Why is GOAT more expensive than StockX? (Really?)

Why is GOAT more expensive than StockX? (Really?)

For the modern sneaker fan, finding shoes has never been easier. Gone are the days of having to camp outside a consignment store to catch a glimpse of the couple of your dreams. There are plenty of sites out there offering the latest and sometimes the rarest kicks on the market.

Competition is always fierce, with millions of people on platforms like StockX and GOAT 24/7 looking for the latest dips. Online shopping brings some careful planning and thinking on the consumer side.

You may have noticed that GOAT sometimes sells the same shoes at slightly higher prices than you would normally find on other sites, or in this case, StockX. So why is GOAT more expensive than StockX? Interestingly, this is not because GOAT is expensive, but more to do with StockX’s business model.

Why is GOAT more expensive than StockX?

GOAT is more expensive than StockX because of its faster shipping times and more thorough quality control. Depending on the shoe, you can pay an extra $30 on GOAT to get your new sneaker faster.

GOAT and the StockX business model

The two companies exist in the same niche market — sneakers. But the way they run sales is slightly different, and the average sneaker fan might not be aware of these nuances. Consumers usually only choose the first market they find or the most popular.

Both GOAT and StockX have similar business cycles, they:

1. source seller.
2. List shoes.
3. Get buyers.
4. Let the seller ship the shoes.
5. Verify shoes.
6. The shoes are delivered to the buyer after purchase.

This is a fairly standard process and is used by most shoe dealers. Both marketplaces also charge sellers a commission or percentage fee. The fundamental difference between StockX and GOAT is in the details.

goat business model

GOAT basically follows the standard process very faithfully. It also has functionality similar to StockX’s bidding process, but this is not available on the desktop website, only on its mobile app.

So unless you use their app, you can’t access their buyer bids and asks. This makes sense as GOAT’s main business is focused on Gen Z and marketing via mobile platforms.

GOAT typically monitors other websites and footwear sales platforms to assess the correct price for the market. They source from independent sellers and retailers.

StockX Business Model

StockX is known for its slightly different approach to shoe resale. StockX is like a real-time marketplace, offering transparent pricing as one of its selling points. Sellers can set asking prices, but buyers can also bid based on what they think is reasonable.

StockX displays all past information about the selling price, asking price, and previous bids of a shoe to get a clearer picture of how much people are paying for a pair of shoes. At the same time, GOAT does not provide enough transparency in terms of pricing.

The difference between the two can sometimes be in the tens or even thousands. That way, StockX has no control over the price of the shoes they sell.

This allows you, the seller or buyer, to actually own a new pair of sneakers. You can check the sale price of this pair to see how much you should bid.

The system also means that when retail stores are oversupplied, the price of StockX will drop. They will most likely choose to sell on StockX instead of selling old stock.

Why is StockX cheaper than GOAT?

While the price difference between the two competitors is debatable, many have noticed that StockX is cheaper than GOAT, and for good reason. First off, GOAT is slightly more expensive because they ship the shoes faster.

Also, GOAT has arguably a better track record of giving you what you paid for their identity verification process. In addition to human validators, they also use machine learning to verify the quality and legitimacy of the shoes sent to them.

StockX also has extensive quality control, but there are multiple isolated cases of delivery disappointment on the StockX end, and the occasional fake slips through the cracks. In addition to their no-return policy, this can make things tricky for buyers who feel like they’re playing a game of roulette.

StockX does strive to sell 100% authentic shoes, but the mistakes are few but obvious. GOAT’s more favorable history may justify the price they set.

GOAT and StockX Resale Policy

Anyone who wants to sell on StockX can’t wear the shoes anywhere, not even outside the original retailer. StockX only accepts slow-moving items, which means they have to look as new as they arrived in your hands.

Meanwhile, GOAT accepts slightly worn shoes and will note any defects on the item description. The option to sell lightly worn shoes also increases the number of items GOAT can sell on its website. They also accept returns within 3 days of purchase – unlike StockX which doesn’t accept returns at all.

in conclusion…

The price difference between GOAT and StockX is not as simple as inflation or brand names. Their fundamentally different ways of operating lead to a number of reasons why certain shoes might be cheaper on one site and not another. Reading the FAQs on their respective websites will make you a more attentive and responsible buyer because in the end, you should get your money’s worth.

If you want to learn more about these dealers and how they work, check out the following articles:

If you still have any questions, please leave a comment!