StockX Caters to Female Fans with First Sell-Out Beauty Drop
StockX, an American live resales e-marketplace that uses stock exchange-style mechanics to build hype, has capitalised on findings that new users are twice as likely to be women than pre-pandemic by launching its first beauty drop, which sold out in hours. The drop is a collaboration between US mass-market beauty brand Revlon and American rapper, and Revlon brand ambassador, Megan Thee Stallion.
While StockX users are accustomed to releases from cult or luxury brands, particularly covetable sneakers, Revlon highlights the commercial opportunity for mass-market brands – albeit in conjunction with star pulling power. Encouraging purchasing haste, the four-piece make-up set (lip gloss, eyeshadow palette, false eyelashes, make-up bag) was limited to 450 sets and started at $40, rising by $5 for every 50 units sold, up to $60.
The release highlights the evolution of StockX via its ‘DropX’ feature. Launched in August 2020, it lets brands sell directly to consumers, rather than the previous peer-to-peer selling model. DropX gives brands flexibility when trialling pricing formats, allowing them to list items on the site as blind auctions (when bidders do not know others’ bids) or at a fixed price, without requiring any long-term commitment to StockX (similar to eBay). Shoppers with a StockX account can either purchase instantly or bid on the item. To generate further hype, brands can add a countdown timer to the product’s landing page advertising how long is left to snap it up.
The DropX feature has seen impressive results to date. In addition to Revlon's sold-out drop, on July 19, US wireless earbud start-up Nothing sold 100 units of wireless earbuds (engraved from 1-100) via the auction model, with one pair receiving a bid of $733, over seven times the retail price of a (non-engraved) regular pair.
For more on the power of drop culture in retail, see Drop Culture & Democratised Luxe in Retail: Gateways to Luxe for 2021.