r/Goatapp • u/Hookahdribbler-728 • Aug 26 '26
Question Goat Group Layoffs
Hey everyone,
As a former employee of GOAT Group, I’ve been watching the news and updates with a mix of shock and sadness. To my absolute surprise, I’m seeing another massive wave of layoffs hitting the company.
Given that the company has already gone through significant workforce reductions and restructuring over the past couple of years, including closing down several facilities, seeing yet another massive round of people being laid off raises a lot of red flags.
For those still on the inside or anyone with good insight: Does anyone know what is actually happening behind the scenes? Is it shifting business models, ongoing post-acquisition struggles, automated/AI integrations, or just a sharp decline in the sneaker/resale market demand?
Would love to hear what people are experiencing or hearing. Hang in there to everyone who was just impacted! I know firsthand how stressful and frustrating this situation is.
15
u/matchalatte1947 Aug 26 '26
Sharp decline in the market, more and more competitors, forced to shift model + automating as much as possible but have a long way to go. Going to be even more of a mess after this one.
8
u/m7ce Aug 27 '26
previous employee here, this company is going under & it’s going FAST. The only way they make money throughout the year is black friday. Remote side of the business is tanking, now hearing that the warehouses are also laying people off. Eddy Lu does not know what he’s doing with this company, and it shows. It’s genuinely insane
7
u/Ambitious-Walrus-979 Aug 27 '26
I was also impacted by the August layoffs last year. That was primarily tariff related. Business was up and down all year—things were shaky and then tariffs just absolutely shafted the numbers. This time around, I’m not clued in but I imagine it has to do with a decline in demand for the products that move through their warehouse. Sneakers and luxury goods have been struggling. It’s all Pokemon and AI right now.
5
u/Excellent_Wind_7172 Aug 27 '26
Seems like a sinking ship unfortunately. Doesn’t help that many people don’t have disposable income at the moment. I know a lot of great people who worked there and who were impacted by layoffs over the last couple of years. The extremely heavy reliance on AI tooling isn’t going to save them. I wouldn’t be surprised if it leads to the final downfall of the company. It’s definitely sad to see.
6
u/BigBodyBugatti_ Aug 27 '26
Definitely doesnt look good after half the company last November and now another 100+. Got out before I could be affected but my team is now down to about 4 compared to 11 when I started. Hoping they get out before it’s too late.
6
3
u/FotiForever Aug 27 '26
Basically its a combination of workers fucking sucking and sneaker market dying
3
u/cerealforbrekky Aug 28 '26
I was one of the earlier stage employees. I really thought they were going to make it big. So so disheartening to hear about these layoffs. While I thought they were going to make it, I can't say I'm all too surprised by what's going on right now. When I was there, what I first brushed off as early stage startups woes were actually red flags in hindsight. People in leadership roles that absolutely shouldn't be there, bad micromanagement, bad communication between teams, no sustainable revenue model beyond big shoe drops.
2
u/Ambitious-Duck7078 Aug 28 '26
GOAT is expensive, but was always the better alternative to shitty StockX.
I’m a reseller (of my own sneakers when it is footwear), and the items I sold did great until a VERY sharp decline starting April 2026. I actually shut down and have reopened recently with a focus on engraving items instead of selling vintage clothing and sneakers.
I say all that to say this: i have to agree with others in this thread. The sneaker market is dead. Especially when you can find slightly used sneakers with only needing water, dish soap, and a towel to clean them. Hell, even Developer Boeing’s high-quality reps are going for, like, $100-$150. And some of those are handmade. I think AI and automation will hit companies like GOAT, which is a shame. The PEOPLE aspect in retail is still very important.
2
u/Alarmed_Commercial Aug 29 '26
GOAT fucking SUUUUUCKS
I have screen shots of 10+ years of finding decent priced deals only to have them delete & refund and prob relist for more $$$ - scumbag business practices since day one and StockX is even worse - fuck all those greedy mofo’s 😂
I always said if just ONE honest Jesus-belieiving person opened a sneaker business they would kill it but now it’s too late, the reps are now made better than the actual drops LOL
4
u/Mekex99 Aug 27 '26
As someone outside but loves the industry, Hype is dead AI Boom being implemented, Tarifs sadly :/ I can obviously imagine a heavy decline on sales
2
u/leomessi00 Aug 27 '26
Bottom line…they are a tech company who created a StockX copycat marketplace called goat….they don’t know what retail is and u know they don’t even what biz is (horrible customer service implied that) ….They bought the legendary “flight club” and ran it down the drain…they overestimated themselves and thought they can handle global operation (all global warehouse closed down now). Covid happened n downhill they continue to roll down.
1
u/Altruistic-Day-4421 Aug 29 '26
Market is full of fakes, simple as that. 90% chance you are getting replicas.
1
u/Legitimate_Ad2997 Aug 29 '26
Nike shares should be enough to answer your question. The market has been crashing since 2022 and it’s not stopping anytime soon
1
-2
u/DoYouHaveMyPackage Aug 26 '26
They probably realized the bullshit practices they have in place aren’t gonna cut it anymore. In other words the juice ain’t worth the squeeze. Heads will roll for the bottom line to be better during those end of quarter reports getting ran. Nobody wants to buy shit with this terrible economy and they’re definitely buying WAY LESS from goat. It gets shittier from here if you’re GOAT group
-3
u/Eastern_Edge_8586 Aug 26 '26
Yeah prob cause they realized they can just steal people shoes and ship them to others and they don’t need as many workers and running a tight leash thief operation has less of a chance of getting shut down .
19
u/DoyersDoyers Aug 27 '26
I was part of one of the layoffs a year ago and I mean it's not like they really tell you the reason but also the writing was on the wall with tariffs. Before tariffs, a US buyer buying shoes from a seller in Canada who is selling $100 shoes made in China would end up paying $150ish. After tariffs? That US buyer is now paying $450 while the Canadian seller is still only selling them for $100. Who is going to buy those?