A major sneaker resale platform valued at $1 billion has laid off around 100 employees

StockXStockX founder Josh Luber.
  • StockX laid off 12% of its workforce, the company’s CEO Scott Cutler announced in a Thursday blog post.
  • Input first reported on the layoffs, which reportedly include 100 to 150 staff members from quality assurance, engineering, product, and operations teams in the Detroit headquarters and Arizona office.
  • The layoffs were reportedly announced in a Thursday all-hands video presentation to StockX employees.
  • “While on a journey like this, you often have to make difficult decisions to ensure long-term sustainability,” Cutler wrote in a Thursday blog post. “This is important even in the best of times, and given the uncertainty of COVID-19, our sense of urgency to do so was heightened. Today was one of those occasions, as with a heavy heart, we said goodbye to 12% of our StockX family members.”
  • In a statement to Business Insider, StockX said it is shifting from a “growth-focused mentality to one rooted in operational efficiency” and that the current climate also contributed to the decision.
  • Visit Business Insider’s homepage for more stories.

StockX, an online sneaker resale platform, laid off 12% of its staff, the company’s CEO Scott Cutler announced in a Thursday blog post.

Sources familiar with the matter told Input, which first reported on the story, that the layoffs were announced in an all-hands video presentation on Thursday to StockX employees. The layoffs reportedly include 100 to 150 staff members from quality assurance, engineering, product, and operations teams in the Detroit headquarters and Arizona office.

In the presentation, Cutler reportedly said the move was meant to help the company cut costs and become profitable.

“While on a journey like this, you often have to make difficult decisions to ensure long-term sustainability,” Cutler wrote in a blog post. “This is important even in the best of times, and given the uncertainty of COVID-19, our sense of urgency to do so was heightened. Today was one of those occasions, as with a heavy heart, we said goodbye to 12% of our StockX family members.”

In a statement to Business Insider, a StockX representative said it is shifting from a “growth-focused mentality to one rooted in operational efficiency” and that the current climate also contributed to the decision.

“As we continue to provide the highest level of service to the millions of global customers who rely on us, purposeful structure, unwavering determination, and hard choices are required,” the StockX representative said. “The current climate coupled with the need to optimise for future success led to the prudent but difficult decision to reduce our workforce by 12%.”

The company, which bills itself as a “stock market for things,” was valued at $US1 billion as of July.

In a March 27 interview with Tech Crunch, Cutler said that his business had benefited from the events over the last few months.

“We’ve had more and more traffic and buyers coming to our site because in some respects, traditional retail in some geographies is not available,” Cutler told Tech Crunch. “We thought we’ve always been a marketplace of scarcity, but now you can’t actually go into a real retail location, so you’re coming to StockX.”

StockX recently added a new 3% processing fee for buyers on top of its existing fees for sellers, a move that received backlash on social media from members of the sneaker community, many of whom have already turned away from selling on StockX due to its fees.

In a statement to Business Insider, a StockX spokesperson said regarding the fees, “StockX customers are, and always will be, the heart and soul of our company – this update was put in place to best serve and support the high-touch customer experience we afford our millions of buyers and sellers across 197 countries and territories globally.”


If you’re a StockX employee with a story to tell, contact this reporter at via email at [email protected] or by encrypted messaging app Signal at +1 (646) 376-6018 using a non-work phone.

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