Worthy and CIRCA Jewels, two major players in the pre-owned fine jewelry and luxury watch market, have announced their merger to form a unified platform valued at over $100 million.
This strategic move aims to create a leading destination for buying and selling pre-owned luxury items, enhancing both companies’ capabilities and market reach.
Leadership and Vision
Steven Schneider, CEO of Worthy, highlighted the significance of this merger, stating, “We will take the best from both businesses to create the global, premier pre-owned luxury jewelry platform with significant scale, reach, and choices for our wholesale buyers and sellers.” Schneider emphasized the potential to tap into the substantial secondary market for luxury items, noting the vast, underutilized market of consumer-owned diamonds, watches, and jewelry, valued globally at over $5 trillion.
Oren Schneider, CEO of CIRCA Inc., echoed these sentiments, saying, “Combining with Worthy creates an even larger, more powerful platform with greater scaling opportunities.” He pointed out the increasing consumer acceptance of luxury resale and the advantages of the combined platform, including offering more flexibility to sellers through in-office purchases or online auctions.
Strategic Benefits and Market Expansion
The merged entity aims to leverage synergies to achieve annual gross merchandise value significantly above $100 million by 2024. Key benefits outlined in the merger include:
- Expanded Customer Base: The merger is expected to enhance buyer and seller loyalty through a more comprehensive product portfolio and expert knowledge in hard luxury.
- Improved Seller Experience: The platform will offer various transaction processes, including direct offers and auctions, both online and in-person, to ensure quick, efficient, and profitable sales.
- Advanced Technology Utilization: Worthy’s proprietary technology and machine learning capabilities will drive personalization and marketing effectiveness, increasing sales.
- Enhanced Product Mix: There will be a focus on high-demand luxury brands such as Cartier, Van Cleef & Arpels, Bulgari, Tiffany & Co., Rolex, Audemars Piguet, and Patek Philippe.
- Global Expansion: With physical locations in North America, Europe, and Asia, the combined company plans to continue its global expansion, particularly in regions with aging populations and a high concentration of luxury goods.
Operational Continuity
The combined company will maintain the Worthy and CIRCA Jewels banners independently. Steven Schneider will continue as CEO, while Oren Schneider will assume the role of General Manager of CIRCA.
This merger represents a significant consolidation in the pre-owned luxury market, potentially setting a new standard for scale and efficiency in the industry.
For professional jewellers, this could mean increased opportunities for buying pre-owned items through a more streamlined and technologically advanced platform. Additionally, the enhanced product mix and global reach may attract a broader customer base, driving further growth in the secondary market for luxury jewelry and watches.
