{"id":623846,"date":"2024-06-11T19:32:42","date_gmt":"2024-06-11T16:32:42","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/how-vinted-became-the-first-profitable-pre-loved-clothing-platform\/"},"modified":"2024-06-11T19:32:42","modified_gmt":"2024-06-11T16:32:42","slug":"how-vinted-became-the-first-profitable-pre-loved-clothing-platform","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/how-vinted-became-the-first-profitable-pre-loved-clothing-platform\/","title":{"rendered":"#How Vinted became the first profitable \u2018pre-loved\u2019 clothing platform"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_89 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6aee757b06959\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6aee757b06959\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/how-vinted-became-the-first-profitable-pre-loved-clothing-platform\/#A_new_market\" >A new market<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/how-vinted-became-the-first-profitable-pre-loved-clothing-platform\/#Vinted_goes_green\" >Vinted goes green<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/how-vinted-became-the-first-profitable-pre-loved-clothing-platform\/#Trading_tips\" >Trading tips<\/a><\/li><\/ul><\/nav><\/div>\n<div id=\"article-main-content\">\n                            <em>This article features an interview with Vinted CEO Thomas Plantenga, who is speaking at TNW Conference on June 21. Check out the full event schedule here.<\/em><\/p>\n<p><span style=\"font-weight: 400;\">Vinted CEO Thomas Plantenga has reason to celebrate. His company recently became <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bbc.co.uk\/news\/articles\/cxwvp2z7djyo#:~:text=Digital%20platforms%20allowing%20customers%20to,a%20%E2%82%AC17.8m%20profit.\">the first<\/a> \u201cpre-loved\u201d clothing platform to make a profit after a monumental 61% surge in sales. It\u2019s now firmly established as Europe\u2019s largest online marketplace for second-hand fashion.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The results represent a remarkable turnaround. When Plantenga joined Vinted in 2016, the company was on the verge of collapse.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The trouble emerged despite a promising start based on a common problem. It was 2008 and Milda Mitkute, a 22-year-old Lithuanian, was moving into small student accommodation. But her new home didn\u2019t have space for her old clothes.<\/span><\/p>\n<div class=\"inarticle-wrapper channel-cta\">\n<div class=\"ica-text\">\n<p class=\"ica-text__title\">TNW Conference, June 20-21 &#8211; 85% tickets SOLD OUT<\/p>\n<p>Cease all the networking opportunities: roundtables, masterclasses, tech tours, 1:1s&#8230; Last chance to book before we run out!<\/p>\n<\/div>\n<\/div>\n<p><span style=\"font-weight: 400;\">At a house party in Vlinus, Mitkute explained her dilemma to Justas Januaskas, an old friend and programmer. The duo decided to create a website to sell her surplus clothes. Within a few weeks, they had launched the first version of Vinted. The project quickly evolved into a popular platform. But financial problems were bubbling under the surface.\u00a0<\/span><\/p>\n<p>Vinted was free for users and monetised through advertising. Before long, those revenues barely covered the site\u2019s server costs. Desperate for extra income, the company introduced a fee for sales. The switch sparked uproar from users, who fled the platform in droves. By 2015, the company was on the brink of bankruptcy.<\/p>\n<p><span style=\"font-weight: 400;\">Searching for salvation, Vinted sought advice from Plantenga. Back then, the Dutch entrepreneur\u00a0was living in New York and working for FJ Labs, a VC firm focused on marketplace startups.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Plantenga had also enjoyed success as an entrepreneur. He co-founded Bookaboat, a pioneering rental service for boats, and a Craigslist rival called Sell It, which he eventually sold to Spanish sector leader Wallapop. His track record impressed OLX, a Dutch online marketplace, which hired Plantenga as head of emerging markets.<\/span><\/p>\n<p>It also impressed Insight<span style=\"font-weight: 400;\">\u00a0Venture Partners, a VC firm that backed Vinted. In 2016, the investors invited Plantenga to Vilnius to share his expertise.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cI planned to stay for five weeks but never flew back to New York,\u201d Plantenga tells TNW. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Instead, he led Vinted through a momentous comeback.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"A_new_market\"><\/span>A new market<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The transformation began with tough restructuring. Plantenga slashed the headcount, centralised his team in Lithuania, and closed offices overseas. \u201c<\/span><span style=\"font-weight: 400;\">This was incredibly hard, but necessary for the company\u2019s survival,\u201d he says.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Plantenga also radically reshaped the business model. <\/span><span style=\"font-weight: 400;\">The biggest change was the removal of the seller fee. Vinted also introduced a buyer protection fee, which now covers three components: safer encrypted payments, customer support services, and a refund policy.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cWe needed to support the sellers first to attract buyers,\u201d Plantenga says.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As old users flocked back, Vinted wanted to get a message out to the public: the second-hand market was flourishing again.<\/span><\/p>\n<p>To spread the <span style=\"color: #222222;\">word, the company<\/span> embarked on a mass marketing drive. Big TV campaigns launched in the platform\u2019s key markets.<\/p>\n<p><span style=\"font-weight: 400;\">\u201cFrom there,\u201d Plantenga\u00a0recalls, \u201cthe business began to grow again.\u201d\u00a0<\/span><\/p>\n<figure class=\"post-image post-mediaBleed aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1407465 js-lazy\" alt=\"Two phones displaying items on the Vinted app\" width=\"2800\" height=\"1800\" src=\"https:\/\/cdn0.tnwcdn.com\/wp-content\/blogs.dir\/1\/files\/2024\/06\/Vinted-app-9.jpeg\"\/><figcaption>Vinted now sells a broad range of items, from homeware to kid\u2019s toys. Credit: Vinted<\/figcaption><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1407465\" src=\"https:\/\/cdn0.tnwcdn.com\/wp-content\/blogs.dir\/1\/files\/2024\/06\/Vinted-app-9.jpeg\" alt=\"Two phones displaying items on the Vinted app\" width=\"2800\" height=\"1800\" srcset=\"\"\/><\/figure>\n<p>As the revenues rose,<span style=\"font-weight: 400;\"> new investments began flowing into the firm. In 2019, <\/span><span style=\"font-weight: 400;\">Vinted raised \u20ac128 million in an equity\u00a0<span style=\"color: #000000;\">funding<\/span>\u00a0round that valued the business at over \u20ac1bn. The startup had become Lithuania\u2019s first unicorn.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Two years later, the company raised another \u20ac250mn in <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">Series<\/a> F funding. The round pushed Vinted\u2019s valuation <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/27efa47e-87d2-4ac7-a751-3243100a6814\">to \u20ac3.5bn<\/a>.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Vinted_goes_green\"><\/span>Vinted goes green<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A steady stream of new features accelerated the upsurge. From a\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.google.com\/search?q=vinted+verification&amp;oq=vinted+verification&amp;gs_lcrp=EgZjaHJvbWUqBwgAEAAYgAQyBwgAEAAYgAQyBwgBEAAYgAQyBwgCEAAYgAQyBwgDEAAYgAQyBwgEEAAYgAQyBggFEEUYPDIGCAYQRRhAMgYIBxBFGEDSAQgzMjIzajBqNKgCALACAA&amp;sourceid=chrome&amp;ie=UTF-8\">verification service for luxury fashion<\/a>\u00a0to a refined <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/vinted.engineering\/2023\/10\/09\/adopting-vespa-for-recommendation-retrieval\/\">recommendation system<\/a>, Vinted brought an array of digital upgrades to both buyers and sellers.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The most ambitious of them all was a new shipping business. Named <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/vintedgo.com\/en\">Vinted Go<\/a>, the brand delivers items to dedicated lockers and parcel shops in over 2,500 locations.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The network promotes a concept known as PUDO (pick-up, drop off), which can lower carbon emissions. According to <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/press-center-static.vinted.com\/Vaayu_x_Vinted_Full_Climate_Impact_Report_2021_045f9e5c4b.pdf\">independent research<\/a>, <span>PUDO delivery of Vinted parcels generates around 97%<\/span> <\/span><span>\u00a0less CO2 than home delivery on the last kilometre. Across the whole journey between shop and pick-up point, the emissions drop\u00a0by 42%.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Plantenga is proud of Vinted\u2019s drive for sustainability.\u00a0<\/span>By combining a financially strong model with a lower carbon footprint, he believes the company can generate impact at scale.<\/p>\n<p><span style=\"font-weight: 400;\">\u201cShopping second-hand fashion on Vinted is a better choice for the climate than buying new, so we believe that we can have a positive impact by making second-hand first choice,\u201d he says.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Vinted backs these words with evidence. <\/span>On average, shopping for second-hand fashion on Vinted instead of buying new had an estimated emissions saving of 1.8 kg of CO\u2082e. More than a third of orders on the platform prevent the purchase of a new item.<\/p>\n<p>Consumers are also expressing growing support. One fifth of Vinted users would choose second-hand over new \u2014 even if the price was the same.<\/p>\n<p>The research has echoes across the industry. Pre-owned clothing sales are <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.theguardian.com\/business\/2024\/mar\/27\/secondhand-clothing-on-track-to-take-10-of-global-fashion-sales\">set to<\/a> make up a tenth of the global fashion market in 2025. Worldwide sales surged by 18% last year to $197bn (\u20ac184bn). By 2028, they\u2019re forecast to hit $350bn (\u20ac<span>326bn).<\/span><\/p>\n<p>In March, the\u00a0benefits hit Vinted\u2019s bottom line with a bang. After a \u20ac20.4mn loss in 2022, the company soared to a \u20ac17.8mn profit last year.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Trading_tips\"><\/span>Trading tips<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Vinted is now spreading across the globe. The company recently expanded into Croatia, Greece, Canada, and across the Nordics.<\/span><\/p>\n<p>Tastes vary in these markets, but successful strategies for users are universal. Plantenga has several tips. For sellers, he suggests listing items when they\u2019re in season and using\u00a0 a variety of<span style=\"font-weight: 400;\"> keywords.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cPeople search with different terms, so the more relevant terms in your listing, the easier it is to be found,\u201d he says. Instead of just \u201cblack t-shirt,\u201d for instance, they could try\u00a0\u201cplain black, short-sleeve T-shirt with V-neck.\u201d<\/span><\/p>\n<p>\u201cYou can also improve your chances by preparing listings for the weekend, as we know that most shopping on Vinted h<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ens on Sunday evenings,\u201d Plantenga adds.<\/p>\n<p>For buyers, meanwhile, he advises paying attention to details. That means checking ratings, reviewing recommendations, or contacting sellers for more information.<\/p>\n<p>Users can also tailor their feeds by setting up personal preferences for categories, sizes, and brands. They can also follow members whose styles they like.<\/p>\n<p>As a final tip, Plantenga has a suggestions that may appear bad for his business: stop and think before you buy.<\/p>\n<p><span style=\"font-weight: 400;\">\u201cA more sustainable consumption pattern always starts with asking yourself: do I want it, do I need it, am I going to use it? And if possible, use it for its full lif<span style=\"background-color: rgba(46, 146, 255, 0.067);\">e,\u201d<\/span>\u00a0he says.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cIf we all do that, then we are already one step closer to being mindful of the needs of the <span style=\"color: #000000;\">Earth.\u201d<\/span><\/span><\/p>\n<div id=\"article-main-content\" class=\"c-richText c-richText--large\">\n<em>Thomas Plantenga is speaking at\u00a0this year\u2019s<span>\u00a0<\/span>TNW Conference, which takes place on June 20-21 in Amsterdam. If you want to attend, we have a special offer for our readers. Use the code\u00a0TNWX<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">MEDIA<\/a> at checkout to get 30% off your<span>\u00a0<\/span>business pass,<span>\u00a0<\/span>investor pass<span>\u00a0<\/span>or startup packages (Bootstrap<span>\u00a0<\/span>&amp;<span>\u00a0<\/span>Scaleup). We\u2019re also offering a 50% discount for the<span>\u00a0<\/span>Women in Tech<span>\u00a0<\/span>ticket.<\/em>\n<\/div>\n<\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMN63nwsw68G3Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more like this article, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/technology\/\" target=\"_blank\" rel=\"noopener\">Technology category.<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/thenextweb.com\/news\/vinted-ceo-thomas-plagenta-interview-second-hand-fashion\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>This article features an interview with Vinted CEO Thomas Plantenga, who is speaking at TNW Conference on June 21. Check out the full event schedule here. Vinted CEO Thomas Plantenga has reason to celebrate. His company recently became the first \u201cpre-loved\u201d clothing platform to make a profit after a monumental 61% surge in sales. It\u2019s&#8230;<\/p>\n","protected":false},"author":1,"featured_media":623847,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/img-cdn.tnwcdn.com\/image\/tnw-blurple?filter_last=1&fit=1280%2C640&url=https%3A%2F%2Fcdn0.tnwcdn.com%2Fwp-content%2Fblogs.dir%2F1%2Ffiles%2F2024%2F06%2FUntitled-design-1-2.jpg&signature=d57ee9abe8bda3e1d1a625694f9f00d7","fifu_image_alt":"","footnotes":""},"categories":[18],"tags":[],"class_list":["post-623846","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/623846","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=623846"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/623846\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/623847"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=623846"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=623846"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=623846"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}