Trove Acquires Reverse.Supply to Drive Global Resale Expansion & Circular Retail Strategy

Speaker A: 00:00:00

Trove has acquired Reverse Supply, a German based leader in the European branded resale market.

Speaker A: 00:00:05

According to a Trove press release, the acquisition marks a major milestone in Trove's international platform rollout, making branded resale even more accessible, scalable and operationally seamless for brands across 30 countries.

Speaker A: 00:00:17

By combining Trove's established technology platform with Reverse Supplies deep European expertise, Trove now offers a comprehensive and scalable set of technology components for brands seeking to implement circular solutions in new North America, Europe and the uk.

Speaker A: 00:00:32

Core solutions include things like omnichannel, trade ins, return processing, peer to peer commerce, customer facing resale solutions, marketplace integrations and repair services.

Speaker A: 00:00:43

And what makes Trove's acquisition of Reverse Supply so special to you?

Speaker B: 00:00:48

I, I really enjoy this because, you know, when we spoke to Terry Boyle, the CEO of Trove, he was one of our favorite interviews at Shop Talk.

Speaker B: 00:00:56

You'll remember Chris, I mean you and I were both talking about it after, after we were done speaking and he basically explained that, you know, the risk is so minimal here and the potential for the, that a brand can see for an increase in revenue who deploy something like this is so significant.

Speaker B: 00:01:15

So I think this just makes sense.

Speaker B: 00:01:17

And Reverse Supply, it runs similarly to Recurate in the US who Trove also acquired and who we had on the show.

Speaker B: 00:01:25

And what that does is it makes it so that the brand gets all of the upside here and the brand and the customers get all the upside here.

Speaker B: 00:01:33

There's now more products to choose from for customers.

Speaker B: 00:01:36

When the resale market has now expanded into other countries.

Speaker B: 00:01:41

There's, there's revenue for brands and likely savings for customers.

Speaker B: 00:01:45

With all the tariffs flowing around right now that are impacting the terror the apparel industry.

Speaker B: 00:01:51

And I, I am predicting that we see a significant increase in peer to peer resale even bigger than the $65 billion that it was predicted that it would be at within the next five years here.

Speaker B: 00:02:05

Because the product purchased from these peer to peer resale sites is not taxed in many places and I don't think most people realize that.

Speaker B: 00:02:13

So when I buy, you know, a Gucci bag from somebody in Europe and it's, it's gently used, do I care about that as much as like paying in some cases thousands of dollars on top of that because of taxes to have that bag imported, like I, I think I'm going to go for the resale bag instead of buying new and dealing with all these tariffs and I think that stands to benefit again the customer, it gets, you know, new customers in for the brands at A lower price point and keeps them like in the brands, the brand's world.

Speaker B: 00:02:49

And I think this is going to be a significant change to how people shop for apparel and accessories and other resale products because of things like what Trove did here with, with this recent acquisition.

Speaker B: 00:03:03

But what are your thoughts, Chris?

Speaker A: 00:03:05

Yeah, I mean I, I, I mean you're, you're generally speaking the, far more the resale expert than I am.

Speaker A: 00:03:10

You know, being that this is, I mean resale's like an honest to God part of your everyday life from, from my understanding.

Speaker A: 00:03:16

And so, you know, I think I, I think I would just echo what you said.

Speaker A: 00:03:19

I mean, I think that the point for me, if I remember right, and didn't I sing single out Terry Boyle's statement as my like quote of the show or the thing I heard offstage, which was, you know, Terry, for those listening, said that, you know, he thinks, you know, resale is an immediate 3 to, I think 3 to 5 or 4 to 5% comp store opport, comp sales growth opportunity for any retailer that does it.

Speaker A: 00:03:40

And I asked him then after I said like, well, what keeps people from doing it?

Speaker A: 00:03:43

And he's like, education.

Speaker A: 00:03:44

People just don't get it or understand how easy this is.

Speaker A: 00:03:48

And you know, that's the credit, the credit here is that they are slowly and slowly but surely assembling the pieces need to create a scalable solution for any retailer or brand to take advantage of resale.

Speaker A: 00:03:59

And so that's, that's what's really smart about this.

Speaker A: 00:04:01

And you know, I hope more people start getting on this train because, you know, growth's hard to come by.

Speaker A: 00:04:06

We've talked about it a lot and you know, this is a pretty easy way to get growth and to your point, keep people in your brand.

Speaker A: 00:04:14

That's the other part about this.

Speaker A: 00:04:15

It keeps, it makes the, makes the whole brand experience that much more sticky as well, which I think is something a lot of people could start to think more about.

Speaker B: 00:04:22

Yeah.

Speaker B: 00:04:22

And when it's peer to peer like this, like there's, there's even less risk, like you don't have to worry about getting products from one partner to, or one from one, you know, customer to the other.

Speaker B: 00:04:33

All you're doing is being the place that facilitates the transaction.

Speaker B: 00:04:37

Right.

Speaker B: 00:04:37

And being another reason for somebody to come directly to your website versus, you know, a third party and you get to maintain all of those brand relationship, one to one brand relationships too.

Speaker B: 00:04:49

So super smart move.

Speaker B: 00:04:51

I, I love it.