Julie Wainwright transformed her career after the downfall of pets.com, leading her now to The RealReal.

Wainwright's career began with leading Berkeley Systems and Reel.com before taking charge of pets.com, which unfortunately ceased operations shortly after its IPO.

Fast forward two decades, and she now manages The RealReal, a thriving online consignment platform. And her journey is far from over.

LISTEN: Catch Julie’s insights in her discussion with Karen Finerman on the "How She Does It" podcast.

‘That Morning Was Tough’

Wainwright's previous successes at Berkeley Systems and Reel.com led to her role at pets.com in the early 2000s. However, the company closed less than a year following its public offering. Fortunately, the closure allowed her to return funds to investors and support her employees.

“The closure provided us a chance to reimburse our backers and offer a safety net to our staff,” she reflects. Most failing companies don’t have cash reserves. However, this was not the only challenge that day.

“I was striving to be professional,” Wainwright recalls. “That day, my husband requested a divorce, making it a tough morning.”

After winding down pets.com and dealing with her divorce, Wainwright faced the challenge of rediscovering herself.

“I spent a long time critiquing myself and had to learn how to escape that negativity,” she states. “I didn’t realize until later that my past made me less desirable in the tech industry.”

Accepting Setbacks — Even When Others Won't

Post pets.com, Wainwright found it difficult to secure a new position.

“No one wanted to hire someone with a failure,” she explains. “People in tech claim to embrace failure, but that’s not really the case. Losing money isn’t something anyone enjoys.”

Eventually, Wainwright realized that her age and gender were barriers. Instead of succumbing to despair, she embarked on a journey of self-discovery.

“I had to reconnect with my inner self, as the industry that once celebrated my career had now labeled me a failure,” she reflects. “But I knew I wasn’t a failure. I had to find a path forward.”

How Julie Thrived With The RealReal After Pets.com

Wainwright understood that she needed a breakthrough or she’d step away from the sector. With a vision for the luxury e-commerce space, she initially lacked a complete strategy. However, an outing with a friend ignited her idea.

“While shopping in a boutique with a small consignment section, my friend expressed her disdain for consignment shopping. She was a venture capitalist, typically uninterested in discounts, yet she acknowledged, ‘everyone loves a deal on brands like Prada and Gucci,’” she shares.

Motivated, Wainwright researched the luxury market, identifying gaps that major players like Amazon failed to address. Unlike Amazon, she realized she could offer a unique luxury resale experience online. With a clear vision and renewed determination, The RealReal was founded.

“This was a significant concept,” she notes. “I was confident in my execution abilities and my strengths, and I didn’t worry about public perception since I was moving beyond a community that I felt would reject me.”

Making Resale Trendy

Initially, the platform experienced overwhelming demand, but supply was the issue. Then, a fortunate opportunity arose.

“A woman reached out, stating Paula Abdul was ready to consign her items,” Wainwright recalls. “‘Could you send someone tomorrow? She wants to clear out her space.’ I responded, ‘Absolutely!’”

Within a few days, Paula Abdul became The RealReal's first major consignor, and her items quickly sold out.

“Our mission is to make resale fashionable and promote awareness of the circular economy and the fashion industry’s ecological impact,” she explains. “I take pride in our work, especially as environmental concerns are more critical than ever.”

In their inaugural year, the business generated $10 million in gross merchandise volume. Wainwright sought venture capital, though not all investors were eager to collaborate.

“I presented our strategy at one venture firm, and a man stated, ‘Julie, my wife wouldn’t allow anyone like you in our home.’ I replied, ‘Actually, we were there last week.’ He was taken aback.”

In 2019, Wainwright took The RealReal public, becoming one of only a few women to accomplish this feat.