Case Study
ThredUp and the Long-Term Stock Exchange: A shared vision for long-term value
Integrity in action wasn’t enough for ThredUp to have its voice heard; it needed a partner who could amplify its work and help it connect with like-minded stakeholders.
Inspiring a new generation — of consumers, businesses, and investors — takes guts. It’s a task steeped in a long-term strategy that focuses on purpose-driven profit. Resale pioneer ThredUp is blazing a new trail in the retail industry, promoting a more sustainable, circular future for fashion.
ThredUp’s mission? To inspire the world to think secondhand first. The fashion world, much like investing, is held captive by the short term. It’s a dynamic that ThredUp is hoping to fix, outlined in its long-term standards: “The environment is one of our most important stakeholders and combating the harmful effects of disposable fashion is one of our greatest goals,” said CEO and Co-Founder of ThredUp James Reinhart.
ThredUp was proactively taking courageous steps to advance critical long-term initiatives but there was still work to be done. This led to the company's decision to list on the Long-Term Stock Exchange, an SEC-approved stock exchange founded to help visionary companies like ThredUp get the credit they deserve.
The focus on short-term gains has long dominated the investing world, but a cultural shift is underway thanks to companies like ThredUp and its partnership with the Long-Term Stock Exchange.
ThredUp’s mission? To inspire the world to think secondhand first. The fashion world, much like investing, is held captive by the short term. It’s a dynamic that ThredUp is hoping to fix, outlined in its long-term standards: “The environment is one of our most important stakeholders and combating the harmful effects of disposable fashion is one of our greatest goals,” said CEO and Co-Founder of ThredUp James Reinhart.
ThredUp was proactively taking courageous steps to advance critical long-term initiatives but there was still work to be done. This led to the company's decision to list on the Long-Term Stock Exchange, an SEC-approved stock exchange founded to help visionary companies like ThredUp get the credit they deserve.
The focus on short-term gains has long dominated the investing world, but a cultural shift is underway thanks to companies like ThredUp and its partnership with the Long-Term Stock Exchange.
“By dual-listing on the Long-Term Stock Exchange, we are codifying the critical relationship between ThredUp and our long-term stakeholders and ensuring our success is their success.”
— James Reinhart,
CEO and Co-Founder, ThredUp
CEO and Co-Founder, ThredUp
Standing out from the crowd
ThredUp has a meaningful, long-term mission to better the world with passionate people to drive its efforts. What it needed was a way to further amplify its message — its position as a long-term value creator — to stakeholders of all types, and that’s where the Long-Term Stock Exchange came in.
Even in a challenging market environment, the benefits of listing on the exchange rapidly became clear. An internal analysis by LTSE shows that ThredUp began to attract the right investors, experiencing 132% greater public investor quality compared to publicly traded peers, according to LTSE's Long-Term Investor Score℠ methodology.1 On top of that, ThredUp saw 101% greater investor quality in comparison to the investment behavior across the entirety of these investors' portfolio holdings.2 Plus, the investors were more aligned with ThredUp’s approach; 56% of the top 25 sub-fund holders demonstrated investment behavior significantly accretive to long-term investor quality.3
Even in a challenging market environment, the benefits of listing on the exchange rapidly became clear. An internal analysis by LTSE shows that ThredUp began to attract the right investors, experiencing 132% greater public investor quality compared to publicly traded peers, according to LTSE's Long-Term Investor Score℠ methodology.1 On top of that, ThredUp saw 101% greater investor quality in comparison to the investment behavior across the entirety of these investors' portfolio holdings.2 Plus, the investors were more aligned with ThredUp’s approach; 56% of the top 25 sub-fund holders demonstrated investment behavior significantly accretive to long-term investor quality.3
Finding success one step at a time
Listing on the Long-Term Stock Exchange means actively cultivating a long-term strategy that resonates with stakeholders. Michelle Greene, President Emeritus and Former Interim CEO, Board Member, Long-Term Stock Exchange, puts it plainly: “On the Long-Term Stock Exchange, accountability is focused on your performance against your own long-term goals.”
In the spirit of that quote and as required by the rules of the Long-Term Stock Exchange, ThredUp codified its own practices to demonstrate accountability and a clear focus on the future. These commitments provide a comprehensive outlook on how the company intends to deliver on its promises and the work it is already doing to actualize those promises. Current and prospective investors can see the importance that ThredUp places on its long-term approach and how well that approach aligns with their investing strategy.
In the spirit of that quote and as required by the rules of the Long-Term Stock Exchange, ThredUp codified its own practices to demonstrate accountability and a clear focus on the future. These commitments provide a comprehensive outlook on how the company intends to deliver on its promises and the work it is already doing to actualize those promises. Current and prospective investors can see the importance that ThredUp places on its long-term approach and how well that approach aligns with their investing strategy.
“On the Long-Term Stock Exchange, accountability is focused on your performance against your own long-term goals.”
— Michelle Greene,
President Emeritus, Former Interim CEO and Board Chair, Long-Term Stock Exchange
President Emeritus, Former Interim CEO and Board Chair, Long-Term Stock Exchange
LTSE methodology drives best-in-class long-term investor quality
Listing on the Long-Term Stock Exchange allows qualifying companies to authentically communicate their vision with stakeholders who share a focus for long-term value creation. These companies exemplify leadership and distinguish themselves as trailblazers of a new era, with like-minded investors helping them take the next step forward, as demonstrated by ThredUp:
132%
Greater long-term investor quality in ThredUp versus long-term investor quality in ThredUp’s publicly traded peers*
101%
Greater long-term investor quality in ThredUp in comparison to the investment behavior across the entirety of these investors’ portfolio holdings*
56%
Percentage of ThredUp’s Top 25 sub-fund holders whose long-term investment behavior in ThredUp is significantly accretive to long-term investor quality*
128%
Outperformance of ThredUp's long-term investor quality vs. all public peers since listing on the Long-Term Stock Exchange in 2023*
*Measured via LTSE Long-Term Score℠ as applied to LTSE proprietary data-sets, FactSet, and relevant SEC filings, 2024
Co-branded campaign with LTSE expanded consumer awareness of ThredUp as a long-term company**
LTSE and ThredUp collaborated to establish measurable outcomes that align with ThredUp's long-term strategy.
270%
Outperformance on purchases versus target goal based on a 30-day lookback methodology**
1.5M
New consumers engaged with ThredUp as the result of LTSE Partnership campaigns**
267%
Lower cost-per-acquisition (CPA) beat the Google provided benchmark**
44%
Individuals exposed to the co-branded campaign are more likely to search for ThredUp than those who have not been exposed**
405
Media outlets covered ThredUp's listing on the Long-Term Stock Exchange, including:
**Google YouTube Brand Lift Study, June 2023
A long-term partnership built on results
While over 4,000 public companies are listed on U.S. exchanges today, the Long-Term Stock Exchange estimates less than 10% to 15% demonstrate a verified commitment to long-term value4, and most of those companies aren't getting the credit they deserve. That’s why ThredUp’s partnership with the Long-Term Stock Exchange was so important; it helped strengthen the company’s voice as a long-term value creator and distinguish ThredUp’s business approach.
The benefits were quickly realized, as illustrated by ThredUp’s investor base, which improved in quality, held less high-risk capital, and demonstrated long-term investment behavior. ThredUp had broken through the short-term noise.
Being the catalyst for a generational shift in consumerism is a daunting task. ThredUp’s mission will take dedication and the right partners — partners like the Long-Term Stock Exchange.
The benefits were quickly realized, as illustrated by ThredUp’s investor base, which improved in quality, held less high-risk capital, and demonstrated long-term investment behavior. ThredUp had broken through the short-term noise.
Being the catalyst for a generational shift in consumerism is a daunting task. ThredUp’s mission will take dedication and the right partners — partners like the Long-Term Stock Exchange.
Benefits of listing on the Long-Term Stock Exchange
The Long-Term Stock Exchange differentiates companies to help them get the credit they deserve from critical long-term stakeholders.
Your company will have one ticker symbol across exchanges – listing on the
Long-Term Stock Exchange is 100% compatible with incumbent U.S. exchanges and does not negatively impact liquidity.
Listing on the Long-Term Stock exchange is a straightforward process for companies already doing the work that comes with long-term leadership.
For more information
For additional case studies, resources, and more information about how listing on the Long-Term Stock Exchange can be good for your business, good for shareholders, and good for the investor community, email listings@ltse.com.
Contact Listings Team
Disclaimer
The information contained above is provided for informational purposes only, and nothing contained herein should be construed as investment advice, either on behalf of a particular security or an overall investment strategy. Readers should consult their own tax, legal, accounting or investment advisors.
Many of the services outlined in this document are provided by LTSE Services, Inc. LTSE Services and its affiliates, including the Long-Term Stock Exchange, Inc., which is a registered national securities exchange under the provisions of the Securities Exchange Act, do not provide tax, legal, accounting or investment banking or investment advisory services or advice.
Companies are not required to adopt or purchase any tools or services from LTSE Services in order to apply to list on the Long-Term Stock Exchange. Companies can customize their long-term policies; however, only the Exchange’s independent regulatory staff can determine whether proposed policies meet the principles-based requirements for listing under Exchange rules. Exchange rules differentiate between the products and services that it can offer to prospective listed companies and those that are available to companies currently or newly listed on the Exchange.
Neither LTSE nor any of its affiliates makes any recommendation to buy or sell any security or any representation about the financial condition of any company. Statements regarding LTSE-listed companies are not guarantees of future performance. Actual results may differ materially from those expressed or implied. Past performance is not indicative of future results.
© 2024 LTSE Services, Inc.
Many of the services outlined in this document are provided by LTSE Services, Inc. LTSE Services and its affiliates, including the Long-Term Stock Exchange, Inc., which is a registered national securities exchange under the provisions of the Securities Exchange Act, do not provide tax, legal, accounting or investment banking or investment advisory services or advice.
Companies are not required to adopt or purchase any tools or services from LTSE Services in order to apply to list on the Long-Term Stock Exchange. Companies can customize their long-term policies; however, only the Exchange’s independent regulatory staff can determine whether proposed policies meet the principles-based requirements for listing under Exchange rules. Exchange rules differentiate between the products and services that it can offer to prospective listed companies and those that are available to companies currently or newly listed on the Exchange.
Neither LTSE nor any of its affiliates makes any recommendation to buy or sell any security or any representation about the financial condition of any company. Statements regarding LTSE-listed companies are not guarantees of future performance. Actual results may differ materially from those expressed or implied. Past performance is not indicative of future results.
© 2024 LTSE Services, Inc.
References
- Measured via LTSE Long-Term Score℠ as applied to LTSE proprietary data-sets, FactSet, and relevant SEC filings.
- Ibid.
- Ibid.
- Based on an internal analysis conducted by LTSE Services, Inc., in January 2024.