The Detroit-based company said the new investment will be used to accelerate its global expansion, product innovation and category diversification for the e-commerce marketplace.
In the third quarter, StockX surpassed $3 billion in lifetime gross merchandise value and achieved break-even. During 2020, StockX’s year-over-year revenue growth has accelerated, reaching over 75 percent in the third quarter on more than $100 million in quarterly GAAP revenue.
Scott Cutler, chief executive officer at StockX, said, “The quality of investors joining us is a clear signal that the market recognizes that there is an incredible opportunity in e-commerce for current culture products and StockX is best positioned to meet consumer demand for those products.”
StockX sells to more than 200 countries and territories. Its non-U.S. trades increased by 260 percent in the third quarter compared to a year ago. In November, the company opened authentication centers in Hong Kong and Toronto. The two international sites along with the recent addition of an authentication center in Portland, Ore., grew the company’s global network by 50 percent.
The platform revealed earlier that according to Cowen, a market research firm, non-U.S. markets will lead the growth in demand for rare sneakers in the coming decade with a projected uptick of 15 to 20 percent year-on-year. It estimates that the global resale market for sneakers alone will reach $30 billion by 2030. The non-U.S. sneaker resale market is expected to reach $19 billion.
Electronics is a rising category on the site. Throughout cyber weekend, more than one gaming console was traded every minute on StockX, with both the Xbox Series X and the PlayStation 5 ranking on its list of top 10 best-selling products. The company’s recent category expansion efforts also helped the platform attract a record number of first-time customers in 2020.
Led by Tiger Global Management LLC with new participation from Altimeter Capital, Sands Capital and Whale Rock Capital Management, the Series E round brings the total funds raised to $490 million. Battery Ventures, DST Global, Detroit Venture Partners, Galaxy Interactive, GGV Capital, GV, General Atlantic and Jay Z’s Marcy Venture Partners are also investors in the e-commerce platform.
Griffin Schroeder, partner at Tiger Global, said, “The power of the online marketplace is growing rapidly — along with our reliance on digital experiences. The StockX team has demonstrated the ability to build a trusted and customer-centric experience for people buying and selling online, and we are excited to partner with them as they continue to innovate a tech-forward model to deliver much-needed authenticity and price transparency in this market.”