Secret Sales, the online fashion and lifestyle retailer, has achieved a remarkable 4,000% increase in revenue since transforming its business model from a discount flash sales operator to a premium platform during the pandemic. This transition has proven highly successful, with over 18 million unique users visiting Secret Sales and attracting hundreds of thousands of new customers since the launch of its marketplace. The platform now offers an impressive range of over 66,000 products across various categories including fashion, footwear, accessories, beauty, and homeware.

To maintain sales in full-price channels and protect brand equity while clearing excess inventory, Secret Sales has formed partnerships with 115 brands, retailers, and multi-brand companies. This has significantly increased the number of individual brands available on the website to over 450. Well-known names such as Superdry, Ted Baker, Jigsaw, GStar, and Versace 19v69 have joined forces with Secret Sales to showcase their end-of-season stock on the platform.

CEO Chris Griffin emphasizes the importance of finding an effective and profitable method to clear excess inventory that aligns with current needs and anticipates the future of ecommerce. The marketplace model adopted by Secret Sales allows each brand to maintain control over product selection, pricing, images, and copy, thus enabling efficient supply chain and inventory management without the need to physically transfer stock to a third-party seller. This approach provides brands with the opportunity to preserve their brand positioning and connect with a new customer base.

Secret Sales predicts that shoppers will return to make purchases five times within the first year of trading, based on the platform’s current repeat purchase rate. In the first month alone, a fifth of customers made two purchases, which is four times higher than the industry average. The average order value currently stands at £65. The company aims to disrupt the discount sector by offering a premium clearance strategy and becoming the largest discount-only marketplace for premium fashion. Griffin envisions Secret Sales as the digital equivalent of renowned designer outlet destinations like Bicester Village, bringing the experience online.

The remarkable growth experienced by Secret Sales highlights the significance of transitioning to a marketplace platform. By providing a compelling and efficient shopping experience for both customers and brands, the company has positioned itself for success in the evolving world of retail. As the pandemic continues to influence consumer behavior, it is evident that online marketplaces offer a promising solution for retailers seeking to tap into new customer bases and effectively manage excess inventory.

Useful links:
Secret Sales website
Bicester Village designer outlet website