Popular fashion resale marketplace Depop will be in the hands of new owners in a $1.6 billion [€1.3 billion] acquisition from handmade and vintage selling outlet, Etsy.
Founded 10 years ago, Depop has provided the platform for people to buy and sell used clothes through its online marketplace. Etsy will now have access to Depop’s growing userbase.
Depop targeted younger users in particular with around 90% of its audience aged under 26 as Bloomberg report that the app is the 10th most visited shopping site in the U.S among Gen-Z customers.
Speaking to the New York Times as quoted by Complex, Etsy chief executive, Josh Silverman said on the deal, “We are simply thrilled to be adding Depop, what we believe to be the resale home for Gen Z consumers, to the Etsy family.
“Depop is a vibrant, two-sided marketplace with a passionate community, a highly-differentiated offering of unique items, and we believe significant potential to further scale.”
As a UK founded company, Depop will continue operations as a sole marketplace in London, Etsy confirmed. Maria Raga, Depop’s chief executive, will still be running the company.
Raga expressed her delight with the acquisition in an interview with The Financial Times, “Etsy has made massive improvements in terms of search and discovery, and this is something that we can definitely learn from.
“We’re on an incredible journey building Depop into a place where the next generation comes to explore unique fashion and be part of a community that’s changing the way we shop,” Raga added as quoted by Complex. “They come to Depop for the clothes, but stay for the culture.”