Andy Kuo: We plan to significantly invest in our marketing budget in Hong Kong while also funding expansion into the new market, Singapore. Our marketing strategy will heavily leverage Google/Meta and YouTube advertising. It’s crucial that we educate users about our authentication process and highlight our competitive advantage. If customers understand and trust our authentication process, they will be more inclined to buy and sell on our platform. There is a definite market with many individuals possessing luxury products to sell. Through education and trust-building, we aim to attract these potential users to our platform. IR: PopChill has quickly become the largest pre-owned luxury platform in Taiwan and Hong Kong. What key factors do you attribute to this rapid growth and success? AK: Before the arrival of PopChill, trading luxury fashion on existing C2C [consumer-to-consumer] marketplaces was challenging. Options in Taiwan such as Shopee or Facebook Marketplace did facilitate millions in luxury resale transactions, but they lacked a focus on luxury items and were not deemed trustworthy. Despite the strong supply and demand for luxury fashion, there was no efficient trading method. Recognizing this, we saw that the market was ripe for a platform like ours to come in and capitalize. IR: With Taiwan and Hong Kong being some of the highest per capita spenders on luxury goods, how do you plan to leverage this market characteristic as you expand into other regions in Asia? AK: Unlike most C2C marketplaces that view each country as a separate market, we perceive all countries in Asia as a single or potential single market. This approach allows people from different countries to buy from and sell to each other. As a result, when we enter a new market, we don’t need to solve the chicken-and-egg issue prevalent in e-commerce (the need for stock to attract users, but requiring users to sell merchandise from scratch). We can leverage our existing demand and supply in Hong Kong and Taiwan. Our goal is clear: to become the leading luxury resale platform in Asia. IR: Your platform’s authentication technology from Entrupy has a 99.1 per cent accuracy rate. How crucial has this technology been in building trust with your users, and are there plans to enhance it further? AK: We contemplated hiring in-house authenticators but found that AI technology offers superior accuracy. Our unique advantage, the “secret sauce,” is the technology from Entrupy. We have consistently refined this technology and our internal processes for improved counterfeit detection. This advantage also simplifies our entry into new markets, as we don’t need to hire in-house authenticators; we already possess the essential know-how. IR: Handbags constitute 80 per cent of your sales currently. Can you elaborate on your strategy for diversifying into watches and jewelry in the next six to 12 months? AK: This exceeds Entrupy’s capabilities, so we need in-house authenticators for these new categories. Our goal is to become the leading high-end luxury marketplace in Asia across all categories. Therefore, it’s crucial that we expand our offerings beyond handbags and wallets. IR: PopChill plans to hire significantly in Taiwan, Hong Kong, and Singapore. What kind of talent are you looking to bring on board, and how will they contribute to your growth strategy? AK: Primarily, we need engineers. As a technology company, our growth relies on the expertise of data engineers and AI specialists. Technology has been a key factor in our past growth and will continue to be vital in the future. E-commerce is exceptionally data-driven, and given our competition with some of Asia’s top companies, we require the best data and engineering talent. IR: The luxury resale market has doubled globally over the past four years. How do you see this trend evolving in the Asia-Pacific region, and what role does PopChill aim to play in this growth? AK: Sustainable fashion and pre-owned luxury are global and regional trends. Major players like Vestiaire Collective and Zhi Er in China demonstrate this. Our plan is to become the equivalent largest player in the rest of Asia. The demand for second-hand luxury is strong and will continue to strengthen. IR: PopChill’s partnership with top luxury retailers from Japan and suppliers from Taiwan and Hong Kong has been a significant part of your success. How do you plan to expand and enhance these partnerships in the future? AK: We collaborate with both individual and professional sellers. For local brick-and-mortar stores, we can assist in reaching customers previously inaccessible. Thus, we consider them partners rather than competitors. IR: Can you discuss the challenges and opportunities you foresee in the pre-owned luxury market in Asia, especially outside of China? AK: The opportunity is significant. Like Taiwan and Hong Kong, there is no established, secure marketplace for trading second-hand luxury items in Asia. The luxury retail market in Asia is huge in size and value. For instance: The luxury market in Thailand is worth $4.6 billion In Singapore, it’s $4.06 billion Japan’s luxury market is valued at $41.1 billion Vietnam’s luxury market is close to $1 billion IR: Looking ahead, what are PopChill’s long-term goals, and where do you see the company in the next five years in terms of market presence and innovation? AK: I believe AI will play an essential role in matching buyers and sellers more efficiently and meaningfully. That’s why we’re investing heavily in our AI capabilities. Additionally, we plan to expand into more new markets. Our goal is to become the largest luxury resale marketplace in this region, encompassing all markets in East and Southeast Asia, excluding China. Further reading: What The RealReal’s store closures say about the future of luxury resale