The merger of Worthy and CIRCA Jewels in the U.S. fine jewellery and luxury watch marketplace is significant, creating a company valued at over $100 million. This move is in response to changing consumer behaviour driven by high inflation and a slowing economy, pushing budget-conscious consumers towards secondhand retailers like The RealReal, Poshmark, and ThredUp.
Worthy and CIRCA serve as intermediaries connecting sellers and buyers of pre-owned fine jewellery and watches. Some of the most-traded brands on their platforms are Cartier and Rolex. Despite the merger, both companies plan to continue operating under their own brand names, with Steven Schneider, CEO of Worthy, retaining his position, and CIRCA’s CEO, Oren Schneider, becoming the General Manager of the combined entity.
The merger aims to leverage their deep product expertise and ability to provide transparency and value to customers in the pre-owned luxury goods market. Worthy gained attention when Shanna Moakler, an actress-model and the ex-wife of Travis Barker from Blink 182, auctioned her engagement ring for nearly $100,000 on their platform.
The global secondhand luxury goods market is on the rise, reaching 43 billion euros ($45.40 billion) in 2022, with watches and jewellery constituting a significant portion of this category, as reported by consultancy Bain & Co.
Worthy’s stakeholders include the Israeli investment firm Viola Group and the investment division of the Israeli insurance company The Phoenix. On the other hand, CIRCA counts New York venture firm Adama Partners as an investor. This merger is a strategic response to the evolving landscape of the luxury goods market, driven by economic factors and changing consumer preferences.
