Kaiyo

The business model is designed to eliminate the logistical challenges typically associated with the resale of large items. Kaiyo manages the entire process for sellers, including free pickup, professional cleaning, photography, and storage of items in its warehouses. For buyers, it offers a curated inventory of well-known brands like Restoration Hardware, Design Within Reach, and West Elm at a discount, complete with white-glove delivery. This end-to-end service creates a convenient and reliable experience for both parties. The primary clients are environmentally conscious consumers and value-seekers, often millennials, who want access to high-end design without the full price tag.

Revenue is generated through a commission-based model, where Kaiyo takes a percentage of the final sale price of each item sold on its platform. The seller's share is determined by a sliding scale based on the item's selling price. Additional revenue comes from delivery fees charged to buyers. The company uses a proprietary algorithm to price items based on brand, condition, and market data, with prices automatically discounted over time to encourage sales. Having raised a total of $50 million over seven funding rounds, including a significant $36 million Series B in 2022, Kaiyo expanded its services from the U.S. East Coast to markets like California. However, in mid-2024, the company began winding down its operations, citing financial and operational difficulties.