StockX is a platform for resellers and Sneaker Heads (people passionate about collecting and investing in sneakers). The site serves as the middleman in their transactions. Similar to eBay, you may either bid or purchase immediately, but, that is about where the similarities end.
Today, StockX is a market for much more than mere sneakers. Current offerings include handbags, watches, streetwear, and collectibles, such as figurines and trading cards. Information regarding market trends and values, along with the latest sales data, are also provided. The initial efforts were to position themselves as the top investment resource for sneakers and later for other collectible items.
Although you can purchase items at StockX for as little as $25, the majority of the inventory sells for hundreds of dollars. Many things sell for thousands, some as high as five figures. Don’t be discouraged though, you can save at least a bit of money with the help of coupons (click here for StockX coupon codes).
Founded in 2015, StockX is a joint venture between Dan Gilbert (Cleveland Cavaliers owner and founder of Quicken Loans), and Josh Luber, former IBM consultant, and sneaker aficionado.
Luber’s original site for collecting and tracking sneaker sales data, Campless, was transformed into StockX as a result of the collaboration. According to a recent article in Forbes magazine, the company is now worth $1 billion.
How It Works
The primary benefit for both buyers and sellers at StockX is their authentication process. There are offers to sell collectible sneakers all across the Internet. The problem is, how can you be sure the seller is honest and the product is as advertised?
As a buyer, you deal directly with StockX. You can search through thousands of items to find exactly what you are looking for. You may either purchase the item immediately for the Ask price or place a bid that a different seller of the same thing can accept. The seller’s acceptance triggers the automatic completion of the transaction.
The seller receives an email with a prepaid shipping label and invoice. They must then ship the item to StockX within two days. Once received, dedicated staff will inspect the item for authenticity and condition. The article is then marked as “Verified Authentic” with a green tag and sent on its way to you.
The obvious benefit is that this protects the buyer from unscrupulous sellers and counterfeit products.
The seller benefits from this authentication process by protecting its reputation as a reseller of genuine items. StockX maintains a database with photographs and descriptions of all sneakers available. This means the seller does not need to take pictures or create descriptions.
Buyers and sellers can also benefit from maintaining a StockX account, which tracks both sales and purchases. Information such as release dates, last sale price, and percent of increase are current and made available on the site. As well as nearly any other data point you may wish to consider when investing.
While you can find sneakers available from Craigslist and eBay to comparable sites such as GOAT, only StockX has such a thorough authentication process and is set up in a stock exchange format.
Sneakers are no different than any investment; you must understand the market and be prudent in your research. StockX appears to be an excellent place to start.
