This investment carries considerable risks and may lead to a loss of the entire assets invested. Projected returns cannot be guaranteed and may be lower than expected.
The German-speaking secondhand market consists of more than 100 online and over 1000 offline stores. Its special feature – each item is unique. The problem of this market is its fragmented and nontransparent nature. Prelovee solves this problem with a meta-search engine. They have already acquired more than 30 online partners, offering a combined amount of more than 1.5 million products on its site. Customers save time and money through efficient comparisons. We want to become the first point of contact for secondhand fashion and are already generating over EUR 40,000 organic monthly external sales on our way towards this goal.
Prelovee Starts Implementing Blockchain Concept
With the new CTO, Prelovee enhances the resale designer platform with a blockchain-based solution to guarantee the authentication of designer products.
The secondhand fashion market is a young and rapidly growing market (almost doubling to USD 33 billion in the next 3 years), which is characterized by a high degree of fragmentation. The German-speaking area entails more than 100 online markets and around 1000 secondhand shops.
Prelovee is the first search engine designed especially for luxury secondhand fashion (similar to Trivago for travels) in the German-speaking area (Europe and USA to come) and solves the problem of lacking transparency when searching for designer fashion. A comparison to online partners based on internal research shows that the customer saves time (>80%) by using this search engine, receives transparent price comparison options (up to 60% savings compared to online partners), and has access to an integrated product portfolio.
With more than 30 online partners, Prelovee offers a portfolio of 1.5 million products of 500 brands on its platform. Sales are generated through PPC (pay per click = EUR 0.3-0.5) or PPO (pay per order = 8% commission) contracts with online partners. The average shopping cart of Prelovee's online partners is EUR 400 (comparison: Zalando - EUR 66).
The founders wrote a book, “Live & Love Secondhand,” which deals with the facets of secondhand fashion and which will be published just in time for the start of the equity crowdfunding campaign. The book is rounded off by guest contributions from 11 well-known social influencers, who collectively reach more than 4 million followers.
The integration of the offline secondhand fashion market via a SaaS (Software-as-a-Service) solution is planned for the end of 2018 by connecting stationary stores via shop-in-shop solutions (similar to eBay as a marketplace model).
The two founders, Stephanie Neumann and Swantje Pawlitschek, share a long-standing friendship and a passion for secondhand fashion. In addition, the two complement each other in professional terms with a background in finance (Google & EY) and marketing/sales (Campari & LLOYD).
The founding team is supported by CTO Mark Schatz, who has many years of experience with search engines. Prelovee is part of Batch #1 of the Next Commerce Accelerator, finalist of the Breakthrough 2018 award and winner of the Munich Business Plan Competition Phase 1. Stephanie and Swantje are also mentors of SAP's Next Gen mentoring for female founders.
Equity crowdfunding offers the ideal combination of financing and viral marketing, allowing the creation of a broader dialogue about secondhand fashion.
With the Companists' investment, Prelovee can promote marketing and web development and integrate the offline secondhand market.
Prelovee is a search engine for secondhand fashion with the vision of becoming “THE place to be” for secondhand fashion. Consumers are interested in secondhand fashion for a variety of reasons.
First, sustainable consumption. Luxury fashion in particular offers the possibility of extending the product life cycle across different owners. Second, consumers consider cost-effectiveness. Designer fashion can be purchased secondhand with discounts up to 80% off the retail price. Third, secondhand fashion is individual, unique, and special.
The problem for each of these consumers is that the secondhand fashion market is fragmented and not transparent. It is spread over countless online shops and many stationary stores. This makes it particularly difficult to find specific items. As the only search engine exclusively for secondhand fashion, Prelovee solves these problems and provides the user with considerable added value in terms of time and cost savings.
1. Meta-search engine – The heart of Prelovee
As a meta-search engine, Prelovee aggregates over 30 online partners and a product portfolio of 1.5 million products. One can find everything on the topic of secondhand women's clothing and accessories. The focus is on premium and luxury brands.
The search engine's first and only personal search agent makes searching even easier for users. They can carry out specific search requests and receive individually matched results. The search agent makes it possible for online partners to increase conversion rates (the conversion of an interested party into a buying customer), as users with a high buying interest in particular make use of the service.
2. Prelovee Journal – High-quality information on secondhand fashion
Users can access all Prelovee Journal content for free.
Prelovee offers a high-quality content area that regularly reports on secondhand fashion topics:
- Tips & tricks for buying/selling
- Investment guide
- Fake checks
- Trends & insider knowledge
Our goal is to create a secondhand fashion community that exchanges ideas and has a platform for discussion. Comments and following functions will also be integrated.
3. Live & Love Secondhand – The book
Prelovee is publishing the first & only book about secondhand fashion. It covers the following topics:
- The history of secondhand fashion
- Purchasing and selling secondhand fashion correctly – both on- and offline
- Wardrobe organization and storage tips
- Fake checks for designer brands
- Contributions from 11 famous German fashion bloggers with a reach of more than 4 million followers
- The best addresses for secondhand shopping in the largest German cities
The book will be published by Plaza Verlag as hardcover & e-book for EUR 24.99 with 240 pages. Preorders can be placed on Amazon.
As a meta-search engine, revenues are generated through a B2B2C concept (Business-to-Business-to-Customer). Prelovee is remunerated by the affiliated online partners, who receive an attractive and reliable marketing channel through the cooperation.
We differentiate between PPO (Pay per Order) and PPC (Pay per Click).
| PPO | Prelovee generates sales with every purchase on one of the partner websites if the purchase is due to forwarding by the search engine. PPO's average turnover is 8% of the shopping cart. |
| PPC | Prelovee generates a fixed turnover for each time a Prelovee website visitor clicks on the website of an online partner through our site. Prelovee currently receives an average of EUR 0.3 for each forwarded click. |
Another sales channel is Prelovee’s book “Live & Love Secondhand.” It will be published on 31 May 2018 and sold for EUR 24.99. Prelovee receives a percentage of the book's sales.
A third sales channel that is being implemented is a licensed SaaS (Software-as-a-Service) solution. It will enable the integration of stationary secondhand fashion stores on the Prelovee site, thereby digitalizing and integrating the original market for secondhand fashion. This will allow customers to make online purchases from stationary secondhand stores in cities throughout Germany. Purchases can thus be made locally or nationwide, regardless of location.
Prelovee is more than a meta-search engine for secondhand fashion.
- The brand “Prelovee” is registered and a branding pillar within Prelovee’s unique marketing strategy.
- Prelovee is the only search engine exclusively for secondhand fashion. We offer a comprehensive range and address our target group in a focused manner.
- With "Live & Love Secondhand," Prelovee is publishing the only book on secondhand fashion. This reinforces the company's position as an expert on secondhand fashion. Prelovee has developed a unique marketing strategy: The combination of online & offline.
The feel of the book, its availability in stationary book shops, and the interest shown by magazines make it an important part of the offline market. Guest contributions from 11 fashion bloggers with 4 million followers on their social media channels are used for viral online marketing. - Prelovee enables the digitalization of the offline secondhand market. To do this, we use the exemplary Foodora/Deliveroo concept, which revolutionized and digitalized the restaurant industry. We are developing a concept for stationary stores. Software-as-a-Service makes shop-in-shop integration on Prelovee possible.
Complementary merchandise management and payment solutions are available. This provides offline businesses with the opportunity to increase their business' reach online and to address a highly relevant target group. The aggregation and digitization of the secondhand fashion market will also have a considerable networking effect for the individual stores.
Prelovee is the first and only search engine for secondhand fashion.
- Search engines for used goods such as Bonavendi, gebraucht-kaufen.de or Catchys. Bonavendi and gebraucht-kaufen.de represent all used product categories. Their visitors can search for everything from garden tools to spare parts for cars, which means they do not address the target group. According to Catchys, they focus on sales - but also on bargains, outlet goods, and secondhand fashion through partner shops like Planetssports.com, Baby Walz, and Galeria Kaufhof.
- Other search engines like Stylight or Ladenzeile, whose inventory consists of new goods.
- Marketplaces like Google Shopping or Amazon Marketplace focus on new goods. They neither represent the entire product portfolio nor do they properly address the target group or offer content relating to secondhand fashion.
- Online secondhand partners that can be found on Prelovee only have a limited product portfolio.
As a B2B2C model, Prelovee is remunerated by its online partners. These are the customers with whom Prelovee has a sales-relevant relationship. Prelovee already counts the market leaders and largest providers such as Vestiaire Collective, Rebelle, and Videdressing as its partners.
The portfolio is also supplemented by other online partners, who focus on brands or accessories, adding value for the customer. Prelovee has already integrated over 30 online partners and more than 125 others.
The partners are integrated via product feeds or are selected directly via a specially developed crawler (crawlers are computer programs that automatically search the Internet or certain websites, analyze, and, if necessary, sort and display them according to certain criteria).
Prelovee’s target group consists of women aged 16-50 with medium to high net household incomes, who are thus in the most affluent stratum in Germany. 77% of secondhand consumers earn more than EUR 50,000 per year.
According to the Statistisches Bundesamt (Federal Statistical Office), there are 16 million women in Germany between the ages of 20-50, 39.1% of whom have a high school diploma or a higher educational qualification.
The Prelovee customer does not only consume and use the comparison possibilities for the best offer; instead, she usually goes on a targeted search for a specific item. She already includes the item’s resale value in her purchase decision at the time of purchase.
The classics Hermès Birkin Bag, Hermès Kelly Bag or Chanel 2.55, for example, have developed into investment opportunities equal to luxury watches or cars through their materials, workmanship, and limited quantities, costing more than EUR 5,000 new. They are only available on request and reach a value of up to USD 220,000.
Millennials, customers up to 35 years old, are the core target group. They combine brand and quality awareness with the desire to live sustainably and have an above-average income.
According to our own research in Germany, the current market volume for secondhand fashion amounts to EUR 1 billion. The market consists of the conventional secondhand retail trade, which encompasses around 1000 shops throughout Germany according to our investigations, and an online market.
As of Q1 2018, there are more than 100 secondhand online shops in German-speaking countries, according to our own thorough market analyses. Stationary retail forms a solid foundation for the market. The online market also reflects the potential of the secondhand fashion market and the evolution of the market in an increasingly digital environment.
According to Forbes, the international market volume for secondhand fashion is USD 18 billion and will almost double to USD 33 billion in market potential in the next 3 years. Many of Prelovee’s integrated online partners today already operate internationally, meaning that internationalization would require few resources.
After three months of development, Prelovee entered the market with a minimum viable product (MVP) in 2016. This means that Prelovee launched a product with minimum viability and continued to develop the site on the basis of user feedback and the connection of additional online partners. In the summer of 2017, we completed the development of the crawler, which makes it possible to integrate online partners who do not have this technical possibility themselves. Prelovee also relaunched the website design in autumn 2017 in order to make it more attractive to visitors, to advance search engine optimization, and to improve the search experience for visitors.
Prelovee generates organic monthly external sales of over EUR 40,000 with its current online partners. In March of 2018, Prelovee successfully completed the Next Commerce Accelerator program and won the Munich Business Plan Competition 2018 Phase 1, which consists of 3 phases; Prelovee is currently in the selection process for Phase 2.
Prelovee’s book “Live & Love Secondhand” will be published in May. Our goal for 2018 is the SaaS integration of the stationary secondhand market. Internationalization is to begin in 2019 and a mobile app will be developed in order to respond even more specifically to the increasing use of the Internet via mobile devices.
Prelovee has many more plans to achieve its vision of becoming "the place to be" for secondhand fashion.
We started out by financing ourselves completely and established Prelovee cost-efficiently (bootstrapping). In the first financing round, we brought two Munich-based business angels on board. One of these is Cali Ventures GmbH, who is active in the areas of e-commerce, blockchain and IT services, among others. Not only did they support Prelovee with a near six-figure financing, but also with office space, legal advice in contractual matters, and an extensive network.
The second financing round saw the entry of the Next Commerce Accelerator (NCA) from Hamburg. The NCA consists of investors such as Haspa, Edeka, and Beiersdorf. They also supported Prelovee with workshops, network, and IT experience.
Part of the Next Commerce Accelerator Programn> in Hamburg, with investors like Tchibo, Haspa, HSH Nordbank, Edeka, and Beiersdorf
- Hamburger Abendblatt (12/2017) „Wie die Haspa Start-ups nach Hamburg lockt“
- Hamburg Start Ups (01/2018) „NCA präsentiert ersten Batch"
Winner of the Munich Business Plan Competition Phase 1 – 2018
- Bay StartUP (03/2018) „10 Startups überzeugen beim Münchner Businessplan Wettbewerb“
- Munich Startup (03/2018) „10 Startups überzeugen beim Münchener Businessplan Wettbewerb“
Mentors in SAP Next Gen #sheinnovates – Female Tech Founder Accelerator Program by SAP
Finalist of the Breakthrough 2018 awards – Sponsored by O2, Sony & Connect
- t3n (09/2017) „Catsitting, Ärztevermittlung und mehr: Diese acht Gründerinnen solltet ihr kennen“
- Cosmopolitan (08/2017) „30 Erfolgreiche Gründerinnen verraten ihr Erfolgsgeheimnis“
- Huffington Post (01/2017) „Wie man gefälschte Taschen am besten erkennen kann“
- Startup Guide Munich (09/2017) “11 Munich startups you should know about”
- Glamour (09/2016) „Closet Detox: Kleiderschrank ausmisten mit System“
- Maxi (04/2017) Print
- GRAZIA (09/2016) Du stehst auf Vintage-Designer-Taschen? Hier ist unser Geheimtipp!
Founders from l. to r.: Stephanie Neumann (Managing Director & CEO), Swantje Pawlitschek (Managing Director & CMO)
Prelovee GmbH
Maximilianstraße 52
80538 Munich
Email: investor-relations@prelovee.de
Homepage: www.prelovee.de
You must register first!
To see the full profile of Prelovee , please register or log in.
Register now
Already registered?
Log in
