Stage: Revenue generating
Number of employees: 1-5
What other people don’t seem to get…
Non-consumption in the used-clothing space is not about price, it’s about convenience. No matter how cheap it is, if you have to battle crowds and lines it’s not worth it. No matter how cheap it is, if you have to bid many times in an auction or go to the post-office, it stinks. thredUP’s model – supply driven consumption and Netflix-like pre-paid mail service – solves the problem uniquely by eliminating these barriers to consumption. When it’s just as easy to thredUP as it is to “put stuff in storage,” “spring clean”, or “closet rationalize” consumers will pay.
Our particular competitive advantage works on two dimensions. First, thredUP is a network-effects driven business. Scale matters. Being first in a non-consuming market means we can lock-in customers with a great experience (and a trusted name) and keep out imitators who will lack sufficient scale to jump in. Second, thredUP is not a mousetrap. The key advantages are in scale, service and price. We will be well-positioned to respond aggressively to anyone who attempts to compete with us on these dimensions.