Jewelry Buyback Sites Worthy and Circa Join Forces
By Rob Bates | October 27, 2023
"Two companies that specialize in buying used jewelry from the public—Worthy and Circa Jewels—have merged.
Worthy Inc. will be the controlling entity, though Worthy and Circa Jewels will operate as separate banners. Steven Schneider (pictured) will continue to serve as Worthy’s CEO, while Oren Schneider (no relation) will become general manager of Circa Jewels.
The transaction values the combined company at over $100 million, according to a statement. Additional terms were not disclosed. The new business will have over 100 employees.
Both brands give consumers a way to receive cash for their jewelry. Worthy is an online business that has people send items to its New York City office, where they are photographed and prepped for sale. It then offers them to a group of 1,000 wholesalers via cyberauction, with the original owner keeping the final price (minus fees).
Circa is a mostly brick-and-mortar business that offers customers cash for their jewelry at its 22 locations worldwide. It then sells the pieces to wholesalers as well as over platforms like 1stDibs, Sothebys.com, and Hampton Estate Auctions. (Circa acquired Hampton Estate in 2016.)
“We see two businesses that, while functionally doing something similar, have incredibly complementary core assets and skill sets,” says Steven Schneider. “That’s why the businesses make so much sense together. Because while the end outcome—people getting paid for their jewelry—may be the same, the mechanism by which the two companies have done it is very different and extremely complementary.”
Under the new structure, Circa will eventually give customers the option to list their items on Worthy.
The merger comes at a time when the online market for secondhand luxury goods has grown considerably. The pre-owned watch business in particular has seen a flood of new entrants.
“There is a lot of competition, but watches have been a core category for both businesses,” Schneider says. “Where I think the Circa business can really win is we have all these locations globally where someone can come visit and talk to somebody in person. Some of those players in the watch space have a couple of locations in larger cities, but we probably have the best coverage of just about all of them.”
Schneider believes the resale business has yet to reach its full potential. “There is literally trillions of dollars [in used jewelry and watches] sitting in people’s homes,” he says. “The resale market, between watches and fine jewelry, is $42 billion. That’s expected to grow.
“For most people, [jewelry] is probably their most valuable asset class behind their house and their car.… The resale market is such a small fraction of the overall value of inventory. People don’t even realize there are options for them to sell it. A car sits in your driveway and you think, ‘I have to get rid of it’—as opposed to a diamond ring that you can tuck away in your jewelry box and sock drawer.”
Investors in Worthy, which is based in both Tel Aviv and New York City, include Israeli investment firms Viola Ventures, and The Phoenix, as well as local businessmen Alejandro Weinstein and Eddy Shalev. Schneider says there are no current plans go to public.
“Like any venture-backed business, at some point the company will think about an exit. Right now, we are focused on how to build the best company possible.”
Worthy was founded in 2014. Schneider has been its sole CEO since March 2022, after serving as its co-CEO since 2021. He first joined the company in 2018, as chief revenue and chief operating officer.
Circa is based in New York City and has been in business since 2001. Oren Schneider has been its CEO since 2019, when it merged with another buyback company, Mondiamo, and became a subsidiary of jewelry-oriented investment firm ... "
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