AUCNET Expanding Its Pre-owned Luxury Goods Business by Opening Overseas Branches in Europe and U.S.

Author: AUCNET INC. / 2023-07-23 11:36 / Source: AUCNET INC.

AUCNET Expanding Its Pre-owned Luxury Goods Business by Opening Overseas Branches in Europe and U.S.

TOKYO,Nov. 15,2022 --AUCNET INC. (hereinafter "AUCNET"),a Tokyo-based online auction company,willbe expanding its subsidiary -- AUCNET CONSUMER PRODUCTS INC. (hereinafter"ACP") -- globally,opening up two new international branches,one inCopenhagen,Denmark,and the other in Los Angeles,California,the UnitedStates,starting this November. Each branch respectively represents ACP'spresence in Europe and North America. The European branch will be run by COOMasaaki Furukawa,and the U.S. branch by COO Ayako Yamazaki,with Yasuto Saitoremaining as CEO of both branches. By expanding its physical business intoEurope and North America,ACP hopes to secure more suppliers of second-handluxury goods,which its buyers can purchase with ease.

The expansion coincides with the growth of the global resale market,which,forclothing,including luxury brand-name items,was valued at about 35.4 billionEUR* in 2021 and which is expected to exceed 83.7 billion EUR* by 2026 (*1).While this resale industry contains products that offer profitable gainsglobally,these items are often supplied by individuals who choose to consign.Obtaining these items with a stable flow,while an essential part of theprocess,continues to be an uphill battle.

To help combat the supply issue,AUCNET founded its subsidiary ACP in 2015.Based in Tokyo and run by President and CEO Yasuto Saito,it currently has over3,400 users worldwide. ACP conducts a luxury brand auction -- selling over657,000 items yearly -- and is praised for being one of the top B2B second-handluxury auctions in Japan,with a yearly Gross Merchandise Value (GMV) of over 222 million EUR**.

By increasing the number of buyers in the target areas and following up withacquisition of more sellers,ACP plans to further expand its growth abroad andcreate circular distribution of its products worldwide.

References:

(*1) thredUP "2022 Fashion Resale Market and Trend Report"

https://www.thredup.com/resale/

*All USD to EUR conversions based on the following rate: 1 USD = 1.01 EUR (asof November 2,2022).

**JPY to EUR conversion based on the following rate: 145 JPY = 1 EUR (as ofNovember 2,2022).

A message from the President & COO of AUCNET INC.,Shinichiro Fujisaki

Photo:

https://kyodonewsprwire.jp/prwfile/release/M105709/202211109598/_prw_PI1fl_892ARNAG.jpg

"We at AUCNET are happy to announce the establishment of our two new entitiesabroad with the aim of a global B2B distribution service in the second-handluxury goods market. We currently have over 3,400 users worldwide,and ourbuyers abroad are specifically strengthening their presence year by year.Seeing Europe as one of the world's biggest reuse markets with room still togrow,we chose Denmark for our new entity. We would like to deepen ourunderstanding of the European market as well as improving our customer servicefor our European clients. We will focus on expanding our buyer network in allareas of Europe as a first step. As the next step,we will plan an even broaderexpansion of our client network abroad by acquiring sellers in Europe. Ourfuture goal is to develop a unique,one-of-a-kind global B2B market originatingfrom Japan. Denmark,where we have founded one of our new legal entities,ranksin the top 3 countries every year for the countries with the highest level ofSDGs achievements (*2). With the new establishment in Denmark,a leadingcountry in SDGs participation,we at AUCNET will strive to contribute tosustainability along with even more partners,utilizing the location todirectly source information and ideas from this new and developing field tocreate a society where all objects of worth can be circulated on a globalscale."

(*2) For ranking details,please visit "Sustainable Development Report 2022": https://dashboards.sdgindex.org/

- European Entity

Company name: AUCNET EUROPE ApS

Address: Gothersgade 11,1123,Koebenhavn K

Representatives: CEO Yasuto Saito,COO Masaaki Furukawa

- North American Entity

Company name: AUCNET CONSUMER PRODUCTS USA,LLC

Address: 222 Pacific Coast Highway El Segundo (23rd Floor),CA 90245,USA

Representatives: CEO Yasuto Saito,COO Ayako Yamazaki

- Overview of AUCNET CONSUMER PRODUCTS INC.

Company name: AUCNET CONSUMER PRODUCTS INC.

Headquarters: Aoyama OM Square,Kita-Aoyama 2-chome 5-8,Minato-ku,Tokyo107-8349,Japan