NEW YORK and TYLER, Texas, May 12, 2014 /PRNewswire/ — Worthy (www.worthy.com) has launched a unique and secure, online marketplace for the sale of pre-owned luxury goods to a network of qualified buyers that guarantees multiple bids and the best spot market prices.
For the first time, consumers owning diamonds, branded watches, jewelry and gemstones have a safe and secure way of selling these luxury items through an online auction to a network of committed buyers. At the same time, Worthy has created a novel and easy way for professional buyers, wholesalers and collectors to bid on a steady stream of luxury goods that have been pre-authenticated – saving them time and money.
Industry analysts estimate the global luxury market at $300 billion dollars annually with the demand for “recycled” or recovered diamonds alone at an annual five million carat or $1.2 to $3.5 billion dollar marketplace opportunity. Among pre-owned luxury goods, the market for diamonds and gold represents the largest segment by total value, while jewelry and branded watches represent a smaller but significant part of this market.
“We have created a total ‘win-win’ solution for the sellers and buyers of pre-owned luxury goods that addresses the inefficiencies and limitations presented by current marketplace liquidity solutions,” said Ben De-Kalo, founder and CEO of Worthy. “Pawn shops, traditional jewelry stores, high-end auction houses, like Christie’s or Sotheby’s and online auction sites, such as eBay and eBid don’t pre-qualify their buyers, offer multiple bids or guarantee that items won’t be sold below market value.”
Worthy’s unbiased auction platform provides private sellers with the safest and quickest way to auction high-value items to a market of committed buyers and receive the best market value.
“Worthy provides sellers with many advantages including complete safety from buyer’s fraud, multiple bids from only interested and relevant buyers, and lastly, guaranteed binding offers (‘no regrets’) from buyers,” said Mr. De-Kalo. “For the buyer, we provide two critical services – volume and authenticity. Worthy buyers have access to a steady flow of luxury goods that have already been authenticated by our professional appraisers, thus saving them valuable time and money while avoiding the headaches of having to deal with unsophisticated or unscrupulous sellers.”
How it Works
Worthy has created a selling process that is quick and hassle-free which can be accessed 24/7 from any location through the Internet. Sellers can simply go online to Worthy.com and submit a description and image of the valuable they wish to sell. Worthy provides the seller with its initial Market Value Estimate based on this description, similar item transactions and the opinions of expert buyers. Once the seller accepts the Market Value Estimate, they ship their item to Worthy’s secure Texas operations facility using Worthy pre-paid and fully insured FedEx-overnight shipping label.
Once the item arrives at Worthy, expert appraisers evaluate, clean and professionally photograph it in preparation for the online auction. At the same time, prospective buyers are sent an alert on the items about to be auctioned. The auction gets underway allowing qualified and targeted buyers a set period of time (usually 24 hours) to compete for the item. Upon acceptance of the highest bid by the seller, the payment is processed and funds are transmitted to the seller — almost immediately.
What Buyers and Sellers Are Saying About Worthy
Worthy.com has already begun to attract a following of enthusiastic sellers. Aaron P., a mobile engineer from Charlotte, N.C., commented, “Worthy lives up to its name! Not only did they give me a fair price on my item, they also had excellent communication throughout the process. I was scared about sending my item in the mail, as I’m sure a lot of people would be. However, they gave me regular updates as to where my item was and put my mind at ease. I would highly recommend them to my friends without hesitation. In short Worthy is worthy of your trust!”
Another first-time Worthy seller is Simona M. of Cochituate, MA, who said, “My experience was great. The staff was professional and did everything as they explained. Arthur was great and followed up with me every step of the way. As others have mentioned, I was scared to send my item in the mail to perfect strangers, but thanks to the reviews, I felt okay. I will use them again and recommend them to others. Thanks.”
Ishaia Gol, co-owner of Ishaia Trading Corp., an established New York-based diamond and high-end jewelry trading company with over 38 years in the luxury goods industry, explained why his company signed on as a qualified buyer on Worthy. “Worthy does all the legwork for both the buyer and the seller. We cannot be in all places at all times to take advantage of buying opportunities. Now, all I have to do is look at my computer screen to bid on a diamond or piece of jewelry that we are interested in. Worthy makes it very simple for me.”
Dan Pasternak, a New York City-based branded watch dealer who has specialized in the buying and selling of pre-owned time pieces for over 25 years, described the benefits of being a pre-qualified Worthy buyer. “What Worthy brings to me is product, and for my business, the buying is more important than the selling. Since I deal in pre-owned watches, I cannot manufacture product. Worthy becomes an extension of my own business model since I normally buy from traditional retail sources as well as from jewelry stores around the country. Worthy is even a better deal for the seller because they get access to multiple bids through the auction process, better prices and don’t have to pay higher auction fees.”
For bringing sellers and buyers together, Worthy charges a sliding scale commission for successful transactions and neither party pays in the event an item does not sell. Seller fees range between five and 20 percent of final sale prices, while buyers pay Worthy between two-and-a-half and 10 percent of the final sale prices. This compares to 35-50 percent of an item’s value that’s charged by local jewelry stores or middlemen which means that the seller ends up getting just 10 to 20 cents on the dollar for their diamond ring or branded watch compared with 80-95 percent of the market value under Worthy.
Sellers on Worthy can withdraw from the selling process without incurring any risk. The seller has the option of refusing to accept the initial Market Value Estimate (MVE) or when the auction concludes, can decide not to accept the winning bid. There’s no penalty or cost to the seller of any kind. As for the buyer, once they submit a bid based on Worthy’s certified item description, they are obligated to purchase the item if their bid is accepted by the seller. That’s part of the guarantee that Worthy offers the seller.
If a buyer is not happy with the goods they receive because there is a material difference in the actual item from Worthy’s description, they can file for a refund. Worthy employs the industry’s best practices, operates sophisticated labs and has in-house, leading appraisers in their field to assure such events will rarely occur. Even if the buyer does get a refund on their purchase, the seller gets to keep their sale proceeds and Worthy covers the price of the item and accepts responsibility for the sale or disposal of the item.
Worthy (www.worthy.com) is a unique online and secure marketplace for pre-owned luxury goods including diamonds, brand-named watches, jewelry, gemstones and precious metals. The company has developed an unbiased selling platform providing private sellers with the safest and quickest way to auction high-value items to a market of committed buyers and receive the best market value. By making the process simple and providing guaranteed item descriptions, Worthy makes it easy for pre-approved buyers to enjoy a steady stream of deals suited to their business needs. Worthy is headquartered in New York City with an operations center in Tyler, Texas and a R&D facility in Israel.