Unpacking our Investment in Luxury Garage Sale
When we first started surveying our network of millennial and professional women in Chicago, we were amazed to learn that the vast majority admitted to following Luxury Garage Sale on Instagram. Many more were familiar with the company’s founders Lindsay and Brielle, the brand’s personality, and the extraordinary, aspirational items for sale at bargain prices. We were impressed.
Commerce has long been a passion of ours at Chicago Ventures. But as we’ve watched our e-commerce focused startups grow over the past three years, we’ve recognized an unexpected fact: that the “e” in e-commerce is a lot less relevant than it used to be. I first wrote about this in a January, 2015 VentureBeat article “Moving Beyond Spam: E-Commerce’s Latest Chapter is Rebuilding Relationships and Trust.” Don’t get me wrong: online purchasing definitely matters. But an online retailer is no longer a novelty. The internet provides scale – but often at the expense of building authentic relationships. Enter LGS.
LGS is not the first company to attack the online consignment space, nor is it the first to focus on women’s fashion. But it does it differently – and it does it better. How? Leveraging its collection of pop-up shops, brick and mortar stores, and digital communities, LGS is cultivating a centralized home for its customers to congregate, browse, discuss – all as they become brand evangelists. LGS differs by offering a high end white glove service, operating under the belief that commerce should not be merely transaction – but rather, relational.
More, LGS is leveraging their brand to approach the digital world in extraordinary ways. Case in point, over half the items posted to their Instagram feed are sold within 48 hours. By bridging the online and offline worlds, they have created inventory acquisition and product distribution channels simply unattainable in the traditional retail world.
The best part of any new investment is welcoming truly spectacular people to the Chicago Ventures family. Lindsay and Brielle have over-executed on minimal resources at every stage of their company’s life, all the while building a talented team. We’re excited to work closely again with Brian Spaly as he chairs the company’s Board and helps them move into the next stage of their growth.
If you’re in Chicago now or Dallas in March be sure to swing by their stores, if not, check out LuxuryGarageSale.com to check out their curated collection of designer merchandise.
(Read more about our investment here.)