Luxury handbag restoration and preowned designer resale retailer, The Handbag Clinic has secured a significant capital injection to accelerate its growth in the UK and internationally, and drive the technological development of its ecommerce platform. The North East Venture Fund supported by the European Regional Development Fund and managed by Mercia Ventures, displaying continued support for The Handbag Clinic by following their previous investments, alongside a private investor.
Strengthening the Board of Directors, award-winning entrepreneur and global brand Chair and ex-CEO, Tracy Lewis (Wacoal, Additional Lengths, Bluebella) joins as The Handbag Clinic’s new Chair, alongside Will Chalk (Alphagenix, Mococo, Noggin HQ) appointed as Chief Technical Officer, and former Aftersales Manager for Chanel, John Cunningham as The Handbag Clinic’s Customer Service & Operations Manager. With continued sustained growth and investment from the NEVF, The Handbag Clinic has doubled the size of its UK based team to 55 since the first investment in July 2021, with a further 10 planned for 2024. These roles are predominantly based in the company’s North East roots are across finance, tech, marketing and creating the next generation of Artisans.
Ian Wilson of Mercia Ventures said: “With sustainability a key issue for luxury fashion brands and consumers, the resale market continues to grow. The Handbag Clinic has established itself as the trusted aftercare service for the biggest luxury brands. This latest investment will help the company to continue its growth trajectory and pursue its ambition to become the leading global authority for preloved handbags.”
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The Handbag Clinic is set to expand its presence in the UK by building on several new partnerships. This includes its recently launched permanent in-store concessions within Harrods and Selfridges, and its rapidly growing portfolio of official luxury brand partnerships which include Gucci, Jimmy Choo, Bvlgari, Celine, Radley, Ugg and Christies amongst others. The Handbag Clinic is currently the largest global operation for restoration and repairs. Plans to further expand internationally are also afoot, driving its ambition to become the leading global authority for preloved handbags.
Recognising that technology is key to advancement within the sector, The Handbag Clinic is also investing in bespoke technology for its ecommerce platform, creating a unique solution for its customers and luxury brand partners. This includes the addition of AI and microscopic imagery to its software to support its highly skilled team of authenticators – streamlining and supercharging its capabilities. This will be spearheaded by newly appointed CTO, Will Chalk; as a seasoned Marketing and Data Analytics consultant with extensive experience across a wide variety of sectors and luxury brands, Chalk is primed to enrich The Handbag Clinic’s ecommerce growth.
Boarding as Non-Exec Chair, Tracy Lewis, brings a wealth of experience and knowledge from the fashion, beauty, consumer and retail and impact investment sectors. Her illustrious 35+ year career leading and supporting brands to achieve global growth include Wacoal, Eylure, Additional Lengths and Bluebella and brings valuable expertise and insight. Lewis has been instrumental in several business exits, realising significant shareholder value, and takes active involvement in mentoring and developing teams to accelerate their business growth.
Built on a 25-year legacy of leather and fabric restoration, The Handbag Clinic is the longest-established luxury aftercare and resale retailer in the UK. As a key point of differentiation, it’s also the only fully circular platform tackling the end-of-life issue. Through its offering of ‘Buy, Sell, Restore, Authenticate’, uniquely combining restoration with authentication and resale, it adds value directly back into wardrobes through an ongoing loop of circularity. The brand also recently released the first handbag protection service with The Inner Circle, a unique 360 luxury aftercare plan enabling luxury investors to effortlessly maintain the value and condition of their items all year round.
With the ongoing support of Mercia Ventures Management and the NEVF, The Handbag Clinic has enjoyed record growth within the last 12 months; with a turnover of c£1.6 million (FY23) and a firmly on-track forecast target of c£3million (FY24). During the last 12 months (Oct 22 – Oct 23), the company has doubled its average monthly ecommerce revenues from £160,000 to £325,000. Year-on-year (FY22 – FY23), ecommerce traffic is up 53%, ecommerce gross revenue is up 97%, handbag acquisitions is up 40% and total orders have seen an uplift of 57%.
Having diversified its offering in recent years, The Handbag Clinic’s repair services span all luxury leather goods; from handbags, luggage and SLGs to shoes, trainers and leather clothing. A market leader in innovation, it restores over 700+ bags each month, saving over £30 million handbags from landfill since inception. With a mission to preserve the past whilst mindfully reinventing for the future, The Handbag Clinic is a proud gatekeeper of sustainable luxury.
The Handbag Clinic’s CEO and Co-Founder, Charlotte Staerck, said: “It’s been an incredible year for us at The Handbag Clinic and we’re excited that, with this capital injection and our new Board members, we can realise our ambitious growth plans. Tracy, Will and John are exceptionally talented – their unrivalled knowledge and expertise will add huge value as we take the business to the next level.”
