by Sarah Smith and Zeeza Cole, Bain Capital Ventures

We grew up in thrifty families that saw the value of wearing secondhand clothes that spanned generations, so we understood the “vintage cool” factor and sustainability of re-use from an early age. When we heard Emily Gittins and Ryan Rowe’s vision for Archive to power every brand’s secondhand marketplace, the nostalgia and inherent value resonated with us both. We knew we wanted to back them immediately.

Today we’re thrilled to share that BCV is co-leading Archive’s seed round with Lightspeed Ventures. BCV first invested in Archive in their pre-seed round and we are excited to continue to support their growth.

It turns out we are not alone in seeing the value of secondhand retail. According to the 2021 thredUp Resale Report, 33 million people bought secondhand for the first time in 2020, and most expect to continue to buy resale in the future. Some 42% of Gen Z and millennials shopped secondhand last year. The resale sector is growing 11x faster than traditional fashion retail. All of this adds up to an enormous secondhand global market.

Until recently, brands have largely been left out of the economics of resale and secondhand commerce. While marketplace aggregators like eBay, Poshmark, thredUp, and The RealReal have excelled at bringing buyers and sellers together, brands have limited control over how their items are represented, priced, or placed, leaving them without a direct connection to buyers.

In speaking with many brands, we heard an overwhelming sentiment that it was inevitable they would soon own a portion of their secondhand marketplace experience directly.

Enter Archive. The company’s seamless technology platform enables brands to reclaim their secondhand marketplace experience by enabling peer-to-peer sales of their own merchandise. Early brand partners have characterized Archive’s platform as a trusted marketplace solution that truly meets their unique needs. First launch partner M.M. LaFleur set the stage with “Second Act,” a one-stop destination for buyers and sellers of their clothing.

For sellers, listing an item through Archive is incredibly easy, as the full historical catalog of photos and product description are available by default. A seller simply adds a couple of photos and a few details about the item’s condition. And buyers can search by size and condition. Importantly, the item ships directly from the seller to buyer, saving carbon and staffing costs involved in traditional inventory consignment models.

The economics are superior for both the sellers and the brands. Sellers can get the full sale price in store credit or ~80% cash, which is often double what they would earn with traditional consignment. Brands drive greater customer loyalty as sellers often come back and spend many multiples of their store credit on new merchandise.

Brands also told us the resale buyer is a net new customer — a different profile than the customer who buys the new, current season styles. Overall, brands are not concerned about cannibalization and are driven to launch resale by the expanding customer base, the intrinsic increase in new item value, and sustainability benefits.

Early Archive partners shared how much they enjoyed working with founders Emily Gittins and Ryan Rowe. They felt Emily and Ryan truly heard and understood their unique needs, and had built a high-quality platform and trusted marketplace solution.

If you are involved with a brand considering launching your resale channel, please reach out directly to the Archive team at info@archiveresale.co. Perhaps we’ll be one of your first buyers!

Special mention to seed round co-investors Firstmark, the founders of Allbirds, Harry’s, Warby Parker and Zola as well as Oscar de la Renta CEO Alex Bolen, Zola co-founder Shan Lyn-Ma, former Credo Beauty CEO Dawn Bobras, designer Steven Alan and former Saks Fifth Avenue President Marigay McKee.

Zeeza was excited about BCV for its thesis-driven approach to investing and apprenticeship model

I’ve always been drawn to people and their stories. I grew up on a farm in New Jersey, and believe that’s fundamentally shaped who I am. I’m fascinated listening to others’ journeys and how those paths have influenced their perspectives. I chose to major in History at Princeton University for this reason. It’s a very analytical discipline to distill and reconcile perspectives across stories and time, but a deeply human exercise, as well. I love the idea that we have so many lessons to learn from the past that will help us shape a better future.

After graduating, I joined Goldman Sachs in the equity capital markets group, where I had interned during the prior summer. While advising companies on IPOs and other equity offerings, we gathered information from disparate sources — management teams, investors, research analysts, corporate filings, stock market data — and consolidated it into a clear and concise thesis about the company; I found significant overlap with this work and studying history.

Goldman challenged me in fantastic ways, technically, professionally, and personally. I had unique exposure to pre- and post-IPO companies, but I was most excited about earlier stages of company building and wanted to experience it firsthand.

Hone In On A Sector That Excites You

Around the same time, I had family members working out of WeWorks. While I was experiencing a more traditional work environment in Investment Banking, they shared stories of a novel work environment: happy hours hosted by community leaders, spa water and barista bars, and office spaces with neon signs and succulents. I was skeptical at first that those types of office perks would make a difference, but the first time I walked into a WeWork the energy was unlike anything I had felt before.

It was clear WeWork wasn’t just challenging the concept of where we work, it was fundamentally shifting the perspective on how we work. My search for an early-stage startup experience simultaneously led me to a newfound interest in the Future of Work. I was eager to be a part of this transformation and explore how far we could take it.

I joined WeWork in 2018 at a time of tremendous excitement and high hopes, and stayed through a period of uncertainty and challenges. As a founding member of the Creator Fund, WeWork’s corporate venture arm, I encountered a new and exciting way to work alongside colleagues who shared a similar vision for a more collaborative, inclusive and flexible working style.

While I lived the WeWork vision of work within our flexible and community-driven office spaces, I also had the opportunity to invest in early stage companies focused on other perspectives and contributions to the future of work. I was empowered to explore questions like “How can we encourage people to be their most effective selves, increase collaboration, and retain the human element in our interactions in an increasingly digital world?” These questions — and the need for great answers — have only become more critical over the past 20 months.

Mentors Matter, Find Your People

At BCV, we take a thesis-driven approach to investing; each partner has unique experience and exposure to their respective verticals. This emphasis on specialization encourages us to explore our interests and learn firsthand from our partners.

I have the great privilege of working directly with BCV Partner Sarah Smith. Sarah worked for many years in HR and operational leadership roles at Facebook and Quora before diving into the investing world. I have found incredible support and mentorship from Sarah and the broader BCV partnership to help me grow and develop my investing style and framework, and I feel incredibly lucky to be a part of this team.

Joining Bain Capital Ventures in early 2020 has allowed me to further explore exciting questions around how we work. Alongside talented colleagues and mentors, I’m energized every day by the opportunities we have at BCV to connect with founders, share in their visions, and hopefully play a part in shaping a better future. Early-stage investing is deeply personal work; it’s far more than P&Ls. Ultimately we are investing in visions for what the future could look like, and the people and stories behind them.

How Can You Apply?

If BCV sounds like the kind of place you’d like to work, I encourage you to apply! To ensure consideration, please submit your resume through our application by Monday, November 29, 2021, which includes a one-paragraph answer to one of these prompts:

• Describe an experience you’ve had that illustrates why venture capital is exciting to you.
• Share your perspective of a technology trend or opportunity that you believe Bain Capital Ventures should be spending time on.

If you progress in the interview process, BCV will ask you for a one-page investment memo outlining a team or company that you believe we should invest in.