their FAQ’s and website and the highlights are below.

This company is not new. From what I can find it looks like they launched around 2015

They charge a fee to sell on their platform. It’s tiered (below) but are waiving the first 300 accounts since their “launch” Monday.

They offer shoe repair and if you are a club member, you can receive up to 10% off their services or you can access them directly for all of your luxury heels (Loubs for sure) and bags.  Santana Repair

MEMBERSHIP LEVELS

* LAUNCH PROMOTION *
– First 300 Members –

OBSESSED – FREE* (or $149)
*List 3 pairs of shoes within 7 days

DESIGNER SHOE TRADINGSHOE REPAIR & POLISHING
25 Club Points for shopping ($25)10% off all repair & polishing services
 50% paid upfront when sellingFREE next-day home pickup
3 FREE shipments for shoe purchases ($30)FREE shipping boxes
10% discount when buying Club Points 
 $5 club trade fee on shoe purchases 


PASSIONATE – FREE* (or $99)

*List 2 pairs of shoes within 7 days

DESIGNER SHOE TRADINGSHOE REPAIR & POLISHING
15 Club Points for shopping ($15)5% off all repair & polishing services
50% paid upfront when sellingFREE next-day home pickup
1 FREE shipment for shoe purchases ($10)FREE shipping boxes
5% discount when buying Club Points 
 $10 club trade fee on shoe purchases 

 

INTRIGUED – FREE* (or $49)

*List 1 pair of shoes within 7 days

DESIGNER SHOE TRADINGSHOE REPAIR & POLISHING
10 Club Points for shopping ($10)No discount on repair & polishing services
 50% paid upfront when sellingFREE next-day home pickup
No FREE shipments for shoe purchasesFREE shipping boxes
No discount when buying Club Points 
$15 club trade fee on shoe purchases 

 

This paragraph in their TOS was interesting……..

FOR EVERY TRANSACTION THAT IS COMMENCED THROUGH OUR SITE, YOU MUST MAKE YOUR OWN INDEPENDENT DETERMINATION REGARDING THE STATEMENTS, PRODUCT DESCRIPTIONS OR THE REPRESENTATIONS OF THE OTHER PARTY AND THE PARTY’S ABILITY TO PAY FOR OR DELIVER THE ITEM(S) OFFERED. PLEASE USE CAUTION, COMMON SENSE, AND PRACTICE SAFE TRADING WHEN DEALING WITH OTHER USERS OR OTHERWISE USING THE SITE.

 

From the Luxury Shoe Club's homepage.

First it was high-end watches, then came luxury handbags. Now consumers can trade pre-owned designer shoes.

Luxury Shoe Club is a membership-based shoe-trading platform that began operations on Monday. It also donates a percentage of its profits to help disadvantaged women. The business model is a blending of the share economy, online luxury consignment and membership-point programs. The company is currently self-funded.

 

The platform lets women sell pre-owned, new-in-box and gently worn designer footwear that they no longer wear. In addition to the online platform, the company also lets members view available footwear via a mobile app for the iPhone.

The company is the latest entrant into the single-focus, luxury resale market, joining firms such as TrueFacet for pre-owned jewelry and watches and Rebag for designer handbags. Millennials have been driving the resale market, often buying and then reselling what they’ve bought to buy something else on a reseller’s site. And their older counterparts have been using the sites to purge their closets’ contents.

Scott Van Valkenburgh, who cofounded the company, said, “When I saw how much it cost women to sell their shoes on consignment sites like The Real Real and the pain and hassle of eBay and Craigslist, I wondered why women who have the same shoe size couldn’t just trade the shoes they no longer wear with each other.”

According to Luxury Shoe Club, the U.S. luxury footwear market for women accounts for $8.6 billion annually. It estimated that the pre-owned market for luxury footwear is $800 million annually, given that the average price for a pair of designer shoes is $770. The company also estimated that there’s about $1 billion in extraneous, new-in-box luxury footwear that are in women’s closets.

The company is offering three membership levels: Intrigued, at $49 a year; Passionate, $99, and Obsessed, $149. Each membership class has varying benefit levels that include bonus club points for shopping, savings on club point purchases, varying discounts on shoe repair and polishing, free shipping boxes and free shipping for shoe purchases. For a limited time, the company is waiving its annual membership fee and giving free memberships to members who list shoes within seven days of joining. There is also a sliding scale between $5 and $15 as a club trade fee on shoe purchases, depending on membership level.

Luxury Shoe Club uses a proprietary pricing algorithm to determine its fair market resale value. Once that is ascertained, it pays up to 50 percent of that value to the club member. The balance is paid once the shoes are bought. Each club point has a $1 value, and points that are credited to a member’s account are immediately available for use on the site.

2018-07-17T21:19:47+00:00