Secoo

About Secoo

Secoo Holding Limited operates as an integrated upscale products and services platform, primarily targeting consumers in China. The company was established in 2008 by Richard Rixue Li, who identified an opportunity in the burgeoning market for second-hand luxury goods as China's economy grew. Li's background was in the home appliances market before he pivoted to luxury e-commerce, launching the Secoo website in January 2011.

The firm's business model is structured around an online-to-offline (O2O) approach, which combines its e-commerce website (secoo.com) and mobile applications with a network of offline experiential centers. These physical locations in major cities like Beijing and Shanghai, as well as internationally, offer services such as product authentication, maintenance, and a space for VIP events, complementing the online sales channel. Revenue is primarily generated through the online retail of new and pre-owned luxury items, where Secoo purchases goods from manufacturers and sells them on its platform. The company also provides a marketplace for third-party merchants. Its product range is extensive, including handbags, watches, apparel, footwear, jewelry, cosmetics, and lifestyle services.

A key operational focus for Secoo is product authenticity, employing a team of professional appraisers to verify goods and combat counterfeiting, a significant concern in the online luxury market. The platform targets well-educated, middle and high-income professionals in China, with a customer base that has skewed younger over time. The company attracted significant investment, including from IDG Capital, L Catterton, and JD.com, culminating in a NASDAQ IPO in September 2017 that raised approximately $140 million. However, the company has since faced considerable challenges, including mounting customer complaints, declining financial performance, and issues maintaining Nasdaq listing compliance, leading to its delisting in 2024.