Retail in Asia

In Trends

China’s luxury platform Secoo sees total sales, GMV soar in 2019

Secoo

Chinese luxury retailer Secoo reported total revenues and gross merchandise value (GMV) increased by double-digits in the fourth quarter and full-year 2019, as the online platform saw a surge in customer orders and new customer numbers.

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The Beijing-based company said GMV reached RMB 13,785.3 million (US$1,980.1 million) for full year 2019, representing an increase of 71.3% from RMB 8,048.1 million for 2018.

Total revenues reached RMB 6,869.2 million for the full year, increasing by 27.5% compared to 2018.

Total number of orders hit 4 million for the full year, representing an increase of 75.6% from 2.3 million in 2018, while the number of active customers increased by 67.5%.

Total registered customers reached 36.5 million as of 31st December, 2019 from 27.0 million as of 31st December, 2018.

As for profit, net income increased by 3.9% to RMB161.7 million in 2019, from RMB155.5 million for 2018.

“These results reveal our strong growth momentum and further validate our leading position in China’s luxury goods and services marketplace,” said Richard Rixue Li, chairman and chief executive officer of Secoo.

“We remain committed to our diversified growth strategy, expanding supply chain capabilities and deepening brand relationships across the globe as part of our continuous pursuit to meet and exceed the ever-evolving demand for luxury goods. Our strategic effort to cultivate our membership ecosystem continues to deliver promising results,” continued Richard.

In light of the implications to the economy brought on by the global Covid-19 epidemic in the last three months, Secoo said it is keeping a conservative view on business performance for the first quarter 2020.

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“Despite the challenging market environment, we will continue to pursue solid organic growth and explore valuable partnerships to enhance our suite of offerings and strengthen our brand leadership in the market,” said Shaojun Chen, chief financial officer of Secoo.